Business Analytics · Beginner level

Beginner level · Module 5: Business Analytics Cases · Lesson 1 of 3

Sales Performance Case

Diagnose why a business's sales changed using KPIs, segmentation and the driver tree.

In this lesson you will

  • Apply a KPI tree to diagnose sales change
  • Recommend actions from the diagnosis

Key concepts

sales driverssegment analysisdiagnosisrecommendation

The lesson

A distributor's sales fell 8% last quarter. Use the driver tree: did the number of customers fall, did they order less often or did order size shrink?

Segment by branch and product to locate the problem — for example, fewer orders from small shops in one area after a competitor opened.

Recommend actions that target the driver, and propose a leading indicator to watch.

Step by step

  1. Break the sales change into drivers.
  2. Segment by branch and product.
  3. Identify the main cause.
  4. Recommend actions and an indicator.

Practice activity

Write a one-paragraph diagnosis and recommendation for the sales case.

Expected result: A diagnosis supported by driver and segment figures.

Check your understanding

  1. Which three drivers explain revenue change?

    Show answer

    Number of customers, purchase frequency and order size.

  2. Why propose a leading indicator after a diagnosis?

    Show answer

    To see early whether the action is working.

Taught live by an instructor — online or in person. Free course lessons are for self-study and do not lead to a certificate — see registration options.