Regression Analysis
The regression analysis that I completed was based on a 5 week month of sales for an individual Best Buy store. The base dependent variable is the traffic and close rate. The more traffic there is generally the lower the actual close rate, but there are certainly anomalies where there is a higher close rate with higher traffic. This could be attributed to a major launch of a new product or service that drives both traffic and sales. The spreadsheet of sales and close rate for the 5 week month as well as the regression analysis are posted to google docs for which there is a link below.
You can see evidence in the spreadsheet that the busiest days are generally Friday and Saturday. Sunday does occasionally lack some of the sales as it is a day when the store is open for a shorter period of time, but still allows for heavy traffic as it is a day that many people have off and are able to shop as they are not working themselves. The variable being set as a close rate allows for analysis of how customers are shopping and when they are willing to buy versus when they are price shopping and maybe waiting for sales. Many people will shop around and look for sales and deals throughout the week and be willing to buy during the week resulting in higher close rates than the weekends. This also could be part of the price match guarantee where the customer knows that if a product goes on sale later, they can come back in and get the sale price for the item without the hassle of actually returning and exchanging the product.
The environment as well as the price guarantee generally leads to a positive customer-business relationship that bodes well for the overall happiness of the customer and success of the business. That is a key marketing point for the company as it's tagline of "Expert Service, Unbeatable Prices" is held up.
5 week regression analysis: https://docs.google.com/spreadsheets/d/1wE6R69b7_5Xes3X7BDSp1nelq_eJw869n0yANaYDM10/edit?usp=sharing
You can see evidence in the spreadsheet that the busiest days are generally Friday and Saturday. Sunday does occasionally lack some of the sales as it is a day when the store is open for a shorter period of time, but still allows for heavy traffic as it is a day that many people have off and are able to shop as they are not working themselves. The variable being set as a close rate allows for analysis of how customers are shopping and when they are willing to buy versus when they are price shopping and maybe waiting for sales. Many people will shop around and look for sales and deals throughout the week and be willing to buy during the week resulting in higher close rates than the weekends. This also could be part of the price match guarantee where the customer knows that if a product goes on sale later, they can come back in and get the sale price for the item without the hassle of actually returning and exchanging the product.
The environment as well as the price guarantee generally leads to a positive customer-business relationship that bodes well for the overall happiness of the customer and success of the business. That is a key marketing point for the company as it's tagline of "Expert Service, Unbeatable Prices" is held up.
5 week regression analysis: https://docs.google.com/spreadsheets/d/1wE6R69b7_5Xes3X7BDSp1nelq_eJw869n0yANaYDM10/edit?usp=sharing
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