SKUs

What is a SKU (stock keeping unit)?

A Stock Keeping Unit (SKU) is a unique code assigned to each individual product or product variation in your inventory. It helps businesses identify, organize, and track items efficiently across sales channels and storage locations.

In ecommerce, SKUs are especially useful for managing product variations like size, color, or style. Each variation gets its own SKU, making it easier to manage stock levels, update listings, and fulfill orders accurately. SKUs also improve reporting and simplify reordering processes.

What are the 4 types of SKUs?

• Internal SKUs – Custom codes used only by the business
• Manufacturer SKUs – Given by the product’s manufacturer
• Retailer SKUs – Created for organizing products in-store or online
• Digital SKUs – Used for digital products like software or downloads

Examples of SKUs

• SHRT-WHT-LG = White T-shirt, Large
• DSLR-CPN-2000 = Canon DSLR Camera, Model 2000
• PNTS-BLK-MED = Black Pants, Medium

Driftcharge Tip

Create a logical and consistent SKU naming structure, it improves inventory management and prevents shipping errors.

Ganesh Pawar

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Ganesh Pawar is the founder of Driftcharge, a subscription management app designed to help Shopify merchants streamline and scale their subscription businesses. With a deep focus on solving real-world pain points—like legacy account page support, flexible subscription options, and advanced analytics—Ganesh is passionate about building tools that drive growth and retention.