Consumer Spending Habits Analysis-2313049-ASSIGNMENT1
Consumer Spending Habits Analysis-2313049-ASSIGNMENT1
The analysis revealed that majority of the customers are from the United
States, with significant numbers from California.
Most customers are aged between 26-40 years, with a nearly equal gender
distribution.
Accessory category has the most stable revenue throughout the year with
minimal fluctuations. Bike sales seem to peak in the later part of the year,
possibly due to holiday seasons or favourable weather conditions. Clothing
sales show a noticeable increase in the later part of the year, suggesting a
strong correlation with seasonal changes.
The company could potentially capitalize on seasonal trends by adjusting
inventory levels, marketing campaigns, and promotions for each product
category.
While Accessories provide a steady revenue stream, the company might
consider expanding or diversifying the product range within this category
to increase overall sales. Targeted promotional activities during peak sales
periods for Bikes and Clothing could boost revenue. Effective inventory
management is crucial to avoid stockouts or overstocking, especially for
products with seasonal demand like Bikes and Clothing.
Accessories are the most popular product category. This is evident
from the fact that the Accessories category has the highest number of
units sold (22534) and the highest revenue (329.31).
Bikes are the second most popular product category. This is evident
from the fact that the Bikes category has the second highest number of
units sold (7093) and the second highest revenue (1619.39).
Clothing is the least popular product category. This is evident from
the fact that the Clothing category has the lowest number of units sold
(5239) and the lowest revenue (656.15).
The average revenue per unit for Accessories is the lowest. This is
evident from the fact that the Accessories category has the lowest mean
revenue per unit (329.31).
The average revenue per unit for Bikes is the highest. This is
evident from the fact that the Bikes category has the highest mean
revenue per unit (1619.39).
The average revenue per unit for Clothing is in between the other
two categories. This is evident from the fact that the Clothing category
has a mean revenue per unit (656.15) that is between the mean revenue
per unit for Accessories and Bikes.
Overall, the image provides a snapshot of the company's sales
performance for the different product categories.
For example, the company may want to focus on promoting Accessories
and Bikes, as these are the most popular and profitable product
categories. They may also want to investigate why Clothing is not as
popular, and see if there are ways to improve its sales performance.
R-squared: This value indicates the proportion of variance in the
dependent variable explained by the independent variables in the model.
o Model 1 explains 13.9% of the variance.