How to create a custom order status in woocommerce!

I’ve tried the below code to create custom status.

add_action( 'init', function() {
    $term = get_term_by( 'name', 'shipped', 'shop_order_status' );
    if ( ! $term ) {
        wp_insert_term( 'shipped', 'shop_order_status' );
    }
} );

But it is not working. I tried some other methods also. Please can anyone help me on this..

This is what I have used to create a custom order status called “Invoiced”.
Add this to your theme’s functions.php

// New order status AFTER woo 2.2
add_action( 'init', 'register_my_new_order_statuses' );

function register_my_new_order_statuses() {
    register_post_status( 'wc-invoiced', array(
        'label'                     => _x( 'Invoiced', 'Order status', 'woocommerce' ),
        'public'                    => true,
        'exclude_from_search'       => false,
        'show_in_admin_all_list'    => true,
        'show_in_admin_status_list' => true,
        'label_count'               => _n_noop( 'Invoiced <span class="count">(%s)</span>', 'Invoiced<span class="count">(%s)</span>', 'woocommerce' )
    ) );
}

add_filter( 'wc_order_statuses', 'my_new_wc_order_statuses' );

// Register in wc_order_statuses.
function my_new_wc_order_statuses( $order_statuses ) {
    $order_statuses['wc-invoiced'] = _x( 'Invoiced', 'Order status', 'woocommerce' );

    return $order_statuses;
}

In order to add your new status to the admin Bulk-edit dropdown you have to use javascript.
Add your function to the admin_footer action.
My function then looks something like this:

function custom_bulk_admin_footer() {
            global $post_type;

            if ( $post_type == 'shop_order' ) {
                ?>
                    <script type="text/javascript">
                        jQuery(document).ready(function() {
                            jQuery('<option>').val('mark_invoiced').text('<?php _e( 'Mark invoiced', 'textdomain' ); ?>').appendTo("select[name="action"]");
                            jQuery('<option>').val('mark_invoiced').text('<?php _e( 'Mark invoiced', 'textdomain' ); ?>').appendTo("select[name="action2"]");   
                        });
                    </script>
                <?php
            }
        }

The action is added two times because there are one bulk action at the top and another at the bottom of the order list.