If the customer is not informed when their item will arrive, especially during a successful sale, the back order can become a delivery issue. Australia Post reported that 82% of households shopped online in 2025. Online purchasing is increasing rapidly leading to expected delays in delivery times.
But a seller shouldn’t discontinue sales when stock runs out. A better alternative is to plan and manage back orders, set expectations, and keep customers informed.
What Is a Back Order?
A back order means an order placed for an item that is currently out of stock but is likely to be in stock soon.
For instance, if a retailer may have 100 units of a product in Australia but gets 120 orders. The first 100 are available for immediate shipment. The remaining 20 orders are registered in the system as back orders and kept in the shop’s back order list until the product is ready.
Simply put, a back order is when customers place an order for a product, but the seller will fulfill it when stock becomes available.
This does not mean simply marking something as unavailable. The seller can accept orders for goods that may become available later; the purchasing person shall be informed that the goods will be available at a later time or date.
Quick Answer: What Is a Back Order?
A back order is an order a customer places for a product that is currently out of stock but expected to be restocked soon. The seller accepts the order, records it, and ships once new stock arrives. Unlike a simple “out of stock” label, a back order keeps the sale open and requires clear communication about when the item will be dispatched.
Key point: Manage back orders by tracking them separately, giving realistic delivery dates, and keeping customers informed at every stage.
Why Back Orders Happen to Australian Sellers
There are several reasons why back orders occur:
- Unexpected demand: When a product sells faster than expected.
- Delayed deliveries from supplier: It takes longer than expected to receive new stock from a supplier.
- Extended shipping time: International items may take longer to arrive in Australia.
- Seasonal demand: Sales surge during Black Friday, Christmas, and other shopping seasons.
- Incorrect stock levels: The system shows stock that isn’t available.
- Supply chain issues: Delays in manufacturing, transport, or warehouse problems can disrupt the flow of goods.
One main reason is a lack of synchronisation between inventory and sales systems. This can lead to overselling and an inordinate number of sales versus available units.
The Real Cost of Back Orders – And Why It’s a Shipping Problem, Not Just a Stock Problem
A back order starts with inventory, but the impact quickly reaches shipping.
Poor backorder management can lead to:
- Longer delivery times
- More customer enquiries
- Order cancellations
- Refund requests
- Negative reviews
- Extra customer service work
- Higher shipping and fulfilment costs
70% of customers report that weak communication during the delivery process decreases their chances of buying a product.
Tips for Managing Back Orders Without Hurting Delivery Times
1. Track back orders separately
Record the quantity ordered, supplier status, and expected arrival date for every unavailable item that has already been sold.
2. Give realistic delivery dates
Build in time to receive, check, pack, and dispatch stock rather than promising the supplier’s best-case date.
3. Show back-order status early
Display the status on the product page, at checkout, and in the order confirmation so customers can choose to wait or cancel.
4. Keep back orders apart from regular orders
A separate queue lets your team process waiting orders quickly when new stock arrives.
5. Notify customers if dates change
If a supplier delay pushes back the dispatch date, inform the customer before the original estimate expires.
6. Weigh split shipments carefully
Shipping available items first can improve the experience but may raise costs. Compare the expense against what the customer values most.
How to Handle Backorders Without Wrecking Your Delivery Times
Backorders are easier to manage when stock, suppliers, fulfilment teams and customers stay aligned from the moment an order is placed.
- Know exactly what is on back order
Keep a separate view of products that are unavailable but already sold. Record the quantity ordered, supplier status and expected arrival date.
This gives your fulfilment team a clear list of orders that need attention.
- Give customers a realistic date
Never make a delivery promise based on the supplier’s optimistic best estimate.
If your supplier says stock will arrive on Monday, allow extra time to receive, check, pack, and dispatch orders.
- Tell customers before they ask
Clearly indicate the backorder status on the product page, at checkout, and in the order confirmation.
Clear information gives customers the choice to wait or cancel.
- Keep backorders separate in your warehouse
Avoid combining back order processing with regular orders.
Make a simple list or queue of customers and the number of items they ordered. When new stock arrives, you can process these orders quickly.
- Track supplier updates
A supplier saying “stock is coming” is not enough.
Request a scheduled dispatch delivery date and adjust the delivery estimate for your customer if the dispatch date changes.
If the supplier cannot provide the item(s) on the promised date, notify the customer before the expiration of the original estimate.
Avoid promising delivery of items that are not in stock.
- Consider splitting orders
If the order has available and back-ordered items, consider whether to ship available items first or back-ordered items first.
This can increase shipping costs, so weigh the added expense against the customer experience.
Back Orders on eBay, Shopify and WooCommerce – What Sellers Need to Know
Each platform manages stock differently, so sellers should pay close attention to the settings.
Maintaining accurate inventory is crucial on eBay. eBay says unforeseen cancellations because the product cannot be found count as a transaction defect. Sellers are also expected to adhere to their stated handling times.
Shopify sellers can enable a feature that lets customers purchase a product even if it’s out of stock. Shopify claims it can help with products that are about to be released or are easy to restock.
For WooCommerce, sellers can set backorders to three options: do not allow them, allow them while notifying the customer, or allow them without notification.
The key is to choose the option that matches your actual stock and fulfillment process.
Backorder Messaging That Keeps Australian Customers Happy
A good backorder message should have four quick answers to:
- Is the product currently available?
- When will they have new stock?
- When will my order be shipped?
- What do I do if I don’t want to wait?
Back Orders and Your Customers – Communication Templates
At checkout:
This item is currently out of stock; new stock will arrive on [date] and will be dispatched once it’s in stock.
If stock is late:
Your order has been delayed and will be sent as soon as the item is back in stock. We are sorry for that.
When stock arrives:
Good news! Your back-ordered item has arrived. Your order is currently being prepared for dispatch, and we’ll send tracking details once it ships.
FAQs
- What does back order mean?
A back order is when a customer orders a product that isn’t currently in stock. The seller expects to receive new stock and fulfil the order later.
- What is the difference between back order and out of stock?
Out-of-stock items are not available for sale right now. A back order is an order taken even though the product is not in stock.
- How long do back orders usually take?
There is no set time frame. It depends on the supplier, the product, and the shipping process. Always provide the most accurate estimate possible.
- Can I cancel a back order?
This will depend on the seller’s cancellation/return policy and consumer rights. If it takes longer than anticipated, discuss the choice with the customer.
- What does ‘backing orders’ imply?
Backing order is usually a mistaken version of back order. The standard term is back order or backorder.
Conclusion
Back orders do not have to become a delivery disaster. The key problem is typically poor stock visibility or a lack of communication.
Ensure accurate stock counts, provide realistic shipping dates, distinguish between backorders and regular orders, and inform customers of any changes. Once customers know what to expect, they may be willing to wait. Frustration comes when you’re waiting without clear information.