You deliver orders properly – customers are likely to purchase from you over and over again. Period. Everything from order organization, smooth shipping process, keeping customers in the loop about their order status, and ability to get refunds if necessary etc. has to be organized logically and as smooth as possible. In this term Magento is a good solution: all the processes are well-thought and harmonized, and even when there is something that a system lacks but you need it is easy to change though additional configuration or Magento development.

In this article, we’ll try to cover default order management tools in Magento 2 to help make sure you get the most out of what your store has to offer, and the very first thing we would like to start with is the general order management workflow, let’s take a closer look here.

Order Management Workflow

To get a visual understanding of what it looks like, the quick-look diagram below should help describe what we need to know. It may look a little complex but we’ll explain how each step of the process works, so don’t go running for the hills just yet.

Algorithm

1. Placing orders. New Orders in Magento 2 are created instantly when the customer clicks on the Checkout button – no additional activities are required from Magento store admins.

2. Order Status. After a new order is created, it is put in a “Pending” status enabling both customers and admins to cancel this order at any time. A customer may cancel because of accidental purchase or a change of heart. An admin may need to cancel the order if there are no products left to sell, manufacturer issues where products need to be sent back, and the list goes on.

Order status

And rather than setting a workflow status to just “pending” there is a range of other default statuses you can use at various stages of your order workflow. Here they are:

  • New: This status shows that an order was created, but payment hasn’t been made yet.
  • Pending: This status indicates that the invoice hasn’t been created yet and shipping hasn’t occurred yet.
  • Processing: This means that an order has already been invoiced or shipped. Note, that it has to be either invoiced, or shipped, but not both, as we’ll see here below.
  • Complete: In contradiction to Processing status, this status appears, when an order has been both invoiced and shipped.
  • Canceled: This status can be assigned by either the website owner, or a payment gateway in case this order wasn’t paid for.
  • Closed: This status means that there was a credit memo assigned to an order and the customer received a refund.

In case the existing ones aren’t enough for your business, Magento enables you to add your own custom order statuses to the workflow. So, let’s take a closer look at how we can do it:

  • Go to Stores -> Order Status

Stores ->Order Status

 

  • Select “Create New Status” button

Create New Status

 

  • Under the “Create New Order Status” section the first thing you’ll need to do is enter a Status code and Status Label
  • A Status Code has to contain both letters and numbers, and it’s required to start with letters. Also keep in mind that underscores are used in place of spaces.
  • A Status Label is the status name that is visible on the frontend of your online store. So to speak, this is the side that the customer will be able to see.
  • In case you have multiple stores, the Store View Specific Label section may come in handy, because it allows you to set different labels for each of your store views.
  • The last step is to click the Save Status button.

Save status

 

3. Invoice Creation. As soon as a payment has been made by a credit card and is received by the website owners, an invoice for a new transaction is automatically generated. In contrast to credit card payments, if payment is made via bank transfer or by check/money order, an invoice has to be created manually by the website admin. Then, after the invoice is created and submitted, the customer gets an email with the invoice copy.

4. Shipping details. At this stage, your customers are nearly done with the purchasing process, once they choose a shipping method that works for them and select submit, they’re good to go. From the Admin side, the only things left to do are to print a packing slip and shipping label, and to inform the customer that their order is on its way.

One more essential thing to mention here is shipping to multiple addresses. As the name suggests, this option enables your customers to ship their order to multiple addresses during checkout. From the admin side, you’re able to set the max number of addresses one order can be shipped to. To enable multi shipping and determine the number of addresses you need to take the following steps:

  • On the admin sidebar go to Stores -> Configuration

Stores -> Configuration

 

  • Under the Sales section choose Multishipping Settings

Multishipping Settings

 

  • In the Options sections you will see two settings: Allow Shipping to multiple Addresses and Maximum Qty Allowed for Shipping to Multiple Addresses. The first option is a simple yes or no option, while the second option allows you to choose the number of destinations you’d like to include.

Multishipping Settings Options

  • After modifying this section, click the Save Config button and you’re good to go

5. Last but not least is the stage of Order tracking. In Magento 2 you can track any order status by doing the following:

  • Go to Sales -> Orders on the sidebar

Order tracking

 

  • Then you need to find the order you want to track in the list, and the Status column shows you the order status. Pending orders can be changed to On Hold, Cancelled, Invoiced, and Shipped.

Order status

 

Magento 2 Order settings

To configure checkout, shipping, and payment settings to meet your business needs, go to Stores -> Configuration -> Sales tab

Checkout, shipping, and payment configuration

Let’s dive deeper into the settings you may find here and the functions they might help you with.

  • Checkout Totals Sort Order: This section allows you to determine the sequence of possible calculations like Subtotal, Discount, Tax, etc. during the order review stage. The first item to be sorted possesses a value of 10, whereas the last one will be 100. All the in-between items get values between 10 and 100.

Checkout Totals Sort Order

 

  • Reorder: This section will be highlighted in more details a bit later in our article.
  • Invoice and Packing Slip Design: Here you can replace a default PDF invoice logo with your own business logo. To do that, you just need to upload your marketing templates/files into the corresponding fields. You can also add your address to show it on packing slips and invoices that are processed automatically throughout the rest of the process.

Invoice and Packing Slip Design

 

  • Minimum Order Amount: This is the place where you can set a minimum amount (after discounts have been applied) that all the order subtotals have to reach. Those orders that have to be shipped to multiple addresses can get a requirement to reach the minimum amount per each address, or not, depending upon your preference.

  • Dashboard: Gives the admin the ability to see if you are using real time, aggregated sales data to generate dashboard snapshot reports. In the event that you have a large amount of data to process, site performance will most likely decrease. In order to save the day here, you can disable the real time data feature to keep your site running smoothly and quickly.

Dashboard

 

  • Gift Options: This configuration enables you to allow your clients to add a message to their orders. At the checkout stage they can choose from two gift options available: Gift Options for Entire Order and Gift Options for Individual Items. First, you have to configure these options for the whole website and only then you will be able to apply them to the product level.

Gift options

  • Minimum Advertised Price or MAP enables you to offer your customers a price that is lower than the manufacturer’s suggested retail price, while not breaking compliance with these manufacturers. You can change your webstore configuration to hide your actual price on those pages where it’s forbidden in accordance with the manufacturer’s conditions.

Minimum Advertised Price

After you are done with all the necessary settings here, you can follow our lead a bit further. It may seem like a long process, but hopefully most of it follows a kind of simple logic that makes everything easy to apply and benefit from. On that note, let’s keep going.

Editing Orders

Magento 2 enables you to cancel and make re-orders based on already existing ones just by copying them. This means you’re able to update quantity, add coupons, change customer’s address and payment or shipping information.

One important thing to keep in mind is that by default, there’s no ability to edit orders that have been invoiced. You also can’t delete orders in Magento 2, you can only set them to a “Cancelled” status. But don’t get upset, there is a number of Magento extensions that will come in handy if you need to edit and delete orders. For instance, Delete Orders and Order Eraser extensions that are free of charge, but can save you from storing a great number of orders that need to be deleted. Moreover, these extensions allow you to delete not only an order itself, but also its invoice, shipments, memos, etc. in just one simple click.

When it comes to editing orders, the Simplify Bulk Order Processing extension can be a life saver for you in avoiding opening each order and processing them individually. Using this extension you are able to work with all your orders in bulk from the orders grid. The price is $129 and $259 for Community and Enterprise editions, accordingly so keep this in mind as your store grows and grows.

Making Reorders

Those orders that have already been completed can be reordered by your customers whenever they want it to. It only takes a couple of clicks in customer accounts to make quick reorders. In case you want to configure customer reorders, namely to enable them, just make a few changes here:

Step 1. Go to Stores -> Configuration on the left sidebar of the admin panel

Customer Reorders Configuration step 1

Step 2. Expand SALES and choose Sales

Customer Reoders Configuration step 2

 

Step 3. Expand Reorder on the right and choose Yes in Allow Reorder field. And we’re done.

Customer Reoders Configuration Step 3

 

Making Refunds

An essential part of the shopping experience is making refunds in case customers aren’t satisfied by your products. Not that this would ever happen to your store but, whoever said the customer is always right clearly didn’t work directly with the public.

To give money back in Magento 2 – you have to use Credit Memos. It sounds fancy and complicated but it’s really not, and can be completed in the blink of an eye.

1. Go to Sales -> Orders and select an order you want to make a refund for

Making Refund

2. Click View and then select “Credit Memo”

Credit Memo

 

3. Scrolling down you will see the Refund Totals section, where you can see three fields enabling you to set Shipping amounts to be refunded, or any number more or less than what the customer paid.You can set this amount in the Adjustment Refund and Adjustment Fee fields correspondingly.

Refund Totals

In case you’d like to add a comment to a refund, – you just need to add it in the Comment Text field on the left side. Simply select the box Append Comments checkbox and your message will be included with the refund.

And one last step is sending an email to your customer with a copy of the Credit Memo. To do that, you just need to select the Email Copy of Credit Memo checkbox and they’ll receive the update along with the refund information. 

Managing Backorders

Backorders make it possible for your customers to order products that aren’t currently in stock and receive them when do arrive.

To enable this option in Magento 2, let’s take a look at the steps below:

1. Go to Stores -> Configuration, expand the Catalog section, and select the Inventory tab

Managing Backorders

 

2. In the Backorders drop-down, select one out of the three available options

Backorders options

 

  • No Backorders: As the name suggests, this option disables backorders for your store.
  • Allow Qty Below 0: This option enables the product to be displayed as In Stock even though its quantity is 0.
  • Allow Qty Below 0 and Notify Customer: This option does the same thing as the above option, but in addition to this, adds a corresponding message in the Shopping Cart.

After you’re done with this, click the Save Config button to apply the changes, and feel better knowing that you’ve increased your sense of reliability in the eyes of your customers. Or that you just need to order more inventory.

Creating Shipping Labels

Magento 2 enables you to create shipping labels for both new and existing orders with ease. However, you’ll need to have your personal shipping carrier account information on hand and complete the configuration for each carrier before getting to the label creation stage. Let’s imagine you’ve already set up your carrier information and we’ll skip to the part where we get to print the shipping labels.

As we already mentioned, there are two scenarios where shipping labels can be of great help:

Create Labels for New Shipments.

    1. Go to Sales -> Orders.
    2. Select an order that is either “Pending” or “Processing”.
    3. Select the Ship button, and confirm shipping info in accordance with the carrier requirements.

Creating Labels for New Shipments

 

       4. Then select the Create Shipping Label checkbox, and click the Submit Shipment button. Now you need to do the following:

    • Select the Add Products button to select which ordered products should be added to the package.
    • After you’ve selected all the products that have to be added to the package, along with the quantity of each one, click the Add Selected Product(s) to Package button, and you’re done.

    5. As soon as you click OK – Magento will connect to your designated shipping carrier system in order to submit the order, as well as receive a shipping label and tracking number for every package. If this operation is successful, the tracking number will appear in the form as well as, ready to be printed along with the shipping label. In case any issues arise and the carrier isn’t able to create the label – the shipment won’t be processed, so this is something to pay close attention to the first few times after you’ve set up and implemented this process.

Create Label for Existing Shipment

  1. On the admin panel go to Sales -> Orders
  2. Select a shipping form for an existing order and do as follows:
  • In the section Shipping and Tracking Information, click Create Shipping Label
  • Note the designated products contained in the package, and select OK

Note: To see the complete package info, you’ll need to click Show Packages.

As you see, there’s no need to have a degree in Rocket Science to master Order management in Magento 2. But if you have some more demanding requirements to manage your orders – there are loads and loads of extensions out there to help you out and meet or exceed your expectations. Even if there are no ready-made solutions available on the market, our Magento developers can help you create a tailored solution.