Should I charge customers when they pre-order?

It depends on your cash needs and payment rules. Charging up front helps fund stock but raises refund risk if delays happen. Some stores take a deposit or charge only when the item ships.

How long can a pre-order take?

There is no single rule, but long waits hurt satisfaction and can raise refund requests. Many regions also have consumer rules on delivery times, so give a realistic ship date and keep customers updated.

Pre-order

A pre-order lets customers buy a product before it is in stock or released, paying now or reserving it to be shipped once it becomes available.

What is a pre-order?

A pre-order is a sale made before the product is ready to ship. The item might be a new launch, a restock of a sold-out best seller, or a product still being manufactured. The customer commits now, either paying in full, paying a deposit or authorising payment for later, and receives the item when stock arrives. For an online store, pre-orders are a way to keep selling when inventory runs out, to test demand before ordering from a supplier, and to bring in cash that can help fund production. They also build excitement around launches. The key is to be clear and honest about when the customer will actually receive the product.

How a pre-order works

Say your best-selling linen shirt sells out, and the next batch arrives in four weeks. Instead of showing “sold out,” the product page shows a “Pre-order” button and a message such as “Ships in about four weeks.” A shopper places the order and pays. The order is marked as unfulfilled, and when the new stock arrives, it ships along with the others in order of purchase. Another example is a brand launching a new product. It runs ads to a pre-order page, sees 300 orders in two weeks, and uses that number to decide how many units to manufacture. Store platforms usually handle pre-orders through settings or dedicated apps.

Pros and cons

Pre-orders let you capture demand you would otherwise lose to a sold-out label, and they reduce inventory risk because you see real orders before buying stock. Early cash can help with supplier payments and minimum order quantities. Launch campaigns can also build buzz. The risks come from delays. If production slips, customers wait longer than promised, support requests rise, and some ask for refunds or open disputes. Payment providers and consumer rules in many regions also set limits on how long you can hold payment before shipping. Mixing pre-order and in-stock items in one cart can complicate fulfilment, so plan how you will split or hold those orders.

Best practices

Show the expected ship date clearly on the product page, in the cart, at checkout and in the confirmation email. Use a cautious estimate rather than the best case. Label the button “Pre-order” so nobody mistakes it for an in-stock item. Decide whether to charge in full, take a deposit or charge at shipping, and check your payment provider’s rules. Send updates at regular intervals, especially if timelines change, and offer an easy cancellation option. Limit pre-order quantities to what your supplier can actually deliver. Tag pre-order items so your team can fulfil them separately and keep track of exactly who is waiting.

Pre-order vs backorder

Both let customers buy something that is not on the shelf right now, but the intent is different. A pre-order is usually planned, for a product that is new or not yet released, and the wait is part of the offer. A backorder happens when a regular product sells out unexpectedly and the store keeps accepting orders until stock is replenished. In practice, many stores use the word pre-order for both, but the same rule applies: tell customers clearly when the item will ship. Mixed carts with in-stock and waiting items need a clear shipping plan too.

Questions

Should I charge customers when they pre-order?: It depends on your cash needs and payment rules. Charging up front helps fund stock but raises refund risk if delays happen. Some stores take a deposit or charge only when the item ships.
How long can a pre-order take?: There is no single rule, but long waits hurt satisfaction and can raise refund requests. Many regions also have consumer rules on delivery times, so give a realistic ship date and keep customers updated.