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Shopify - The Right Way to Use a SKU

Shopify - The Right Way to Use a SKU

In this article, we will explore the importance of using SKU numbers in Shopify and how it can benefit your online store. Whether you are a beginner or an experienced Shopify user, understanding the significance of SKU numbers can greatly enhance your inventory management and overall business operations.

Introduction to SKU Numbers

SKU stands for Stock Keeping Unit, and it is a unique identifier assigned to each product in your inventory. These numbers allow you to track and manage your products effectively, especially when dealing with multiple stores or syncing data across different platforms. While using SKU numbers is not mandatory, it can provide numerous advantages in the long run.

How to Create SKU Numbers

Creating SKU numbers is a customizable process, allowing you to define your own format that suits your business needs. Below, we will discuss a simple and effective method that has proven successful for many online store owners.

Let's consider an example of a 14 karat gold necklace called the "Orb and Crown Pendant" with a 20-inch chain. Here's how you can create a SKU using the following conventions:

  1. Start with a three-letter identifier for your store, such as "TJS" for The Jewelry Store.
  2. Add a hyphen ("-") to separate the store name from the product category, which in this case is a necklace.
  3. Use a letter to represent the type of product. In this example, "N" indicates a necklace.
  4. Choose a unique name for your product within the category, such as "Orb."
  5. Include any additional attributes that distinguish the product further. For instance, the length of the necklace is 20 inches.

So, the SKU number for this particular product would be "TJS-N-Orb-20inches." This format allows for easy identification and differentiation among various products in your inventory.

Benefits of Using SKU Numbers

Now that we understand how to create SKU numbers, let's explore the benefits they offer:

  1. Efficient Inventory Management: SKU numbers provide a systematic way to organize and categorize your products, making it easier to track and manage inventory levels.

  2. Streamlined Operations: Having a unique identifier for each product allows for seamless integration with inventory management systems and third-party software. This simplifies tasks like syncing data between multiple stores and managing stock across various platforms.

  3. Improved Order Fulfillment: When using shipping software, SKU numbers can be included on pick lists and shipping labels. This enables your team to quickly locate products and fulfill orders accurately, without relying solely on product titles or descriptions.

  4. Enhanced Data Analysis: SKU numbers provide valuable insights into your best-selling products, stock turnover rates, and profitability. Analyzing this data helps you make informed decisions about pricing, restocking, and marketing strategies.

  5. Easy Scalability: As your business expands, SKU numbers become even more crucial. They facilitate seamless management of multiple stores, allowing efficient synchronization of inventory and sales data.

Keywords: SKU, Shopify, online store, inventory management, stock keeping unit, product categorization, inventory tracking, data synchronization, order fulfillment, data analysis, business scalability.


Q1: Do I have to use SKU numbers in Shopify? A1: No, SKU numbers are not mandatory in Shopify, but they offer numerous benefits in terms of inventory management and scalability.

Q2: Can I use someone else's SKU number for my products? A2: If you are buying products from a manufacturer or supplier, you can use their SKU numbers. However, it is advisable to create your own SKU numbers to maintain consistency and customization.

Q3: How can SKU numbers help with multiple stores? A3: Using SKU numbers enables efficient synchronization of inventory and data between multiple stores. This simplifies management and facilitates seamless operations across various platforms.

Q4: Is there a specific format for creating SKU numbers? A4: No, SKU number formats can be customized to meet your requirements. However, it is essential to keep it simple while including relevant information for easy identification and categorization.

Q5: Can SKU numbers be used for data analysis in Shopify? A5: Yes, SKU numbers provide valuable insights into product performance, stock turnover, and profitability. Analyzing this data helps in making informed decisions for your business.

Q6: How can SKU numbers benefit order fulfillment? A6: SKU numbers simplify the order fulfillment process by allowing easy identification of products on pick lists and shipping labels. This streamlines operations and reduces the chances of errors.

If you have any further questions about using SKU numbers in your Shopify store, feel free to reach out to us at Campaign Sauce Digital Marketing. We are here to assist you and help optimize your Shopify experience.