Case Studies
Operating Hours: What are the most profitable operating hours?
Overview
Analytics & Modeling - Predictive Analytics Analytics & Modeling - Real Time Analytics | |
Automotive | |
Business Operation | |
Predictive Replenishment Process Control & Optimization | |
Software Design & Engineering Services System Integration | |
Operational Impact
APT software identified select locations in the network where the hour changes would have a positive impact. | |
The software automatically analyzed thousands of factors, such as market demographics and store attributes, to identify characteristics associated with higher performance. | |
Specifically, the software revealed that in service centers located in areas with lower income, larger households, and more competitors nearby, the extended hours would drive a large enough profit increase to have a positive net profit impact. | |
Quantitative Benefit
8.4% ($210 per location) lift in Saturday gross profit throughout the test period. | |
1.1% ($28 per store) decline in Sunday gross profit. | |
$170 in additional labor/operating costs per store. | |