Glossary Term
SKU (Stock Keeping Unit)
A unique code, usually alphanumeric, that a business uses to identify and track its inventory internally.
The Foundation of Inventory Control
A SKU is your internal language. Unlike a UPC (which is the same for every retailer), a SKU is specific to your business. It allows you to track not just what the product is, but where it came from, its cost, and its specific variation. Efficient SKU management is what separates a hobbyist from a professional seller.
SKU Hierarchy in E-commerce
In the Amazon world, your SKU is often referred to as your MSKU (Merchant SKU). It is the link between your physical product and your digital dashboard. When you print labels, having the SKU clearly visible helps prevent the most common warehouse error: sticking the wrong barcode on the wrong box.
- Should be descriptive (e.g., NIKE-AIR-10-BLUE).
- Used for scanning, picking, and restock reports.
- Vital for syncing inventory across multiple warehouses.