A Stock Keeping Unit (SKU) is a unique alphanumeric code businesses use to manage and track product inventory. This internal identifier allows retailers to monitor stock levels, sales velocity, and product variations. Understanding where the SKU is located is useful for consumers making returns or employees performing inventory checks. This guide clarifies the function of the SKU and shows where to find it on physical goods, packaging, and digital records.
What Exactly is an SKU?
An SKU is an alphanumeric code retailers and manufacturers assign to products for internal inventory management. This unique identifier helps a company track specific product attributes such as size, color, style, and location within a warehouse. Unlike external codes, the structure and length of the SKU are determined entirely by the individual seller to meet their specific business needs.
The primary function of the SKU is to streamline operations, allowing businesses to accurately forecast demand and efficiently restock items. Because these codes are proprietary, the SKU for the exact same item will vary dramatically from one retailer to the next. This internal design makes the SKU a flexible tool for organizing complex product lines and facilitating quick data retrieval.
Finding the SKU on Physical Products and Packaging
Product Labels and Tags
Locating the SKU often begins by examining the product itself, particularly on apparel or small goods. Clothing items usually feature the code on hanging price tags or sewn-in care labels alongside sizing information. For smaller merchandise like jewelry or electronics accessories, the SKU might be printed on a small, adhesive sticker affixed directly to the item.
Original Packaging
When an item is still in its original box or wrapping, the packaging is a reliable source for the SKU. Look closely at the exterior surfaces, often near the printed barcode or on the bottom panel of a box. Instruction manuals or registration cards packaged inside the container may also display the SKU, especially if the product has many variations. Checking the manufacturer’s label is helpful if the product label has been removed or damaged.
Price Stickers
Smaller, independent retailers frequently integrate the SKU directly into their price stickers. Instead of a simple price, the sticker may include a short, alphanumeric string intended for the cashier or inventory staff. This practice simplifies the inventory process by placing the internal tracking number immediately adjacent to the price for quick reference.
Locating the SKU in Digital and Transaction Records
The SKU is consistently recorded across a business’s transaction history and digital presence. On e-commerce websites, the SKU is typically displayed on the product detail page, often located near the product description, specifications, or under a section labeled “Product Details.” Searching for the item’s details online can quickly yield this code, even if the physical packaging is lost.
For recently purchased items, the SKU is prominently featured on both printed and digital receipts. It is usually listed directly beneath the product name and preceding the price for each line item. Order confirmation emails and the purchase history section of an online account also retain the SKU as part of the transaction record.
SKU vs. UPC: Key Differences
The distinction between an SKU and a Universal Product Code (UPC) resolves a frequent point of confusion in product identification. An SKU is a flexible, alphanumeric code used internally by a single retailer to track inventory specifics, such as color, size, and warehouse location. This code is unique to the seller and changes if the exact same product is sold by a different company.
A UPC, conversely, is a standardized, external 12-digit numeric code used internationally for product identification. Assigned by a global standards organization, this code remains the same regardless of which retailer sells the item. The UPC primarily serves two purposes: identifying the manufacturer and facilitating rapid scanning at the point of sale (POS).
The UPC is designed to identify the item itself, while the SKU is designed to manage the inventory of that item within a specific store’s system. Because the UPC is standardized, it is usually represented by the familiar barcode symbol that can be read by any scanner worldwide.
Decoding and Creating Effective SKUs
SKUs are thoughtfully structured to convey meaningful information about the product at a glance. An effective SKU structure uses a series of alphanumeric segments separated by hyphens or slashes, with each segment representing a specific product attribute. This structure allows inventory staff or database programs to quickly decode the item without needing to reference an external catalog or a lengthy product description.
A common structure starts with a segment identifying the vendor or brand, followed by the product category, and then specific variations that differentiate one item from another. For instance, a code like ABC-TSH-RED-LG immediately identifies the product as a T-shirt (TSH) from vendor ABC, in the color Red (RED), and size Large (LG). The selection of these components is driven by the attributes most relevant to the retailer’s operations and sales patterns.
Developing an effective SKU system requires balancing comprehensiveness with brevity to ensure easy readability and data entry. The codes should be designed to be intuitive, avoiding letters or numbers that can be easily confused, such as ‘O’ and ‘0’ or ‘I’ and ‘1’. The goal is to make the code descriptive enough to differentiate all product variations while keeping the total character count manageable for rapid scanning and data processing. Maintaining a consistent structure across all product lines prevents errors and improves the speed and accuracy of inventory management tasks.