A SKU (stock keeping unit) is an identifier of a specific product that your business sells. It allows for more seamless mapping of data between sales channels and other technologies you use. SKUs are typically a combination of letters and numbers, many with abbreviations and/or number indicators of quantity or type.
Many companies like to include a prefix of their company/brand name at the beginning of their SKUs. In this example, the company name is White Barn Furniture. We will assign SKUs to the following products:
Large Brown Couch
Medium Brown Couch
Large Tan Couch
Medium Tan Couch
A simple way to assign SKUs to these products would be to assign a global prefix of WBF-, an acronym for the company name. The following products could be assigned the following SKUs:
WBF-BC-L
WBF-BC-M
WBF-T-L
WBF-T-M
You may also choose to also associate numbers to the SKUs as well, possibly something like this:
WBF-001-1
WBF-001-2
WBF-002-1
WBF-002-2
It is important to continue to assign products a SKU number when you add additional items to your product catalog(s). This will help ensure a more seamless transfer of inventory and other pertinent data.