Shopify Pre-Orders: Sell Before You Stock

Pre-orders are one of the most commercially useful tools available to Shopify merchants: they let you generate cash flow before stock arrives, validate product-market fit before committing to a large inventory order, and create urgency around a launch. Done properly, they build excitement and goodwill. Done poorly, they create refund requests, chargebacks, and customers who never return.

Here is how to get the mechanics right.

Why Run Pre-Orders on Your Shopify Store?

The commercial case for pre-orders is straightforward:

Cash flow before inventory. If you are importing from a supplier with 60 to 90-day lead times, pre-order revenue can partially or fully fund the purchase order, reducing the working capital pressure of building inventory.

Demand validation. Rather than committing to 500 units of a new product, a pre-order period tells you whether actual customers (not just email subscribers) will pay for it. If you sell 20 pre-orders when you expected 200, that is important information before you are sitting on unsaleable stock.

Launch momentum. A product that launches with 150 pre-orders already placed has social proof from day one. It also ensures your launch email to existing customers has something genuinely exclusive to offer.

How Do You Set Up Pre-Orders on Shopify?

Shopify does not have a native pre-order feature. You need one of three approaches.

Option 1: Shopify Inventory Settings with Overselling

The simplest approach: enable "Continue selling when out of stock" on a product variant (in the product's inventory settings), set the stock quantity to 0, and update the product listing to communicate the pre-order clearly.

Limitations: No automatic pre-order badge on the product card. No way to set an expected ship date per product. No automated fulfilment queue management. Suitable for very simple pre-order scenarios with small order volumes.

Option 2: Pre-Order Apps

Apps provide the control and communication tools that the native approach lacks.

Preorder Now (by Website on Demand Studio): One of the most widely installed Shopify pre-order apps. Automatically adds a "Pre-Order" badge to out-of-stock products, lets you set expected ship dates per product, and sends automated pre-order confirmation emails. From £14.99/month.

Kite: Pre-Order Manager: Supports both partial payment pre-orders (customers pay a deposit now, remainder on dispatch) and full payment pre-orders. Good for higher-ticket products where partial deposits are commercially sensible. From £19/month.

PreOrder Alpha: Free entry-level option with basic badge and button customisation. Works for straightforward pre-order scenarios.

For most merchants, Preorder Now handles the majority of pre-order requirements without excessive complexity.

Option 3: Custom Development

For stores with complex pre-order requirements (multiple expected ship dates per batch, dynamic deposit percentages, pre-order allocation limits per customer), custom development using Shopify's draft order and metafield systems gives the most control. This is typically a one-off investment of £1,500 to £4,000 depending on complexity.

What Should Your Pre-Order Product Page Communicate?

Pre-order customers are taking a risk relative to an in-stock purchase. Your product page must address that risk directly.

Expected dispatch date: Give a specific date range, not "shipping soon." "Dispatches mid-August 2026" is credible. "Dispatches soon" is not. If your timeline is uncertain, be honest about that: "We expect to dispatch in September 2026, subject to production."

Why this is a pre-order: Briefly explain why the product is not yet available: "This product is currently in production. Pre-order now to secure your place in our first dispatch."

Payment and cancellation policy: Clarify when the customer's card will be charged (typically at order placement, not at dispatch, unless you have configured otherwise) and what your cancellation and refund policy is for pre-orders.

Progress updates: Mention where customers can follow production progress: an email list, a shipping update email that will be sent before dispatch, or a specific page on your site.

How Do You Manage Customer Expectations During a Pre-Order Period?

The most common reason pre-orders go wrong is communication failure. A customer who has forgotten they pre-ordered something becomes a refund request when the charge appears on their statement. A customer who ordered in March and hears nothing for four months becomes a chargeback.

Send an immediate pre-order confirmation with the expected dispatch date and a clear statement that their card has been charged.

Send a mid-period update if the dispatch date shifts or if production hits a milestone. Customers who feel informed are patient. Customers who feel ignored are not.

Send a dispatch confirmation with tracking information the day orders ship.

If your expected dispatch date slips, email customers proactively before the original date passes. Offer a refund option in that email. Most customers who want to cancel will do so; those who remain are choosing to continue and are less likely to dispute later.

What Are the Tax and Accounting Implications of Pre-Orders?

For UK merchants registered for VAT, revenue recognised at pre-order placement (when the customer's card is charged) creates a VAT liability in that accounting period, even if the goods have not been dispatched. Discuss the treatment with your accountant before running a large pre-order campaign, particularly if the dispatch date falls in a different VAT period.

Frequently Asked Questions

Do I need an app to run pre-orders on Shopify?

No, but the native approach is limited. You can enable "Continue selling when out of stock" on any variant and set stock to zero, which allows customers to purchase. What you lose without an app is automatic pre-order badging on product cards, per-product expected dispatch dates, and automated pre-order confirmation emails. For anything beyond a handful of products or a simple launch, a dedicated pre-order app like Preorder Now (from £14.99 per month) is worth the investment.

When does Shopify charge customers for a pre-order?

By default, Shopify charges customers at the time of order placement, not at dispatch. This means you receive the funds immediately but take on the obligation to fulfil or refund. If you want to charge at dispatch instead, you need either a pre-order app that supports deferred billing or a custom draft order workflow. Be clear in your product page and confirmation email about exactly when the charge occurs to avoid disputes.

What should I do if my pre-order dispatch date changes?

Email customers proactively before the original dispatch date passes. Explain the delay clearly, give a revised date, and offer a refund option for anyone who no longer wants to wait. Customers who choose to remain after this communication are far less likely to raise a chargeback later. Silence is the main cause of pre-order disputes: merchants who communicate openly retain most pre-order customers even through significant delays.

Are there VAT implications for UK merchants running pre-orders?

Yes. For UK VAT-registered merchants, revenue is typically recognised and a VAT liability created at the point the customer's card is charged, which on a standard Shopify pre-order is at order placement. If your dispatch date falls in a different VAT quarter, you may need to account for the liability earlier than expected. Speak to your accountant before running a large pre-order campaign, particularly if the campaign straddles a VAT period end.

SuttonCommerce sets up and configures pre-order functionality for Shopify merchants, including app integration and custom development for complex requirements. If you are planning a product launch that would benefit from a pre-order strategy, get in touch to discuss the right approach for your store.