Coffee Ville: Analyzing Sales, Addressing Issues and Recommendations

This report analyzes the sales performance of Coffee Ville, identifying key issues such as declining revenue, increased ingredient costs, and a drop in sales across food and beverage categories. The analysis uses financial statements and budget data to identify problems. The report incorporates internal insights from the cook and café manager, as well as external customer feedback, to formulate recommendations. The suggested solutions include exploring home packages, delivery systems, and changing suppliers. The report also identifies potential risks, such as staffing shortages and the need for additional resources. The report aims to provide Coffee Ville with actionable insights to improve sales, enhance customer value, and mitigate risks. The report provides recommendations to help the business grow and address challenges.

Appendix 6

Issues and problems
 Firstly, there has decline in sales of food and beverage items every year. This can be
determined by measuring results with sales predictions developed.
 The price of ingredients like red meat has increased up to 20% in six months. This has
forced Rufus and Emma to change prices of hot dishes
 Within Coffee Ville due to downfall in sales by 19% in which food sales are 10%,
beverages 12% & and catering 17%.

Techniques
 Financial statements – here balance sheet and profit loss statement of Coffee Ville was
collected. it contained data of sales and expenses of all stores
 Budget- Through this source it was identified that what budget was made by Rufus and
Emma in each year so that results can be compared

Internal and external advice
Internal
 The cook said that company should go for option 3 that is home packages
and delivery system. It will help in generating revenue and recovering loss.
 The café manager said that few food service attendants can be transferred in
delivery system. It will be easy for company to manage work. Also, 1 barista
can be engaged in this.
External
 Customer suggested that supplier should be changed. The coffee beans must
be purchased from another supplier.

Recommendation
 With this it will be easy for Coffee Ville to retain their customer. Also,
it will help in attracting more so that sales are increased.
 The customer value can be gained with it. loyal customer can be
provided services at low cost.

Risk
 Shortage of HR can be a problem. The business may have to hire
more staff leading to rise in expenses.
 The business has to hire vehicles resulting in extra burden on them.
 The failure of strategy due to insufficient availability of resources.

Thank you