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▒░░░PIZZA SALES DATA ANALYSIS░░░▒

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Business Understanding

Problem Statement

A manager at a Pizza Store aims to analyze 2015 sales data to identify growth opportunities and enhance customer satisfaction. This analysis focuses on uncovering sales patterns, identifying peak demand periods, and understanding the popularity of various pizza categories to gain insights into customer preferences. By leveraging these findings, the manager plans to create data-driven strategies to optimize sales, refine marketing efforts, and drive overall revenue growth.

Goals

  1. Increase Revenue:
  2. Increase Average Order Value (AOV):

Objectives

  • Identify sales patterns by time (monthly, hourly, weekday).
  • Understand Customer Purchase Behavior
  • Determine the most popular pizza categories or types.

Business Metrics

  1. Total Revenue: Total sales generated in the analysis period.
  2. Average Order Value (AOV): Average revenue per order.
  3. Total Pizzas Sold: Total number of pizzas sold over the year.
  4. Total Orders: Number of individual orders placed.
  5. Average Pizzas per Order: Average quantity of pizzas per transaction.

Exploratory Data Analysis (EDA)

Dataset

Decriptive Statistics

Feature Description Detail
pizza_id A unique identifier for each type of pizza, useful for specifically identifying pizzas 48620 ids
order_id A unique identifier for each order, helping to count the total number of orders and observe order trends 21350 ids
pizza_name_id A specific ID for the pizza name, which can be used to group orders by pizza name 92 ids
quantity The number of pizzas ordered, essential for seeing sales volume and identifying best-selling pizzas -
order_date The date of the order, useful for analyzing sales trends by day, month, or season 01-01-2015 to 31-12-2015
order_time The time of the order, beneficial for observing sales patterns during specific hours or times of day 9am - 11pm
unit_price The price per pizza, useful for calculating total revenue and analyzing price differences among pizza categories
total_price The total price of the order, allowing for the analysis of average order value and total revenue -
pizza_size The size of the pizza, which can be used to determine the most popular pizza sizes among customers Small, Medium, Large, X-Large, XX-Large
pizza_category The category of the pizza (e.g., vegetarian, meat lovers, etc.), helpful for understanding which categories customers prefer Chicken, Classic, Supreme, Veggie
pizza_ingredients A list of ingredients in the pizza, which can be analyzed to identify preferences for toppings or ingredients 32 kinds
pizza_name The name of the pizza, making it easier to identify the types of pizzas ordered 32 kinds

Insights

Analyze & Visualize Data

1. KPI's

image

2. Sales Trends

image

Explanation:

  • Based on the bar chart, it can be seen that there are two peak hours, which are from 12:00 to 1:00 PM and from 5:00 to 6:00 PM. Generally, customers prefer ordering pizza in the afternoon rather than in the morning.
  • There is a seasonal pattern in the pizza order time data. Pizza sales reach their peak in the second quarter (Q2), specifically in July. In July, sales account for approximately 8% of the total revenue.
  • A detailed analysis of the period from January to December 2015 indicates that customer demand for pizza was highest on Thursdays, Fridays, and Saturdays. These days consistently recorded the highest volume of orders, highlighting key periods of peak consumer activity.

3. Pizza Category

image

Tableau.Public.-.Pizza.Sales.Dashboard.2024-11-02.16-28-44.mp4
Category Description Detail
Classic pizza Traditional flavors The Napolitana, The Italian Capocollo, the Greek, The Classic Deluxe, The Big Meat, The Hawaiian, The Pepeperoni
Supreme pizza A variety of toppings The Spicy Italian, the Prociutto and Arugula, The Pepper Salami, The Italian Supreme, The Sicilian
Chicken pizza Main ingredient is chicken The Thai Chicken, The Southwest Chicken, The California Chicken, The Barbecue Chicken
Veggie pizza Fresh and vegetarian option The Four Cheese, The Vegetables+Vegetables, The Spinach and Feta, The Mexicana

Explanation:

  • Based on sales, Classic is the most popular category among customers at this pizza shop, generating revenue of $220.05K, which accounts for 26.91%. The 3rd best-selling pizzas in this category are The Classic Deluxe, The Hawaiian, and The Pepperoni.

  • The 2nd highest sales category is Supreme, with revenue of $208.20K (25.46%). The 3rd best-selling pizzas in this category are The Sicilian, The Spicy Italian, and The Italian Supreme.

  • The 3rd highest sales category is Chicken, which contributes 23.96% of the total revenue ($195.92K). The 3rd best-selling pizzas in this category are The Barbecue Chicken, The Thai Chicken, and The California Chicken.

  • The lowest sales category is Veggie, contributing approximately 23.68% or $193.69K in revenue. The top 3 selling pizzas in this category are The Four Cheese, The Vegetables+Vegetables, and The Mexicana.

4. Pizza Size

image

Tableau.Public.-.Pizza.Sales.Dashboard.2024-11-02.16-28-44.mp4

Explanation:

  • The majority of pizzas are available in Small, Medium, or Large sizes, except for a few specialty pizzas such as:

    • The Big Meat in the Classic category is only available in Small size.
    • The Greek is also available in X-Large and XX-Large sizes, but the XX-Large size has very few customers, with only 28 orders.
    • The Brie Carre in the Supreme category is only available in Small size.
    • The Five Cheese in the Veggie category is only available in Large size.
    • The Four Cheese is only available in Medium and Large sizes.
  • Based on revenue, the Large pizza size contributes approximately 45% of total revenue, Medium contributes about 30%, and Small contributes around 21%. Meanwhile, X-Large and XX-Large sizes have very low revenue, at less than 2%. In terms of customer preferences, the Large size is also the most popular, with 59.65% of total customers who have ordered, followed by 52.27% for Medium and 49.13% for Small.

5. Best/Worst-Selling

image

Explanation:

  • The Best-Selling pizzas based on the highest sales are The Classic Deluxe, which sold 2,453 boxes, contributing approximately ~10% of the total revenue, followed by The Barbecue Chicken, The Hawaiian, The Pepperoni, and The Thai Chicken. The 5th best-selling pizzas are Chicken and Classic pizza categories.
  • Conversely, the Worst-Selling Pizzas is The Brie Carre with 490 boxes sold. This is likely due to it being the most expensive pizza type, with the small size priced at $23.65. For the worst-selling pizzas, the Supreme category has poor sales performance.

Business Insights & Recommendation

Insights

  1. The peak hours for customers ordering pizza are from 12:00-1:00 pm during lunch and 5:00-6:00 pm during dinner. The highest number of pizza orders occurs during lunchtime, but generally, there is also a significant volume of customer orders throughout the afternoon. In terms of pizza categories, during both peak hours, Classic Pizza Category is the most ordered by customers.
  2. Total revenue for this year is $817.9K, with the highest revenue recorded in the second quarter (Q2), particularly in July, which coincides with Summer Season. A closer analysis reveals that sales peak on Thursdays, Fridays, and Saturdays compared to other days.
  3. Overall, the pizza category that generates the highest revenue is Classic, accounting for 26.91% or $220.05K, but other categories also contribute nearly balanced proportions of revenue.
  4. Based on revenue, the Large pizza size contributes approximately 45% of total revenue, Medium contributes about 30%, and Small contributes around 21%. Meanwhile, X-Large and XX-Large sizes have very low revenue, at less than ~2%. In terms of customer preferences, the Large size is also the most popular, with 59.65% of total customers who have ordered, followed by 52.27% for Medium and 49.13% for Small.
  5. Some pizzas have the best and worst sales figures. Overall, the Chicken and Classic pizza categories are the top-selling categories, with the best product being The Classic Deluxe, The Barbecue Chicken, The Hawaiian,The Pepeperoni, The Thai Chicken. On the other hand, the worst-selling pizza comes from the Supreme category, specifically The Brie Carre, as this pizza has the highest price among others, costing $23.65 for a small size.
  6. There are several best-selling products that can further improve their sales through various treatments. Additionally, some products should be focused on specific sizes, while others may need to be discontinued due to very low sales performance.

Recomendations

Based on the visual analysis and insights above, there are several recommendations I can suggest to the pizza store manager to improve revenue and AOV in the future, as follows:

1. Optimize Peak Hour Operations

  • Lunch and Dinner Promotions: Introduce special promotions during peak ordering hours (12:00-1:00 PM and 5:00-6:00 PM) to encourage more orders. Consider combo deals that include a drink or side with pizza orders.
  • Targeted Marketing Campaigns: Launch marketing campaigns focusing on the Classic Pizza category during these peak times, highlighting popular items like The Classic Deluxe, The Barbecue Chicken, The Hawaiian,The Pepeperoni, The Thai Chicken.

2. Focus on High-Performance Season

  • Seasonal Promotion: Organize special events during the summer in Q2 (July) and, if possible, collaborate with local areas to attract customer attention. You can also send email marketing campaigns promoting pizza during the summer. The store can create special summer events offering free shipping on family-sized orders.
  • Weekly Specials: Since Thursdays, Fridays, and Saturdays show higher sales, implement weekly specials on these days to attract more customers. Consider themed nights, such as art events, music, or other entertainment to attract customers, especially families.
  • Loyalty Rewards: Encourage repeat purchases on peak days through a loyalty program that offers discounts or freebies for orders placed on these specific days.

3. Enhance Classic Pizza Offerings

  • Menu Expansion: Since the Classic category generates the highest revenue, consider expanding this menu with new flavors or seasonal offerings to attract repeat customers.
  • Highlight Best Sellers: Promote The Classic Deluxe prominently in marketing materials and online platforms to capitalize on its popularity.

4. Adjust Size Offerings

  • Focus on Popular Sizes: Given that the Large size accounts for approximately 45% of total revenue and is the most popular among customers, consider optimizing the menu to highlight Large pizza options.
  • Discontinue Low-Selling Sizes: I recommend focusing only on sizes that have high demand, especially those ordered less than 200 boxes during the 2015 periode.
  • Encourage Medium and Small Sizes: Offer discounts or promotional deals on Medium and Small sizes to boost their sales, especially for customers looking for lighter options. consider combo deals or buy 1 something size get the small or medium size

5. Address Underperforming Products

  • Product Discontinuation: Identify consistently low-performing products for potential discontinuation. I recommend not continuing The Brie Carre.

6. Analyze Customer Preferences

  • Customer Survey: Regularly collect customer feedback on pizza preferences and sizes to adjust offerings based on consumer demand and trends.

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