“Advertising Experiments at RestaurantGrades”

Please answer the following questions in the Excel file (with one Worksheet Tab for each
question of the case) given for the case. For verbal question (interpretation in words), please just
use one cell or (even better) insert a text box and insert your text.

1. Given that there is already set of restaurants on the RestaurantGrades platform that have
been purchasing ads, what is the necessity of undertaking the experiment to ascertain the
efficacy of the new ad algorithm?
2. Can you compare the outcomes of restaurants that do and don’t advertise to find the
effectiveness of the algorithm? Why/ Why not?
3. What is the conclusion you would make based on the data available - should Restaurant
Grades stick with their current design or switch to the alternative?
4. How confident are you of your decision? Can you quantify your confidence? what are
possible concerns you may have?
5. What is the impact of the change on the different types of restaurants (chain and
independent). Compare and contrast the results.

Hints
The Restaurant Grade case requires creation of two simple pivot tables with the data. Then,
compare the treatment group and the control group using the simple statistics of these groups.

In case you are stuck in creating the Pivot Tables. These videos could help you in creating the
pivot tables.

https://www.youtube.com/playlist?list=PLcivDH1CSmf1O-wKH8wlwihLLddYpFjGq