Shopify’s built-in inventory tracking is sufficient for a single-location store with a stable catalogue and predictable sales. The moment you add a second warehouse, sell across multiple channels, or start forecasting stock for a seasonal catalogue, native tools create more problems than they solve. This is when a dedicated inventory app earns its place.
When Shopify’s Built-In Tools Are Sufficient
You do not need a dedicated inventory app if: you stock fewer than 500 SKUs; you sell only through Shopify (no Amazon, eBay, or wholesale channels); all stock is held in one location; your reorder process is informal; and you have no requirement for demand forecasting or purchase order management. If all five apply, Shopify’s native inventory, combined with a simple spreadsheet for reorder tracking, is adequate.
Apps Comparison
| App | Best For | Key Features | Pricing |
|---|---|---|---|
| Inventory Planner | Brands focused on demand forecasting | Replenishment forecasting, PO generation, open-to-buy reports | From $99/month |
| Skubana / Extensiv | Multi-warehouse, multi-channel operations | Order routing, 3PL integration, analytics dashboards | Custom pricing, typically $500+/month |
| Linnworks | High-volume multi-channel sellers | Amazon/eBay/Shopify sync, warehouse management, automation rules | From £449/month |
| SKULabs | Growing brands needing warehouse management | Barcode scanning, pick/pack/ship, multi-location | From $299/month |
| Cin7 Core (DEAR Inventory) | B2B + D2C brands with manufacturing | Bill of materials, production orders, multi-currency purchasing | From $349/month |
Demand Forecasting Basics
Demand forecasting uses historical sales data to predict future stock requirements. A simple model looks at average daily sales over the past 90 days and multiplies it by your lead time (days from order to delivery) plus a safety stock buffer. Tools like Inventory Planner automate this per SKU, accounting for seasonality and sales trends, so reorder suggestions are generated automatically rather than requiring manual review of hundreds of product lines.
Reorder Point Calculation
Your reorder point is the stock level at which you should place a new supplier order. The formula is: reorder point = (average daily sales × lead time in days) + safety stock. For example: if you sell 10 units per day and your supplier takes 14 days to deliver, with a safety stock of 50 units, your reorder point is (10 × 14) + 50 = 190 units. Set this as a low-stock alert in Shopify or automate it via Inventory Planner’s replenishment rules.
Multi-Channel Considerations
When selling on both Shopify and Amazon, the key risk is overselling — a single unit showing as available on both channels simultaneously. Linnworks and Skubana maintain a central inventory pool and decrement it in real time across channels, preventing overselling. They also apply buffer stock rules: reserving a percentage of stock for your highest-margin channel before allocating to others.
Frequently Asked Questions
Can I manage inventory across multiple Shopify locations without an app?
Yes — Shopify natively supports multiple locations and tracks stock per location. You can transfer stock between locations and set fulfilment priority rules. An app becomes necessary when you need automated order routing between locations, complex pick-and-pack workflows, or integration with a third-party logistics provider.
What is safety stock and how much should I hold?
Safety stock is buffer inventory held to protect against demand spikes or supplier delays. A common formula is: safety stock = (maximum daily sales − average daily sales) × lead time. For fast-moving SKUs with unpredictable demand, holding 2–4 weeks of safety stock is typical. For slow-moving products, one week is usually sufficient to avoid tying up excessive capital.
Is Cin7 overkill for a small Shopify store?
For a purely D2C Shopify store with no manufacturing, no B2B wholesale, and under 200 SKUs, Cin7 is likely overkill. Its strength is in businesses that manufacture their own products, sell both wholesale and direct, or need a full bill-of-materials system. At that scale, the cost is justified. Below it, Inventory Planner or Shopify’s native tools are a better fit.
Ready to Grow Your Shopify Store?
Our Shopify experts at OneOnic have helped hundreds of brands launch, optimise, and scale. Let’s talk about your project.
