Table of contents
1. Executive
summary
.
2. Key performance
indicators/Variables..
Age of properties against time
Distance frequency distribution for properties being
sold.
Type of properties
sold
.
Performance of each sales
agent..
Customer
Satisfaction
N
- Graphical
a
analysis
m
..
e
- Hypothesis
:
testing
S
t
3. Recommendations and
u
Conclusion
d
e
n
t
I
D
:
Shaira Rahman (z5059151)
Table of contents
1. Executive
summary.. 1
2. Key performance
indicators/variables 1
Age of property and
time 2
Distance for properties being sold and
time. 2
Type of properties
sold. 4
Performance of each sales
agent 4
Customer
satisfaction. 5
-
Graphical analysis 5
- Hypothesis testing.. 6
3. Recommendations and
conclusion 7
1. Executive Summary
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Shaira Rahman (z5059151)
This report has been prepared by Crunch-It Consultants on behalf of
BreezyRealty, a real estate agency company based at the eastern suburbs.
It provides analysis of 6 variables of customer/agent data from a sample of
293 customers who chose to sell their properties with BreezyRealty real
estate.
Specifically, BreezyRealty wanted to determine continual running of
business and likelihood of receiving word-to-mouth referrals and the
expectancy of at least 80% of customers presented in the data to be
satisfied or very satisfied with this agency. Other variables such as time
taken to sell properties were tested against their ages and proximities
from the beach. The finding made suggest that the properties ages around
12 years and the closer proximity to the beach had the most likelihood of
being sold. Also, the performance of 4 sales agents were compared
against one another, out of which agent 2 was perceived as the
underperforming employee. The different types of properties were also
displayed in a pie chart.
2. Key Performance Indicators/Variables
Age of properties sold and time
Figure 1
age
Frequency Distribution: Age of Properties Sold
150
100
Frequency
Frequency
50
0
3
12
15
Mean
Median
Mode
SD
Range
Minimum
Maximum
Count
8.6
9.0
9.0
3.1
10.0
3.0
13.0
293.0
Age
This histogram in this figure displays the age frequencies of the properties
sold by BreezyRealty. It is skewed to the left meaning that the mean is less
than the median, as shown in the summary statistics table on the side. In
addition, the unimodal frequency distribution shows that most of the
properties sold are around 12 years with a total frequency of 127
properties sold out of the total 293 sold. Also, the distribution does not
appear to be symmetrical and does not have any outliers.
Figure 2
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Shaira Rahman (z5059151)
Age vs Time Taken to Sell Property
140
120
100
80
Time (days)
60
Linear ()
40
f(x) = 0.37x + 29.38
R = 0.01
20
0
10
12
14
Age (years)
This scatter plot illustrates the relationship between ages of properties
against the time it takes to sell properties depending on how old they are.
There is a trend which displays that the older the houses are, the more
likely they are at being sold. There is also a trend line and regression
presented in the legend of the graph. A gap in this scatter plot indicates
that there are no properties sold that are aged between 4 to 8 years.
Additionally, figure 5 displays ages of properties and time having a
correlation coefficient of 0.0805.
Distance for properties being sold and time
Figure 3
distanc
e
Mean
Median
Mode
SD
Range
Minimum
Maximum
Count
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2687.0
3990.0
3990.0
2527.7
19934.0
61.0
19995.0
293.0
Shaira Rahman (z5059151)
Distance from the beach for the properties being sold
140
120
100
80
60
Frequency 40
20
0
Frequency
Distance (m)
This histogram portrays the frequency of distance from the beach for the
properties sold with BreezyRealty. The modal class in this histogram is
2000 metres from the beach meaning that the closer the houses are from
the beach, the more likely they are at being sold. The distribution of the
histogram is positively skewed meaning the mean is greater than the
median. There is also a gap in the data suggesting the properties further
than 12000 metres away from the beach are not included in the selling
range and the distance of 20000 metres appears to be an outlier.
Figure 4
Distance from Beach vs Time Taken to Sell Property
140
120
100
80
Time (days)
Linear - Time
60
40
20 f(x) = 0x + 31.95
R = 0
0
0
10000
20000
30000
Distance (m)
This scatter plot demonstrates the relationship between distances of
properties from the beach and the time it takes to sell properties
depending on their proximities. There is a trend which outlines that the
closer the properties are to the beach, the more likely they are at being
sold. Conversely, there is also an outlier presented in this plot where the
properties that are further away from the beach are less likely at being
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Shaira Rahman (z5059151)
sold. Also, Figure 5 indicates that distance and time has a 0.0389
correlation coefficient.
Figure 5
Correlation Coefficients for Age vs Distance vs Time
Distance
(m)
Distance
(m)
Time
Age
1
0.0389
0.0071
Time
Age
1
0.0805
Type of properties sold
Figure 6
Type of property sold
1=unit
11%
28%
2=town house
3= house
61%
From the findings presented by this pie chart, it is evident that the most
common type of property being sold are town houses, accounting for 61%
of the customers from the data. Houses are the least common type of
property sold in the eastern suburbs, accounting for 11% of customers
from the data.
Performance of each sales agent
Figure 7
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Shaira Rahman (z5059151)
Individual relative performance of BreezyRealty sales agents
90
80
70
60
Number of properties sold
50
frequency
40
30
20
10
0
Sales Agents
This column graph expresses the number of properties sold by each
individual agent. In turn it outlines their overall performance. From the
data above, it can be said that agent 2 has sold 63 properties, the least
amount relative to his/her peers out the sample of 293 customers data.
Also, agent 4 has been shown to have sold the highest amount of
properties (80).
Customer satisfaction
-
Graphical analysis
Figure 8
Percentage of customer satisfaction
18%3%17%
1= very dissatisfied
2= dissatisfied
3= satisfied
4= very satisfied
63%
This pie chart displayed above was used to test the satisfaction variable
which contains categorical and ordinal data ranging from 1= very
dissatisfied to 4=very satisfied and there is an additional category 9=no
response which was discarded from summary statistics because it
provided no statistical value. By rejecting the no responses in these
statistics, the new total for customer satisfaction is 280. Customer
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Shaira Rahman (z5059151)
satisfaction fulfilled the criteria of at least 80% satisfied and this was
deduced by a combination of the 3 = satisfied and 4 = very satisfied
categories with a total of 226 out of 280.
-
Hypothesis testing
This hypothesis has been formulated to test whether there is at least 80%
customer satisfaction by BreezyRealty so that they able to repeat business
and receive future referrals. The central limit theorem is also being applied
in this sample proportion hypothesis testing
This was tested using a one tail hypothesis, a null hypothesis that exactly
80% of the customers were satisfied and an alternative hypothesis that
less than 80% of the customers were satisfied.
H0: P= 0.8 (null hypothesis)
H1: P< 0.8 (Alternative hypothesis)
Taking = 0.05 (significance level)
Z0.05 = - 1.645
Therefore, the rejection region is z < - 1.645
There were 280 customers (no responses were excluded) presented from
the data provided out of which 226 were customers who were satisfied
with the experience they got in selling their properties with BreezyRealty.
The sample proportion was calculated as:
=
x
n
226
280
= 0.807
Standardised test statistic:
z=
p
p (1 p)
n
0.8070.8
z=
0.8(0.2)
280
z= 0.29
0.29 is greater than -1.645, and therefore does not fall within the rejection
region meaning the null hypothesis be failed to be rejected. Also, the p
value is 0.6141 which is greater than 0.5 (the significance level), hence
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Shaira Rahman (z5059151)
the null hypothesis and also the alternative hypothesis that less than 80%
of customers are satisfied with BreezyRealty is also considered to be false.
There is a 95% confidence interval and the data evidently indicates that
the null hypothesis will be failed to be rejected.
3. Recommendations and conclusion
Through extensive analysis of the data presented by BreezyRealty,
Crunch-IT consultants were able to deduce that based on the customer
satisfaction levels that were analysed, more than 80% of the customers
out of the sample were either satisfied or very satisfied by selling their
properties with BreezyRealty. Crunch-IT recommends BreezyRealty to take
the incentive to continue business with the hope of receiving further
referral by future customers. All the other variables presented in this
report will also be taken into consideration to determine what actions to
implement.
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