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Issue Identified: profit erosion

Metric: advertising cost of sale

Root cause: pricing and promotion strategy

Action plan: refine marketing strategy

Timeline: 2 weeks

Person responsible: owner/ marketing personnel

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1. Issue Identified:

Low online orders for rattan products.

Metric That Showed the Problem:

Decrease in weekly inquiries and confirmed orders.

Possible Root Cause:

Limited product photos or low-quality images

Page not posting regularly

Customers not aware of available designs and prices

Action Plan:

Upload clear product photos (3–5 angles each item)

Post at least 3 times a week (new stocks, BTS, customer feedback)

Reply to customer inquiries within 1 hour

Offer small promo (free shipping discount or bundle price)

Timeline:

Start immediately and review after 2 weeks

Person Responsible: Page Admin

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Issue Identified

- Final profit decreased by 12% despite an 18% increase in GMV.

- Metric That Showed the Problem

GMV: +18%

Units Sold: +5%

Ad Spend: +45%

Final Profit: -12%

Possible Root Cause

• The significant increase in ad spend (+45%) may have outweighed the revenue gains from higher GMV and units sold.

• Low-margin products or discounts may have driven GMV up without contributing to profit.

• Inefficient ad targeting or overspending on low-converting campaigns.

Action Plan

1. Audit ad campaigns to identify overspending and low ROI segments.

2. Shift budget toward high-performing ads and optimize targeting.

3. Review product mix and pricing strategy to ensure profitability.

4. Implement cost controls on marketing and operational expenses.

Timeline

Week 1 -Ad campaign audit and product margin analysis

Week 2 -Strategy adjustment and reallocation of ad budget

Week 3&4 -Monitor impact and refine based on performance

Person Responsible

Marketing Manager (for ad spend and campaign optimization)

Finance Analyst (for profit margin review)

Sales Lead (for product mix and pricing strategy)

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1. Issue Identified- Profit decreased despite higher sales and more units sold.

2. Metric That Showed the Problem

-Final Profit: –12%

-Ad Spend: +45% (costs increased faster than revenue)

3. Possible Root Cause

-Overspending on ads with low return

Inefficient ad budget allocation (too much on poor-performing campaigns)

4. Action Plan

-Optimize ad campaigns
Pause low-performing ads, shift budget to high-ROI channels

-Improve targeting:
Narrow down target audience to reduce wasted ad spend.

5. Timeline

Week 1: Audit ad campaigns + identify high and low performers

-Month : Evaluate impact and refine strategy

6. Person Responsible

-Marketing Manager / Performance Marketing Specialist

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Ancarmel

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1. Issue identified- -12% Final Net profit

2. Metric that showed the problem- Final profit

3. Possible root cause-

Very high increase in the Ad Spend +45% but sales increase was only 5%

4. Action plans-

-use free promotion tools such as Facebook to minimize ad spend that did not translate to sales

-improve merchandising materials

5. Timeline - December

6. Person responsible -

-Marketing Manager

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Declining Profitability

- Issue: Profit declining despite GMV (Gross Merchandise Value)growth.

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- Metric: Final Profit: -12%

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- Root Causes: High costs, pricing issues, marketing ROI. ..... Possible Root Causes:

- Increased cost of goods sold (COGS)

- Higher operational expenses (e.g., shipping, warehousing)

- Ineffective pricing strategy

- Increased marketing spend without proportional return

- Higher return or refund rates

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- Action: Cost analysis, pricing review, marketing ROI analysis, reduce returns....... - Action Plan:

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1. Cost Analysis: Conduct a thorough review of COGS and operational expenses to identify areas for reduction.

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2. Pricing Review: Evaluate current pricing strategy to ensure optimal profit margins. Consider competitor pricing and customer price sensitivity.

​

3. Marketing ROI Analysis: Analyze the return on investment (ROI) of each advertising campaign to identify and optimize high-performing channels. Reduce or eliminate underperforming campaigns.

​

4. Customer Returns Analysis: Investigate the reasons for returns and implement measures to reduce them (e.g., improved product descriptions, quality control).

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- Timeline: 1-2 weeks.

​

- Responsible: Finance, Sales, Marketing, Customer Service Managers.

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Issued Identified:

low unit sold

Metric showed the problem:

units sold +5%

Final profit -12%

Possible root cause:

High add spend +45%

units sold +5%

Action plan:

Check the advertisement - possibly not matching the target people

Check the promo or discounts

Timeline: within 1 month

Responsible person:

owner, staff assigned

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Objective 1

optimize inventory to ensure product availability and reduce stockouts or stock unavailable

target: maintain stock availability of at least 90% for all fast-moving items

metric: stock availability rate

fom: weekly and monthly

objective 2

enhance customer service quality to increase satisfaction

target: maintain at least 4.9 positive customer feedback to products on all platforms

metric:customer rating and response time

fom: monthly and weekly

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Objectives:

1. Achieve sales of P30k monthly by creating promotions

2. Generate a 30% profit monthly by monitoring sales and expenses daily

Target Metric Name Frequency of Measure

1. P30k Sales Monthly

2. 30% Profit Monthly

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Goals

1. Launch 5 new assortments with 3 months

2. Build own website in 6 months

3. Increase Profit at least 100% in 6 months

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1. Goal:

Increase sales of pet food and accessories.

Target: More customers buying weekly

Metric Name: Weekly Sales Count

Frequency: Weekly

2. Goal:

Keep customers coming back.

Target: More repeat buyers

Metric Name: Number of Returning Customers

Frequency: Monthly

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Objective:

1. Grow a monthly sale by 20%

2. Expand customer base

Target + Metric Name + Frequency of Measure

1. Increasing monthly sales through marketing campaigns and partnership.

2. targeting furniture makers, and DIY enthusiasts.

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1. To diversify product lines starting January 2026 by opening new stores in at least 2 platforms
2. To achieve at least P50,000 sales per month (combined earnings of the new stores) starting on the 3rd month

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1. Increase monthly revenue by 15–20% within the next 12 months.

2. Maintain positive cash flow and reduce unnecessary expenses by 10%.

3. Gain new customers through social media and referrals.

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1. To earn 20,000 profit every two months by doing a bazaar at school events.

2. To increase the number of clients up to 1000 in fb page by promo (like and follow with discounts) within 2 months

Target

1. profit of 2000-profit amount- 2 months

2. Increased # of 1000- increase client- 2 months

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Objective/Goal

1. Increase weekly sales revenue through consistent product link posting and ads

2. Grow customer following and improve repeat purchase rate

Obj 1

Target - Earn Php 20000 revenue per week

metric name - weekly sales revenue

frequency - weekly

Obj 2

target - gain at least 50 new customers and followers per month

metric name - number of new customers and number of new followers

- repeat purchase rate

frequency - monthly

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1. Sell 30% of stocks

2. based on 2025, monthly sales, hoping to get highest monthly sale this dec.

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Casita Patsy Handicrafts         1. Objective: Increase Monthly Online SalesTarget: Achieve a 20% increase in sales within the next 3 monthsMetric Name: Monthly Online Sales RevenueFrequency of Measure: Monthly                     2. Objective: Improve Customer Engagement on Social MediaTarget: Increase average post engagement rate to 10% within 2 monthsMetric Name: Engagement Rate (likes + comments + shares ÷ followers)Frequency of Measure: Weekly

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Casita Patsy Handicrafts         1. Objective: Increase Monthly Online SalesTarget: Achieve a 20% increase in sales within the next 3 monthsMetric Name: Monthly Online Sales RevenueFrequency of Measure: Monthly                     2. Objective: Improve Customer Engagement on Social MediaTarget: Increase average post engagement rate to 10% within 2 monthsMetric Name: Engagement Rate (likes + comments + shares ÷ followers)Frequency of Measure: Weekly

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Objective:

1. Accomplish a well-organized spreadsheet containing all data necessary to measure my success

2. Improve our business according to the data provided by our spreadsheet