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The 'Notify Me' option can be added to both the product detail page , and the shopping cart. When  

Product DetailShopping Cart

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When a user clicks the 'Notify Me' button on an unavailable product in their cart, the product is automatically removed and an email address is requested., a modal window launches for the user to enter an email address.

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If the 'Notify Me' button is clicked on an out-of-stock product in the cart, that product is automatically removed from the cart once the user's notification request has been saved. 

A scheduled task runs at regular intervals, checking stock availability against notification requests. When a requested product becomes available, the email to the user is triggered. 
 

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Info

This functionality is available from version 3.79 onward.

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