170 likes | 276 Views
Using SPSS “Compare Means”. Making short work of the category tabulations. Microsoft Excel Spreadsheet. Have audit data on “top” of Excel workbook, or note the “tab” designation. First row becomes the variable labels First column should be number assigned to each supplier (0=private label)
E N D
Using SPSS “Compare Means” Making short work of the category tabulations
Microsoft Excel Spreadsheet • Have audit data on “top” of Excel workbook, or note the “tab” designation. • First row becomes the variable labels • First column should be number assigned to each supplier (0=private label) • Do all editing, corrections to this spreadsheet—use PASW for analysis and minor formatting changes once all error are spotted.
Common Errors in the Audit Spreadsheet • Duplications of a variable name in top row. • Negative gross margins—too high of cost estimated for the SKU, some can be tolerated • Percent gross margins on private label items below those for leading brands—double check this!!!! • Failure to include a number column in spreadsheet: • 0 for private label • 1 for leading supplier, 2 for second, etc. • This permits use of “Select Cases” command in PASW
SPSS“Housekeeping” • File, Open, Data, to open Excel file (“Files of Type,” Excel *.xls) • You’ll probably spot some errors, after all errors are corrected, use Value Labels command to assign supplier names to the number coding in first column (first variable). • Common “error” is formatting of “percent gross margin.” Do this to 0 decimal places.
Select Cases • “Data, Select Cases, If condition is satisfied” • All private labels coded “0” for “MNO” • All brands found at competing retailers = 1,2,3, 4,5. • Any brands not found at competing retailers, not private label listed as “Others” • Select brands for analysis by using “If conditions is satisfied “MNO <6”
Using Compare Means • Analyze, Compare Means, Means… • Dependent variables and independent variables • Options—Means or Percentages? • Copy SPSS output and “paste special picture” directly into an Excel spreadsheet • Copy and paste from an Excel spreadsheet into PowerPoint presentation.
Required I: Share of Shelfspace • Dependent variables: Use the facings variables for selected retailers. • Independent variable: Manufacturer (first column) • Change Options from Default (for each cell): • % of Sum (share of facings) • % of Total N (share of SKUs) • N=number of SKUs
Share of Shelfspace • Favored “Brands:” %SKUs < % Shelfspace • Clue to Category Captain, if your share of facings is greater than your share of SKUs, it’s a favorable position for the supplier • Dominant brands: %SKUs > % Shelfspace, indicates the supplier is either being “held back” or trying gain shelf space by increasing depth
Required II: Share of Gross Margin Dollars • Dependent variables: Use the gross margin dollars ($) variables for selected retailers. • Independent variable: Manufacturer (first column) • Change Options from Default (for each cell): • % of Sum (share of gross margins) • % of Total N (share of SKUs) • N=number of SKUs
Required III: Percent Gross Margin and Manufacturer • Dependent Variable: Gross Margins Percents (%) from selected retailers • Independent Variable: Number for Manufacturer (or MFR) • Options: Mean • % of Total N (share of SKUs) and N • Which suppliers provided highest percent gross margins—did these vary by different retailers?
Examining Mean % Gross Margins • What variation do you see across retailers within the leading brands? What should it tell you about the prices? • What do see regarding private labels, and unique brands? • If percent gross margins are lower on private label items—what’s your interpretation? • If unique brands have a lower percent gross margins and low dollar gross margins…
Interpreting Share of Shelfspace and Gross Margin by Manufacturer • Prices (and gross margins) actions benefitting a supplier will be low, or below average. • A supplier’s line with above average, or higher gross margins will be higher, or above average will benefit the retailer. • Remember: these are the retailer’s gross margins—not the suppliers
Option II: Gross Margin and Distribution Intensity • Dependent variable: Selected Gross Margins (Wal*Mart, Target, Walgreens) • Independent: Number of stores carrying the product • Options: Mean, N, Std. Deviation • “Do intensively distributed brands/SKUs really have the lowest gross margins?”
Preparing for the Exam • Run these required three SPSS procedures on your audit data: • Groups should select 4-5 stores that show that reveal the greatest differences. • Does one manufacturer appear to be “in control” of the category? • Which retailer shows the strongest interest in private label? Does any retailer care about P/L? • Are there retailers whose action can’t be understood without the volume data?