Recommendations for Cafe Owner based on data

OBSERVATIONS DECEMBER HAS HIGHEST FOOTFALL WITH HIGHEST NO. OF ORDERS IS PLACED ON 31ST DECEMBER 2010 I.E. NEW YEAR. LOWEST FOOTFALL IS IN JUNE. THEREBY, 4TH QUARTER SHOWS HIGHEST FOOTFALL. MOST SOLD ITEM IS NIRVANA HOOKAH SINGLE HIGHEST NO. OF ORDERS PLACED AT 22:25:36.00 HIGHEST PER UNIT COST IS OF GOSSIPS CHARD AUS (BTL) WHICH IS SOLD ONLY ONCE. HIGHEST REVENUE IS FROM TOBACCO PRODUCTS. LEAST REVENUE IS FROM MERCHANDISE PRODUCTS. SALES ON ANY DAY ARE PICKING UP FROM 10:00AM AND FALLS AFTER 3:00 AM (CAFE OPERATES 24*7). MAJOR RUSH IS ON WEEKEND WITH HIGHEST ON SATURDAY. UNDER BEVERAGES: CAPPUCCINO HAS GAINED MAXIMUM REVENUE.                  MOCAFE HOT CHOCOLATE(SF) HAS GAINED MINIMUM REVENUE. UNDER LIQUOR:CARLSBERG HAS GAINED MAXIMUM REVENUE.             WHISKEY (SM) HAS GAINED MINIMUM REVENUE.                  UNDER MERCHANDISE:GREAT LAKES T-SHIRTS HAS GAINED MAXIMUM REVENUE.             CUTTING GLASS HAS GAINED MINIMUM REVENUE.       UNDER TOBACCO:NIRVANA HOOKAH SINGLE HAS GAINED MAXIMUM REVENUE.             GOLD FLAKE ULTRA LIGHTS(20) HAS GAINED MINIMUM REVENUE.       UNDER WINES:VLN CAB SAUV (GLS) HAS GAINED MAXIMUM REVENUE.             MANDALA VALLEY CHENIN BLANC(GL) HAS GAINED MINIMUM REVENUE. UNDER WINES:ADD ON S HAS GAINED MAXIMUM REVENUE.             ROMA TOMATO & JALAPENO CROQUE HAS GAINED MINIMUM REVENUE. UNDER FOOD:GREAT LAKES SHAKE HAS GAINED MAXIMUM REVENUE.             NONVEG PASTA PESTO HAS GAINED MINIMUM REVENUE. UNDER FOOD:BEER HOOKAH HAS GAINED MAXIMUM REVENUE.             2 DOM BEER + 1PREM SHEESHA HAS GAINED MINIMUM REVENUE. RECOMMENDATIONS: CAFE MAY DISCONTINUE THE MINIMUM REVENUE GENERATING ITEMS FROM THE MENU FROM EACH CATEGORY. CAFE MUST DISCONTINUE THE FOLLOWING ITEMS AS THEY HAVE BEEN ORDERED ONLY ONCE DURING THE WHOLE YEAR: 1.  1+1 VLN CAB SAUV (BTL) 2.  1+1 VLN SAUV BLANC (BTL) 3.  2 AXE TWIST 4.  2 OCEAN PINOTAGE (BTL) 5.  4 SEASONS CLAS SYRAH(BTL) 6.  ADD BUTTERED TOAST 7.  AL SIKANDARI HOOKAH DOUBLE 8.  ASH TRAYS 9.  AVALANCHE BOWL 10.         B1G1 4SEASON CLAS SAUV(BTL) 11.         B1G1 4SEASON CLAS SAUV(GLS) 12.         BEACH GREEN 13.         BENARAS BLUE 14.         CAPONATA 15.         CH CRICKET NOTEBOOK 16.         CH TIN SMALL 17.         CHAIRMAN COOL 18.         CLASSIC REGULAR 19.         COUNTRY LEMONADE GLASS(HANSA) 20.         CUTTING GLASS 21.         DECAFFINATE COFFEE FRAPPE 22.         DHARMATEA LIGHT HOLDER 23.         DIP BOWL 24.         ETCHED LEAF TLIGHT HOLDER 25.         FLAVOR 1000 GMS 26.         GOLD FLAKE ULTRA LIGHTS(20) 27.         GOLDEN DELIGHT 1.1 28.         GOSSIPS CHARD AUS (BTL) 29.         GRAPPO SHEESHA 30.         GREAT LAKES MUG SINGLE 31.         GUERILLA COOL 32.         HOEGAARDEN GLS (2+1) 33.         HOEGAARDEN LTR MUGS (2+1) 34.         INDIA KINGS OCEAN BLUE 35.         KITSCH BLUE 36.         KITSCH PINK 37.         KONKAN STRIPE 38.         MANDALA VALLEY CHENIN BLANC(GL 39.         MANDALA VALLEY RED ZINFANDEL(G 40.         MANGO FLAVOUR SINGLE 41.         MATEUS ROSE PORTUGAL(BTL) 42.         MOCAFE HOT CHOCOLATE(SF) 43.         MODEL-P (IRON ASHTRAY) 44.         MUGS - PLAIN COLOUR 45.         ROCK THE BOAT TEA LIGHT HOLDER 46.         SCHNEIDER 2+1 47.         SHAKE GLASS 48.         SILVER STYLER 1.0 49.         SULA CHENIN BLANC (BTL) 50.         UDAIPUR LILY 51.         WHISKEY (SM) 52.         ZEN ROCK SQUARE VASE 53.         ZINZI WHITE (BTL) ONLY 0.2% OF ITEMS SOLD ARE ON DISCOUNT.DISCOUNT ON ITEMS MAY BE DISCOUNTINUED AS THEY ARE NOT BOOSTING THE QUANTITY SOLD. INSTEAD OF WORKING 24*7, CAFE MAY SCHEDULE ITS TIMING FROM 10:00AM TO 3:00 AM (OPEN ON ALL DAYS).      

1.       The sales in December are very high compared to other months. This is because of the New Year season celebrations. Some beverages namely KF draft mug, redbull sheesha, paan sheesha, ice berg sheesha, MM masala sheesha etc. are made only for 31st December. These items can be introduced on regular basis in second quarter for increasing revenue.
2.       Items like Red Bull(3+2) week number(3-17), Arabian mist(3-41), Eng breakfast tea(3-14) can be introduced in these weeks to boost sales.
3.       Sale of the café is negligible from (9:00-11:00) and (02:00-07:00), therefore café must be closed during these hours.
4.       As per category analysis the sale and contribution of Merchandise, Wine and Misc  items is very less in the total revenue. Therefore, resources must be shifted from these to tobacco and liquor.
Data: Wine above Rs1200-the sale is very less. These items must be discontinued.  
5.       Footfall on Tuesday is less compared to other days. The sale of non-veg items and alcohol is very less. Therefore, combos can be provided with some discounts on these items. example: 3.5L beer tank can be given with a Chicken Item combos.
6.       Footfall on Saturday is maximum, good time to test new combos.
7.       Some items from every category can be removed and the resources can be shifted in relevant areas. Example: What a menon, peach bull , 2 axe twist, waffles+beverage ,non veg pasta pesto, chicken ham, alio aglio etc.
8.       Due to decrease price the sales are negatively affected. The prices of these items are to be increased. Eg.Maggi Ndthali style, poutine with fries etc.
9.       The price increase of some items improved the sales, therefore this must be continued. eg Red Bull energy drink, H R G Hookah etc.
10.   The best time to test combos is in Quarter 3 as the revenue generated is maximum(26.9%).

1. Time of the day analysis suggests that between 9 to 10 AM , the footfall is pretty low , close to zero . This means that the café could be shut down during this time of the day . But since shutting down would increase profits and not revenue , this time should be utilised to prepare for the day ahead.

2.Category Revenue Composition shows that 'tobacco' category is the highest contributor to the revenue followed by food .Thus it is recommended that a combo be made selecting one product each from   'tobacco'  and 'food' category .

3.Weekly footfall analysis points out the fact that Saturday has the highest footfall. Hence  products with low sales figures should be promoted on this day .

4.Quarterly revenue analysis data shows that the 2nd quarter ( Apr to June ) contributes the least to the total revenue(in terms of %age).It is recommended that during this period , more discounts and offers be given.

5.Wines is the smallest contributor to the revenue. Wines such as  'SULA CHENIN BLANC' and  '2 OCEAN PINOTAGE' should be removed as only 1 of each is being sold . Doing this would simplify and reduce the inventory management process and thus increase revenue.

DATA ANAYTICS WORKSHOP
I would like to give the following under mentioned set of recommendations to the owner of the Café Chain restaurant. Which will surely, help him to increase his revenues by minimizing cost and maximizing sales. These suggestions are based upon the provided POS data:- ·        

•   Quarterly revenue data reveals that quarter 2 i.e. April, May, June has the total revenue of only 71.6% which is very less in comparison with the subsequent quarters. Here we know that children usually have vacation during this time so my recommendation is convert few of the waiters into the cartoon characters (it won’t cost much as one has to only buy the costume) and if it works well then the restaurant can increase their horizon by incorporating some indoor game and rides. ·     
•      Days of the week analysis shows that there is heavy footfall on the weekend. Here, we need a idea which will give the customers a door to door service on the weekdays, as they are unable to walk into the restaurant. So, what the owner can do is he can give a free delivery service and on every order the customer will get some point which he can redeem on the weekends. ·      
•    The owner can cut-short his employee during the non –peak hours and can call them into shifts by doing this his cost of salary decreases, due to less working hours employees would be enthusiastic and would work in efficient and effective manner. ·     
•     As, we can infer from the data that the opening and closing time are somewhere around 9:30 in the late morning till 6 of the next morning and we can easily see that during 9:30 till 11 there are almost negligible customer same as after 2 in the night so, during this time owner can turn off his electronic gadget which will help him to minimize the electricity bill which ultimately leads to higher revenues. ·        
•   During the non-peak hour the owner can give discount and goodies to the customers. ·     
•     The owner can minimize their tax rate as the range of tax is from 0 to 2731.50 or also if someone buying more than 4 or 5 goods or say good of up to a certain amount then he/she will be given rebate in the tax along with this they will become their ‘PRIME CUSTOMER’. These prime customers are entails with certain benefits like if they visit the restaurant they need not have to wait for their order to be processed. It will be done on priority basis. ·    
•      Lastly, from the days of week analysis we can easily see that the footfall on Saturday is comparatively highly from other weekdays. So , what the owner can do is – he can slightly raise the price on the behalf social benefit to the deprived section of the society. Submitted by: PREETY SHARMA