The year-on-year calculation method is a common way of statistical data analysis, and its main role is to help us understand the changes and trends of data over a certain period of time.
The year-on-year comparison is calculated as follows:
Year-on-year growth = (data of the current statistical period - data of the same period of the same period) 100% of the data of the statistical period of the same period last year;
Year-on-year growth rate = (data of the current statistical period - data of the same period of the same period) 100% of the data of the statistical period of the same period last year;
The so-called "year-on-year" mainly refers to the comparison between the current month and the same month of the previous year in the comparative analysis, which is mainly to ensure the accuracy and fairness of the data comparison. Year-on-year data are calculated primarily to reveal the percentage change in the rate of development.
For example, if we need to compare the month-on-month data for a certain month of the year with the data of the same period last year, then we can use the year-on-year calculation formula to get the calculation result, so that we can see how many percentage points the growth rate has improved.
The year-on-year calculation method is used to eliminate some seasonal variables and reveal the actual situation by reflecting the level of development in the current period relative to the level of development in the same period last year. For example, comparing the data for February this year with the data for February last year, or comparing the data for June this year with the data for June last year, we can get the year-on-year development rate, that is, the current development level divided by the development level of the same period last year and multiplied by 100%, so that the year-on-year development rate can be obtained. The year-on-year growth rate is calculated by subtracting the difference between the current development level and the previous development level, divided by the previous development level, and then multiplied by 100%.
For example, if the sales in March last year reached 1 million yuan, and the sales in March this year reached 3 million yuan, according to the year-on-year growth formula, the year-on-year growth rate can be obtained as (300-100) 100*100%=200%, which means that the year-on-year growth rate has reached 200%.
In contrast, if the same period last year is divided into negative numbers, for example, the sales in March last year were -1 million yuan, and the sales in March this year were 500,000 yuan, so that the year-on-year growth is calculated, it is (50-(-100))|-100|*100%, and the final result is 150%.
In addition to year-over-year comparisons, we also use month-on-month comparisons in our data analysis. The month-on-month comparison mainly refers to the comparison between the level of the reporting period and the level of the previous period, reflecting the development rate of the phenomenon from period to period. The difference between year-on-year and month-on-month is mainly due to the different benchmarks of comparison, with year-on-year being a comparison between the current period and the same period of the previous year, and month-on-month being a comparison between the current period and the previous period. At the same time, the year-on-year comparison is more focused on reflecting the long-term trend of a data and eliminating the impact of seasonal changes; Month-on-month comparisons are more focused on reflecting a short-term trend that may be affected by factors such as seasonality. Therefore, when analyzing data, it is necessary to consider both year-on-year and month-on-month comparisons in order to fully and accurately understand and analyze data changes.