Are Margins Expanding Or Contracting? Solve in Power BI

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Here I’m diving into a relatively specific insight, but by walking through exactly how I got there, you will learn so much about what you can do with Power BI and DAX. I really dive into this concept of ‘measure branching’, which I love implementing. It’s all about layering measures one on top of the other until you get the desired result.

This is a truly powerful technique because you can work your way up to any calculation and still have the workings of the data model there to enable filtering of your data.

In the video, I start with sales, then move to calculating profits, then work in some time intelligence calculations and then branch out even more. I won’t lay it all out as I cover it in the video. By combining all these techniques and then bringing into play the data model, we are able to explore specific things like margin contraction or expansion.

This is a great insight for business and is a key indicator of sales performance across a range of industries. It may not be the only insight you look at from a results perspective but it certainly will add some color as to why you’ve got the performance outcomes you have obtained. It’s a bit like performance attribution … maybe your profits are lower, not because you sold less, but due to your margins contracting thanks to competition.

Through this type of analysis, you can discover insights like that.

To learn more techniques check out my Solving Analytical Scenarios course. This is where I cover many of these types of applications at length.

Good luck implementing this one.

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