Using regression analysis for explanatory analysis

In Chapter 2, Key Performance Indicators and Visualizations, we discussed what descriptive analysis is and how it is used to better understand a dataset. We experimented using various visualization techniques and building different types of plots in Python and R.

In this chapter, we are going to expand our knowledge and start to discuss why, when, and how to use explanatory analysis for marketing.

Explanatory analysis and regression analysis

As we briefly discussed in Chapter 1, Data Science and Marketing, the purpose of explanatory analysis is to answer why we are using the data, whereas the purpose of descriptive analysis is to answer what we are using the data for, and...