Your choice of e-commerce inventory management software can make or break your business.
With the right tools to help with e-commerce inventory management, you can save substantial time and labor costs, maximizing your business’s revenue potential at the same time.
Getting stuck with suboptimal software, on the other hand, could drag you down and cause inefficiencies in your e-commerce operations.
This article reviews some of the most popular inventory management software used by e-commerce sellers, covering the following topics:
- What is e-commerce inventory management software?
- Must-have features of e-commerce inventory management software
- 5 best inventory management software for e-commerce
- Tips for choosing the best e-commerce inventory management software
- Some last words
Let’s get started!
What is e-commerce inventory management software?
E-commerce inventory management software automates the process of tracking inventory for online sellers.
It gives you visibility along your e-commerce supply chain, so that you’ll know what’s in your warehouse, how much inventory you have, and when to re-stock.
On top of these basic functions, some e-commerce inventory management software also allow you to track inventory across multiple sales channels.
Integration features may also be available for you to easily sync inventory data (e.g. cost of goods sold) to your accounting system.
Must-have features of e-commerce inventory management software
The goal of using inventory management software is to streamline the process of inventory management for your e-commerce business.
To this end, below are the core features that a good e-commerce inventory management software must have.
- Purchase order management: Create and track purchase orders, plan re-orders and manage suppliers.
- Product identification: Add product barcodes and serial numbers to improve inventory tracking.
- Inventory management: Provide real-time visibility across all sales channels.
- Order management: Handle digital picking, returns and order rules.
- Shipping management: Manage shipping channels and track shipping status.
- Reporting: Generate insights as to past inventory performance.
- Forecasting: Project future inventory needs with historical data.
5 best inventory management software for e-commerce
Choosing an e-commerce inventory management software sounds easy on paper.
Making the right call for your business, however, can be difficult when there are so many software providers and solutions to choose from.
We hear you — and so we’ve rounded up a list of best e-commerce inventory management software for you.
Note: We factor in software functionality as well as authentic user reviews to compile this list of recommended inventory management software. Choco Up is not affiliated with any of the companies featured in this article.
inFlow positions itself as an all-in-one tool for inventory management.
Features of inFlow
It has an extensive range of features which would help e-commerce businesses optimize workflow in different aspects, such as:
- Inventory tracking
- Order management
- Supplier management
- Integration (e.g. e-commerce platforms, accounting systems)
A special feature of inFlow is that it’s mobile-friendly. Using its mobile app, you can manage products, create orders and even arrange stock transfers on your Android or iOS device.
If you’re a small business owner who works on the go, inFlow would be a great fit for you.
Pros of inFlow
- User-friendly interface
- Easy to set up and configure
- Customer support is responsive and helpful
Cons of inFlow
- The cloud option is somewhat expensive
- Some users report minor lags when data is being updated
- Some features can be more sophisticated (e.g. search and filter by multiple fields)
Trunk is a cloud-based software solution with a focus on multi-channel inventory management.
Features of Trunk
It enables e-commerce sellers to list products on various online platforms and track stock levels in real time.
For businesses with multiple sales channels, Trunk’s syncing feature would also help you link product listings with stock keeping units (SKU) to prevent duplicate entries and optimize workflow processes.
Trunk currently supports integration with 10+ e-commerce platforms, including:
- Amazon (including Amazon Handmade)
- QuickBooks Online
Give it a try if you’re troubled by multi-channel inventory management!
Pros of Trunk
- Helpful for syncing inventory across sales channels
- Easy to use and navigate
- Great customer service
- Good value for money
Cons of Trunk
- Limited features available (e.g. it doesn’t have predictive analytics yet)
- Some users find it tricky to set up
3. QuickBooks Commerce
QuickBooks Commerce is developed by Intuit Inc., the software company that also owns MailChimp, TurboTax, Mint and Credit Karma.
Features of QuickBooks Commerce
It’s known for being a well-rounded solution which helps e-commerce businesses streamline the processes of inventory management, order management, accounting and reporting.
It also connects seamlessly with QuickBooks Online, the accounting arm of QuickBooks.
Despite the ability to cover multi-faceted needs of online businesses, QuickBooks Commerce isn’t suitable for all e-commerce companies.
Below are two compatibility checklists to help you determine if this solution is right for you.
Checklist #1: QuickBooks Commerce is right for your business if you —
- Mainly sell online
- Sell finished products
- Have less than 20,000 SKUs
- Have less than 30,000 orders per month
- Use standard units of measure
- Have one or more sales channels
- Are based in the U.S.
Checklist #2: QuickBooks Commerce may not be a fit if you —
- Make and sell custom products
- Want to track raw materials for manufacturing
- Track items with serial numbers
- Measure items by weight
- Use dropshipping
- Rent products
Pros of QuickBooks Commerce
- Simple and easy to use, even on a mobile device
- Useful for accounting and bookkeeping
Cons of QuickBooks Commerce
- Limited features available (e.g. no barcode scanning)
- Customer support can be improved
- Some users experience minor lags when loading financial data
Founded in 2013, Veeqo is a startup company built by an e-commerce veteran for online sellers.
Features of Veeqo
In answer to the major pain points of e-commerce businesses, Veeqo is an inventory and fulfillment platform with four functions at its core:
- Inventory management: Provides real-time visibility across multiple sales channels on a centralized platform.
- Order management: Helps e-commerce sellers keep track of orders and manage product returns.
- Shipping: Manages shipping in bulk and automates repetitive tasks with built-in shipping software.
- Reporting and forecasting: Generates sales and inventory reports, and forecasts inventory demand based on historical data.
Veeqo, which is now an Amazon-owned company, has an edge on other inventory management software companies as it rapidly expands its suite of integrations.
Below is a non-exhaustive list of integrations currently available at Veeqo:
- E-commerce platforms: BigCommerce, Magento, Shopify, WooCommerce
- Marketplaces: Amazon, eBay, Etsy
- Logistics: Amazon Shipping, DHL, FedEx, UPS
- Accounting: QuickBooks, Xero
- Others: Asana, HubSpot, Stripe, Zapier
Pros of Veeqo
- Simple and easy to use, even on a mobile device
- Wide range of integration options available
Cons of Veeqo
- Customer support can be improved
- Some features could be difficult to navigate
(e.g. it requires manual linking of products with supplier codes)
5. Zoho Inventory
Zoho Inventory is a cloud-based inventory management solution under the Zoho umbrella.
Features of Zoho Inventory
Like most other inventory management software, it has different modules tailored to your needs in different aspects of e-commerce inventory management, such as:
- Inventory tracking
- Sales and order management
- Reporting and analytics
As a Zoho product, this inventory solution is integrated within the Zoho Finance suite.
If you are an existing user of Zoho’s accounting and bookkeeping software, you may consider adding Zoho Inventory to your e-commerce stack.
Pros of Zoho Inventory
- Simple and easy to use
- Integration with the finance module
- Free version available (<50 orders per month)
Cons of Zoho Inventory
- Real-time inventory syncing is slow or unavailable
- Some features can be more sophisticated (e.g. customized reporting)
→ Quick summary: With a myriad of e-commerce inventory management software out there, sizing up your options can be a time-consuming and daunting task.
Tips for choosing the best e-commerce inventory management software
Subscribing to an e-commerce inventory management software is a considerable commitment — the time and labor costs of set-up could be too high to justify switching to another software later on.
This is why it’s crucial to choose an e-commerce inventory management software carefully.
Here are four tips on how to choose a software solution that is a good fit for your business.
- Consider your needs. Think about your biggest problems and how an e-commerce inventory management software can solve them.
For example, a small business which sells custom products on marketplaces has vastly different needs from a larger company that needs visibility along its entire supply chain.
- Compare price and features. Whether you run a small business or are part of a larger e-commerce company, you’d want to subscribe to a software solution that has the features you want — at affordable costs.
- Read user reviews. Learn not only about what the software companies say about themselves, but also the feedback of authentic users.
The pros and cons of different inventory management software (listed above in this article) are sourced from multiple review sites, including Software Advice, G2.com and Capterra.
If you’re looking for honest user reviews, these websites are great places to start.
- Try before you pay. Most e-commerce inventory management software companies offer free trials. Use them.
Pro tip: A well-designed inventory management software shouldn’t require a steep learning curve.
Make sure the software you pick is easy to use, so that you can save on staff training time later on.
Some last words
Using an e-commerce inventory management software is an investment today that will save you tens of thousands of dollars in the future.
Likewise, investing in your business growth is a decision that will pay dividends over time.
If you’re looking for a funding and growth partner, you’ve found one right here — Choco Upcan help.
As the leading revenue-based financing and growth platform in Asia, Choco Up offers funding ranging from US$10K to $10M to companies of all sizes. With our quick and flexible funding, we’ve helped hundreds of businesses fuel their growth and accomplish remarkable results.
About Choco Up
Founded in 2018, Choco Up is the leading revenue-based financing platform in Asia Pacific, offering non-dilutive growth capital to fast-growing companies.
Currently covering more than 10 markets and 10 sectors, Choco Up has helped hundreds of businesses capture growth while protecting equity upside.
Click here to apply for RBF funding!