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Sales Trend and Sales Performance - Essay Example

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Summary
The author of the paper "Sales Trend and Sales Performance" uses sales data from Northwind Traders in order to provide recommendations for increasing their sales. The analysis and recommendations are based on the data provided, which covers a period from May through June. …
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Sales Trend and Sales Performance
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Extract of sample "Sales Trend and Sales Performance"

The Sales Trend Analysis involves the total net revenues of the company from August 2004 to June 2006.  The graph provided below illustrates that the sales trend of the company is increasing.  The trend in the sales growth of the company is rising from August 2004 and dips down in March, April, and July 2005.  The sales peaked at $115,000 in May 2006.  Please note that the data for June 2006 is incomplete as it comprises only of three days data and it shall be disregarded.  This is the reason for the sales decrease in June 2006.

Recommendation

The sales strategies employed for 2006 is effective as illustrated by the big increase in sales from January 2006.  The strategies utilized, such as discount levels, must remain consistent in order to assure the growth in sales performance of the company.  It is recommended that the company consider developments in new product lines and/or expansion in the global market in order to further increase revenues.

ANALYSIS 2  Sales Performance by Countries

Analysis

The highest-performing country is the USA where it generated 19% of the total net revenues of the company.  This is followed by Germany at 18%, Austria at 10%, and Brazil at 8%.  The rest of the countries comprise less than 50% of the total net revenues of the company.  The lowest-performing country is Poland and Norway which generated less than 1% of the total revenues of the company.

Recommendation

The company might consider focusing on the top 10 performing countries in order to exploit the buying power of the consumers.  Focusing on a lesser number of locations would create a more effective and efficient organization.  It would minimize operations and logistics costs while increasing the marketing and distribution allocations.  The countries with minimal growth shall be given up in order to free up the company’s resources.

 

ANALYSIS 3  Product Performance Analysis

 

Analysis

The top-performing product category for the company is the beverage product.  It performed better than other categories for the years 2004 and 2006 while it is the second category for 2005.  The other performing products are dairy products followed by confections, meat & poultry, and seafood.  The least performing products are condiments, produce, and grains & cereals.  Although grains & cereals showed an increase in 2005, its sales performance decreased in 2006.

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