The products under investigation were;

• Biro
• Pencil
• A4 paper
• Markers
• Notepad
• Stapler

The report took the following approach;

• Data cleaning with Excel
• Data modeling and analysis for insights with PowerBi
• Data visualization with PowerBi

Assumption

• A tax rate of 5% was applied throughout the analysis.

KEY FINDINGS

Product Analysis

1. Units Sold by Products

• Biro, Notepad, and Markers emerged as the top-selling products, while Staplers, Pencils, and A4 Paper showed lower units sold.

2. Revenue and Manufacturing Cost Analysis

• Biro, Notepad, and Markers drove significant revenue, while Staplers, Pencils, and A4 Paper exhibited lower revenue. The manufacturing costs, of notepads, markers, and stapler seems relatively higher than the revenue generated leading to a profitability gap.

3. Profitable Products

• Biro was the most profitable product, followed by Pencil and A4 Paper. Notepad, Markers, and Stapler incurred losses due to high manufacturing costs.

4. Effect of Discount on Sales Performance

• Discounts contributed to increased revenue, with “High” discount bands yielding the highest revenue for the top-performing products.

5. Tax Analysis

• Biro, Pencil, and A4 Paper showed positive tax on profits, while Markers, Notepad, and Stapler incurred negative figures.

6. Year-on-year profit Growth/Decline

• Biro, A4 Paper, and Pencil experienced profit growth, whereas Markers, Notepad, and Stapler witnessed a decline in profit from Q4 2013 to Q4 2014.

Recommendation

• Prioritize optimization of sales and marketing strategies for Staplers, Pencils, and A4 Paper to address lower revenue and higher manufacturing costs. (especially for Staplers and Notepad).
• Focus on targeted marketing and pricing adjustments for low-performing products. (Staplers, Pencil, A4 Paper).
• Maintain effective marketing campaigns and consistent product quality for high-performing products.
• In terms of discounts, evaluate and adjust discount band strategies based on revenue by product and discount sales performance.
• Implement cost-effective measures for products with negative profits (Markers, Notepad, Stapler) to enhance overall profitability.
• Maintained a positive trajectory by continually monitoring yearly profit flows and adapting strategies to capitalize on growth opportunities, considering the extended timeframe from September 2013 to December 2014.

Segment Analysis

1. Unit Sold in each Segment

• Government, Midmarket, and Enterprise were key performance drivers, while Channel Partners and Small Businesses exhibited lower unit sales.

2. Revenue and Manufacturing Cost Analysis

• Key performance drivers in terms of revenue and manufacturing cost are Government, Small Business, and Enterprise, generating substantial revenue with associated costs. Conversely, Midmarket and Channel Partners exhibit low revenue and negative profitability.

3. Most Profitable Segment

• The most profitable segment is the small businesses, even though the government has the highest revenue, the high manufacturing cost of products reduced its profitability, making it second in terms of profit.

4. Breakdown of Sales Segment Performance by Products

• Biro was the top-selling product across segments.
• The government segment had the highest sales in terms of segment performance by-products
• The top three products from this segment are Biro, Stapler, and Marker.
• The Small Business segment is the least in terms of unit sold performance by product but happens to be more lucrative due to the lower cost of production involved in the top-performing products pushed to that segment.

5. Tax Analysis

• Small Businesses, Government, and Enterprises led in tax analysis, while Midmarket and Channel Partners incurred negative profits.

6. Year-on-Year Profit Growth/Decline

• The yearly profit flow analysis indicates a substantial increase in profit after tax from September 2013 to December 2014.

Recommendation

• Consider discontinuing or re-strategizing Midmarket and Channel Partner segments.
• Sustain efforts in key segments like Government, Small Business, and Enterprise.

State Analysis

1. Units Sold in each State

• Lagos, Ogun, and Oyo State were key drivers, while Ondo and Osun State exhibited lower unit sales.

2. Revenue and Manufacturing Cost Analysis

• Oyo, Lagos, and Ogun States generated more revenue and manufacturing costs, while Osun and Ondo State showed lower revenue and manufacturing costs.

3. State Profitability Analysis

• Osun, Ondo, and Lagos States were more profitable, while Oyo and Ogun State had lower profits.

4. Breakdown of State Performance by Product

• Biro was the most sold product across states, particularly in Lagos State.

5. Tax Analysis

• Osun, Ondo, and Lagos State had higher tax amounts, while Oyo and Ogun State had lower tax amounts.

6. Year-on-Year Profit Growth/Decline

• Positive profit growth was observed across states from September 2013 to December 2014.

Recommendation

• Focus on sustaining success in Lagos, Ogun, and Oyo States.
• Optimize strategies in Ondo and Osun States to improve revenue and profitability.
• Implement cost-effective measures in Oyo and Ogun States to enhance profitability.

Monitor yearly profit flows and adapt strategies for growth opportunities.