Assignment 2 - Case Analysis - Pelican Stores Case

Pelican Stores, a division of National Clothing, is a chain of women’s apparel stores operating throughout
the country. The chain recently ran a promotion in which discount coupons were sent to customers of
other National Clothing stores. Data collected for a sample of 100 in-store credit card transactions at
Pelican Stores during one day while the promotion was running are contained in the file named Pelican
Stores. The Proprietary Card method of payment refers to charges made using a National Clothing charge
card. Customers who made a purchase using a discount coupon are referred to as promotional
customers and customers who made a purchase but did not use a discount coupon are referred to as
regular customers. Because the promotional coupons were not sent to regular Pelican Stores customers,
management considers the sales made to people presenting the promotional coupons as sales it would
not otherwise make. Of course, Pelican also hopes that the promotional customers will continue to shop
at its stores.

Managerial Report

1) By analyzing the percent frequency distributions, we can infer that 70% of the purchases were made
by promotional customers using the proprietary card method of payment. 93% of the purchases
were made by females and 84% of the total customers were married. We can conclude that the
majority of customers are married females who are non-regulars taking advantage of the promotion
by making purchases using their proprietary card.

Percent frequency distribution for Type of Customer:

Percent frequency distribution for Method of Payment:

Percent frequency distribution for Gender:

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 Percent frequency distribution for Marital Status:

2) The charts below present the number of customer purchases attributable to the method of
payment. The first chart presents the number of customers that used each method of payment. 70
out of 100 customers used the proprietary card as a method of payment. The second chart presents
the number of items purchased using each method of payment. 234 of 322 items were purchased
using a proprietary card.

Number of customer purchases attributable to the method of payment

80
70
70
60
50
Number of Customers

40 Total

30
20 14
10
10 4
2
0
American Express Discover Mastercard Proprietery Card Visa
Method of Payment

Number of customer purchases attributable to the method of payment

250 234

200
Items Purchased

150
Total
100

50 42
29
10 7
0
American Express Discover MasterCard Proprietary Card Visa
Method of Payment

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 3) From table below we can observe that most customers at Pelican Stores during one day are females.
The majority of both male and female customers are promotional.

4) From the scatter diagram below we can say that there is a positive relation between the two
variables net sales and customer age as the plot values shows the increasing trend.

Relationship between net sales and customer age

350.00

300.00

250.00

200.00
Net Sales

150.00

100.00

50.00

0.00
0 20 40 60 80 100 120
Axis Title

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