CONTENTS

Executive Summary

Exploratory Data Analysis (EDA)

Research Journey

Model Building – Results and Analysis

Recommendations and Conclusions

 EXECUTIVE SUMMARY
As in the real world, loans may originate before the
start of the observation period (this is an issue where
loans are transferred between banks and investors as
in securitization).
The loan observations may thus be censored as the
loans mature or borrowers refinance.
 TOTAL SALES – MONTH WISE

1. December has the highest sales (3,473,691 $) which is approximately 10.5% of the total sales
in that fi nancial Year(2010-11) followed by January.
2. Also sales went up from November to December and again went down in January compared to
that of December. This might be due to Christmas. We need to see what all contributed to the
sales.
 QUANTITY SOLD – MONTH WISE

1. Most of the items were sold in December followed by January. But quanti ty sold in January is
lower than that of the quanti ty sold in December.
2. Quanti ty of items sold gradually increased from June ti ll August and then decreased (this
might be due to the vacati on).
 SALES & QUANTITY – CATEGORY WISE

1. We can see that TOBACCO contributes the most to the sales even if the quanti ty sold is not the
highest followed by FOOD.
2. Quanti ty of FOOD sold is the highest followed by BEVERAGE.
 SALES – CATEGORY & MONTH WISE

We can clearly see that TOBACCO, FOOD and BEVERAGE are the major contributors to sales across all the months.
 CUSTOMER PREFERENCE – DAY OF WEEK

1. Based on the quantity sold we can say the customer preferences for each category:
a) FOOD : SATURDAY
b) BEVERAGES : SATURDAY
c) LIQUOR : SATURDAY
d) MISC : FRIDAY
e) MERCHANDISE : SUNDAY
f) TOBACCO : SATURDAY
g) WINES : SATURDAY
CUSTOMER PREFERENCE – TIME OF DAY

1. Based on the quantity sold we can say the

customer preferences:
a) FOOD : 6 PM to 9 PM
b) BEVERAGES : 6 PM to 9 PM
c) LIQUOR : 9 PM to 12 AM
d) MERCHANDISE : 6 PM to 9 PM
e) TOBACCO : 9 PM to 12 AM
f) WINES : 9 PM to 12 AM
 ITEMS TO BE DISCONTINUED
We can get the actual number from the clients on the same. But as a recommendation from our end, Items with
quantity sold less than 50 and total sales less than 2000 can be discontinued.
SALES & QUANTITY – MONTH WISE [TREND]

1. We can clearly see that Quantity sold and total sales in December is highest across all the categories.
2. From January till June, sales of all the categories are low.
3. Sales went up in July across all the categories.
4. Sales went up in August compared to that of July across few categories (FOOD, BEVERAGE and TOBACCO).
5. We can clearly see a trend across all the categories (sales are highest in December and there’s a dip in the sales
after December. Sales across categories increased in December compared to November across all categories.
 SALES & QUANTITY – DAY WISE [TREND]

1. We can clearly see that Quantity sold and Total Sales is highest on Saturday.
2. Saturday and Sunday (weekends) have high sales compared to weekdays.
 SALES & QUANTITY – HOUR WISE [TREND]
SALES QUANTITY

1. Sales of TOBACCO keeps increasing steadily from 11 am till 11 pm.

2. Quantity of FOOD sold kept increasing steadily from 11 am till 11 pm.
3. Peak Hours for FOOD sales: 7 pm to 10 pm
4. Peak Hours to sell FOOD, TOBACCO & BEVERAGES: 4pm to 11 pm
 TOP 10 ITEMS SOLD IN EACH CATEGORY

We will use the above information and then prepare the combo meals set. We will look at the Menu Analysis and then take
a decision combining these top sold items with that of the combos that are sold. Doing this, customers will purchase the top
selling items as a combo and thereby increasing the sales.
 MENU ANALYSIS
FOOD  LIQUOR

Microsoft Excel
Worksheet

BEVERAGES  WINES

 MERCHANDISE

 TOBACCO  MISC

In simple words, people who purchased Antecedents also purchased Consequents.

For Example under FOOD Category, customers who purchased “ADD FRIES” also purchased “B.M.T PANINI”. This
can be one of the combo meal Item with reduced price to attract more customers. Business can take a decision
based on the lift score which is attached in the excel sheet and come to conclusion.
 POSITIVELY IMPACTED ITEMS – WITH PRICE
CHANGES

These are positively impacted items (Sales increased) with changes in the price of the Item.
Note: Few Items have constant quantity purchased and hence there is an impact on the Microsoft Excel
Comma Separated Values Fi
sales.
 NEGATIVELY IMPACTED ITEMS – WITH PRICE
CHANGES

These are negatively impacted items (Sales decreased) with changes in the price of the Item.
Note: Few Items have constant quantity purchased and hence there is an impact on the Microsoft Excel
Comma Separated Values Fi
sales.
 PRICE ANALYSIS CHART
Quadrant-1: Price increased – Total Sales increased
Quadrant-2: Price decreased – Total Sales increased
Quadrant-3: Price decreased – Total Sales decreased
Microsoft Excel
Quadrant-4: Price increased – Total Sales decreased Comma Separated Values Fi
Quadrant-1: Price increased – Sales Volume increased
Quadrant-2: Price decreased – Sales Volume increased
Quadrant-3: Price decreased – Sales Volume decreased
Quadrant-4: Price increased – Sales Volume decreased
 PRICE ANALYSIS CHART – CATEGORY WISE

Category wise sales volume change with change in price.

TOBACCO has good sales growth even after the change in price.
 RECOMMENDATIONS
Point-1: Include Combo Meals
• We have the list of items that are being sold together. Start selling the Combo meals based on the quantity sold
and provide some discounts. Doing this will increase the revenues and increases the customer base as well.
Point-2: Discontinue few Items
• As per the analysis, there are few items which are generating low sales. These items can be discontinued to
improve the inventory space that is being consumed. This inventory space can be used by other top selling items.
Point-3: Price change in December Month
• As we can see the sales are peak in December. Price of the items can be increased from 1% to 10% to increase the
overall revenue. To increase customer base and increase the volume of sales, discounts can be offered to
customers.
Point-4: Customers Loyalty Program
• Launch customers loyalty program to offer discounts to customers who visit the store quite often. Doing this,
will improve the customer base.
Point-5: Increase Price of Items
• Increasing the Price of the Tobacco can give good revenues. Customers are purchasing TOBACCO even If the
price is increased.
• Also, we have given the details of the items whose sales got effected with change in the price. A clear strategy
needs to be implemented to tackle these situations.