CUSTOMER

SATISFACTION

PRESENTED BY-
DEEPAK KHANDELWAL
 INTRODUCTION

 Customer satisfaction is a measure of how products and services

supplied by a company meet customer expectation

 It is meeting the customers expectations with a organization and/or

department’s efforts.

 It is seen as a key business performance indicator.

 REGRESSION ANALYSIS

 The statistical tool with the help of which we are in a position

to estimate (or predict) the unknown values of one variable
from known values of another variable is called regression.

 With the help of regression analysis, we are in a position to

find out the average probable change in one variable given a
certain amount of change in another.
 TYPES OF VARIABLE UNDER REGRESSION

 Dependent variable:- The variable whose value is estimated

using the algebraic equation is called dependent or response
variable.

 Independent variable:- The variable whose value is used to

estimate this value is called independent or predictor variable.

 The linear algebraic equation used for expressing dependent

variable in terms of independent variable is called linear
regression equation.
ANALYSIS OF VARIANCE

 Bivariate analysis

 Multivariate analysis
BIVARIATE REGRESSION ANALYSIS

Y  a  bx
Y=predicted variable
X=variable used to predicted y
a=intercept
b=slope
 EXAMPLE
PRICE AND DEMAND
 In this case of law of demand
says there are two variable price
(P) and demand (D) according to
this law –
 P increases than D decreases , P
decreases than D increases.
 P is independent
 D is dependent
 Hence indirect relationship.
INCOME AND EXPENDITURE
 In this case there are two
variable income (Y) and
expenditure (E) its says-
 Y increases than E increases
 Y decreases than E decreases
 Y is independent
 E is dependent
 Hence direct relationship
 ADVANTAGES OF REGRESSION
ANALYSIS

 Regression analysis helps in developing a regression equation by

which the value of dependent variable can be estimated given a
value of an independent variable.

 Regression analysis help to determine standard error of estimate to

measure the variability with respect to the regression line.

 By help of various variable to find out the customer satisfaction.

 MULTIPLE REGRESSION ANALYSIS

 Multiple regression analysis is a method for explanation of

phenomena and prediction of future events.

 Multiple regression involve a single dependent variable and

two or more independent variable.

 Regression analysis is widely used for prediction and

forecasting, where its use has substantial overlap with the field
of machine learning.
MODEL OF MULTIPLE REGRESSION
ANALYSIS

Attitude
Opinion
Feeling

Purchase Media
Past behavior Intention to
purchase
exposure
Knowledge
Experience Preference Word of
satisfaction mouth

Demographic
lifestyle
 MULTIPLE REGRESSION EQUATION

Y  a  b1 x1  b2 x2  b3 x3  ......... bm xn

Y= dependent variable
X= independent variable
a = intersect
b1= slope of independent variable
m= no of independent variable
Case study
 Case study

 Novartis Pharmaceutical company sales territory and number

of sales person are given below.
 To find regression equation and analysis it.
Territory Sales No. of xy x2
[I] (y) salesperson
(x)

1 102 7 714 49

2 125 5 625 25

3 150 9 1350 81

4 155 9 1395 81

5 160 9 1440 81

6 168 8 1344 64

7 180 10 1800 100

8 220 10 2200 100

9 210 12 2520 144

10 205 12 2460 144

Territory Sales No. of xy x2
[I] (y) salesperson
(x)
11 230 12 2760 144

12 255 15 3825 225

13 250 14 3500 196

14 260 15 3900 225

15 250 16 4320 256

16 275 16 4400 256

17 280 17 4760 289

18 240 18 4320 324

19 300 18 5400 324

20 310 19 5890 361

Sum 4325 251 58603 3469

(Avg=216.25) (Avg=12.55)
 Formula for b, the slope,in Bivariate regression-

n
 n  n 
n xi yi    xi   y1 
b  i 1  i 1  i 1 
2
n
 n

n xi    xi 
2

i 1  i 2 

Xi=An x variable value

Yi=y value paired with each x value
n=the number of pairs
20  58603  251 4325
 13.56
20  3469   251
2

a  y  bx
 216.25  13.56  12.55
 216.25  170.15
 46.10
y  46.10  13.56 x