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Showcasing Results For 80%/20% And Then Diving Into The Top 20%

Have you ever heard of the Pareto rule? It is the theory that says 20% of your customers or products will deliver 80% of your profits.

 

I have created a short tutorial around the formula and visualization techniques you can use to effectively showcase this analysis inside of Power BI.

 

In this particular video, I run through different considerations around the formula combinations you need to apply in a particular context in your reports and visuals to showcase the 80/20 rule effectively.

 


Following on from this tutorial, I broke out our results so we could dive further into the top 20% since this is where the greatest amount of return is coming from. We want to understand the 20% deeply because this is where we'll likely get the biggest return from our efforts and actions.

 

Here I utilized an example around customers. We will analyze who these customers are, what they are doing, and why they are appearing in the top 20%.

 


If you think about all this analysis combined together, you will agree that this is a really powerful stuff.

 

You can start at a very high level to look at all your results but then focus and drill into what is actually creating the biggest impact. By doing this we are going to be able to determine the underlying factors and variables which are creating a particular outcome for us.

 

By completing this type of analytical work we should be making better decisions. There's no better way to add value to your data consumers than to create this type of analysis.

 

Hopefully, you'll get a lot out of these tutorials and that you can find a way to implement some of these ideas inside your own analysis. I'm sure and I'm confident that your consumers will love it.

 

All the best.

 

Sam

 

 

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