Model Report: Overview

Model reports are used to evaluate how well a model is able to identify a target group.  

The model report can evaluate a PWE model or a Decision Tree model that you have created.

A model report can also evaluate how well any selector variable would perform in identifying a target group of records.  For example, how well would the income variable identify your top customers?

Please read this important warning.

Investigating Models

Drag a PWE model, Decision Tree model or any selector variable on to the "Drop your variable here" marker in the drop panel.

For a PWE or Decision Tree you can now click the Play button.

  • This will pick up the Analysis and Base selections used to create the model and will evaluate how well the model variable identifies the records in the analysis selection.

For a Selector Variable, you need to specify the Analysis and Base selections separately:

  • Click on the "Selections" button and drag on the selections you wish to evaluate.

For more details on how the models and selections are evaluated see "Model Reports : Evaluating Models."

Model Reports Summary

  • Model Reports enable us to test the effectiveness of a model and to roughly project marketing outcomes;

  • The model reports are only a guide, and provide an indication of the ratio of success to failure for different grades of a model;

  • Model Reports can use a test set of data called a “holdout sample” to check the effectiveness of the model against data that has a known result;

  • Beware of the Model Report cost calculation which automatically uses the entire base as the mailing universe.  You may very often wish to eliminate the existing analysis set from your mailing, and mail only to those records that are not yet part of the modelled group;

  • Absolute volumes and financials are for guidance only;

  • Look for the pattern and proportions rather than specifics.

The model reports consist of four main sections, marketing costs, gains table, response chart and financial chart. You can switch between the tables and charts using the tabs on the left.