SKU UPC BARCODES | Ecommerce SKU vs UPC vs BARCODES

SKU vs UPC vs Barcode

The product identifiers are a unique identification of a particular product that contains the entire information about the product because the information of the product needs to be transparent for the customers. The information or details like name and location of the manufacturer’s, Dimensions, Weight, category, size etc. are available through the identifiers. Now, unique identifiers of a product like (SKU,UPC,BARCODES) become an identification that defines your product in the marketplace. The identifiers also help in optimising and enhancing feeds and Google search of the product.

STOCK KEEPING UNIT (SKU)

SKU is a custom alphanumeric code assigned by a seller or a merchant to their particular product. The SKU consists of 8 to 12 characteristics of letters and numbers. SKU of products is differentiated on the basis of information like, specification and characteristics of the product. This SKU is used to identify the inventory of a business.

It provides information about the inventory keeping, sales data and characteristics of a product. Many companies used SKU for the internal unique code to distinct the product from each other and to manage its inventory records easily.

Some of the traits of SKU are:-

SKU is used for the purpose of tracking or managing inventory.
It can be of any length but 8 to 12 alphanumeric series is recommended.
It is widely used inside the organisation.
They are customised by the manufacturer for a product.
They are used in warehouses, e-commerce platforms, etc.

UNIVERSAL PRODUCT CODE (UPC):

Unlike SKU which is unique to the company, UPC of a product is unique for the external use. The universal product code or UPC is a 12 digit unique identification numeric code. This numeric code comes along with its corresponding barcode. The manufacturer needs to purchase the UPC for their products from GS1, an international non-profit organisation that assigns the UPC . The UPC’s are machine readable.

It has three parts, its first six digit is assigned by the GS1 while its next five digits which is called an item number, is on the company to issue. The last digit is called check digit which is used to check if the digits of the code is correct or not.

Some of the traits of UPC are:-

UPC is accepted by all retailers.
Helps in tracking inventory more accurately.
It only consists of numeric digits.

BARCODES:

Barcode is a machine readable visual unique identification consisting of black and white lines which are parallel to each other. The length and width of these parallel lines are different from each other. The barcode is a visual representation of SKU and UPC.

Some of the traits of UPC are:-

Barcodes are not always the same as UPC or SKU, instead it represents the numeric series of SKU and UPC.
This helps in enhancing the inventory management system of an organisation.
Barcodes need to be scanned with a barcode reader, which is a device that transits the code into information.

Difference between SKU, CPU and Barcode

Parameters	SKU	UPC	Barcode
Format	It is in the alpha numeric series.	It is in numeric series.	It is the visual representation of the series in the form of parallel lines.
No. of digits	It can be of any no. of digits.	It can be 12 digits.	As no. of lines represents the numeric series, so it can vary.
Usage	Its use is restricted to the organisation or to the retailers only.	Its use is broad as it is acceptable for external use.	It can be used at all businesses.
Uniqueness	Unique for the each retailers	It is constant across the different retailers.	Its uniqueness is dependent.
Assigned	It is assigned by the retailer only.	The 6 digit of this numeric series is assigned by GS1 while the other 5 digit is assigned by retailers and the last digit is the check digit.	Barcodes are assigned by GS1.
Durability	It can be changed.	It cannot be changed.	It can be changed.

Which is best - SKU, UPC or Barcode

SKU and UPC both are useful in identifying the product in an alpha-numeric or numeric series , while Barcodes are in the visual format that can be scanned to get the information.

Which type of the product identification to prefer? This totally depends on the needs, scale and future aspirations of the business.

If you have a small scale business and your business follows a B2B supply chain, then you can opt for SKU. As SKU is created by the organization for internal use, it can help in managing, organizing and tracking inventory in the company. SKU cannot act as a product identification outside the company. It will help the company in organizing and monitoring the stock.

If you have any plan to expand your business then UPC is the best to opt for. As UPC is a universally constant product identifier, it will be accepted for external use also. In the e-commerce business where you have to put your product in the other retailers’ listing like Amazon, Shopify, etc. then UPC can be a good choice as it makes your products universally compatible for the identification. UPC helps in tracking the product throughout the entire supply chain. UPC is commonly used in all e-commerce businesses around the world.

If your business has a good reach and hold on the global markets then opting for UPC can be a great choice.

SKU and UPC can be represented by using Barcodes while Barcodes are not restricted to them. SKUs may or may not have Barcodes, it is not a requirement but companies can assign the Barcodes to the SKUs to improve and speed up the inventory management process.

UPC always comes with Barcodes, it is important for companies to allot and print the UPC Barcodes as their product identification.

But choosing only SKU also comes with some disadvantages as UPC can give your products security and identification outside the company too. If some other company gets the UPC of the products before you, it can create a risk of

Conclusion:

Choosing which type of product identification to opt for totally depends on the reach, scale and future expansion of the business. UPC is widely used in e-commerce businesses while SKU is used inside the business organisations and Barcodes are used to speed up the inventory management process.