Lift and Gain Charts are a useful way of visualizing how good a predictive model is. In SPSS, a typical gain chart appears as follows: In today's post, we will attempt to understand the logic behind generating a gain chart and then discuss how gain and lift charts are interpreted. To do this, we will use the example of a direct mailing company. Let us assume that based on experience, the company knows that the average response rate on its direct mail campaigns is 10%. Let us further make the following assumptions: * Cost per ad mailed = $1 * Return per response = $50 Additionally, let us assume that the company mails out ads in lots of 10,000. Based on these assumptions, if the company mails out 100,000 ads, a table summarizing the results it would obtain from this campaign is provided below: Now let us assume that the company uses SPSS Modeler to develop a predictive model using data from previous campaigns. "Response / No Response" is identified as the &
Thanks for sharing, nice post! Post really provice useful information!
ReplyDeleteAn Thái Sơn với website anthaison.vn chuyên sản phẩm máy đưa võng hay máy đưa võng tự động tốt cho bé là địa chỉ bán máy đưa võng giá rẻ tại TP.HCM và giúp bạn tìm máy đưa võng loại nào tốt hiện nay.