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Vixen Co is an internet based retailer of books and music. It believes that the factors critical to the success of its business are the:
(1)
Number of people visiting its website
(2)
Conversion of website visits into orders
(3)
Amount of time it takes to deliver an order to a customer
(4)
Level of customer satisfaction with the way in which it deals with customer returnsResults for the most recent year are given below:
Website visits
5,000,000
Value of customer orders placed
$30,000,000
Average value per order placed
$20
Average value of undelivered orders at the end of each day
$411,000
Number of orders returned
150,000
Number of complaints about returns process
1,000Customers place a maximum of one order per visit to the website. The company operates for 365 days per year
Sir in this questions asks to calculate some figures, one is of avg number of website visit per day, i figured it out and also % of customer returns without a complain, but i cant understand how to calculate conversion visit of website visits into orders in % and avg delivery time per order, please help me out in these 2 figures how are we going to calculate it
Surely the answer to the question also shows the workings? (If you do not have an answer then you are wasting your time (and my time))
You can calculate the number of orders placed. Then you can divide this by the number of website visits to get the % of visits that turn into orders.
You can find the number of undelivered orders by dividing the value of undelivered orders by the value per order. Given that there are 365 days in a year you can then calculate the average time to deliver.
Yes it shows the working sir but I did try to understand what figures they’re using still I couldn’t get why are they using certain figures that’s why i wanted to get clear, i got it now thankyou sir!
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