Stockouts are more than just empty shelves. They’re lost sales, unhappy customers, and missed opportunities. Every time a product isn’t available when a customer wants it, trust is broken. And in business, trust is everything.
1. 91% of companies cannot stay ahead of demand and suffer from frequent stockouts
Why demand forecasting often fails
Many businesses assume their systems are good enough. But in reality, most companies are behind the curve when it comes to predicting customer needs. This stat makes it crystal clear: only 9% of companies are actually keeping up with demand effectively.
The issue usually starts with over-reliance on past data. Historical sales trends can be useful, but they don’t account for changes in customer behavior, economic shifts, or sudden spikes due to external events. The result? Companies understock and customers walk away.
How to fix it
If you’re experiencing frequent stockouts, your first move should be to audit your forecasting tools. Are they based on real-time data? Do they adjust for seasonality, promotions, and changing customer preferences?
Modern AI-based forecasting tools can drastically improve accuracy. These tools look at multiple variables, not just past sales. If you’re using a spreadsheet or outdated software, upgrading should be a top priority.
Next, build a feedback loop between your sales team and inventory team. When sales reps notice a change in buying patterns, they should report it quickly so the inventory team can react.
Lastly, always build in a buffer. Demand is rarely linear, and unexpected spikes are common. Carrying a bit of extra inventory for fast-moving products can reduce your risk.
2. Stockouts cause 43% of shoppers to go to a competitor
Why customer patience is thin
Shoppers today have options—lots of them. If one store doesn’t have what they want, they’ll find it elsewhere in a matter of seconds. That’s why almost half of them will leave your business when they hit a stockout.
What makes it worse is the lasting effect. Once a customer switches to a competitor, they might never come back. The damage isn’t just one lost sale—it could be years of lost revenue.
What you can do
The key here is transparency and communication. Let customers know upfront if a product is out of stock—and when it will be back. Tools like real-time inventory trackers and back-in-stock notifications can keep the conversation going and encourage the customer to wait instead of leaving.
Also, offer alternatives. If one color or size is out, show them similar items that are available. Train your customer service team to be proactive—don’t just say “we’re out of stock.” Say “we’re out, but we can get it by Friday or we have this similar option.”
Another powerful strategy? Loyalty programs. When customers feel rewarded and valued, they’re more likely to stay even when things go wrong.
3. 8% of customers will leave the store if the item they want is out of stock
The walkout risk
You might think 8% isn’t huge. But if your store sees 1,000 customers a day, that’s 80 walkouts—every day. And they’re not just leaving. They’re likely buying from your competition.
This number grows when essential or urgent items are involved. If someone comes in for a medicine, battery, or baby formula and it’s not there, they won’t stick around.
Ways to reduce in-store walkouts
Make sure your staff can check inventory in real-time, across stores and warehouses. If the item is in the back or at another location, get it for them or ship it to their house.
Second, educate your staff on how to handle stockouts. A smile, an explanation, and a solution go a long way. If a customer leaves empty-handed but feels helped, they’ll likely return.
Digital signage can also help manage expectations. If an item is low in stock, let shoppers know before they go hunting. This avoids frustration and builds trust.
4. 26% of stockouts are due to inaccurate inventory data
The data gap
If your systems say you have five items in stock but your shelf is empty, you’ve got a visibility problem. That’s the reality for over a quarter of all stockouts.
The root cause is often human error—mis-scanning items, unrecorded shrinkage, or poor system integration. But even automated systems can have syncing delays or bugs that throw off your numbers.
How to fix your inventory accuracy
First, implement cycle counting. Instead of doing one giant inventory check every quarter or year, break it into smaller, ongoing checks. This keeps data fresh without shutting down operations.
Second, integrate your POS, warehouse, and e-commerce platforms. When systems talk to each other, you’ll have a more accurate picture of where your inventory stands.
Invest in barcode or RFID tracking to reduce manual errors. And make sure your staff is trained and held accountable for scanning correctly every time.
Finally, analyze mismatch patterns. If one product keeps showing discrepancies, dig deeper. It might be getting stolen, miscounted, or misplaced.
5. 70% of consumers experience product unavailability at least once a year
It’s not just your business—it’s everywhere
This stat shows how widespread the issue is. Most consumers have faced at least one stockout in a year—and many have faced several. While this might seem like it spreads the blame, it also means customers are less tolerant. They’ve been burned before.
What makes this stat important is what customers expect. They expect you to be better. They hope your store will be the exception.
Action steps to stand out
Focus on the high-demand items first. You don’t need perfect inventory across the board, but your top 20% of products probably make up 80% of your revenue. Start there.
If you’re a smaller business, use your size as a strength. Be more agile than big-box competitors. Build closer relationships with suppliers, and react faster to changes in demand.
Also, communicate stock risks in advance. If you know a popular item may run out, use email or social media to drive urgency or suggest alternatives.
6. Retailers lose an estimated $1 trillion annually due to stockouts and overstocks
The trillion-dollar problem
It’s hard to wrap your head around a trillion dollars. But that’s the combined cost of poor inventory management each year. And here’s the kicker—it’s not just stockouts. Overstocks also hurt businesses by tying up capital and increasing storage costs. But stockouts sting the most because they represent lost sales, frustrated customers, and weakened brand trust.
When inventory isn’t optimized, you’re either spending too much or losing too much. There’s rarely a neutral ground.
The path to trimming losses
Start with segmentation. Not all products deserve the same level of attention. Classify items based on sales velocity, margin, and predictability. High-margin, fast-moving items should never go out of stock. Slower items can be handled with leaner stock levels.
Next, bring your finance and supply chain teams together. Many companies silo these departments, which leads to decisions that look good on paper but fail in practice. Inventory planning should always include voices from operations, sales, and finance.
Don’t forget the hidden costs. When stockouts happen, teams scramble, expedite shipping, or increase labor to find replacements. These costs don’t always show up in financial statements, but they silently eat away at your profits.
Finally, review your forecasting accuracy regularly. Most companies don’t measure the error in their demand plans—and that’s a mistake. You can’t fix what you don’t track.
7. Out-of-stocks occur 7%–10% of the time in retail environments
That’s one out of every ten items
Imagine walking into a store where one out of every ten items you need isn’t available. That’s the real experience many customers face. And for retailers, this means constantly bleeding revenue from missing merchandise.
The worst part? Customers remember when they leave empty-handed. The disappointment often outweighs their past positive experiences.
How to close the gap
The first step is identifying which categories are underperforming. Are the stockouts mostly in seasonal items? Or is it basic daily-use products? Once you isolate the problem areas, you can focus your resources more effectively.
Make use of shelf-level data. Tools like electronic shelf labels and computer vision can show you exactly when items go missing, without needing human checks. This cuts down on time and helps react faster.
On the operations side, improve communication with your warehouse or suppliers. Create alerts for low inventory thresholds—not just in your system, but for your purchasing teams. Automation tools can even trigger reorders based on actual shelf movement, not just system numbers.
You might not reach zero stockouts, but even cutting that 7% in half could mean millions in recovered sales.
8. Stockouts account for a 4% loss in sales on average for retailers
What a 4% sales loss really means
Losing 4% of sales might not seem like much at first glance. But for a business making $10 million a year, that’s $400,000 left on the table. And in tight-margin industries like retail, that could be the difference between profit and loss.
It’s not just about revenue. Stockouts impact customer satisfaction, employee stress levels, and even investor confidence.
Simple changes that boost sales retention
Start by running loss audits. Identify the products and timeframes where stockouts were highest, then match that to sales dips. You’ll start seeing patterns that can guide your fix strategy.
Strengthen vendor relationships. The faster and more reliably you can replenish, the less likely you are to miss sales. Share your demand data with suppliers so they can help you stay ahead.
Also, diversify your sourcing. Relying on one vendor is risky, especially during global supply chain disruptions. Even having a secondary supplier for emergency restocking can save thousands.
Finally, consider drop-shipping or third-party fulfillment for popular but risky products. You won’t have to keep stock, but customers won’t walk away empty-handed either.
9. 21% of e-commerce shoppers abandon their carts due to unavailable stock
The digital cart killer
Online shoppers are fast and impatient. If they find an item out of stock while checking out, many won’t wait—they’ll close the tab. That 21% cart abandonment rate due to stockouts is a major leak in your funnel.
The worst part? You’ve already spent money getting that shopper to your site—through ads, SEO, or social media. Losing them at the last step is brutal.
Fixing your e-commerce gaps
Start with real-time inventory syncing. If your product is listed on multiple platforms—Shopify, Amazon, your own site—you need a central source of truth. Inventory discrepancies between platforms lead to cancellations, refund requests, and trust issues.
Next, set clear expectations. If an item is low in stock or backordered, say so upfront. Many customers are willing to wait if they know the timeline. Ambiguity, on the other hand, kills conversions.
Offer waitlists or restock alerts. This keeps customers engaged even if they can’t buy right away. Bonus: it also gives you demand signals that help with reordering.
Consider using AI to forecast demand spikes based on promotions or seasonality. You can adjust inventory buffers accordingly and prevent sellouts during critical windows.
Lastly, have a backup plan. If a product goes out of stock, automatically suggest a similar item on the cart page. Sometimes that’s all it takes to save the sale.
10. Stockouts cost manufacturers 10% of revenue on average
The silent revenue drain
Manufacturers often focus on production and logistics. But if parts or raw materials run out, the whole line can grind to a halt. The resulting stockouts don’t just affect their bottom line—they ripple through to distributors, retailers, and customers.
This 10% average revenue loss is a reminder that stockouts aren’t just a retail problem. They’re a manufacturing problem too.
How manufacturers can minimize disruption
First, invest in supplier risk assessments. Understand where your bottlenecks are likely to form—both geographically and operationally. A storm in one region or political unrest in another can cripple your parts flow.
Build redundancy into your supply chain. Dual-source critical components whenever possible. You might pay a little more upfront, but it protects you from massive losses during disruptions.
Use predictive analytics to model your material needs based on historical usage and upcoming orders. Most ERP systems now offer demand-planning modules, and many can integrate with your suppliers’ systems for more accurate delivery schedules.
Implement kanban systems or vendor-managed inventory (VMI) to reduce the burden of tracking every piece. These systems allow suppliers to replenish based on real-time usage rather than periodic orders.
And finally, involve your production team in inventory planning. They often spot trends—like machine failure rates or quality issues—that don’t show up in your ERP but impact your supply flow.
11. 60% of stockouts result from store ordering and replenishment practices
It’s not always a supply chain issue
Many businesses blame stockouts on suppliers, global shortages, or warehouse problems. But in 60% of cases, the real problem lies within the store itself. Whether it’s delayed ordering, human error, or poor replenishment planning, most stockouts happen because the store simply didn’t act in time.
This is a huge opportunity—because internal problems are fixable.
Rebuilding your ordering process from the ground up
Start by reviewing how orders are placed. Is it based on gut feeling? Or are you using a data-driven system? Manual processes are the biggest culprits in this area. If your team is still eyeballing shelves or waiting until a shelf is empty, you’re always going to be behind.
Modern POS systems can track sales in real time and automatically suggest reorder points. But just having a system isn’t enough. You need to calibrate it. That means adjusting lead times, safety stock levels, and reorder thresholds regularly.
Look at how often you replenish. Many stores have a fixed schedule—like weekly orders. But high-turnover products might need daily or even hourly monitoring. Dynamic replenishment systems can adapt automatically to changing conditions.
Make sure store employees are trained to spot low stock and act on it. The front-line team sees things systems might miss—like broken packaging or misplaced stock. Their feedback should feed into your inventory system.
12. 1 in 3 promotional items experience stockouts during peak sales
When promotions backfire
Promotions are meant to boost sales, drive traffic, and clear inventory. But when one in three promotional items goes out of stock, the result is often the opposite. Customers show up for the deal, only to leave empty-handed—and frustrated.
Worse, a failed promotion doesn’t just waste marketing dollars. It damages trust. Shoppers start assuming your deals are bait-and-switch tactics.
Making promotions work smarter
The first rule is simple: plan early. As soon as you lock in a promotional calendar, coordinate with your inventory and supply chain teams. They need time to adjust forecasts, negotiate with vendors, and scale production if needed.
Avoid planning promotions around items with long lead times or low inventory reliability. If you’re unsure whether you can stock enough, don’t promote it aggressively.
Forecast demand realistically. Look at past promotions and similar product categories to estimate how much lift you’ll get. Then add a buffer—because when items are discounted, demand often outpaces historical trends.
Consider geo-targeted or channel-specific promos. If you have strong stock in one region but limited supply in another, tailor the campaign accordingly. There’s no rule saying a promotion has to be national.
Lastly, monitor performance daily once a promo goes live. If stock is depleting too fast, slow down marketing. Digital tools allow you to adjust budgets and placements in real time.
13. 40% of shoppers encountering a stockout will buy from a competitor
You’re not just losing a sale—you’re funding your rival
This is where stockouts hurt the most. Every time you’re out of stock, nearly half your customers will go to someone else. And here’s the scary part—they may like what they find better.
You don’t just lose a sale. You potentially lose a customer for life.
How to keep customers when inventory fails
Start by preparing your customer-facing teams to act fast. When a shopper can’t find something, staff should know how to check inventory, offer alternatives, and place an order on the spot.
Use technology to create seamless substitutions. On your website or app, if an item is unavailable, suggest alternatives that match the same price range, features, or reviews.
Implement endless aisle solutions. These are in-store digital kiosks or apps that let customers browse and order out-of-stock items with free home delivery. It blends online convenience with in-store service.
Strengthen your loyalty program so customers feel like staying is worth it—even when something goes wrong. Points, perks, or exclusive access to restocks can help.
Finally, ask why customers switched. Send follow-up surveys or monitor reviews and social media. Understanding what made them leave is the first step to getting them back.
14. 16% of customers will not return to the store after experiencing a stockout
One mistake can end the relationship
This stat shows just how unforgiving retail can be. Nearly one in six customers won’t give you a second chance after they experience a stockout. That’s a steep price to pay for one empty shelf.
It’s not just about the product. It’s about how the experience made them feel—ignored, frustrated, or unimportant.
Strategies for second chances
First impressions matter, but so do recoveries. If a stockout happens, don’t let the customer leave without an apology or a solution. Offer to order the item for them, provide a small discount, or give them a freebie to soften the experience.
Train your team to acknowledge stockouts immediately. Saying “I’m sorry, we’re out of stock” isn’t enough. Teach them to say, “We’re out right now, but here’s how I can help you get it.”
Follow up with affected customers. If they asked about a product and you get it back in stock, email them personally. That gesture alone can turn a negative into a positive.
Make your inventory data public when possible. Real-time stock visibility on your website or app prevents customers from coming to the store only to be disappointed.
And keep refining your demand forecasts. The fewer stockouts you have, the fewer relationships you’ll have to repair.
15. 35% of stockouts occur despite sufficient inventory in the supply chain
When the stock is there—but not where it needs to be
This is one of the most frustrating types of stockouts. You have the product, but it’s sitting in the wrong warehouse, a locked backroom, or another store across town. It’s not a supply issue—it’s a visibility and movement issue.
And it accounts for over a third of all stockouts.
Improving inventory availability, not just inventory levels
Start by creating a unified view of inventory across all your locations. That means connecting warehouses, stores, and online platforms into one system that updates in real time.
Adopt distributed order management (DOM) software. These tools route orders to the closest available inventory, helping you fulfill faster and more efficiently.
Improve your internal transfer processes. If one store has excess and another is running low, your system should flag that automatically. Weekly or even daily transfers between locations can prevent unnecessary lost sales.
Make backroom stock accessible. Many stores have items in the back that aren’t reflected on the shelf. Ensure regular checks and restocking schedules are followed strictly.
And empower your sales staff. If a product is in stock somewhere in your network, they should be able to locate it, reserve it, and ship it without delay.
16. Over 70% of businesses report supply chain disruptions that lead to stockouts
It’s not if, it’s when
Supply chain disruptions used to be occasional. Now, they’re a regular part of business. From natural disasters and political unrest to pandemics and port congestion, more than 70% of businesses face delays that directly cause stockouts.
It’s no longer enough to hope things run smoothly. You need a plan for when they don’t.
Building supply chain resilience
Start by mapping your supply chain. Many companies don’t actually know where their products come from beyond the first supplier. Trace your materials and components back through multiple tiers. Once you see the full picture, you’ll also see the weak links.
Develop alternate sourcing options. For every critical item, aim to have at least one backup supplier in a different geographic region. Even better if they operate under different risk conditions—so if one is hit by a flood, the other isn’t affected.
Set up safety stock thresholds based on risk. Products with long lead times or vulnerable supply chains should have higher buffer inventories.
Use technology to gain visibility. Many tools today offer shipment tracking, lead-time predictions, and disruption alerts based on real-world events. The sooner you know there’s a delay, the sooner you can act.
Lastly, work closely with your suppliers. Share your forecasts and align on expectations. Build relationships, not just transactions. In tough times, suppliers are more likely to support partners they trust.
17. On average, a company faces a stockout every 5–7 weeks
The regularity is the real problem
A stockout every five to seven weeks may not seem outrageous. But when you look closer, it means your business is never far from the next disruption. This frequency keeps your team in reactive mode, always fixing problems instead of preventing them.
And that kind of pattern drains energy, money, and customer goodwill.
Moving from reactive to proactive inventory management
Start by reviewing the last 12 months of stockouts. Look for patterns in timing, product category, location, or supplier. Are you always running out after a promotion? Does a particular vendor cause the delay? Use those insights to plug the leaks.
Implement alert systems that notify managers before a product goes out of stock. Don’t wait until it’s already off the shelf.
Focus on forecast accuracy. Even small improvements can reduce stockout frequency. Aim for a forecast accuracy of at least 80% on your top 50 products. Review performance monthly.
Also, prioritize your inventory health. Healthy inventory means the right products, in the right quantities, in the right places. It’s not about having more—it’s about having smarter stock.
And finally, schedule regular inventory planning sessions that include sales, operations, and procurement. The more aligned your teams are, the less often you’ll be surprised.
18. Inventory record inaccuracy is present in 60%–80% of retail databases
When the numbers lie
Most businesses think their inventory systems are accurate. But studies show that 60% to 80% of databases have errors—either items are listed as available when they’re not, or the counts are wrong entirely.
This creates a dangerous illusion of control. You think you’re stocked up, but your shelves tell a different story.
Getting your inventory data right
First, conduct a physical inventory audit. You need to know your baseline. Choose a sampling method—like cycle counts—and start checking. You’ll probably find more issues than you expect.
Introduce system safeguards. Make sure inventory changes can only happen through traceable transactions like sales, returns, or receipts. Eliminate any manual overrides that don’t get logged.
If possible, switch to barcode or RFID scanning. This reduces human error and provides much better tracking. Make sure every inbound and outbound item is scanned—even for transfers or adjustments.
Train your staff on why accuracy matters. Inventory management isn’t just a back-end task. It directly affects sales, customer experience, and job performance.
And finally, track and report your inventory accuracy monthly. If you’re not measuring it, you can’t improve it.
19. Stockout rates rise to 15%–20% during promotions or sales events
When demand explodes and systems crack
Promotions are a double-edged sword. They attract customers, but they also strain your inventory systems. During sales events, stockout rates can jump as high as 20%. That’s one in five customers walking away disappointed.
It’s not just a sales issue—it’s a planning issue.
Preparing for sales spikes without breaking inventory
Start by isolating products that are likely to surge. You don’t need to bulk up inventory across the board. Focus on your promotional items and bestsellers.
Run “what-if” scenarios. Simulate different levels of demand to see how your inventory would hold up. If a product doubles or triples in volume, will you have enough?
Communicate clearly with suppliers. Promotions can’t be treated as surprises. Give them lead time to prepare additional stock or expedite shipments if needed.
Use pre-orders or reservation systems to flatten the peak. Let customers secure items before the event, which reduces last-minute pressure on inventory.
And make real-time adjustments. Track sales hourly during big events. If one product is flying off the shelf, you can adjust your ad spend or shift demand toward similar items to avoid running out.
20. Backorder fulfillment costs are up to 3 times higher than regular fulfillment
Stockouts don’t just lose sales—they raise costs too
When a customer places an order for an out-of-stock item, you can still fulfill it later. But the cost is steep. Backorders require extra handling, special shipments, customer communication, and often a discount or free shipping to make up for the delay.
That’s why the cost can be 2 to 3 times higher than normal fulfillment.
Avoiding costly backorders
First, track backorders separately. Many businesses blend them into standard reports, which hides their true cost. Separate them, measure them, and report on them every week.
Set clear thresholds. If an item’s backorder rate exceeds 5% of its sales volume, it needs immediate review. That might mean increasing safety stock or adjusting order frequency.
Consider batch-shipping backorders instead of piecemeal fulfillment. If customers are okay waiting an extra day, you can reduce shipping costs and packaging waste.
Communicate proactively. Let customers know when to expect their item, and offer options—like a similar product, a later delivery, or a refund. Clear communication lowers your support costs.
And always run root cause analysis. For every backorder batch, ask: Was the forecast wrong? Did the supplier delay? Was there a warehouse error? Fix the source, not just the symptom.
21. 80% of stockouts are preventable with better forecasting and data
Most stockouts are avoidable
This stat is both frustrating and hopeful. It means that the majority of stockouts don’t have to happen. They’re not caused by natural disasters or surprise surges. They’re the result of missed signals—signals that could’ve been caught with better data and planning.
So, the good news? You can fix this. The bad news? You’re probably part of the 80% if you’re not acting now.
Sharpening your forecasting game
Start with historical sales—but don’t stop there. Basic systems rely only on past numbers, but better tools layer in seasonality, promotions, and even local events that affect demand. Look for systems that offer multi-variable forecasting and machine learning.
Make forecasting a shared responsibility. Too often, it’s just the supply chain team’s job. But your sales and marketing teams have insight into customer trends and upcoming campaigns. Involve them.
Use granular data. Don’t forecast at the brand level. Drill down into SKUs, locations, and even customer segments. The more detailed your data, the better your predictions.
Update your forecasts frequently. Don’t build one for the quarter and walk away. Use a rolling forecast that adjusts weekly or monthly based on real performance.
Lastly, monitor forecast error. Track how far off your predictions are, and aim to reduce that gap steadily. Even a 10% improvement in forecast accuracy can dramatically reduce stockouts.
22. 90% of retailers say stockouts negatively affect customer satisfaction
Customers notice—and they don’t forget
This is the human side of stockouts. You can analyze sales data all day long, but at the end of the day, your reputation is on the line. And according to 90% of retailers, stockouts leave a lasting impression on customers—and not a good one.
Customers don’t just see it as a mistake. They see it as a broken promise.
How to keep customers satisfied, even during a stockout
Be proactive. If you know a product is running low, don’t wait until it’s gone. Send alerts to customers on your waitlist or loyalty program, giving them early access or updates.
Apologize the right way. A generic “we’re sorry” won’t cut it. Make it personal. If you can, offer a discount or small perk as a goodwill gesture.
Make it easy to find alternatives. Whether online or in-store, guide customers toward similar products without making them search. This reduces frustration and keeps the sale in your ecosystem.
Train your support team to empathize. A kind voice and a helpful solution can turn a bad experience into a loyal relationship. Scripts help, but emotional intelligence is key.
And always follow up. When the item is back in stock, reach out directly. Not with a mass email—but with a targeted message that says “we remembered you.”
23. 70% of inventory managers cite demand variability as the top stockout driver
When demand keeps changing, mistakes follow
Inventory managers don’t blame suppliers or systems as much as they blame unpredictability. That’s because demand isn’t steady anymore. It’s dynamic, fragmented, and often erratic. One week a product sits on the shelf, and the next it’s flying off at double the rate.
70% of managers say this variability is their number one headache—and for good reason.
Handling demand swings without breaking your system
First, categorize your products based on volatility. Some items have steady demand (like toothpaste), while others fluctuate wildly (like seasonal fashion or promotional tech). Treat these groups differently.
For high-volatility items, shorten your replenishment cycles. Weekly ordering might work better than monthly. Even daily reviews might be needed during high-risk periods.
Use demand sensing tools that react to real-time buying behavior, not just forecasts. These systems pull from actual sales data and adjust stock recommendations dynamically.
Build a demand buffer. This doesn’t mean carrying too much stock. It means allocating a portion of your budget and shelf space to absorb spikes—especially during launches or peak seasons.
And when demand swings occur, communicate with your suppliers immediately. The faster they know, the faster they can help you adapt.
24. 50% of warehouse operations experience stockouts monthly
Warehouses aren’t immune
It’s easy to think of stockouts as a retail problem. But warehouses struggle too. Half of all warehouse operations deal with stockouts every single month. That’s not just a logistics issue—it’s a supply chain system that’s constantly off balance.
Stockouts in the warehouse trigger a domino effect: delayed deliveries, canceled orders, and angry customers.
Making your warehouse stockout-proof
Start with visibility. You need to know what’s where, at all times. Implement systems that give you real-time insight into inventory levels—not just at the bin level, but by SKU, zone, and status.
Standardize receiving procedures. Inconsistent intake leads to inventory inaccuracies. Make sure every pallet is scanned, counted, and logged before it enters circulation.
Use ABC analysis to prioritize your space and replenishment. Your top-selling 10-20% of items should be stored for fastest access and monitored more frequently.
Add cross-training for warehouse staff. When only one team knows how to handle replenishment, you introduce bottlenecks. A flexible team can adapt quickly and reduce delays.
Finally, don’t just track what’s out of stock—track why. Are delays from purchasing? Picking errors? Replenishment lags? Every root cause tells you where to focus.
25. 59% of consumers report frustration when products are unavailable
Stockouts hurt more than just sales
Frustration is a dangerous thing in retail. It builds up over time, turning loyal shoppers into one-time visitors. 59% of consumers say they feel frustrated when a product is out of stock—and if they feel that way often, they’ll eventually stop coming back.
Even if the rest of your experience is great, stockouts can ruin the impression.
Turning frustration into forgiveness
Let’s be clear—customers can accept mistakes. But only if you handle them well. So when something goes wrong, show them you care.
Offer clear timelines. Don’t just say “it’s out of stock.” Say “it’ll be back in three days.” Even better, let them sign up for a notification.
Introduce back-in-stock guarantees or early-access lists. This gives them a sense of priority and makes them feel like insiders, not outsiders.
Monitor customer feedback closely. If you see frustration rising, especially around certain items, dive into the data. Is it a supply issue? A planning mistake? Or a communication gap?
Most importantly, listen. Use surveys, reviews, and frontline feedback to learn what matters most to your customers. You may not be able to stock everything perfectly—but you can always respond better.
26. Stockouts contribute to 10%–20% of lost loyalty over time
Loyalty is built—or broken—by consistency
You don’t lose loyal customers overnight. But when they keep coming back and finding empty shelves, trust starts to erode. Slowly, subtly, and then suddenly, they disappear.
Stockouts are one of those silent killers of loyalty. They don’t always spark complaints. Customers just move on—quietly.
And over time, that adds up to 10% to 20% of loyalty lost. That’s a number most companies can’t afford.
How to protect loyalty—even when stock fails
Start by identifying your most loyal customers. These are your repeat buyers, your high spenders, your advocates. When a stockout affects them, respond faster and more personally.
Build systems to track their purchase patterns. If they always buy the same item each month, and you know it’s going out of stock, notify them first. Give them the chance to pre-order or switch before the rest of the market even knows.
Create an exception protocol. When a loyal customer hits a stockout, your support team should escalate it. Can you find the item in another location? Can you offer a substitute with a bonus?
Use loyalty metrics as a stockout KPI. If your NPS drops after inventory disruptions, tie that back to operations. Loyalty isn’t just a marketing stat—it’s an inventory management consequence.
And most importantly, say thank you. Loyalty survives mistakes when customers feel respected. A hand-written note, a call, or even a thoughtful email can go further than you think.
27. 15% of companies track stockouts in real-time
If you’re not tracking it, you’re tolerating it
This stat is shocking—not because the number is low, but because of how much is at stake. Only 15% of companies track stockouts as they happen. That means 85% are flying blind, reacting to problems after the damage is already done.
Real-time tracking doesn’t just show what’s out—it helps you prevent what’s next.
How to implement real-time stockout tracking
Start with the tools you already use. Many modern POS, ERP, or warehouse systems have stockout monitoring built in—you just need to turn on the dashboards and set the alerts.
Set stockout alerts by SKU and location. The moment a product’s availability hits zero (or near-zero), you should be notified. That alert should trigger a workflow: either replenishment, substitution, or customer communication.
Train your store managers and digital teams to respond in real time. Don’t just get alerts—assign actions. Who checks it? Who fixes it? Who follows up?
Track metrics like “time to restock” and “duration out of stock.” The shorter those gaps are, the less impact stockouts have on your business.
And display the data. A stockout dashboard in your inventory war room or operations floor keeps the team focused on what matters most—availability.
28. Only 45% of businesses have a formal strategy for handling stockouts
Hope is not a strategy
More than half of companies go into battle without a plan. They treat stockouts as one-off issues instead of building a system to deal with them. And that’s why the same problems repeat again and again.
Having a formal strategy doesn’t eliminate stockouts. But it does mean you can respond faster, fix root causes, and protect your customer relationships in the process.
Creating a clear stockout strategy
Start with roles and responsibilities. Who owns the response to stockouts? Is it operations? Sales? Customer service? Define the team and create a playbook.
Next, map out scenarios. What happens when an item is about to go out of stock? What if it’s a top seller? What if it’s part of a bundle or promotion? Have playbooks ready for each.
Set thresholds that trigger action. For example, if stock falls below 10 units and replenishment takes over 3 days, you initiate customer alerts and substitute suggestions.
Incorporate customer service protocols. What’s your message? What’s your tone? What offers or compensation are allowed? Empower your team to respond well—without asking for approval every time.
Lastly, measure the effectiveness of your strategy. Are response times improving? Are fewer customers complaining? Is loyalty holding up during inventory issues?
A clear strategy turns chaos into control—and sets your business apart.
29. 75% of B2B buyers expect real-time stock visibility—yet only 20% get it
B2B buyers want the same speed as B2C
Business buyers don’t want to call someone, wait 24 hours, or “submit a request.” They expect real-time answers, just like consumers do. 75% of them want instant stock visibility—but only a fifth actually get it.
In a world where speed wins deals, this gap can cost you contracts, renewals, and long-term partnerships.
Closing the visibility gap in B2B
Start by digitizing your catalog. That doesn’t just mean a PDF list. It means an online portal or integration that shows what’s available, in what quantity, and with what lead time.
Use APIs or EDI connections to let clients see and even interact with your live inventory. The more integrated you are into their procurement systems, the more “sticky” your partnership becomes.
Offer dynamic inventory dashboards for your biggest accounts. These can be customized views that show only the SKUs they care about—and allow them to plan better.
Train your sales reps to use inventory as a selling tool. If a buyer needs urgent stock, being able to confirm availability on the spot can close the deal.
And remember—visibility isn’t just a technical project. It’s a trust project. When you let buyers see what’s real, they stop shopping around.
30. Stockouts increase customer churn by 25% when frequently repeated
Repeat mistakes become permanent losses
A single stockout can be forgiven. But when it happens again and again, customers start seeing it as a pattern. And when that happens, your churn rate goes up fast.
25% more customers will leave you for good if stockouts become a regular thing.
That’s a wake-up call for any business that thinks “we’ll fix it later” is a good enough plan.
Keeping stockouts from becoming churn machines
Track which customers experience stockouts repeatedly. You might be surprised—it’s often your best customers who are affected the most, simply because they buy the most.
Segment customers by churn risk and stockout exposure. If someone is buying every month and you’ve let them down twice, they should trigger a high-priority alert.
Create recovery campaigns. Don’t just fix the issue—send a thank-you note, a special offer, or early access to the next shipment. A small gesture can keep someone from leaving.
Monitor NPS and retention rates side-by-side with stockout data. This will help you link inventory problems to loyalty problems—and justify more investment in solving them.
And finally, tell your customers what you’re doing to improve. Transparency builds trust. When they know you’re working on it, they’re more likely to stick around through the rough patches.
Conclusion
Stockouts aren’t just an inventory issue—they’re a customer experience issue, a financial drain, and a loyalty risk. But as this article shows, they’re also an opportunity.
Each stat in this guide points to a problem. But more importantly, each one also points to a solution. Whether it’s better forecasting, tighter communication, or smarter systems, you have the power to turn gaps into gains.
