Plato pizza can do better performance wise

The aim of the project was to give a year-end review of the company's performance and identify areas of growth in the business based on the year's performance.

The following were some of the questions I posed to help me with my analysis

What time was the busiest time for operations?

What category of pizza performed best in terms of revenue and order quantity?

What was the revenue month-on-month growth rate like?

Which pizza’s were the best performing in terms of revenue and order quantity and which was the worst performing?

What pizza size was most popular among customers?

To get more insights into the answers gotten after analysis of these questions, further questions were posed to get more holistic answers into why the answers came out the way they did, and help with insights and recommendations.

About the data

The data contained four tables which were imported into power bi and transformed to make the data ready for analysis.

The tables include the orders tables, order details table, the pizza types table and the pizza table.

In order to carry out an appropriate analysis I had to create a date table that contained the month and day name. The time column in the order details table was rounded to hours prior to the hour, minute and second format it was in. This was to prevent bulk in my analysis and allow me to check hourly performance which is a better metric than the format it was previously in.

A summarised performance was given as an overview of the company's performance. These include Total revenue, average monthly revenue, average monthly order quantity, total order quantity, average orders and total orders.

Analysis

Exploratory data analysis was carried out to check what pizza size performed better in terms of order quantity. Large size came out to be the most popular size according to order quantity and extra extra large size the least popular. diving deeper into why this was the case I noticed that only classic category pizzas among all four categories had this size and it was also the least ordered in that category, Also only the greek pizza among all classic pizzas had this size. the reason for its low demand could be because of its price.

The revenue according to month was also explored and the month-on-month growth rate was also explored to show the percentage rise or fall in revenue performance from the previous month. One striking point of note was a decrease in percentage in December from November which is odd since December is a holiday month and most retail businesses such as Plato pizza tend to make large sales during the holiday season.

In order to optimize business working hours I looked into the average monthly orders per hour. I used average monthly orders instead of average monthly order quantity because there isn’t much difference between the orders and order quantity since most orders were mostly for a quantity of one. I discovered that changing the working hour from 9 am-11 pm to 11 am-10 pm will improve business performance because there isn't many orders or much revenue generated during the hours removed. While there will be a slight decrease in revenue 0.81% to be precise it would save operational costs in the long run which the revenue generated during those hours cannot cover.

The exploratory analysis also showed that weekends were the busiest in orders on an average monthly order level as well.

I also looked into the top five and bottom five pizzas according to revenue and the top and bottom pizza according to order quantity

The Classic deluxe pizza despite having the highest order quantity did not produce the highest revenue which was due to most of its sales coming from its medium size compared to other better-performing pizzas which had their most sales from the large size which is more expensive than its medium size. the Thai chicken pizza had the highest revenue.

The Brie pizza came bottom in both revenue and order quantity. on further investigation, I found out that it could be due to the fact that this pizza is available in just one size which is a small size.

Recommendations

The most prominent recommendation was a combo sales for pizzas and discount prices to help increase sales of products and an improvement in marketing strategy during the holiday periods in order to be above par with competitors.

I also recommended changing business working hours to help save operational cost since some working hours currently being used was counterproductive.

increasing the price of popular pizza products and decreasing the prices of unpopular products can bring about a significant improvement in performance if done wisely. understanding customers’ loyalty to certain products and sizes and the reasons for their preference will help the marketing team come up with better pricing strategies to improve performance.