Keeping tabs on your stock shouldn’t feel like a full-time job but for many growing businesses, it quickly becomes one. If you’ve outgrown Xero’s built-in stock features or are expanding into ecommerce, wholesale, or manufacturing, it’s time to explore Xero inventory management on a more advanced level.

When you pair Xero with powerful inventory apps like Unleashed, Cin7 Core, or Dear Inventory, you unlock features that can change the way you run your business. But which one’s right for you? That’s exactly what we’re here to break down.

Why Smart Inventory Management Matters for Xero Users

The more products you handle, the harder it becomes to rely on spreadsheets or basic tracking tools. Stockouts, over-ordering, and delayed fulfilment can hurt profits and your reputation.

Xero offers some great starting tools, but if your operations involve multiple locations, thousands of SKUs, or multi-channel sales, you’ll want more than just basic functionality. That’s where integrating Xero inventory management apps becomes essential.

The right Xero inventory management tool can help reduce operational headaches and give you real-time visibility over every unit you sell.

What Xero Can and Can’t Do on Its Own

Xero’s native inventory lets you:

  • Track stock quantities
  • Record inventory values for accounting
  • Create quotes, invoices, and purchase orders with product details

That’s good for small businesses with simple needs. But here’s what Xero doesn’t cover:

  • Warehouse or location tracking
  • Barcode scanning and batch control
  • Bill of materials (BOM) or manufacturing
  • Demand forecasting
  • Deep ecommerce integration

As your business evolves, you’ll find yourself needing tools that can scale and adapt. That’s where integrating a third-party Xero inventory management app becomes essential.

With smart Xero inventory management, you’re no longer stuck trying to make basic tools work for complex needs.

Exploring the Best Inventory Apps That Work with Xero

Let’s dive into the heavy-hitters Unleashed, Cin7 Core, and Dear Inventory and explore how they extend your Xero inventory management capabilities.

Unleashed Inventory + Xero: For Wholesalers and Manufacturers

If you manage large quantities of stock, buy in bulk, or manufacture products, Unleashed is a serious contender. It’s built to track your inventory in real time from the warehouse floor to the sales ledger.

Key Features:

  • Advanced product tracking with batch numbers and expiry dates
  • Assembly and disassembly of products (great for manufacturers)
  • Multiple warehouses and locations
  • Integration with POS, ecommerce, and shipping platforms
  • Live margins and real-time inventory costs synced with Xero

Unleashed Inventory Xero setup is straightforward. You connect the two systems, and Unleashed automatically syncs sales and purchase data into Xero, ensuring your accounting stays accurate.

If you’re looking to expand your Xero inventory management system for wholesale or B2B, Unleashed is a top option.

Cin7 Core (formerly Dear Systems) + Xero: The Ecommerce Powerhouse

If you’re selling across platforms like Shopify, Amazon, Etsy, and eBay, Cin7 Core is designed with you in mind. It connects inventory, sales, purchasing, and fulfilment into a single streamlined system and integrates beautifully with Xero.

Key Features:

  • Multi-channel sales integration (Shopify, WooCommerce, BigCommerce, etc.)
  • Automated order routing
  • Supplier and drop-ship management
  • Barcode scanning
  • Built-in production management and BOM features
  • Powerful analytics and stock alerts

The Cin7 Core Xero integration ensures financial data flows automatically sales invoices, purchase orders, COGS, and stock adjustments are all kept in sync.

Xero inventory management for ecommerce gets a major upgrade when paired with Cin7 Core, reducing fulfilment errors and improving customer experience.

Dear Inventory and Xero: Still in the Picture?

You might still see references to Dear Systems Inventory and Xero in forums or older blogs. That’s because Cin7 acquired Dear and rebranded it to Cin7 Core so they’re now the same system under a new name.

If you’re currently using Dear, the good news is you’re already on track. Everything now runs through the Cin7 Core interface with continued support.

It still functions as a robust Xero inventory management option, especially for those focused on legacy workflows.

Xero Inventory Add-Ons: Choosing the Right One for You

Here’s a simplified breakdown to help you compare features across the board:

FeatureXero NativeUnleashedCin7 Core
Real-time inventory trackingBasic✔️✔️
Multiple warehouse support✔️✔️
Barcode and batch tracking✔️✔️
BOM / Production workflows✔️✔️
Ecommerce integrationBasic✔️
Forecasting and analyticsBasicAdvancedAdvanced
Integration with shipping tools✔️✔️
Inventory management for ecommerce✔️✔️

Which Xero Inventory App is Right for Your Business Type?

Choosing the right inventory app isn’t just about comparing features it’s about understanding which tool aligns with your workflows, customer demands, and long-term goals. Let’s break it down based on real-world business types:

For Ecommerce Sellers: Cin7 Core Leads the Way

Running an online store across multiple platforms means juggling sales, stock, fulfilment, and shipping all at once. If that sounds familiar, Cin7 Core is likely your best fit. It’s built with ecommerce businesses in mind, offering integrations with Shopify, WooCommerce, Amazon, Etsy, BigCommerce, and more.

But integration is just the start. Cin7 Core automatically pulls orders from all your channels, matches them against available stock, and pushes updates to Xero in real-time. This means fewer stockouts, fewer oversells, and faster order processing—something your customers will thank you for.

For businesses with high order volumes, multi-channel strategies, or complex pricing rules, Xero inventory management paired with Cin7 Core is a powerful combination that keeps everything in sync.

For Wholesalers & Distributors: Unleashed Gives You Full Control

Wholesale businesses deal with bulk orders, supplier lead times, purchase planning, and often razor-thin margins. You need precise visibility over what’s coming in, what’s going out, and what’s still sitting on your warehouse shelves.

That’s where Unleashed shines. It offers real-time stock levels across multiple locations, detailed reporting on margins and sales trends, and advanced purchase order tools to help you reorder efficiently. With batch tracking, serial numbers, and expiry date management, Unleashed is also ideal for regulated industries like food and beverage, health, or chemicals.

If you want Xero inventory management that gives you control over every product and pallet, Unleashed delivers.

For Manufacturers: Choose Based on Assembly Needs

Manufacturing comes with its own set of complexities—bill of materials, component tracking, assembly stages, and production cost control. Fortunately, both Unleashed and Cin7 Core offer strong manufacturing capabilities. The choice comes down to how you produce.

If your workflows involve building products from multiple components and you need to track materials through every stage, Unleashed offers detailed BOMs, wastage tracking, and production reporting that manufacturers love.

On the other hand, if your manufacturing is integrated with ecommerce (like print-on-demand or custom-built products sold online), Cin7 Core may be a better fit thanks to its superior sales and fulfilment integrations.

For make-to-order businesses, either platform can do the job—just make sure your Xero inventory management app works with your sales and supply chain setup.

Need Something Simple for Now? Start with Native Xero Inventory

If you’re just starting out, selling a limited range of products, or testing the waters with online sales, Xero’s built-in inventory might do the trick—at least for a while. You can track product quantities, create purchase orders and invoices, and generate basic inventory reports.

But keep in mind: as soon as you start adding sales channels, warehouses, or fulfilment partners, you’ll hit limitations. That’s when upgrading to a more scalable Xero inventory management system becomes essential.

Hidden Time-Savers You’ll Actually Notice

Switching to advanced Xero inventory management isn’t just about better stock levels—it impacts the entire business.

  • No more manual reconciliations: Sales and stock levels auto-update in both systems.
  • Fewer errors in invoices and orders: Data entry is drastically reduced.
  • Clearer profitability: Real-time margins help you make pricing and purchasing decisions faster.
  • Better cash flow planning: When you know what’s sitting on the shelf, you know what to reorder—and what not to.

What to Expect with Setup and Support

The setup process depends on the app, your existing systems, and the complexity of your operations. Most businesses opt for expert help to get it done right.

That’s where eCloud Experts comes in. We help product-based businesses integrate the right inventory system with Xero—without stress or downtime.

  • We assess your current processes
  • We recommend the right Xero inventory management app
  • We handle the setup, integration, and onboarding
  • We stick around to support you as you grow

Our mission? To make Xero inventory management work for you—not the other way around.

FAQs: Your Common Questions, Answered

What is the best inventory app for Xero?
It depends on your business model. Unleashed is ideal for manufacturers and wholesalers. Cin7 Core is best for ecommerce and multichannel sellers.

Can I integrate multiple ecommerce platforms with Xero?
Yes. Cin7 Core supports integrations with Shopify, Amazon, eBay, and more—all syncing back to Xero.

Does Xero support barcode scanning?
Not directly. You’ll need an add-on like Unleashed or Cin7 Core to handle barcode functionality.

Is Dear Inventory still available?
Yes but under its new name, Cin7 Core. All the same features, with a new interface and brand.

How do I know which inventory system is right for me?
Start by looking at your sales channels, number of SKUs, and order volume. Then speak to an expert (like us!) to assess what fits best

Final Thoughts: Inventory Management That Powers Growth

Whether you’re scaling an ecommerce store, expanding your wholesale operation, or just trying to stop running out of best-sellers, upgrading your Xero inventory management setup is a smart investment.

Choosing between Unleashed, Cin7 Core, and Dear Inventory doesn’t have to be complicated. It just has to be tailored.

Ready to Upgrade How You Handle Inventory?

At eCloud Experts, we specialise in helping UK businesses integrate the best inventory apps with Xero. From tool selection to setup and support, we’re here to ensure your stock tracking isn’t holding you back.Book your free inventory consultation today.