Guided Project: Finding the Best Markets to Advertise In 310-5

Hi there,
I have been working on 310-5 Guided Project: Finding the Best Markets to Advertise In. I have used a slightly different approach on determining the markets. I wanted to ask you what do you think about such a solution.

First of all for the purpose of determining the market I have filtered out all respondents that have their monthly spendings at zero. I believe it is easier to convince someone spending $10 to spend $100 for a good quality course then to ask someone doing only free courses to spend $10 monthly. Some people stick to free courses and this is totally fine. Since we offer a paid subscription in the price tag of $59 I believe people who have not paid so far for the courses are not our target group.

Since we have many outliers with extremally high spendings, where it is still hard to tell if it’s correct data I focused on quartile statistics rather then mean values.

Below is the chart of coders spendings within bonds $(0, 20.000>. The shows a range of <0,350> where we can capture the boxplot shapes.
image
As you see the conclusion is quite similar to the solution notebook i.e. US is with no doubts the best market to advertise in while Canada and India are head to head.

What we find out from the quartile statistics is that:

  • 50% of people in United States would pay at least 33 USD

  • 25% of people in United States would pay at least 166 USD

  • 50% of people in India would pay at least 20 USD

  • 25% of people in India would pay at least 133 USD

  • 50% of people in Canada would pay at least 25 USD

  • 25% of people in Canada would pay at least 127 USD

Those are all somewhere between to where we want to locate our price tag so going further I checked how many people within conditions taken before are able to spend at least $59 per month
image
In that case India having 36.9% outruns Canada reaching 34.8%

Last but not least from the quartile statistics we found out that if we want to increase a possible convertion and able to offer a promotional pricing (by time-defined discount or an annual plan) we could reach for 50% target group in each country by offering a monthly fee of:

  • United States 33 USD
  • Canada 25 USD
  • India 20 USD

Depending on our business strategy and marketing variables such as placements costs, cost per click etc we shall decide on choosing one market between Canada and India or determining a spendings split to accompany advertisment in United States as a main market.

For those who got to the end, please share your opinion and remarks. I would be glad to hear from you.

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