How Business Intelligence (BI) Changes the businesses? We have done a real-time sample analysis of BUSINESS INTELLIGENCE.
We ask one of our customer for his one-year data for the real impact on business in terms of profit, directly and indirectly.
The customer is using our GST software since GST implementation.
We explain to him how it can increase profit and help to take a decision to grow his business. He doesn’t hesitate to share his data.
After coming up the data, we discovered some surprising facts which we are going to share with you.
Before sharing the analytics, we should know what Business Intelligence is.
Business intelligence is an automated technology-driven data analyzing the process.
It basically works in three steps.
Data Mining: First software Collects real-time data from various data tables.
Data cleaning process: After collecting the complex data, an automated program will clean it and convert raw data into meaningful information
Presentation: User can pull the data, and see it on a computer screen as a graphical dashboard or as a report format in an organized structure.
Benefits of BI is NOW only enjoyed by large organizations and corporations.
The small and medium business even hardly heard about Business Intelligence (BI).
Zubizi Web Solutions is the first Indian company who made it available for small and medium business in their GST accounting software.
Let’s see how above mentioned real data by using BI presents valuable insights to helps business owners and managers to make predicted and actionable business decisions.
Purchase rate difference
Seven supplier supplies “Hide and seek biscuit”. Among them, one of the suppliers charges Rs 0.45 extra on every pack of biscuit.
And the surprising fact is 65% of “Hide and Seek biscuit” supplied by the above supplier.
So one-year loss is Rs 3,942 on one product and no one realizes that.
One particular lesser known profitable tea brand is sold average 5 pack per day when it is available.
But store manager never noticed that after every order, supplier takes an average 15 days to deliver the product.
The product was unavailable 84 days in one year period.
If we suppose that customer took another brand for non-availability of that lesser known brand, only profit difference between the two brands will be Rs. 4,200 in one year.
New vs Returning customer
Data showing that their last 6 months returning customer rate is 9% declined as compared to the first 6 months. Which should be reversed.
We showed the data to the customer and they started a customer loyalty program.
And the exciting part is within 3 months the customer called us and said that after starting the loyalty program, returning customer increased around 11.6%.
Another surprising data shows, average profit comes from a regular customer is about Rs. 11450 in one year. And if we dilute it with all customer then still not less than Rs. 4500.
This data allowed the customer to expend more money on customer acquisition and customer loyalty program budgets.
The store has more than 10 product category.
When it comes to turnover food and grocery give the regular volume sale, but garments category gives more profit than all other categories.
Another fact noticed by analysis report, 80% of garment sales comes only 3 months in a year.
Now the store owner gives more concentration on recruit sales person for those three months.
With our business intelligence GST software, we got to know almost 45 percent transactions are done at evening time just within one hour.
Then we take a deep in the drive to get more accurate data. We found that typically pick time starts just after 15 minutes of sunset.
In winter season the sun sets at 5.15 PM pick times starts from 5.30 PM, in summer the sun sets at 6.30 PM dramatically it starts at 6.45PM.
So, based on this analysis store manager keep more cash counter open ahead of time to reduce queue time. And keeps all the staff and salespersons alert and active for those one hour.
Maybe you are thinking that this date will not be helpful for my business. Yes maybe, remember this is the real data for understanding how BI can help small businesses.
Business intelligence works differently on our different industry-specific software.
To know how your business can get the benefit of it, please fill the form below to get contacted by one of our Business Intelligent experts