The Best Inventory Software with Native Shopify Sync
Essential features for Shopify inventory management software:
- Real-time inventory sync between Shopify and inventory system
- Automatic stock updates when Shopify orders are placed
- Multi-channel inventory management (Shopify + wholesale + other channels)
- Product and variant management across channels
- Order fulfillment workflows from Shopify orders
- Xero integration for accounting and financial tracking
Shopify’s native inventory management works fine for straightforward ecommerce-only businesses with simple stock tracking needs. But many Australian businesses use Shopify as one sales channel among several—you’re also doing wholesale B2B, selling to retailers, or operating physical locations. Managing inventory across Shopify and other channels without proper inventory software creates nightmares: overselling, manual stock adjustments across systems, disconnected order workflows, and no unified visibility into what’s actually available.
Inventory management software with Shopify integration solves this by centralizing inventory across all channels. Your Shopify store, wholesale B2B operations, and retail locations all allocate from the same inventory pool with real-time synchronization. When stock sells on Shopify, the inventory system updates immediately and reflects availability across all channels.
For Australian businesses running hybrid models—Shopify for consumer direct sales plus wholesale B2B operations—integrated inventory management with native Shopify sync is essential infrastructure, not optional add-on.
How Shopify Inventory Integration Actually Works
Understanding the technical integration helps evaluate whether inventory software truly integrates with Shopify or just offers basic data export:
Bi-Directional Sync: Products and inventory levels flow both directions. Create products in your inventory system and push to Shopify automatically (or vice versa). When inventory changes in either system, the other updates accordingly. This eliminates manual product management across multiple systems.
Real-Time Order Capture: When customers buy on Shopify, orders flow into your inventory management system immediately. The inventory system allocates stock, decrements inventory, and triggers fulfillment workflows. Once fulfilled, tracking information syncs back to Shopify and customers receive shipment notifications. This happens in real-time, not overnight batch updates.
Variant Management: Shopify uses variants (size, color, style) extensively. Inventory software needs to handle these variants properly—each variant is a separate SKU with individual stock tracking. Changes to variant inventory in your system update the specific Shopify variant, not just the parent product.
Multi-Location Support: If you’re using Shopify’s multi-location inventory feature (selling from different warehouse locations on Shopify), inventory software should sync location-specific inventory. Stock at your Melbourne warehouse shows available for Melbourne Shopify location; Sydney warehouse stock shows for Sydney location.
Order Status Updates: As orders move through your fulfillment workflow, status updates sync back to Shopify. Unfulfilled orders show as pending. Fulfilled orders show as complete with tracking. Partial fulfillments update appropriately. Customers see accurate order status in their Shopify account.
This level of integration requires native API connections, not manual CSV exports. Our ecommerce inventory system provides this deep Shopify integration alongside wholesale management.
Managing Wholesale B2B Alongside Shopify Retail
Many Australian businesses discovered ecommerce through Shopify but have roots in wholesale B2B operations. Managing both channels without proper inventory software is problematic:
The Challenge: Shopify manages your consumer retail sales, but your wholesale customers order through phone calls, emails, or separate portals. Inventory for both channels comes from the same warehouse stock. Without integrated systems, you’re manually checking whether wholesale orders will leave enough stock for Shopify, or you’re overselling on Shopify because you forgot about pending wholesale orders. This doesn’t scale.
The Solution—Unified Inventory Management: Inventory software centralizes stock across both channels. Shopify and wholesale B2B orders both allocate from the same inventory pool:
- When wholesale customers place large orders through their B2B portal, stock is allocated and Shopify available inventory updates automatically
- When Shopify orders come in, inventory decrements and wholesale customers see updated availability in their portal
- Purchase orders replenish inventory for both channels simultaneously—no separate inventory pools to manage
- Financial reporting shows profitability by channel—which is more profitable after accounting for platform fees, customer acquisition, and fulfillment costs?
Channel Prioritization: Some businesses want to reserve inventory for wholesale customers (higher order values, established relationships) while making remaining stock available on Shopify. Inventory software can set aside buffer stock for wholesale with only excess available for ecommerce retail. This prevents consumer orders from depleting stock needed for key wholesale accounts.
This hybrid approach is common for Australian product businesses: use Shopify for consumer direct sales and brand visibility, while wholesale B2B generates the bulk of revenue. Integrated inventory management makes this multi-channel model operationally viable. Learn about comprehensive inventory management for multi-channel operations.
Shopify Plus Xero: Complete Integration Stack
For Australian businesses, the complete picture includes Shopify (ecommerce), inventory management (operations), and Xero (accounting). These three systems need to work together seamlessly:
The Integration Flow:
1. **Products:** Created in inventory management system with full details (SKU, costs, pricing, descriptions). Push to Shopify for consumer sales and make available in wholesale B2B portals with different pricing. 2. **Orders:** Shopify orders and wholesale B2B orders both flow into inventory management system. Orders allocate stock and create pick lists for warehouse fulfillment. 3. **Fulfillment:** Once orders are fulfilled (Shopify or wholesale), inventory management creates Xero invoices automatically with correct line items, GST treatment, and COGS calculations. Shopify fulfillment status updates for customer notification. 4. **Inventory Valuation:** As stock is received from suppliers and sold through any channel, inventory valuations update in Xero automatically. Your bookkeeper sees accurate COGS and inventory asset values without manual journal entries. 5. **Financial Reporting:** Xero shows consolidated revenue from all channels, accurate COGS for profitability analysis, and proper GST reporting for BAS preparation.
Why This Stack Works for Australian Businesses:
- Xero is the standard: Most Australian bookkeepers and accountants use Xero, making it non-negotiable for many businesses
- Shopify is the ecommerce standard: For consumer direct sales, Shopify provides best-in-class ecommerce without custom development
- Inventory management connects them: Platforms like BSimple sit between Shopify and Xero, managing operational inventory and orders while syncing financial data
This three-platform stack (Shopify + BSimple + Xero) provides complete ecommerce, operations, and accounting integration without requiring you to build custom systems or manage disconnected spreadsheets. Each platform excels at its function while integrating seamlessly with the others.
Understand Shopify economics in our Shopify order fees guide, including how proper inventory management can offset platform costs through operational efficiency.
Frequently Asked Questions
What’s the best inventory management software for Shopify in Australia?
For Australian businesses using Shopify alongside wholesale B2B operations, BSimple provides native Shopify integration with real-time inventory sync, Xero integration for accounting, and customer portals for wholesale ordering. This enables unified inventory management across Shopify retail and wholesale channels from one platform. Alternatives include Cin7 and Unleashed, both with Shopify integration and Australian presence.
Does Shopify’s built-in inventory management work for wholesale businesses?
Shopify’s native inventory works for ecommerce-only businesses but lacks functionality for wholesale operations: no customer-specific pricing, limited B2B ordering workflows, no purchase order management for suppliers, and weak Xero integration. Australian businesses doing both Shopify and wholesale need dedicated inventory management software that handles multi-channel operations with proper B2B features.
How does inventory sync between Shopify and inventory management software?
Native integration uses Shopify APIs for real-time bi-directional sync. Products push from inventory software to Shopify, Shopify orders flow into inventory system, inventory levels update automatically when stock sells on any channel, fulfillment status syncs back to Shopify for customer notifications. This happens in real-time via API, not manual exports or overnight batch updates.
Can I manage Shopify and wholesale B2B inventory in one system?
Yes, integrated inventory management platforms like BSimple manage both Shopify retail and wholesale B2B from unified inventory. Shopify orders and wholesale orders both allocate from the same stock pool with real-time synchronization. This prevents overselling across channels while providing complete visibility into which channels are most profitable. Multi-channel management is essential for hybrid business models.
Does Shopify inventory software integrate with Xero?
For Australian businesses, Shopify inventory software should integrate with Xero for proper accounting. BSimple provides native Xero integration where Shopify orders (and wholesale orders) automatically create Xero invoices with correct GST, line items, and COGS. This eliminates manual invoice creation and ensures Shopify revenue flows correctly into Australian accounting for BAS reporting and financial statements.
How much does Shopify inventory management software cost?
Inventory management platforms with Shopify integration typically cost $150-$500 per month based on business size and transaction volume. BSimple pricing starts around $150/month with unlimited users and Shopify integration included. This is in addition to Shopify subscription costs ($39-$399/month) and Xero subscription ($32-$70/month). Total tech stack costs $200-$900/month depending on business size and platform tiers.