Sales Profitability Analysis
Posted: Wed Jan 29, 2025 5:52 am
It is carried out with the purpose of making an economic assessment of the established sales system. Here you will need information from the profitability plan and figures on actual sales. The profitability plan, in turn, is formed on the basis of the business plan and taking into account previous indicators.
Sales profitability analysis allows you to make forecasts regarding the possible profit from each ruble of revenue received. This figure must necessarily exceed zero. The following food and beverage email list formula is used for calculations:
Profitability = Total Profit / Revenue Volume
Based on the data obtained, it is possible to plan work for the future, as well as adjust the current state of affairs in order to improve the profitability indicator.
Sales analysis based on customer base data research
It is carried out in order to determine how quickly the number of clients is growing and whether the existing positions of the base are sufficiently developed.
Sales volumes, and therefore profits, directly depend on the number of customers who have already purchased one or more of the products presented by the company.
The company's revenue comes from the money that customers pay. And they expect to buy a quality product at a reasonable price. A sale may not take place if the customer does not receive the expected level of quality, service, or a reasonable price.
Therefore, sales analysis must necessarily include the customer base, and specifically the following data:
The number of all customers (OCB, i.e. the total customer base) who have already made a purchase once or you have discussed the possibility of future transactions with them.
ACB, which stands for Active Customer Base. This category includes everyone who has already purchased a certain product or made a transaction in the selected time period.
By collecting this data, you can see how many new contracts were concluded, which will certainly mean an increase in sales volumes.
Sales analysis with the involvement of third-party experts
It is carried out when it is necessary to give a quick assessment of the company's performance.
The data obtained are ultimately quite subjective. To a large extent, this may be due to the invitation of the same specialists, for whom the reliability of the indicators does not play a big role.
This method of sales analysis shows good results when the clients themselves, the so-called counterparties of the company being researched, are involved in the surveys.
First, a list of factors that are important to customers should be identified, and then surveys are conducted. People state their position on each factor, and based on this, appropriate assessments are made, and all the results are summarized in a table.
Expert sales analysis is very useful when it is necessary to study both the external and internal environment of the company. The experts can be members of the management, ordinary employees (but with sufficient experience), and also clients.
Sales profitability analysis allows you to make forecasts regarding the possible profit from each ruble of revenue received. This figure must necessarily exceed zero. The following food and beverage email list formula is used for calculations:
Profitability = Total Profit / Revenue Volume
Based on the data obtained, it is possible to plan work for the future, as well as adjust the current state of affairs in order to improve the profitability indicator.
Sales analysis based on customer base data research
It is carried out in order to determine how quickly the number of clients is growing and whether the existing positions of the base are sufficiently developed.
Sales volumes, and therefore profits, directly depend on the number of customers who have already purchased one or more of the products presented by the company.
The company's revenue comes from the money that customers pay. And they expect to buy a quality product at a reasonable price. A sale may not take place if the customer does not receive the expected level of quality, service, or a reasonable price.
Therefore, sales analysis must necessarily include the customer base, and specifically the following data:
The number of all customers (OCB, i.e. the total customer base) who have already made a purchase once or you have discussed the possibility of future transactions with them.
ACB, which stands for Active Customer Base. This category includes everyone who has already purchased a certain product or made a transaction in the selected time period.
By collecting this data, you can see how many new contracts were concluded, which will certainly mean an increase in sales volumes.
Sales analysis with the involvement of third-party experts
It is carried out when it is necessary to give a quick assessment of the company's performance.
The data obtained are ultimately quite subjective. To a large extent, this may be due to the invitation of the same specialists, for whom the reliability of the indicators does not play a big role.
This method of sales analysis shows good results when the clients themselves, the so-called counterparties of the company being researched, are involved in the surveys.
First, a list of factors that are important to customers should be identified, and then surveys are conducted. People state their position on each factor, and based on this, appropriate assessments are made, and all the results are summarized in a table.
Expert sales analysis is very useful when it is necessary to study both the external and internal environment of the company. The experts can be members of the management, ordinary employees (but with sufficient experience), and also clients.