Assignment Tasks 2024 Spring v1
Great Barrier Bazaar, a prominent Australian retail chain based in Sydney, aims to analyse customer behaviour based on purchases made at their stores. The data was collected over the past year using a stratified sampling to ensure the sample represents the entire customer base.
Great Barrier Bazaar has gathered data on various customer and transaction attributes and aims to use this information to identify patterns and trends.
Download Retail.csv
The variables in the dataset are given below.
Dataset Variables (Columns):
CustomerID: Unique identifier for each customer.
Age: Age of the customer.
Gender: Gender of the customer (Male/Female/Other).
AnnualIncome: Customers annual income in thousands.
PurchaseAmount: Amount spent on the purchase (in dollars).
StoreLocation: Location of the store (suburb names).
NumberOfItems: Number of items purchased in the transaction.
PaymentMethod: Method of payment used (Cash/Credit Card/Debit Card/Mobile Payment/Gift Card/Online).
SatisfactionScore: Customer satisfaction score (scale from 1 to 10 where 10 represents the most satisfied customer).
LoyaltyProgram: Whether the customer is part of the loyalty program (Yes/No).
ShoppingFrequency: Indicates how often a customer makes purchases (Daily/Weekly/Monthly/Occasionally)
GroceryPurchase: 1 if grocery items were purchased, 0 otherwise.
HouseholdPurchase: 1 if household items were purchased, 0 otherwise.
PersonalCarePurchase: 1 if personal care items were purchased, 0 otherwise.
BabyPurchase: 1 if baby items were purchased, 0 otherwise.
PetPurchase: 1 if pet items were purchased, 0 otherwise.
Please conduct the analysis as outlined in the sections below.
a)
Test whether shopping frequency is independent of store location.
Make sure you:
Visualize the data,
Show all the key steps of hypothesis testing,
Interpret the results, both statistically and in the context of the case.
In no more than 3 sentences explain what the results reveal about how shopping frequency is associated with store location, and how might these insights inform marketing strategies or store management decisions?
5 marks
Unanswered
b)
Compute a 95% confidence interval for the difference in the mean number of items between Parramatta customers who are part of the loyalty program and those who are not?
Make sure you:
Visualize the data,
Interpret the results, both statistically and in the context of the case.
In no more than three sentences, explain what the results reveal about the difference in mean number of items between Parramatta customers who are part of the loyalty program and those who are not, and how these findings could be relevant for marketing or product placement strategies.
7 marks
Unanswered
c)
Test whether the number of items varies significantly across different genders.
Make sure you:
Visualize the data,
Show all the key steps of hypothesis testing,
Interpret the results, both statistically and in the context of the case.
In no more than three sentences, explain what the results reveal about the difference mean number of items across different genders.
Additionally, identify which specific genders show significant differences and explain how these insights could be used to make informed business decisions (only print the significant results).
10 marks
Unanswered
d)
Test if age can be used to predict number of items. Assess the strength of the predictive power of age for number of items.
Make sure you:
Visualize the data,
Show all the key steps of hypothesis testing,
Interpret the results, both statistically and in the context of the case.
In no more than three sentences, explain what the results reveal about the relationship between age and number of items.
Additionally, use your model to predict the number of items for a customer who is 30
years old. Comment on the appropriateness of this prediction and justify your answer.
Examine the residuals of your regression model: What do they indicate about the model’s performance and any potential issues with the assumptions of your model?
10 marks
Unanswered
e)
Describe the potential sampling process that Great Barrier Bazaar might have used to collect this data. Consider how they might have ensured the sample is representative of their entire customer base and discuss any sampling methods that could have been employed.
4 marks
Unanswered
Document formatting
For your assignment, follow these formatting guidelines to ensure clarity and completeness:
Content Requirements:
Include the full text of each question and its corresponding number.
Provide your statistical analysis, including all relevant R code, output (results), and solutions.
Offer brief yet clear explanations of each step: what you did, why you did it, and what the results mean. Avoid lengthy explanations; focus on clarity and relevance.
Formatting and Presentation:
Use RMarkdown: Incorporate RMarkdown effectively, including code chunks, Markdown for descriptive text, proper headings, and numbering.
Professional Appearance: Ensure your report is well-organized, easy to read, and visually professional. Number each question and clearly present them in the document.
Submission Instructions:
Prepare with RMarkdown: Create your report using RMarkdown.
Knit to Word: Knit your RMarkdown file into a Word document (Mac users can knit to PDF directly).
Convert to PDF: Save the Word document as a PDF.
Submit Your PDF: Upload the PDF to the submission link in vUWS under Assignment > Submit Your Project by the due date.
Following these guidelines will help ensure that your report is well-prepared and meets the assignment requirements