ISYS2056 Business Computing: Hortons Estate Sales Data Analysis Report

This report analyzes the sales data of Hortons Estate, a winery in Yarra Valley, Australia, to identify the most profitable times of the season and the most profitable stock. The analysis includes data on wine sales, discounts, and geographical distribution, with a focus on the effectiveness of marketing strategies such as a 12% discount in February and free delivery in March. The report identifies '2016 Pinot Grigio' as the best-selling wine and February as the most profitable month. Recommendations include continuing discount strategies, focusing on expanding sales outside Victoria, and potentially re-evaluating staffing based on sales performance. The report concludes with suggestions for improving business operations and expanding the customer base.

Running head: BUSINESS COMPUTING
Business Computing
ISYS2056
Name of the Student:
Name of the University:
Author’s Note:

BUSINESS COMPUTING 1
Table of Contents
Introduction:...............................................................................................................................2
Objective of analysis:.................................................................................................................2
Data Analysis:............................................................................................................................2
Conclusion and Decision Making:.............................................................................................8
References:...............................................................................................................................10

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Introduction:
According to the data description, Susana and Marcus Horton have Hortons Estate in
the Yarra Valley in Victoria, Australia. The Winery comprises 30-hectare vineyard and a
cellar door that is allowed for the public. With the help of online and telephone sales, Susana
and Marcus would like to focus to build their business. They would like to aim on the most
profitable times of the season and they would like to analyse the most profitable stock.
Victoria was the base of Horton Estate’s traditional customers. Susana highlights the
extension into other Australian states as a huge marketing scope. She is rendering to offer an
enduring discount online to all the retailers who have registered online. Susana is eager to
know the influence of the formerly offered 12% discount in February.
On the other hand, Marcus supports the grapes and supervises the production of wine.
Susana herself manages operations of winery and employs two employs for assisting her.
Michael Overton is an employee on the basis of full time job and Eloise Simmons is
employed two days per week. They decided to put a delivery charges of $28 per case of wine
to another state except Victoria (VIC). However, all deliveries were free in days of March.
Objective of analysis:
Susana wants to analyse the sales data, the impact of the current campaigns and her
exertions for increasing sales outside Victoria. Susana feel that there are other factors too that
influences the outcomes. These should be outlined and highlighted to improve the clientele.
They are keen in analysing about which days the cellar doors could be closed altogether and
stock could be released (Grant, 2016). They keep themselves open to other proposals for the
customs in which the trade could be improved.
Data Analysis:
1)

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Out of 798 cases of wines, “2016 Pinot Grigio” is purchased highest in amount (221)
followed by “2016 Chardonnay” (172). “Single Vineyard 2014 Chardonnay” is purchased
lowest in amount (89). The amounts of cases are highest for VIC state (499) and lowset for
QLD state (3).
2)

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Among 798 purchased cases of wine, “2016 Pinot Grigio” was purchased a total of 221 units,
followed by 172 units. The least amount of cases is purchased for “Single Vineyard 2014
Chardonnay” (89).
3)

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Out of 798 cases, 117 cases were purchased with 0 discount, whereas 681 samples
were purchased with a certain amount of discount. “2015 Pinot” and “Single Vineyard 2014
Chardonnay” wines did not have a significant wholesale discount and “2016 Pinot Grigio”
had highest amount of wholesale discount.
The stacked bar-plot displays that the ratio of “discounted” and “un-discounted” frequencies
is highest for “2016 Pinot Grigio”.
4)

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The number of cases of purchase is highest for “2016 Pinot Grigio” (221) whereas it is lowest
for “Single Vineyard 2014 Chardonnay” (89).
 2015 Pinot wine is purchased for selling maximum in March and minimum in
February.
 2015 Shiraz is purchased for selling maximum in February and minimum in January.
 2016 Chardonnay is purchased maximum in February and minimum in March.
 2016 Pinot Grigio is purchased maximum in February and minimum in January.
 Single Vineyard 2013 Shiraz is purchased maximum in February and minimum in
January.
 Single Vineyard 2014 Chardonnay is purchased maximum in February and minimum
in March.

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5)
The total amount of wines is sold maximum in February (445) and lowest in January (150).
Eloise Simmons purchased the cases maximum in February and significantly greater than
other two. Michael Overton purchases maximum in March (81) but minimum in January
(34). Susana Horton herself purchases maximum in February (174) but minimum in January
(72).

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6)
In February, the wine company purchased the maximum number of cases of wine (445)
followed by March (203). The minimum number of cases of wine is purchased in the month
of January (150).

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7)
The analysis in excel file calculated for all the months indicates that-
 In January, the total revenue amount is least ($ 90708.0).
 In February, the total revenue amount is highest ($ 235772.3).

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The stacked bar-plot displays a significant larger share of revenue of wine company in
February than March and January.
Results:
The policy of providing 12% discount is proved to be most successful for the trades
from the view point of a wholesaler. The offer of free delivery in March is also found
successful as per outcomes. However, it is not as successful as strategy of February. Overall,
2016 Pinot Grigio is the most sold wine brand. A huge number of cases of wine are purchased with
the presence of discount. Owner Susana Horton has purchased highest number of cases of wine in
January and March. Eloise Simmons, two is a contract based employee, performed extremely well to
purchase the number of cases in February. Her effort especially in February helped “Hortons Estate”
to earn profit and expand the trade. The performance of Michael Overton is satisfactory but not
outstanding in any month (Klettner, Clarke and Boersma 2014). The performance of this full time
employee is lower than the contract based employee.
The percentage of revenue in January is 20.64% of the total profit. The percentage of revenue
in February is 53.64% of the total profit. Lastly, the percentage profit in March is 25.73% of the total
profit. It could be recommended that Susana must apply the strategy of providing discount of
February for extending the trade. If possible, she could implement the free delivery alike in the month
of March. January is found to be least profitable month among the selected three months.

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Conclusion:
The outcomes obviously help to take effective decisions of business. Susana along with her
two partners is interested about the trading about which days the cellar days could be closed together.
The days of January are least profitable (Chong 2014). The performance of part time employee is very
good in the days of February. Therefore, Susana should employ Eloise Simmons a full time employee.
The business outside Victoria especially in Queensland must be focused in future days (Rossi,
Vrontis and Thrassou 2012).
Recommendation:
As Michael Overton is a full time employee, therefore he is little bit reluctant towards his
performance. Hence, Susana must keep his performance under microscopic glass. If not improved,
Susana must replace him with part time employee Eloise Simmons. The reason is that the
performance of Eloise is much appraisable.
The wholesale business is already successful in Victoria (VIC). Outside Victoria, the business
of “Hortons Estate” is comparatively better in New South Wales and South Australia. The trading in
Queensland is not at all good. Susana must focus on the expansion of business in Queensland and
highlight on more purchases (Varsei and Polyakovskiy 2017). She may ask Michael to improve
business in Queensland. In this way, she may play a move strategically both to examine the
performance of Michael and to expand business even in an unfavourable state of Australia.