I can see why this is an issue for you. If it helps to add some context, Squarespace only recently increased the product limit from 200 products to 10,000 (July 2020). This is a significant shift for the platform that included a number of other improvements:
Nested categories, making it easier to manage large product catalogues
Manual reordering of categories
Manual reordering of products in every category
I hope these are the first of many improvements that will be made to inventory management and presentation in the near future. Clients are requesting a number of Commerce improvements, but top requests include 'better categorisation' and 'built-in sorting', which is why we're helping clients get online with these additional features. You can add your voice to requests for these features by opening a ticket through Squarespace Customer Care. That's how they collect feedback; this forum is not routinely monitored for product feature requests.
In the meantime, it is possible to improve inventory presentation with some code. You can sort products by names, prices and so on, and add better categorisation and tagging, but it does require some complex coding. You can hire a Squarespace Expert to do this for you (expect it to cost $300-$800) or you can purchase a plugin (Universal Filter from Squarewebsites) and configure it yourself.
If it helps, here's an example of a Squarespace site that is using filtering and sorting:
I hope this helps.
-Paul
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