Before we address Magento 2 out of stock notification feature, let us ask you a question. What determines success in eCommerce? If you start asking this question from every eCommerce store owner or an eCommerce development company, you will get varied responses.
For most product quality is the most critical factor. For others, it may be the pricing or marketing strategy. No doubt, all these are important and rank very highly when talking about eCommerce success factors. However, one factor which often gets overlooked but is the most important of all is inventory management.
As a leading Magento extensions company, we believe that effective inventory management can be a game changer. Although our primary focus is on the Magento 2 low stock notification email to admin feature, there’s a need to understand why this feature is important in the first place.
Importance of Inventory Management
Cash Flow
You need money to buy inventory, right? When you have excess inventory, you have tied up capital just shitting on the shelf, creating no real value. Imagine if you hadn’t bought this inventory. You could have used that money elsewhere. For instance, you could use it for marketing purposes, offering discounts to select customer groups, or any other purpose. Excess inventory is the least productive use of money.
Prevents Stockouts and Overstocking
A stockout means that there isn’t enough inventory to meet customer demand. Not only is this a financial setback but undermines customer trust in your brand. In case of overstocking, it is waste of money and valuable space. The right amount of inventory ensures maximum profit and least wastage.
Holding Costs
Just above, we talked about wasting valuable space. The problem is that excess stock does not only take up space. We need to consider other factors. If you have insurance, you are paying a premium for products that may never sell. The insurance premium on the excessive stock is an expense which is not going to recover. You must also consider the depreciation factor. All products depreciate over time. Therefore, even if you manage to sell the excess inventory at some point, you may fail to turn a profit.
Sales
Put yourself in the customer’s shoes for a moment. If you go to an online store to buy an iPhone charger and find out that it is out of stock, would you wait for it to be restocked? The answer is no. Nine times out of ten, you’ll simply close the tab and move to another online store. You may order the charger from the very next website you open. In short, customers won’t wait for you to restock the products. Missing stock means you are losing out on sales.
Customer Satisfaction
When you have stock every time a customer comes to buy a product, this will enhance customer satisfaction and foster brand loyalty. Every time a customer wishes to buy a similar product, they won’t hesitate to prefer your store over other countless options.
Competitiveness
Inventory management gives you insights into customer preferences and market trends. This ability to adapt and respond to changing market conditions is a key defining factor behind successful stores.
Magento and Inventory Management
Considering the above points, there’s no doubt regarding the importance of inventory management. It is imperative that as soon as a product is nearing out of stock or the defined threshold, the store owner takes steps to restock it. The question is that how would a store owner know when a product needs to be restocked?
This is where the low stock or Magento 2 out of stock notifications come into play. They are alerts or notifications triggered when the quantity of a product in a store's inventory falls below a predefined threshold or minimum level. These notifications are essential for inventory management and e-commerce operations.
By enabling low stock admin email notifications, you receive an email when a product is about to go out of stock. If a product goes out of stock temporarily, instead of just losing a potential customer, you can allow them to subscribe to the product and get a notification when the product is back in stock.
How? All this is made possible using the Magento 2 out of stock notification extension as you can see below.
This Magento 2 back in stock notification feature can help you recover lost sales to a great extent. You can replace the ‘Notify Me’ with any custom text. Once you restock the product, the user will receive an automatic email notification.
One of the standout features about this extension is its analytics dashboard.
This dashboard can prove helpful in tracking the overall performance once you restock the products. If you wish to know more about this extension, book a live demo.
Benefits Of Low Stock Admin Email Notifications
Following are the benefits of enabling low stock email notifications.
- Inventory Management: Low stock notifications help businesses proactively manage their inventory levels. When products are running low, these notifications signal the need to restock, ensuring that popular items are never out of stock and customers can make purchases without interruption.
- Preventing Stockouts: Stockouts result in lost sales, frustrated customers, and damage to a company's reputation. Low stock notifications enable businesses to restock products before they run out, reducing the risk of stockouts.
- Optimising Purchasing: By receiving notifications when stock is running low, businesses can optimize their purchasing and ordering processes. This prevents overstocking (holding excess inventory) and understocking (not having enough inventory) situations, which can be costly and inefficient.
- Customer Satisfaction: When businesses consistently maintain adequate stock levels and avoid stockouts, customers can rely on them to have their desired products available. This contributes to a positive customer experience and fosters trust and loyalty.
- Data-Driven Decisions: Low stock notifications provide valuable data about the demand patterns of products. Businesses can use this data to make informed decisions about pricing, promotions, and product selection.
How To Enable Low Stock Email Notification in Magento 2?
Enabling low stock admin email notifications in Magento 2 involves configuring the settings for stock alerts within the admin panel. Here's a step-by-step guide on how to set up these notifications:
- Login to your Magento 2 admin panel
- Navigate to Store -> Configuration
- Expand the Catalog section on the left and select Inventory
- Under the Product Stock Options section, you will see the Notify for Quantity Below field. In this field, enter the minimum stock level at which you want to trigger a low stock notification. For example, if you set it to 5, you'll receive notifications when a product's quantity goes below 5 units.
- Click the Save Config button in the upper-right corner to save your changes.
Now, Magento 2 will send email notifications to the specified admin users when product stock levels fall below the threshold you set in step 4.
Conclusion
This concludes our article on how to enable low stock email notifications in Magento 2. If you have any questions regarding the extension we listed or anything Magento-related, contact us.