According to the given scenario for this question, the company is running its online advertising campaign for the past year. Moreover, according to this data, there is a need to perform data analysis properly.

Table of contents

Introduction. 2

Question 1. 2

Part 1. 2

Data analysis. 2

Histogram.. 2

Comment on histogram.. 3

Graphs. 3

Graphical illustration. 3

Comment on results. 4

Part 2. 5

Regression model 5

Dependent and independent variable. 5

Regression equation. 5

Interpretation of p-values with recommendation. 5

Online advertisement = 200000 euros. 5

Comment on accuracy. 6

Question 2. 6

Statistical analysis. 6

Statistical distribution model 6

Calculate probability. 6

For driving traffic towards website. 7

Sends 10 newsletter and probability if 3 subscribers. 7

Sends 110 newsletter and exactly probability of 40 subscriber 7

Probability of customer make a purchase. 7

How many purchases over 100 euro. 7

Company wanted mid-range sale boast 8

Question 3. 8

Time analysis. 8

Centred moving average of length 12. 8

Table with detrended monthly value for each year 9

Chart for overall season record. 11

Comments and suggestions. 11

Comment on any trend. 11

Suggestions and action required for the marketing department 11

Conclusion and recommendation. 12

References. 12

Appendices

Introduction of Math and computing

According to the given scenario, I am working in the advertising department of the JTT company that is based in the UK and it is an online gift shop. This team is involved in managing the number of advertising channels for the company. In this case, I will analyze this report with the help of excel and perform different operations.

Part 1
Data analysis

Histogram

Comment on histogram

According to the fact, the histogram is presented in the sale amount column. The above figure is the histogram graph of the sale amount. From that graph, it can be noted that the amount for sale is defined according to the given frequency. The selected bin is started from 600000 and there is about 100000 difference between the numbers. From the graph, it can be noted that the highest frequency rate is related to the 900000 and 140000 sale amount. This shows that in their months the sale amount is touching this target. After this, the next thing that can be seen from this graph is that there are only two months in which the sale amount is touching 110000 figures. Now in the analysis, it can be noted that only one time this amount can touch 1500000 sale amount..

Graphs

Graphical illustration

Comment on results

From the graph of the sale amount and online ads, it can be noted that this company contains a high sales amount in the last year 2019. This is because in three months the amount was close to 140000 euros. This means that their sale was comprehensively improved in the last year due to the services of the online ads. Moreover, the next thing is that the sale amount is not increasing gradually.

Part 2
Regression model

In this part, there is complete information about the regression model of the graph. This regression model will be made between the online advertisement, the amount spent and the number of physical catalogs sent out and also the sale amount.

The dependent and independent variable

From the model, it can be noted that the sale amount is the dependent variable. On the other hand, online ads and physical catalogs are considered as the independent variable.

Regression equation

From the above information the regression equation will become like this

In the equation

Y= dependent variable that is sale amount

a= constant that is equals to dependent variable when X=0

e= this is the error value

Interpretation of p-values with recommendation

According to the given P-values of the graph, it can be noted that there is a lot of change. These values are related to the independent variables. From the table, it can be noted that the p-value of online advertisement is about 0.00496. This shows that this value is less than 0.05. This means that online advertisement is significant. On the other hand, it can be noted that the p-value of the number of the physical catalog is about 0.219162. This shows that the value is greater than 0.05. This means it is not significant.

According to these results, there is only one recommendation for the company and it is related to the online advertisements. This company has to focus on their online ads if they wanted to increase their sale amount for the next coming years.

Online advertisement = 200000 euros

To find catalogues sent out
a)      Sale of 1200000

Comment on accuracy

From the regression table, it can be noted that the value of multiple R is about 0.8034 and it is good. On the other hand, the value of R square is about 0.6455. This shows that the model is about 64% dependent on the independent variable. This is because the sale amount is also increased due to the increase in products. The sale amount of products is not mentioned in the table. This is the reason why it is showing this value. On the other hand, the adjusted R-value is about 0.5 only. Moreover, another fact is that the value of standard error is also ideal. According to this fact, it can be concluded that overall the model is accurate and also ideal. This is because it is perfectly showing all values. Furthermore, the dependent variable is also 64% dependent on the independent variables.

Question 2
Statistical analysis

According to the given scenario, the company is operated online and there is requirement to learn basic understanding of the website traffic.

Statistical distribution model

For measuring and calculating the level of website traffic, I will use the exponential distribution model. This is because the website traffic will be gradual increases at the time. Moreover, another fact is that due to this model it is easy to predict future traffic on the website. This is the reason why this model fits perfectly for statistical distribution.

Calculate probability

Given data

The value of visits is about 30 in every 20 minutes

This can be explained through the help of formula

This value is almost approaches to zero. This means that there will be 0 probability that there will be 30 visits in every 20 minutes.

For driving traffic towards website

Given data

There will be 36% probability that recipient of the letter will check the link

43% for the customers that is going to click on the link and will purchase

Sends 10 newsletter and probability if 3 subscribers

At least probability will be

Sends 110 newsletter and exactly probability of 40 subscriber

Exact probability formula

Probability of customer make a purchase

For that case there is need to calculate at least probability

There will be maximum chance that the customer who receive the newsletter will make a purchase

How many purchases over 100 euro

It can be noted that there about 55% chance come through the online ads

The value is about 3357 of online ad

Paper catalogue purchases will be

Company wanted mid-range sale boast

a.       According to the given table the company should focus on online ads

b.      This is because its sales probability is high

This shows that the company has to focus on the online ads because due to this sale amount is increases in the mid-range

Question 3
 
Time analysis
Centred moving average of length 12

According to above graph it can be noted that the blue line is showing actual sale amount over the four year. On the other hand, orange line is showing the forecasted value of the data.

Table with detrended monthly value for each year

Chart for overall season record

Comments and suggestions

Comment on any trend

According to the graph of 2017, it can be noted that the sale amount of the company was at 1000000 in the month of January. Then after this it is gradually decreasing. Then after this in the month of July its stars growing again but not able to reach the actual target of this year. After this in the month of September there is again some loss in the sale’s amount. Moreover, after this this value is increasing again after October again. In the end of the December this company is able to manage the sale amount up to 1000000 euros

Suggestions and action required for the marketing department

It can be noted that it is an online gift shop then for then there are some important marketing suggestion that will help them to promote their business in an effective way. The first one is related to the offering deals on regular basis. It can be noted from the trend there sale amount is decreased in the off season time. Therefore, this company is required to offer deals during the off season time. Due to this they can easily manages sales during such time period.

Conclusion and recommendation

Summing up all the discussion from above, it is concluded that this report discusses the complete market analysis of the JTT Company. According to this fact, there are some recommendations for the company. According to the analysis, online ads are more effective because they are increasing sale amount for about 54%. The company should focus on the video tutorial advertising, due to this they can easily attract their customers towards their products. The facts are showing that in winter season for every year, the sale amount of the company is increased at high amount. This can be seen in all four years of this company. This is because they are in the season. But for off season they have to make new strategies.

References

Beamish, K., 2012. CIM Coursebook 03/04 Marketing Planning. s.l.:Routledge.

Chernev, A., 2018. The Marketing Plan Handbook, 5th Edition. s.l.:Cerebellum Press.

Cohen, W. A., 2005. The Marketing Plan. s.l.:John Wiley & Sons,.

Mas, S., 2018. The Seven P’s of the Apple Watch’s Marketing-Mix. s.l.:GRIN Verlag.

O. C. Ferrell, M. H., 2013. Marketing Strategy, Text and Cases. s.l.:Cengage Learning.

O. C. Ferrell, M. H., 2019. Marketing Strategy. s.l.:Cengage Learning,.

Robert E. Stevens, D. L. L. B. W., 2006. Marketing Planning Guide. s.l.:Psychology Press.

Appendices