Understanding Product SKU: How to Introduce Your Products

product sku

Stock Keeping Unit (SKU) symbolized by a distinctive code for an item, which a company intends to sell. The SKU provides specific details about the product such as size and color variation. The Product SKU is exclusive to each product and variations within a product range. Furthermore, it is designed to be read by the human eye, unlike a barcode. By using SKU, businesses can measure highly accurate inventories, which lead to improving their stocks management.

So, What Is Product SKU?

SKU is an exclusive identification code assigned to merchandise for inventory tracking. For an example, as an eCommerce store, you would like to sell a T-Shirt in diverse sizes like small, medium, and large, and in different colors like White, Magenta, and Blue, then each size and color combination would have an exclusive inventory and therefore its own SKU.

An SKU is formed and allocated by the merchant, because

  • It is simple to recognize and track individual inventories
  • It is created to offer an insight on the product (size, color, texture, etc.)
  • To recognize merchandise via SKU instead of digging deeper

Why Use SKU and Not Barcode? Reasons Explained

A barcode is a pattern of parallel lines of varying widths to be read by a machine, and is printed on merchandise for controlling stocks. On the other hand, an SKU is a set of number to be read by the human eye to take control of an inventory. Since both do the same job, then why choose an SKU over the barcode?

An SKU is exclusive to your E-Commerce business; however, barcodes are not. If you resell products then your network of sellers may change the barcode on a product each time they host it on your store, and that would throw SKU out of synchronization.

By using SKU, you can conveniently update the stocks and manage the inventories, regardless of barcode changes.
• Product Catalogues
• eCommerce platforms
• Trade based customers
• Marketplaces like eBay, Flipkart, Amazon

Why Product SKUs Are Important? Reasons Explained

• SKUs are significant and helpful as a general reference for trailing inventory across every part of your eCommerce business.

• While the name or explanation of your products may alter or slightly modify depending on the utilization (purchase order or in a listing on a sales channel), the SKU will remain reliable and enable you/your employees to identify the product variations easily.

• SKUs are supportive when sorting auction reports or inventory.

• SKUs are perfect for merchants with a multi-channel sales strategy. On eBay and Amazon, if you would like to sell your merchandise, you are likely to have dissimilar product titles for the same item on each of these sales channels.

How To Master The Trick Of Creating Product SKU?

• Making a unique SKU – Make a unique SKU for each inventory item you advertise or sell and never use again an SKU for a product you don’t sell anymore.

• Keep SKU short – SKUs always will be maximum 30 characters long. If it is longer than 30 characters then they become hard to interpret and may not work with some inventory management systems.

• In SKU never use spaces or special characters – Always use simple characters make it simple and easy for people or SKU reading software to read the SKU.

• In SKU don’t just use the product title – Use short as well as brief descriptions for the product title, not the SKU.

• Never start your SKU with a zero –Never use “0” in the beginning of SKU as the Excel spreadsheet will strip out the 0 and mess everything up. Just don’t use it.

Now it is the high time to set SKU for your goods, as it will create or build your life an easier and it will permit you to efficiently use registering and inventory management solutions.


The benefits of using SKUs is that they are human readable and the relationships between products can be more easily discerned such as different sizes of jeans. If your online store sells several products simply looking at a list of barcode is not very helpful for identifying what the product is, without a scanner or looking up the barcode in the database.

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