Leverage Opportunity Analysis in Power BI to Grow Your Business
Opportunity refers to several situations in business, sports, and career. It makes the difference between real leaders, winners, and quitters. A business opportunity is a chance to succeed by taking advantage of an occurrence in the market. Some businesses thrive, while others fail because they do not seize business opportunities when it arises.
Businesses are affected by fluctuating market conditions. Your ability to grow your business depends on how quickly you identify and implement opportunities presented by these changes. Market opportunity analysis can help unlock your business’s new revenue, product features, personas, and messaging. By identifying and understanding the needs of your target market, you can create new growth opportunities.
What is Opportunity Analysis?
Opportunity Analysis can be defined as a systematic examination of external environments to identify market acceptance, needs, desires, and economic factors in creating new products or expanding existing products.
While evaluating product expansion and manufacturing/distribution options, each option will impact the business differently. For example, a small change within a current production model may lead to production or distribution expense reduction or an increase in overall efficiency; on the other hand, launching a new product line may increase the overall profitability of a business.
An opportunity analysis can help you identify the positive and negative effects of different approaches to a particular problem.
According to “Analyzing Your Changes” by Mary Pat Moynihan, get answers to three questions for effective opportunity analysis. First, identify all benefits of implementation. Second, answer the question: What adverse effects are likely to occur during implementation? Finally, how will the new changes and additions affect the overall function of the operation? Is it worth making the change?
The opportunity analysis phase of any project looks at implementation’s potential positive and negative effects. It also evaluates long-range effects, including intangible factors. If a change will hurt revenue generation over the long term, it’s time to go back to the drawing board.
How Does Power BI Help in Opportunity Analysis?
Microsoft Power BI is a business analytics tool that connects to hundreds of data sources and visualizes the data with live dashboards and reports. Power BI comprises several products and services, and its value comes from leveraging the individual elements and taking advantage of how they work together. Microsoft Power BI provides streamlined publication and distribution capabilities, and its integration with other Microsoft products and services makes it a better choice for opportunity analysis.
Microsoft has already infused AI capabilities in Power BI, and the combination is pretty awesome, putting many choices into the hands of ordinary users and developers.
The Q&A function in Power BI allows users to ask questions about their data. For example, a user may ask, ‘What is the average income of people with a bachelor’s degree in science?’ Power BI can learn to understand what you are asking about in your own words and provide the answers you want. For example, if you type ‘school,’ Power BI may not know that it means ‘education.’ However, by linking the word ‘school’ to another term such as ‘education,’ Power BI can help users discover patterns and insights in their data.
Power BI’s “Decomposition Tree” function allows users to explore business processes across multiple dimensions for precise opportunity analysis. The function automatically collects data so users can perform data extraction in any order. Users can also use this tool for ad hoc analysis and root cause analysis, as well as asking Power BI to find the next dimension in their data so that they can perform detailed opportunity analysis based on business-specific criteria.
By using Power BI for opportunity analysis, you see not only the existing opportunities and their origin but also explain the numbers you are measuring. For example, revenue generation – opportunity analysis in Power BI compares the gross revenue generated in each quarter or month. It forecasts the revenue you might generate in the coming months by comparing and analyzing the business opportunities available for sales and growth.
Features of Power BI for Opportunity Analysis
Opportunity Count Overview
Opportunity analysis in Power BI does not conflict with other company initiatives and has a simple and uniform approach throughout the analysis cycle. The opportunity count overview provides insights into the opportunity win rate as well. The opportunity win rate is a metric that measures the number of closed deals divided by the total number of opportunities created during a particular time. To calculate the opportunity, and win rate, divide the number of closed-won deals in a particular time by the total number of opportunities you created in that period.
For example, if you created 50 opportunities in April and 30 in June, but you won 20 deals in June that were generated in April. Your opportunity count rate will also include the opportunity win rate, like 20/50 = 40% + leads won in June.
A revenue analysis in Power BI is performed by breaking down generated revenue that allows your business to see how it is performing in comparison to previous years and how it should perform in the future. A descriptive and predictive revenue analysis shows which products are generating more revenue and which products have the potential to generate revenue in the future for the company in any given time frame.
Allows you to allocate parts of overall revenue to the items that generated the underlying sales and decide whether to expand certain product lines or abandon them based on their profitability. Additionally, a revenue forecast allows you to develop corresponding strategies and plan future staffing and investment levels.
Opportunity Count by Region and Stage
The fields for opportunity analysis in Power BI contain various information to help you track spending and potential sales opportunities. The opportunity count by stage shows the current stage of opportunity is based on selections you make from a drop-down list, such as Proposal or Prospect. Besides, Power BI also shows the opportunity count by region after selecting or filtering the opportunities by region. It allows you to find the most favorable region from where you are getting abundant business opportunities.
Power BI enables companies to leverage their customer base and explore new opportunities by identifying, exploring, and expanding those markets at a minimal cost. Opportunity analysis in Power BI intelligent insights on upcoming opportunities based on analyzing your market and its consumers. Microsoft Power BI can help companies identify new opportunities. It can provide insight into complex markets that might have been missed and help organizations optimize existing markets better.
Benefits of Opportunity Analysis in Power BI
Business opportunity analysis focuses on the factors that affect business growth, such as direct and indirect competitors, brand value propositions, existing regulations, supply chains, and the general business environment. These factors help frame winning business strategies and allow businesses to flourish positively amidst the competitive environment.
Let’s see what the benefits of opportunity analysis in Power BI are,
- Opportunity analysis offers you the advantage of identifying customer needs and meeting their expectations. A satisfied customer base is a key part of successful business management.
- Opportunity analysis helps you focus on customer-oriented products, thereby helping you stay ahead of the competition.
- Analyzing opportunities and working on them at the right time helps achieve business goals, enhance profit margins, and increase market share.
- It empowers organizations to find the right opportunities to expand their business in new and existing markets.
- Opportunity analysis can help you determine your strengths and lay the groundwork for future diversification, which can be product-related, market-related, or non-product/market-related.
EPC Group as Your Power BI consulting partner for Opportunity Analysis
EPC Group as Power BI Consultant helps clients analyze and display their data to identify patterns and indicators which can improve business operations. Microsoft Power BI is an increasingly important product to help companies create real-time dashboards that pull together data from Dynamics 365, SQL Server, and other systems for better opportunity analysis.
We’ll help you get the most out of your Power BI implementation. With 25 years of experience in business, EPC Group has worked with various industries and requirements for opportunity analysis. We’ll make sure you get what you want from this new technology.
Sas Chatterjee is a Senior Architect with EPC Group. His focus lies in making sure that the execution of each engagement is delivered in a forward compatible, best practices manner. Sas is an extremely devoted professional and takes each project he is assigned very seriously. During the project execution phase, Sas invests the time needed with his clients to gain a full understanding of their requirements and develops a roadmap for achieving their desired end goal.
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