Richard AgamaSKUs, or “stock-keeping units,” are unique combinations of letters and numbers to identify different products within a business. These labels assist in ordering inventory, tracking sales trends, and warehouse organization. SKUs are especially helpful for e-commerce operations that sell variations of the same item.
In order to run a successful retail business, you need to master your SKU management system. You risk missing valuable opportunities if you don’t capitalize on your organization. Learn a few best practices for managing multiple SKUs to implement in your own practices.
Simplify Your SKUs
Your SKU numbers don’t have to be complicated. Simplifying your naming system makes locating and tracking your inventory easier. Avoid long strings of numbers with multiple zeros; eventually, similar shapes blend together and are difficult to differentiate.
Develop a simple framework and be consistent across all items. Most successful businesses follow a “product type, first identifier, second identifier” pattern. So, if you’re selling green cooking pots in sets of four, your SKU might look like this: “POT-GRN-4.”
Group Similar Items Together
An effective SKU management system also helps with organization. Grouping items with similar SKU numbers makes it easier for customers to find variations of their favorite products. You’re more likely to convert visitors into customers with a simple navigation system.
While you’re grouping things together, get rid of any unnecessary stock-keeping units. Decreasing your SKU count allows for greater organization. When people have too many options, they often pick nothing because they’re overwhelmed. Eliminate unpopular variations to increase your sale odds.
Organize Your Warehouse
Following best practices for managing multiple SKUs doesn’t only benefit the consumer. Stock-keeping units are some of the best warehouse assets because they make locating like-items painless. Invest in a high-quality inventory management system to assign SKUs and organize your storage facility.
Your warehouse needs drive-in pallet racking to optimize storage by SKU. This way, you can maximize your space and make room for more inventory. As your business expands, combining your SKU management system should work with your logistics operations to streamline work.
Ultimately, efficient use of stock-keeping units provides a better customer experience. Once you get the hang of your SKU management system, you can expect greater sales and satisfied clients.
SKUs, or “stock-keeping units,” are unique combinations of letters and numbers to identify different products within a business. These labels assist in ordering inventory, tracking sales trends, and warehouse organization. SKUs are especially helpful for e-commerce operations that sell variations of the same item.
In order to run a successful retail business, you need to master your SKU management system. You risk missing valuable opportunities if you don’t capitalize on your organization. Learn a few best practices for managing multiple SKUs to implement in your own practices.
Simplify Your SKUs
Your SKU numbers don’t have to be complicated. Simplifying your naming system makes locating and tracking your inventory easier. Avoid long strings of numbers with multiple zeros; eventually, similar shapes blend together and are difficult to differentiate.
Develop a simple framework and be consistent across all items. Most successful businesses follow a “product type, first identifier, second identifier” pattern. So, if you’re selling green cooking pots in sets of four, your SKU might look like this: “POT-GRN-4.”
Group Similar Items Together
An effective SKU management system also helps with organization. Grouping items with similar SKU numbers makes it easier for customers to find variations of their favorite products. You’re more likely to convert visitors into customers with a simple navigation system.
While you’re grouping things together, get rid of any unnecessary stock-keeping units. Decreasing your SKU count allows for greater organization. When people have too many options, they often pick nothing because they’re overwhelmed. Eliminate unpopular variations to increase your sale odds.
Organize Your Warehouse
Following best practices for managing multiple SKUs doesn’t only benefit the consumer. Stock-keeping units are some of the best warehouse assets because they make locating like-items painless. Invest in a high-quality inventory management system to assign SKUs and organize your storage facility.
Your warehouse needs drive-in pallet racking to optimize storage by SKU. This way, you can maximize your space and make room for more inventory. As your business expands, combining your SKU management system should work with your logistics operations to streamline work.
Ultimately, efficient use of stock-keeping units provides a better customer experience. Once you get the hang of your SKU management system, you can expect greater sales and satisfied clients.
