Christmas Sales Report

Summary

Report submitted for the FP20 Analytics ZoomCharts Challenge, December 2024. The report was built using the Christmas Sales & Trends Dataset and includes ZoomCharts custom Drill Down PRO visuals for Power BI.

Author's description:

Objectives:

The primary goal of this analysis is to examine holiday shopping behavior and sales trends across Christmas, Black Friday, and non-event periods. Insights into customer preferences, the effectiveness of promotions, and factors driving customer satisfaction will inform strategies for optimizing future holiday sales.

Business Context:

Understanding consumer behavior during peak shopping events is crucial for businesses aiming to maximize revenue and improve customer satisfaction. Analyzing the data enables organizations to:

• Tailor promotional campaigns to boost sales.

• Identify factors influencing customer satisfaction.

• Optimize inventory and staffing during high-demand periods.

• Develop actionable strategies for future holiday seasons.

Data Overview:

Source: FP20 Analytics December 2024 Challenge
Key Variables:

• Sales Metrics: Orders, order percentages, sales comparisons (CY vs. PY), and product categories.

• Return Analysis: Return percentages and successful deliveries.

• Geographical Insights: Sales distribution across regions.

Data Preparation and Modeling:

The data underwent cleaning, transformation, and modeling to ensure accuracy:

• Cleaning: Corrected errors (e.g., swapped latitude/longitude), removed redundant columns, and standardized data types.

• Modeling: Created a Date Table, custom columns, and established relationships between datasets for seamless visualization.

Key Insights:

• Overview:

  • 50%+ of orders were returned.

  • Total sales: $781K, with Toys as the top revenue category, and Electronics leading in orders.

  • Most preferred delivery type: Priority Delivery.

  • Highest sales on Black Friday, with online orders dominating.

  • Evening hours (8 PM-10 PM) saw peak sales and return activity.

• Event Analysis:

  • Christmas Market: $239.39K in sales, with an 18.8% YoY growth. Rainy weather drove the highest sales, and Clothing was the most popular category.

  • Black Friday: $308.90K in sales, but a 6.7% YoY decline. Electronics topped the sales charts.

  • Non-Event Periods: $233.08K in sales, with a 6.3% YoY decline. Food was the preferred category during these times.

• Return Analysis:

  • Total returns: $803K, exceeding total sales, indicating significant issues with satisfaction or purchase behavior.

  • Returns were highest among Working Age Adults, particularly for Electronics, with online payments and express delivery linked to higher return rates.

Findings:

• Sales vs. Returns Timing Correlation: Peak sales coincide with peak return times, suggesting dissatisfaction or impulse buying.

• Event-Specific Trends: Black Friday had the highest returns, particularly for Electronics, indicating a need to improve product descriptions or manage customer expectations.

• Weather Impact: Rainy weather boosted sales during the Christmas Market but also contributed to higher return rates, likely due to rushed purchases.

• Demographics: Working Age Adults are key, contributing significantly to both sales and returns.

Recommendations:

1. Improve Product Descriptions for Electronics: Address high return rates by ensuring clearer product descriptions and quality assurance processes.

2. Target Peak Hours for Promotions: Focus campaigns on Fridays and Saturdays during peak sales hours (12 PM–6 PM) while addressing dissatisfaction during evening purchases (8 PM–10 PM).

3. Region-Specific Strategies: Develop plans for areas with high return rates (e.g., British Columbia) and capitalize on strong regions (e.g., Newfoundland and Labrador).

4. Enhance Customer Satisfaction for Working Adults: Tailor loyalty programs or post-purchase engagement strategies to this demographic.

5. Reassess Express Delivery: Ensure the Express Delivery offering meets customer expectations to reduce return rates associated with expedited services.