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.
W7Blog-ProductSubCategory

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.

W7Blog-ProductContShipPriority

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. 

Service Blueprint

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As of right now, below is the current process of a consumer entering an athletic event and finding and deciding on what food to order.
Services Blueprint

Now, we have inserted the issues faced in the image below.

Services Blueprint (Revision)We can fix this by…

Many factors lead to the mass inefficiency of the operation. Firstly, the extreme lack of communication and expectation level between higher supervisors and management to concessions staff leads to a majority of the inefficiencies. Most of the communication is done through radio devices. The devices are in a limited around thus only a few members of the staff are in communication with each other. The majority of the staff are only able to communicate with higher management by physically finding them or waiting for them at their appointed site. With this system in effect it is easy to see why communication is slow.

Before the consumers enter the facilities, the staff should be properly trained and confident in their assigned tasks. Therefore, the staff can then communicate better with the customers. This can be address with proper training. Staff training takes place only once before the season begins. Any other training is on a ‘learn on the job’ basis. In addition to that, rarely any feedback comes back to management on the performance of the staff. The staff needs a longer training period as well as a feedback session mid-season to improve work ethic and to discuss expectations. Most problems occur because the staff is not familiar with the facility or they have not learned to critically think and analyze the situation.

Next, all concession stands needs to be stocked in an orderly and similar manner.

Then, the staff needs to approach each athletic event as its own and not prepare food based on the attendance or sales of a previous game. The groups working in the stand need to communicate with each other in order to not over prepare the food. Also, the turnover rate is expected at 45 seconds per transaction. Groups need to work towards that goal to minimize lines.

The ‘O’ in DOS

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Greetings!

The ‘O‘ in DOS represents me, Olivia Leal. I am a Senior at University of Oregon studying General Social Science – Business and Economics just like ‘D‘ and ‘S‘. We shall be storming into the “real” world in approximately 32 school weeks! For this blog we are categorizing what Marketing is. So far we have started with the basic template for the website, but we have plans to customize it with CSS, HTML, and possible JS.

Cheers to the new school year!