How Stock Keeping Unit helps Retail Organizations?
For retailers, Stock Keeping Units, or SKUs, are valuable for tracking inventory. Retailers use coding systems to keep track of their inventory and take a measure of how their sales are tracking. The use of these codes can make the difference when stores need to know when to reorder products and to get a gauge of which items move more quickly. That can be an important deciding factor in the product mix the retailer keeps on their shelves.
Another great benefit of a SKU is in advertising. With the competitive landscape of retail today and everyone matching price, having a unique SKU can help protect your margins. For example, many retailers will put the SKU in the newspaper versus the manufacturer's model number. Shoppers cannot determine if the washing machine they are looking at is the same one as the other store. That means other retailers don't have to match the rivals' prices.