Backordering

Backordering occurs when a customer orders a product that is temporarily out of stock. Instead of canceling the order or waiting at the store, the company accepts the order and promises to ship the item once it becomes available again. This allows businesses to secure sales despite inventory shortages, but the customer must wait longer for delivery. Backordering helps manage demand and keep customers committed, especially for popular items that sell faster than supplies can be replenished. It’s a common practice in retail and manufacturing to balance supply and customer demand effectively.