Cell Size by bud19087

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									             How to Calculate the Minimum Size of Control/Mail Cell Required


Estimated response rate of Control/Mail Cell:                                                        1.500%
                                                                                                                       low
Allowable margin of error:                                                                          0.150%           1.350%
(Note: Margin of error above is preset - this can be changed based upon your own marketing experience - see "Margin of Error Calculation" tab for instruction


ANSWER - MINIMUM SIZE OF CONTROL/MAIL CELL:                                                            25,227          @a

How to use this sheet:
- fill out the estimated response rate of the Control/Mail Cell in the yellow cell which currently reads 1.500%
- if you are unsure of the estimated response rate, enter several values to see how Control/Mail Cell size will be affected
- the allowable margin of error is currently fixed at a default of 10% of the response rate
- if you have historical data that differs significantly from 10%, please revise the formula in cell B6 to reflect it

The minimum size of the Control/Mail Cell will automatically be calculated in cell B8.




                                                                                                                                  Value for VLOOKUP
          1.960

Confidence Level

       90%
       95%
ell Required



                         high
                       1.650%
 rgin of Error Calculation" tab for instructions)


                                95%       confidence level


 reads 1.500%
Mail Cell size will be affected

ell B6 to reflect it




                  Value for VLOOKUP
          1.960

Confidence Level   Value

       90%         1.645
       95%          1.96
                     How to Determine if the Incremental Response Rate
                                 is Statistically Significant


MAIL GROUP INFORMATION:
Size of the mail group (# names mailed)
Response rate of the mail group (% response)

CONTROL GROUP INFORMATION:
Size of the control group (# names)
Response rate of the control group (% response)

ENTIRE UNIVERSE INFORMATION:
Size of the universe (mail + control)
Response rate of the universe (mail + control)

Confidence Level
And the final number is ....
And the benchmark that you compare the number to is ...

ANSWER - IS THE INCREMENTAL RESPONSE RATE SIGNIFICANT?

How to use this sheet:
- fill out the actual size of the mail group in the yellow cell that currently reads 200,000
- fill out the actual response rate of the mail group in the yellow cell that currently reads 1.500%
- fill out the actual size of the control group in the yellow cell that currently reads 250,000
- fill out the actual response rate of the control group in the yellow cell that currently reads 1.650%

The test for statistical significance in the incremental response rate will automatically be
calculated in cell B17. If the word "YES" appears in cell B20, then this means that the
mail cell had a significant difference in response rate over the control cell. If the word
"NO" appears in cell B20, then the incremental response rate is not statistically significant
and the results of the direct mail are inconclusive.

Benchmarks
95% Confidence Level = 1.96
90% Confidence Level = 1.645
Confidence Level
90%
95%
ate




               200,000
                1.500%



               250,000
                1.650%



               450000
               1.583%

                  95%
                4.005
                 1.960

                  YES




 significant
Confidence Level   Value
90%   1.645
95%    1.96
                                              Response
               Confidence                     Rate
               Level
                                                             1 – response rate


            E=
                                                         Population
Illustrative formula above uses a 95% confidence level



              Confidence level:                   95%                 Start Here with drop down menu
              Response Rate                     0.75%
              Population                       25,000

              Margin of Error                  0.107%
   Value for VLOOKUP

          1.960

Confidence Level       Value

       90%             1.645
       95%              1.96
p down menu

								
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