Inventory

SKU vs Barcode: What Is the Difference?

Learn the difference between SKUs and barcodes, how businesses use each identifier, and when they should work together.

Bilzee Team

SKUs and barcodes both help businesses identify products, but they solve different operational problems. An SKU is usually an internal product identifier, while a barcode is a machine-readable representation that can be scanned.

What is an SKU?

An SKU, or stock keeping unit, is an identifier a business creates to distinguish products and variants inside its own inventory process.

An SKU can follow a readable pattern containing information such as the business, product, sequence, size, colour, or another variant attribute.

What is a barcode?

A barcode represents a value in a scannable visual format. A scanner or camera reads the encoded value and the software uses that value to identify the relevant product record.

SKU vs barcode

CharacteristicSKUBarcode
Main purposeInternal product identificationScannable product identification
Created byUsually the businessBusiness or external product source
Human readableUsually designed to beUnderlying value may be readable, but scanning is the main benefit
Used during scanningNot necessarilyYes
Can distinguish variantsYesYes, when separate barcode values are assigned

Can the same product have both?

Yes. A product can have an SKU for internal inventory organization and a barcode for scanning. The two values can point to the same product or variant record.

SKU tells the business how it identifies the item internally. Barcode makes the item easy to scan.

What happens with variants?

If size, colour, quantity, or another attribute changes the item that employees need to identify, each variant can have its own SKU and barcode.

How Bilzee inventory connects them

Bilzee Inventory Management can organize product records, variants, SKUs, barcodes, quantities, and stock movements inside the same inventory workflow.

For the broader inventory process, read the Inventory Management Guide for Growing Businesses.

Related Bilzee Features

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