Using Statistics in Marketing - Explained
How are statistics used in Marketing?
Written by J. Mance Gordon
Updated at April 17th, 2024
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How are Statistics Used in Marketing?
When making important decisions, we generally rely on data or relevant information to guide our decisions. Important in this process are statistics. Statistics are simply estimates that are based on the analysis of numerical data. In other words, as complicated as statistics sound or or may be when you start interpreting them, what they really are is very simple. They are just estimates based on the data that we have.
Now how do we make estimates or what are we trying to estimate. Usually we measure a sample or a subset a group and then from that measurement. We try to estimate for the population or the overall group.
So the sample is the part that we study or the group that we study. The population is the group that we're trying to understand the bigger group. To do so, we use statistical models. Statistical methods are all sorts of different approaches that we have to taking data and creating an estimate.
So, as complicated as statistics may sound, and as interesting and and complicated as it can be to use statistics, it's a really simple concept in the end. We want to measure a little bit so that we can understand a lot.
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