Analysis of Retail Surge Company's Market Research Data

Business statistics
Business analytics and statistics
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Business statistics
Table of Contents
1.0 Introduction...........................................................................................................................................3
2.0 Problem definition.................................................................................................................................3
3.0 Analysis and results...............................................................................................................................5
3.1 Which product categories are making the most profit?....................................................................5
3.2 Which product category costs the most (COGS)?..............................................................................6
3.3 Is there a difference in payments methods?.....................................................................................7
3.4 Are there any differences in the user groups on all of the customer attitudes? (6 outcomes)..........7
3.5 Test for the difference in means of user groups between different customer attitudes.................11
3.6 Are there any differences in gender on all of the customer attitudes? (6 outcomes).....................15
4.0 Discussion and recommendation.........................................................................................................20
Reference...................................................................................................................................................21
Appendix...................................................................................................................................................22
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1.0 Introduction
The business world has in the recent past been dogged by myriad of problems ranging from
global inflation to high level competition. Industries have been growing big due to new
entrants in the market. This has posed great challenges in in terms of competition. Due to this,
various businesses have embraced various methods to keep their businesses afloat. This include
having to introduce online platforms where customers can view and by goods online. Some
companies have reverted to doing research about the market trends so as to understand the
trends in the market and adapt.
2.0 Problem definition
Things have not been different for Retail Surge Company, an online company dealing in
clothes and footwear for boys and girls and men and women. Retail Surge also deals in
customisation, accessories and sports equipment. Due to low sales and dwindling profit
margins, the company decided to conduct a market research by conducting data from
customers with an aim of analysing it and drawing important information to guide their
business.
 The product category is made the most profit
To give information about the product category that made the most profit at Retail Surge, the
appropriate bar graphs were employed to visually present the product and the amount of each.
 Product category that cost the most
To give information about the product category that cost most, at Retail Surge, the appropriate
bar graphs were employed to visually present the product and the amount of each.
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 Is there a difference in payment methods?
Since is a test for difference in means, an inferential statistics was employed. Independent t-test
was employed since the test was being conducted between two variables. Test for difference
between two independent variables use independent t-test. The two variables were the two
methods of payments which were PayPal and credit card.
 Are there any differences in the user groups on all of the customer attitudes? (6
outcomes)
Since is a test for difference in means, an inferential statistics was employed. Analysis of
variance (ANOVA) was employed since the test was being conducted among more 3 variables.
Test for difference between three independent variables uses ANOVA. The three variables were
light users, medium users and heavy users.
 Are there any differences in gender on all of the customer attitudes?
Since is a test for difference in means, an inferential statistics was employed. Independent t-test
was employed since the test was being conducted between two variables. Test for difference
between two independent variables use independent t-test. The two variables were the male and
the females.
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3.0 Analysis and results
3.1 Which product categories are making the most profit?
Figure 1
Figure 1 above is a bar chart showing the mean total profit of different products sold by Retail
Surge. The product which fetched the highest profit was the customised products ($ 25). The
second best product in terms of mean profit was men’s shoes ($15.5). The product that fetched
the least profit was boys clothing.
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3.2 Which product category costs the most (COGS)?
Figure 2
Figure 2 above is a bar chart showing the mean cost of goods at Retail Surge. The product
which had the highest mean cost was the customised products ($9.9). The second costly
product was girls’ shoes ($8). The product that was less costly was boys’ clothing.
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