How to Set Up Pre-orders on Shopify

Pre-orders can transform your Shopify business, we’ve helped stores process over one million pre-orders to help boost their cashflow and demand (ref). This guide shows you how to implement pre-orders on Shopify using both native features and third-party solutions. Click here to see a video instead.

Understanding Your Pre-Order Options

Native Shopify Approach Shopify includes basic pre-order functionality through inventory management settings. This approach works well for simple scenarios:

• Built into your existing Shopify plan
• No additional monthly fees
• Quick setup process
• Basic functionality for straightforward pre-orders

However, it has some limitations:

• Manual inventory tracking required
• Limited customer communication options
• Basic payment processing only
• No advanced analytics or reporting

Third-Party Pre-Order Apps For businesses needing more advanced features, specialized pre-order apps offer enhanced functionality:

• Automated inventory management
• Advanced customer communication workflows
• Flexible payment processing options
• Comprehensive analytics and performance tracking
• Integration with marketing tools

Popular options include PreProduct, which offers flexible payment timing and comprehensive merchant tools for managing pre-order campaigns.

Step-by-Step Implementation Guide

Method 1: Native Shopify Setup

1. Navigate to Products > All products in your Shopify admin
2. Select the product you want to offer for pre-order
3. In the Inventory section, uncheck “Track quantity”
4. Set “Continue selling when out of stock” to enabled
5. Update product description to clearly indicate pre-order status
6. Modify your order confirmation emails to mention pre-order timing

Method 2: Using Pre-Order Apps

1. Browse the Shopify App Store for pre-order solutions
2. Install your chosen app (many offer free trials such as PreProduct)
3. Create a pre-order listing for your product in the app.
4. Check the product page and make sure you’re happy with the presentation and user experience
5. Update any settings and automated email sequences you’d like before going live.
6. Go live and test out the user flow from product page through to checkout*

*It’s important to ensure Shopify will allow your zero stock product through checkout. Issues usually come from not having the “continue selling…” box unticked or not having the product published to the correct sales channel in Shopify.

Optimizing Customer Experience

Clear Communication Strategy

• Display expected shipping dates prominently on product pages
• Send regular updates about order status and any delays
• Provide easy cancellation options
• Set realistic expectations about potential delays
• Include pre-order terms in your checkout process

Payment Processing Best Practices

• Decide between immediate charging or payment at shipping
• Clearly explain when charges will occur
• Ensure Payment Card Industry compliance for all transactions (for example using Shopify or Stripe)
• Consider offering deposit options for high-value items
• Make refund policies crystal clear

Legal and Compliance Considerations

FTC or equivalent Requirements

• Clearly disclose that items are pre-orders
• Provide accurate shipping date estimates
• Honor cancellation requests within reasonable timeframes
• Maintain transparent communication about delays

Customer Protection

• Implement clear terms and conditions
• Provide easy-to-find contact information
• Offer straightforward refund processes
• Maintain customer service standards throughout pre-order period

Measuring Success and Optimization

Track these key metrics to optimize your pre-order performance:

• Conversion rate compared to regular products
• Cancellation rate: On average 5.4% of pre-orders are cancelled (according to our recent report: https://preproduct.io/one-million-pre-orders/)
• Customer satisfaction scores
• Average order value for pre-orders vs regular orders
• Time from order to fulfillment

Common Challenges and Solutions

Managing Customer Expectations Challenge: Customers unclear about shipping timelines Solution: Prominent display of expected dates, regular communication updates

Payment Processing Issues Challenge: Confusion about when payment occurs Solution: Clear payment terms at checkout, confirmation emails

Inventory Forecasting Challenge: Difficulty predicting demand Solution: Start with limited quantities, use pre-order data for future planning

Conclusion

Setting up pre-orders on Shopify can significantly boost your cash flow and reduce inventory risk. Start with Shopify’s native features if you’re testing the waters, then consider upgrading to specialized apps as your pre-order volume grows.

The key to success lies in clear communication, realistic expectations, and professional execution throughout the entire pre-order process.