A lookup table is a 2 column excel spreadsheet like the one shown below:

You can use a lookup table to more easily and efficiently transform one value to another. Instead of having to do a "replace value" transformation for every option in your data set, you can simply tell the system to "look up" the value that it should transform to in the spreadsheet.

You can create and upload lists of string replacements that can be used as transformations of words within master data fields as they are applied to the channel.

This allows you to use channel specific or market specific descriptions (tights vs leggings, boot vs cleat, football vs soccer) of your products so that consumers can find and understand products more easily.

Go to your Channel Management Page > Select the channel you want to add a lookup table to.

Go to the Lookup tables tab and upload your lookup table as shown:
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Go to your value transformation in the channel:

Add a transformation and select the lookup table option:
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Select the lookup table sheet you added to the channel earlier:

Any value in your master data that this transformation is applied to will be looked up and transformed to its corresponding value in your lookup table.
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If you need to update these values, you can simply update the lookup table and the values will automatically update themselves based on the changes you have made to your lookup table.