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Simple
Regression Models Case Study: Mystery Shoppers

Chic Sales is a high-end consignment
store with several locations in the metro area. The company noticed a decrease
in sales over the last fiscal year. Research indicated customer satisfaction
had decreased and the owner, Pat Turner, decided to create a mystery shopper
program.

The mystery shopper program lasted over
a 6-month period, employing several loyal and new customers assigned to each
location. Surveys were on a 100-point scale and involved categories such as “Staff
Attitude,” “Store Cleanliness,” “Product Availability,” and “Display(s)
Appeal.”

After the mystery shopper period
concludes, Mrs. Turner sends you the following e-mail:

From:
Pat Turner
Sent: Thursday, July 7, 2016 8:57 a.m.
Subject: Mystery Data Shopper Stats and Store Performance?

Good
morning! Welcome back from vacationJ I hope you had a
wonderful Fourth of July.

The
last mystery shopper surveys came in and I have the final numbers. I am
interested in whether there is a way to predict the final average based on the
initial survey score.Also, is there a statisticallysignificant
relationship between how stores initially performed and what the overall
average is?

The
initial survey score and the final average data for all seven store locations
is in the table below:

Store

1

2

3

4

5

6

7

Initial Survey Score

83

97

84

72

85

64

93

Final Average

78

98

92

75

88

70

93

Also,
how good is the relationship between Initial Survey Score and the Final Average? Could I use an Initial Survey Score to
predict a Final Average? In fact, could
I predict a Final Average if I have an Initial Survey Score of 90?

If
you could have this to me before the weekend, that would be great.

Thanks
so much!

Pat Turner, Owner

Chic Sales Consignment, LLC

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