Superstore Sales – How to make more money

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 When it comes to looking at a data set, it is important to draw connections between total profits and profits per order (based on different qualifiers) in order to understand how to increase revenue. 

In Google Spreadsheets we used commands such as:

=unique(Orders!Q:Q)
=sumif(Orders!Q:Q,A2,Orders!I:I)
=countif(Orders!Q:Q,A2)
=B2/C2
These commands provided us the ability to look at specific aspects and compare them to other qualifiers. For example, we looked at the profit per order for each product sub-category as seen below.
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Product Sub-Category

In this screen shot on the left, the copiers and fax machines had the highest profit per order, but the least amount of orders placed. Also the lowest profit per order is seen in the tables category. The amount of orders for tables in in the middle of the total order count. What could be making this a loss are the shipping, priority, and packaging costs that the company pays to get the products to the customer.

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Product Container, Ship Mode, and Order Priority

To the right, the next image shows the profit per order as categorized by the product container, ship mode, and order priority.

For the Product Container, the jumbo box is earning the least in profit per order with of a loss of $139.59. Since the jumbo box is the only product container that is losing money therefore with a little over 6% of the orders there is room for improvement.

Secondly, all three ship modes have a positive profit per order, however the most expensive method for the company is the express air.

Finally, for the order priority, the category earning the least for the company is the highest level (just like in the ship mode) which are the orders classified as critical. 

 

W7Blog-Customers

Four Specific Customers

In order to make this information more prevalent, we selected four customers to look specifically into (as seen to the left). All four customers selected a critical order priority (at least once), but the two that used express air as a shipping method earned the company a loss on the profit per order. The other two customers also used low priority which when paired with the cheaper delivery methods of regular air and truck, allowed the company to see positive profits per order. Without looking at what they purchased, it would be more beneficial to the company to ship the products while not using both the critical priority and express air methods at the same time. However, the pairing of those two aspects go hand in hand. If an order is critical, the customer most likely would want the products as quickly as possible. In order to improve sales in this instance, perhaps when pairing the two qualifiers together, there could be a higher premium to help cover the loss. 

2 thoughts on “Superstore Sales – How to make more money

  1. Robyn Larsen

    The bulk of financial planning on our Website for individuals and actuarial planning for institutions is based on the time value of money and the life expectancy of the individual or population for whom you are preparing.

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