WELCOME
Brazilian E-commerce
Sales Insights
Agenda
Problem & Solution Statements
1
Dataset Overview
2
Analysis
3
Recommendation & Conclusion
4
Brazilian E-Commerce
Outlines the business challenge and the proposed data-driven solution.
Describes the dataset, its source, structure, and key variables.
Presents insights drawn from data exploration, trends, and segmentation.
Presents insights drawn from data exploration, trends, and segmentation.
Sales Insights
Solution
Problem
Unclear sales trends and product performance across regions made it hard to optimize inventory, pricing, and focus efforts on high-impact areas.
Sales data analysis revealed key product and regional drivers, empowering smarter decisions in pricing, stocking, and sales strategy.
Business Problem Statement
Proposed Solution
Sales Insights
Why This Matters
Sales Insights
Supports smarter pricing, promotions, and resource planning
Prevents revenue loss from underperforming segments
Helps focus investment on top-performing products and regions
Dataset Overview
Source & Scope
Data Source: Kaggle�Time Range: Sept 2016 – Oct 2018�Coverage: 74 product categories, 32,951 products, 27 states, 4,119 cities, 99,441 customers and 99,441 orders.�Sales Volume: ~$13.59mM
Key Stats
�Total Revenue: $13.59 million
Total Quantity Sold: 112,000+ items
Average Order Value (AOV): $137.75
Top Category Revenue Share: e.g., Health & Beauty contributes ~8.3% of total revenue
Customer Lifetime Value CL is $0 because all customers are one time buyer
Sales Insights
Preprocessing Includes:
�– Treating missing values & removing duplicates�– Standardizing column types�– Creating calculated fields (e.g., AOV, CLV, Spending Tier)�– Grouping by revenue, category, and region�– Applying filters for time-based analysis
Analysis
$7.7M
$3.1M
$2.8M
Profitability
& Spending Tier
Medium
High
Low
Spending Tiers
Sales Insights
Medium-tier customers are second largest customer base but generates by far the highest revenue $7.7M.
Most customers are Low Spenders and generate considerably low revenue 3.1M.
high-tier spenders have 5 times higher Average Order Value and total revenue of $2.8M
Sales Insights
Payment Method Revenue
Credit cards dominate payments (78%)
Sales Insights
State Revenue Distribution
Revenue is concentrated in few key states
Sao Paulo accounts for 38.23% of total sales
Southeast region dominates in total sales
High
Mid
Low
Sao Paulo
Sales Insights
Revenue Trend
A sharp sales peak begins in late 2017, but unlike typical seasonal surges, the trend continues through most of 2018, with sales averaging over $1M monthly — indicating a possible shift from seasonal demand to sustained growth.
Sales Insights
Top 5 Product Category
By Revenue:�Health & Beauty (beleza_saude), Watches & Gifts (relogios_presentes), Computers (pcs), Home (casa), and Sports & Leisure (esporte_lazer) generated the highest total sales.
Sales Insights
Top 5 Product Category
By Average Order Value (AOV):�The Computers category stands out with an average order value around $1,231, indicating high-ticket purchases despite lower volume.
Sales Insights
Which Products Drive Revenue
Product category performance varies widely. A few key categories have shown consistent growth, while others remain volatile or underperforming.
Recommendations
Sales Insights
Upsell medium-tier customers�Develop campaigns to convert frequent moderate spenders into high spenders.
Focus on high AOV product categories�Prioritize categories like Computers and Watches & Gifts for strategic pricing and promotion.
Invest more in top-performing regions�Strengthen logistics and marketing in revenue-dominant states like São Paulo.
Monitor low-performing categories�Re-evaluate underperforming product lines for potential removal or repositioning.
Sales Insights
Conclusion
This analysis reveals that a handful of product categories and regions drive the majority of sales in Brazilian e-commerce.
Revenue has shown sustained growth since late 2017, indicating a maturing market with long-term potential.
By leveraging product AOV insights, regional performance, and spending tier patterns, the business can make smarter decisions that improve profitability and strategic focus.
Appendix
Formulas
AOV = Total Revenue / Total Orders
CLV = (AOV × PF × Lifespan)
Spending Tiers = Based on order value thresholds (e.g., High: > $600, Medium: $101–$600, Low: < $101)
Products by Revenue
Top 5: Beauty & Health, Watches & Gifts, Bed, Table & Bath, Sports & Leisure, Computing & Accessories
Next 5: Furniture & Decoration, Home Utilities, cool stuff, Automotive, Tools & Garden
Bottom 5: Insurance & Services, Children’s Clothing (Youth Fashion), CDs & Music DVDs, Home Comfort (Variant 2), Gaming PC
Additional Insights
Customer ID is assigned per transaction.
CLV, retention and Churn are likely underreported
+ Recommendations
Track Unique Customer ID over time.
Sales Insights
Thank You
Sales Insights