Bookbinders Book Club Case Analysis

Bookbinders Book Club Case Analysis

In determining the important influential factors that govern whether or not a customer will go through with the decision to buy the book, a choice model analysis utilizing binary logistics regression was performed.

Upon receiving the results, only one variable, first purchase, was proven insignificant due its significant value of 0.248. For the other significant variables, the first one on the list is amount purchased, with a significant value of 0.019. Given that this variable’s coefficient is positive, one can infer that as consumers spend more money on BBBC books, the probability of them actually purchasing the promoted book, The Art History of Florence, is higher. However, with amount purchaser’s proxy variable of frequency being negatively significant, it shows that certain purchases in a chosen period, lowers the chances of the book being purchased. On to the next positive significant factor, last purchase, the probability of books purchased is higher within consumers who have recently bought books from BBBC.

When determining the type of genres drive, such as children, youth, cook, DIY, and art books, all five categories were proven significant. Being that The Art of Florence is categorized as an art book, there is no surprise as to why the art genre has a positive significant impact signifying that the probability of art driven fanatics buying The Art of Florence are higher than the other four genre factors. Given that children, youth, cook, and DIY books are resulted with a negative coefficient, one can infer that as more consumers purchase books within these four genres, the probability of them acquiring The Art of Florence is decreased. Furthermore, by comparing their resulted p-values, BBBC can rank their significance importance even further. By double clicking on their p-values in SPSS, their specific exponential p-values are exposed. Proven the most significant with a p-value of 9E-6 is children books, followed by DIY books (2.9047E-10), children books (3.622E-12), and lastly, cook books (1.1177E-14). With this data, one can make the assumption that those who purchase children books are way less likely to purchase The Art of Florence than those who purchase cook books.