SKU stands for Stock Keeping Unit and means a specific code that is assigned to each product. The main aim of it is to understand how many units of the product you have in stock and where it is located. It consists of letters and numbers.
Every code keeps information not only about quantity and location but about available sizes, colors, prices, brands, and other characteristics that are relevant to your product. Consequently, SKUs are tailored to your business needs and are not unified to one standard for all industries.
Tips for Creating SKU System
In order to create a useful SKU system, you can use these tips:
Define the Size of the Stock
If you have a small stock, you may use a small number of characteristics. However, if you have to identify many products, it is better to break it down into as many details as possible, coming from more universal traits to more specific. For example, female – skirts – blue – size L.
Consider the Preferences of Your Customers
Customers may be asking for specific characteristics and it can help you to understand what details you want to put into the SKU.
Follow the Rules of SKU Architecture
SKUs are 8-12 characters, do not use zeros, and each letter or number has a specific meaning. If you follow these rules, you will never get your codes mixed.
