From Cappuccino to Cashflow: A Maven Café Connoisseur Analysis

As a Business Intelligence Analyst, I spearheaded the transformation of data into actionable insights that the for Maven Roasters, a small-batch coffee chain based in New York City, to enhance their business by analyzing business sales trend, top products, inventory and customer loyalty. My analysis was focused on calculating advance DAX measures such as Time Intelligence Functions, Iterator Functions, Scalar Functions, Calculated Functions and Relationship Functions. ****

1. Product Insights :

a. Barista Espresso: The most popular size purchased is 16 oz, primarily due to our promotional offers. Smaller quantities, such as 1.5 oz and 3.0 oz, are chosen by customers who enjoy the experience of sipping coffee, imagining themselves in Venice with coffee from Rio.

b. Hot Chocolate: Customers tend to buy 12 oz and 16 oz servings, appreciating its slightly bitter yet rich taste with a pure note of spice. Those who opt for the 8 oz serving often add marshmallows for an extra sugar rush.

c. Brewed Chai Tea: Popular sizes are 16 oz and 24 oz, selected by customers who want to feel invigorated and enjoy a tropical breeze sensation, especially after a morning yoga routine.

d. Biscotti: Customers typically opt for a single piece to enjoy alongside their preferred drink, appreciating the satisfying crunch.

e. Premium Beans: While 1 lb (0.45 kg) bags are popular for starting the day right, the 0.5 lb (0.23 kg) option is intriguing due to its higher cost, appealing to those who appreciate premium coffee.

f. Pastries: Single pastries are commonly purchased with drinks for their texture and taste, including crunch, chocolate flakes, and buttery layers.

g. Add-ons: These are not preferred by customers despite their lower minimal cost. The retail price is between $0.76 and $0.82, while the wholesale price ranges from $0.30 to $0.40, offering minimal profit margins.

h. Product Insights: We have 87 products with tax exemptions, and our promotional offers significantly influence purchasing behavior.

2. Consumer Insights :

a. Customer Sales: Current sales are $4.25 million, consistent with last year's figures, and involve 2.25k customers.

b. Total Profit: Total profit is $3.16 million, with home stores contributing significantly.

c. Customer Purchase Behavior: The average daily sales amount is $4 million, with an average order value of $1,889.25. The average customer count is 4,289.09, with a strong loyalty base dating back to 1950. The average order value ranges from $500 to $3k across all customer demographics, including male, female, and unspecified genders.

3. Inventory Insights :

a. Morning Inventory: Start-of-day stock levels are substantial across stores, indicating strong inventory management.

b. Ready, Set, Stock!: Baked items in inventory range in value from $45k to $120k.

4. Cost Insights:

a. Baking Costs: The cost of baking croissants is $62.37k, biscotti is $50.56k, and scones is $62.70k.

b. Meet Our Team: Key personnel have significant experience in managing stores and warehouses, contributing to the overall success of the café operations:

1. Adam (Head of Barista): Adam has been with the company since April 2008, managing barista operations and ensuring quality service in the warehouse.

2. Adrian (Store Manager): With experience dating back to October 2001, Adrian has successfully managed 10 locations, bringing a wealth of knowledge in store management.

3. Alisa (Coffee Wrangler): Alisa, a key member since February 2005, has overseen operations in two locations, specializing in coffee handling and quality control.

4. Chelsea (Roaster): Chelsea has been roasting since July 2003, expertly managing the warehouse to maintain the highest standards in coffee production.

5. Jaimine (Head of Barista): Since October 2007, Jaimine has led the barista team, ensuring excellence in coffee preparation and customer service within the warehouse.

6. Jean (CEO): Jean has been at the helm since August 2001, guiding the company’s strategic direction and overseeing overall operations to ensure sustained growth and success.

5. Store Insights :

a. Pastry Inventory: There are high levels of unsold pastries, with 32k to 109,446 units piling up, particularly oatmeal scones.

b. Seasonal Sales Analysis: In the first six months, leftover pastries range from 3k to 11,538 units, and in the second six months, from 2.3k to 8k units. This suggests seasonal demand fluctuations.

c. Key Performing Indicators: Each store generates around $1.42 million in sales, indicating consistent performance across locations. The inventory of baked products shows a wide range, from 45k to 120k units, reflecting potential overstocking issues. With 507k units of unsold food resulting in a $1.39 million revenue loss, there are significant inefficiencies in current inventory management practices.

Recommendations:

1. Optimize Promotions: Continue the successful 16oz Barista Espresso promotion and explore additional promotions for smaller sizes by emphasizing the unique, experiential value.
2. Enhance Product Offerings: Introduce flavored marshmallows for hot chocolate and bundle biscotti with drinks to boost cross-sales.
3. Refine Inventory Management: Adjust inventory levels based on historical demand data to reduce waste and prevent overstocking.
4. Monitor Baking Costs: Conduct a detailed cost analysis to identify opportunities for reducing baking expenses while maintaining product quality.
5. Expand Customer Loyalty Programs: Leverage the high customer loyalty by offering personalized promotions and rewards to increase repeat purchases.
6. Improve Operational Efficiency: Review and optimize production schedules to align more closely with seasonal demand, minimizing unsold inventory.
7. Reevaluate Add-ons: Consider re-pricing or reintroducing add-ons with enhanced marketing to increase their appeal and profitability.