SKU: Definition, issues, and explanations

An SKU, or Stock Keeping Unit, is a unique code assigned to a specific product or variant in a sales catalog. It is used to precisely identify each item, taking into account its characteristics such as size, color, or version.

SKUs are mainly used in e-commerce and inventory management to facilitate product tracking and inventory management. They are not universal codes like barcodes, but rather identifiers specific to each company.

Created internally, SKUs make it possible to differentiate between similar products and manage product references in a product catalog with precision.

The use of SKUs is essential for effective management of product catalogs and inventory in e-commerce. It allows you to accurately track each item, optimize stock levels, and avoid shortages or overstocking.

The SKU also facilitates logistics, order processing, and billing by making each item uniquely identifiable in the company's computer system.

In addition, SKUs improve customer service quality by enabling quick and reliable product searches, thereby facilitating exchanges, returns, or requests for information.

In concrete terms, an SKU is an alphanumeric code created according to a logic specific to the company. It may include letters and numbers that correspond to specific product characteristics such as category, brand, size, or color.

When a product is added to the catalog, it is assigned a unique SKU to ensure that it can be clearly identified in the inventory management system.

This code is used in inventory management systems, e-commerce platforms, and logistics services to ensure accurate tracking of product inflows and outflows.

Advantages:

• Unique product identification, which facilitates inventory and order management.
• Improved accuracy in inventory tracking.
• Adaptability to the specific needs of each company thanks to customized in-house design.
• Optimization of logistics processes and reduction of errors.

Disadvantages:

• Creating custom SKUs requires careful organization and can be complex.
• A poor coding system can lead to identification or management errors.
• May require training for teams to fully understand and use the system.

An e-commerce site selling T-shirts can assign a separate SKU to each size/color combination, for example: TSH-XL-BLK for a black XL T-shirt.

In a shoe store, each model and size can have a unique SKU, making it easier to manage varied inventory.

Marketplaces also use SKUs to list the many variations of the same product and efficiently manage inventory across different sellers.

• EasyWeb Agency E-commerce Glossary - Learn more about catalog management and terms related to e-commerce.
• MDN Web Docs Glossary - Reliable resource for technical definitions and general terminology.
• W3C - World Wide Web Consortium - Standardization and best practices for the web aligned with product data management.