How to Use Shopify's New 'Stock Counts' Feature in Admin

An accurate inventory count is the foundation of a healthy retail operation. When your Shopify store's data matches the physical stock on your shelves, you prevent overselling, make smarter purchasing decisions, and provide a better customer experience. Shopify's 'Stock counts' feature brings this entire process directly into the admin, moving it from spreadsheets into a structured, trackable workflow.

What is the new 'Stock counts' feature in Shopify admin?

Shopify 'Stock counts' is a native tool that lets you create, manage, and review physical inventory counts directly within your Shopify admin. It’s designed to replace manual processes involving spreadsheets and manual adjustments, providing a clear, auditable trail of who counted what, and when your inventory levels were updated.

The core idea is to give merchants a structured workflow for verifying physical stock against the data in Shopify. You create a "count" for a specific location, add products to it, and have your team record the physical quantities. The key difference from past methods is the review step: inventory levels aren't updated until a manager reviews the discrepancies and approves the changes.

This creates a valuable safety net, reducing the risk of a simple typo during a count causing a major stock discrepancy. It formalizes the process, making regular inventory checks less of a chore and more of a routine operational task that improves accuracy across your business.

How do I create and manage a new stock count?

Creating a stock count is a straightforward process that starts in your Shopify admin, not the app or POS. This function centralizes control, allowing you to prepare and delegate counts from your desktop before your team starts counting on the floor.

Here are the steps to create and manage a new stock count:

1. From your Shopify admin, navigate to Products > Inventory.
2. Click on the Stock counts page, and then click Create count.
3. Select the location where the count will take place. A single stock count can only cover one location; if you need to count multiple warehouses or stores, you'll create a separate count for each.
4. Add products to the count. You can do this by searching for products or by using a barcode scanner to add items. You can also import a list of products from a CSV file.
5. Once you've added your products, you can add optional details like a name for the count (e.g., "Weekly T-Shirt Count") and a planned date. Click Save to create the draft count.

Once created, the count will have a "Draft" status. Your team can then begin the count, moving its status to "In progress." You can track the progress, see who counted which items, and even leave comments on the count's timeline.

A Worked Example: Counting Your Best-Selling Hoodie

Let's make this concrete. Imagine you sell a popular hoodie that comes in three sizes: Small, Medium, and Large. Your Shopify data says you have 50 Small, 75 Medium, and 30 Large hoodies in your main warehouse. You want to do a quick spot check to confirm these numbers before a big sales weekend.

In your Shopify admin, you navigate to "Stock counts" and create a new count. You name it "Pre-Sale Hoodie Check - Oct 28" and select your main warehouse as the location. You then search for the hoodie and add the three specific variants (S, M, L) to the count list. The count is now a draft, ready for your team.

A warehouse team member opens the count on their POS device. They find and count the physical stock, entering the numbers. They record 48 Small, 76 Medium, and 30 Large. The count status moves to "Review," and a notification is sent. No inventory has been updated yet; the discrepancies are simply flagged for a manager.

Can my staff use barcode scanners for stock counts?

Yes, barcode scanners are a central part of the 'Stock counts' workflow. Staff can use barcode scanners to add products to a count and to record quantities. This significantly speeds up the process and reduces manual entry errors compared to typing in SKUs or product names.

There are several ways to use scanners. Staff can use a connected USB or Bluetooth hardware scanner with a computer. For more mobility, they can use the Shopify POS Pro app on a phone or tablet, using either the device's camera or a paired handheld scanner. Each scan can be set to add one to the product's running total, making it fast to count out a box of items.

It's important to note that while the Shopify mobile app has a basic scanning function, the full, structured 'Stock counts' feature is designed to be performed through the Shopify POS Pro app for the best experience. This allows multiple staff members to contribute to the same count simultaneously without overwriting each other's work.

A Concrete Step: Pairing a Scanner with Shopify POS

Let’s walk through the actual setup. You have a Shopify-compatible Bluetooth scanner, like a Socket Mobile model. The first concrete step is to ensure it is unpaired from any other computer or device. Consult the scanner's manual to perform a factory reset if needed, which usually involves scanning a special barcode.

Next, you must put the scanner into the correct pairing mode for Apple iOS. This is not the default mode. Again, you will find a specific barcode in the user manual labeled "iOS Mode" or similar. Scan that barcode. The scanner will beep, and its light will likely start flashing blue to indicate it is discoverable.

Now, on your iPad or iPhone, go to Settings, then Bluetooth. You should see the scanner appear in the list of available devices. Tap it to connect. Finally, open your Shopify POS app and navigate to the Hardware settings. The scanner should appear there as connected, ready for use in your stock count.

How do I review and update my inventory after a count?

The review and approval stage is what makes the 'Stock counts' feature so powerful. After your staff has finished counting and submitted their results, the count moves into "Review" status. Your inventory has not been changed yet. This is your opportunity to check the work and verify discrepancies.

The review screen shows you three crucial pieces of information for each product: the "Expected" quantity (what Shopify thought you had), the "Counted" quantity (what your team found), and the difference. This immediately highlights any variances that need attention.

From here, you have a few options. If you see a large discrepancy on a high-value item, you might reject the count for that specific product and ask a team member to recount it. Once you are satisfied with the results, you click "Approve." Only then does Shopify update your official inventory quantities, creating a permanent record of the adjustment.

The Financial Impact of a Single Miscount

Consider the hoodie example again. A team member makes a typo and enters 84 Small hoodies instead of the 48 they actually counted. Without a review step, your inventory would instantly update. You now believe you have 36 extra hoodies. Your website confidently lists them as in stock, and customers start buying them.

This single error creates a cascade of expensive problems. First, you oversell 36 hoodies you do not have. This generates 36 customer support tickets from people asking where their order is. If each ticket takes 10 minutes to resolve, that is six hours of paid staff time spent on apologies and refunds, not on growth.

Worse, you lose the revenue and profit from those 36 sales. You also risk permanent reputation damage. Upset customers may leave negative reviews or tell their friends about the poor experience, impacting future sales. The review step in the 'Stock counts' feature is the safety net that prevents this entire scenario by flagging the discrepancy for verification.

Accuracy is not a one-time action; it's a state you maintain. An accurate shelf count prevents overselling, and an accurate order prevents a return. Both are about respecting the customer's purchase from the moment it's made until the moment it's in their hands.

What's the difference between this and using a spreadsheet?

The most significant difference is moving from a disconnected, manual process to an integrated, auditable one. Using a spreadsheet requires exporting data, printing sheets, manual counting and data entry, and then manually adjusting inventory in Shopify, creating multiple points where errors can occur.

Here is a comparison of the two methods:

Aspect	Spreadsheet Method	Shopify 'Stock Counts'
Data Source	Manual export, which can be outdated moments after creation.	Live data directly from your Shopify admin.
Process	Print sheets, count, manually enter into spreadsheet, then manually adjust in Shopify.	Count within the Shopify ecosystem (Admin/POS), review, and approve to update.
Audit Trail	None. It's difficult to know who made a change or why.	Every count is recorded, showing who counted each item and who approved the final change.
Collaboration	Difficult. Multiple people counting can lead to version control issues.	Multiple staff can contribute to the same count in real-time without overwriting each other.

Essentially, the 'Stock counts' feature professionalizes your inventory process. It reduces the chance of human error, provides accountability, and saves significant administrative time that was previously spent juggling files and manually updating records.

The Trade-Off: Upfront Effort vs. Hidden Costs

The spreadsheet method feels fast and free, which is its main appeal. It requires no new software and no special training for staff who already know how to use a spreadsheet. This lack of an upfront barrier makes it the default choice for many new businesses. It seems like the path of least resistance.

However, this path is filled with hidden operational costs. The time spent exporting, printing, re-entering data, and manually adjusting quantities in Shopify is time that could be spent on marketing or customer service. A two-hour physical count can easily be followed by an hour of error-prone admin work that the integrated Shopify feature eliminates.

The most damaging hidden cost is the erosion of trust in your own data. Every manual adjustment without a clear audit trail introduces uncertainty. Over time, you can no longer be sure if your stock numbers are correct, which leads to conservative buying, missed sales from phantom stockouts, and a constant sense of chasing errors.

Does this work for multiple locations?

Yes, the 'Stock counts' feature is designed with multiple locations in mind, but with a specific rule: one count per location. When you create a new stock count, the very first step is to select which of your locations you are about to count. This ensures that your inventory data remains precise for each individual warehouse, retail store, or fulfillment center.

If you have three stores, you will need to create three separate stock counts to perform a full inventory audit. This separation is critical for maintaining accurate location-specific data, which powers Shopify's order routing and helps you make better decisions about stock transfers.

For businesses with more than one location, this structured approach is a major benefit. It prevents the accidental pooling of inventory numbers and ensures that when a customer places an order online, the fulfillment logic is working with the most accurate data possible for each potential shipping origin.

What are the best practices for regular inventory counting?

Adopting the 'Stock counts' feature is a great first step. Turning it into a successful operational rhythm involves a few best practices. Regular, systematic counting is more effective than a massive, once-a-year stocktake. It turns a major disruption into a manageable routine.

Consider implementing "cycle counting," where you count small, specific sections of your inventory on a rotating schedule. For example, you might count a different product category each week. This approach minimizes disruption and helps you catch discrepancies faster, before they become significant problems.

Prioritize with ABC Analysis

To prioritize, use an ABC analysis. Categorize products into 'A' (high-value, low-quantity), 'B' (mid-range), and 'C' (low-value, high-quantity). Count your 'A' items most frequently, perhaps weekly. Your 'C' items, like inexpensive accessories, might only need counting quarterly. This focuses your effort where accuracy matters most to your bottom line.

Schedule counts for quiet periods, like before opening or after closing, to minimize the impact of sales on your count accuracy. Before starting, ensure all pending transfers and orders are processed so your starting numbers are as clean as possible. Finally, establish a clear system and use it consistently for every count to ensure your data is reliable over time.

An Edge Case: Counting High-Velocity Products

The standard advice to count during quiet hours breaks down for your highest-velocity products. What about a best-seller that sells multiple units every hour, 24/7? Pausing sales isn't practical, and a count at 8 AM might be incorrect by 8:15 AM due to online orders. The snapshot becomes instantly stale.

For these fast-moving items, a more advanced technique is needed. Instead of aiming for a perfect static count, you perform a "delta count" to isolate discrepancies from sales activity. You count the item at the beginning of the day and again at the end of the day. This gives you two physical snapshots.

You then use Shopify's reports to find the exact number of units sold for that specific SKU during that time period. The formula is: Starting Count - Units Sold = Expected End Count. If your physical end-of-day count matches this number, your inventory is accurate. If not, the difference is due to something other than sales, like shrinkage or a receiving error.

Even with perfectly accurate inventory, customers can still introduce errors by selecting the wrong size, color, or quantity. Accurate stock counts reduce overselling, but they don't solve customer mistakes. That's where post-purchase order editing comes in. By giving customers a brief window to fix their own errors on the order status page, you can improve order accuracy from the other side.

Tacey's order editing tools work after payment to let customers make changes, reducing returns and support tickets. To see how it works, install Tacey from the Shopify App Store.

Frequently asked questions

What happens if an order is placed for an item while I'm counting it?

The 'Stock counts' feature works on a snapshot. The final adjustment compares your physical count to the expected number at the time of approval. Shopify's documentation suggests completing pending orders before a count to get the cleanest start. If a sale occurs during the count, it can cause a discrepancy in the final review, which you may need to investigate manually.

Can I undo a stock count after I've approved it?

No, once a stock count is approved, the inventory levels are updated and the action cannot be undone. The change is recorded in your inventory history, but you would need to perform a new count or manual adjustment to revert the numbers.

Is the Stock Counts feature available on all Shopify plans?

While the feature is managed in the main Shopify admin, performing the count with a scanner is best done through the Shopify POS Pro app, which is associated with higher-tier plans. You should check your specific plan's features to confirm availability.

Can I use my phone's camera as a barcode scanner for this?

Yes, you can use your device's camera within the Shopify app to scan barcodes. While dedicated hardware scanners are faster for high-volume counts, the camera is a functional option for smaller stores or quick spot-checks.

Does this feature work for product bundles?

No, the 'Stock counts' feature currently works only for individual inventory items, not for bundles created in Shopify or with third-party apps. You must count the component products of a bundle individually.