MKTG 3596 Lecture 6: Topic 6- Lifts and Gains
Document Summary
The number of customers gained in a subgroup. What % of buyers is coming from particular group, absolute measure. # buyers in a group = ex. Gains= banana chart": includes sorting, getting customers quicker. No model gain= % customers or cum customers. The ratio of the response rate for a subgroup to the average response rate. Group"s r. r x 100 or response rate for subgroup x 100 =ex. If lift is equal to 100 or less then that, it means it is lower than overall response rate. Compare the performance of two or more models, also to no model. Only goes up to 1: x axis= % customers, banana chart. Lift: y axis= lift, x axis= % customers, no model lift is a straight line at 100. Gross profit: y axis= gross profit, x axis= % customers, usually don"t include a null model, u- shaped.
