What is SKU?
Stock Keeping Unit — a unique identifier assigned by sellers to track individual products and inventory.
Definition
SKU stands for Stock Keeping Unit. It is a unique alphanumeric code that sellers create and assign to each distinct product or product variation in their inventory. Unlike ASINs (which are assigned by Amazon) or UPCs (which are assigned by GS1), SKUs are created by the seller and can follow any naming convention the seller chooses. A well-designed SKU system encodes useful information about the product, such as category, brand, size, color, and supplier. For example, a SKU like "TS-NK-BLK-L" might represent a T-Shirt, Nike brand, Black color, Large size. SKUs are essential for inventory management, order fulfillment, and financial tracking. Each product variation (different size, color, or style) should have its own unique SKU. On Amazon, sellers assign SKUs when creating product listings, and these SKUs appear in inventory reports, order reports, and financial statements. A consistent SKU naming system becomes increasingly important as a seller's catalog grows, making it easier to identify products, track performance, and manage inventory across multiple sales channels.
How SKU Relates to E-Commerce
SKUs are the backbone of inventory management in e-commerce. They enable sellers to track stock levels, monitor sales performance by product, manage reordering, and reconcile financial records. For multi-channel sellers who sell on Amazon, Etsy, Shopify, and their own website simultaneously, a unified SKU system prevents overselling and ensures accurate inventory counts across all platforms. SKUs also facilitate warehouse operations — warehouse staff use SKUs to locate, pick, and pack products efficiently. For Amazon FBA sellers, SKUs help track which products are in Amazon's warehouses, which are in transit, and which need to be restocked. Advanced sellers use SKU-level profitability analysis to identify their best and worst performing products, informing decisions about which products to scale, which to discontinue, and where to invest marketing dollars.
How SellerBowl Helps with SKU
SellerBowl's product tracking and portfolio management features work with your SKU system to provide detailed performance analytics at the individual product level. The platform helps you monitor sales, margins, and inventory levels for each SKU, making it easy to identify your top performers and underperformers. SellerBowl's data export features maintain your SKU references, ensuring seamless integration with your existing inventory management workflows.
Ready to put this knowledge into action?
SellerBowl gives you the tools to research, analyze, and grow your e-commerce business across Amazon, Etsy, Shopify & TikTok Shop.
Start Free Trial