Speakers

Dev Bhosale
Principal BI Architect at Access TeleCare

For Business

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Analyzing eCommerce Data in Tableau

May 2023

Summary

E-commerce analytics is a key discipline in the field of data science, particularly for businesses aiming to understand their sales patterns and optimize operational costs. The webinar explored the details of analyzing sales data from a pet supply store, offering insights into constructing executive dashboards and performing what-if analyses. The discussion focused on key performance indicators (KPIs) essential for e-commerce, such as shipping costs, and demonstrated how businesses can manage these expenses effectively. The session was led by Dev Bosley, who highlighted the importance of data modeling, visualization, and the integration of interactive elements into dashboards to facilitate interactive analysis. Participants learned to handle imperfect real-world data, create calculated fields for business insights, and develop executive dashboards that can analyze from high-level overviews to detailed analyses. These skills are vital for data-driven decision-making, offering recommendations that can directly impact business profitability and growth strategies.

Key Takeaways:

Understanding and managing shipping costs is vital for e-commerce profitability.
Interactive dashboards can help in extracting actionable insights from complex datasets.
Data modeling and joining disparate data sources are foundational skills in data analysis.
Effective dashboards require thoughtful design to communicate key metrics to executives.
What-if analysis is a powerful tool for simulating business scenarios and impacts.

Deep Dives

Building an Executive Dashboard

Creating an executive dashboard involves t ...
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ransforming sales data into a clear and easy-to-follow format, offering a snapshot of key metrics that matter to business leaders. The process begins with defining KPIs, such as sales, profit margins, and shipping costs, which provide a clear picture of business performance. Dev Bosley explained that these dashboards should start with high-level metrics—often termed as big numbers or BAMs—to immediately capture executive attention. He recommended dividing the dashboard into tiles using a grid layout to organize data efficiently, a method that aligns with the visual preferences often seen in executive environments. The dashboard must enable drill-down capabilities, allowing users to explore underlying data, such as regional sales performance or individual product contributions to revenue. This level of detail supports informed decision-making and strategic planning.

Interactive Data Visualization with Tableau

Interactivity in data visualization is key for engaging users and enhancing the utility of dashboards. Bosley emphasized the importance of designing dashboards that allow users to interact with data through filters and interactive charts. One example given was using a map to visualize sales by state, where clicking on a state could filter the data to show relevant sales figures and trends. This approach not only makes data exploration intuitive but also empowers users to uncover insights without requiring deep technical expertise. Bosley noted, "It's enabling users to start at the top and analyze into the details," which is vital for identifying trends and anomalies quickly.

What-If Analysis for Strategic Insights

What-if analysis serves as a predictive tool that helps businesses simulate different scenarios and understand potential impacts on their KPIs. During the webinar, the focus was on shipping cost analysis and how varying quantities could affect overall expenses and profitability. Bosley demonstrated how businesses can model different shipping scenarios to determine optimal strategies for cost reduction. By adjusting parameters such as purchase quantities, businesses can visualize changes in shipping costs and make informed decisions about promotions and logistics. This analysis is vital for developing strategies that align with both economic goals and customer satisfaction.

Data Modeling and Integration

Effective data analysis depends on strong data modeling and integration techniques. Bosley highlighted the challenges of working with imperfect real-world data, such as missing invoices or inconsistent data formats. The session covered methods for joining disparate data sources, like sales and customer tables, to create a unified view that supports comprehensive analysis. This process involves normalizing data to address inconsistencies and ensure that analyses are based on accurate and complete datasets. By mastering these foundational skills, analysts can provide more reliable insights and drive better business outcomes.