Up to date, we`ve discussed broadly what are the benefits of data analytics applied to a small, family-run businesses like coffee shops, restaurants, cake shops, etc. In this particular blog post, we are going to cover the areas where data analytics mathematical modeling can be applied if you are the owner or manager of a coffee shop. Stay with us, this is going to be useful.
Sales forecasting for coffee shops can be a piece of pie for data analytics professionals with viable historical sales data. Add some more variables like seasonality, bank holidays, weather and recurrent behavior and you`ll get access to pretty accurate sales forecasting. Because knowing today what you are going to sell tomorrow makes you not just more prepared but turns planning into an easy task. If you want to try coffee shop data analytics tool for free, test our A4Coffee Shops app.
Data analytics is an excellent tool for predicting heavy loads. It can be applied into planning staff shifts in order to have the best possible service at any moment with minimum resources. Work shifts planning is pretty tricky because you have to account a lot of factors – availability, workload, billing hours, staff members, their experience, etc. Data modeling can easily compute when and how much workers you are going to need for a particular day, week or even month.
How much should a ristretto coffee cost at your coffee shop? How about the macchiato or the cappuccino? You are probably going to align this one with your competition, with the district where the coffee shop is located, etc.
Let us share with you a data analytics hint – there is a way to calculate the most profitable price. It is that particular value which is going to maximize your sales in terms of profitability. For instance, if your coffee is sold for $2, reducing or raising the price by just 25 cents will have its impact on the actual sales. Data analytics is capable of projecting this impact and you`ll be able to make the best solution for your business.
Stock & Inventory space
Sometimes, storage space can be limited. The capacity and availability can be planned in order to stock what you need in the amounts you need. By forecasting sales, you`ll be aware of the products you are going to need for the forthcoming periods of time. This way, the calculation will be not just more accurate and precise but easy to make in order not to lock capital in overstock or to stretch the storage space over its natural limitations.
Promotions & Advertising
Creating promotional product bundles is an easy and fruitful task with data analytics. It helps easily to identify product correlations which will turn into increased turnover. On top of this, any advertising activity could be evaluated and/or modeled in terms of return on investment which makes spending way more secure than it was before.