SPSS TreeChaid

Demo

Variable and Values

1. Analyse value categories and redefine variables as appropriate (Scale, Ordinal, Nominal)

2. Frequency on dependent variable to determine (n and % of responses)

3. Calculate BE point (FC/GM)

Oversample If responses unbalance, create a

weight variable R1/R2 = Multiplier Recode response into a new weight

variable such as R1 = 1 and R2 = Multiplier.

Run Tree using weight variable as an influence variable

DMDATAID Nominal Not UsedResponded Nominal UsedPrevious Nominal Not UsedControlPackage Nominal Not UsedPostalCode Nominal Not UsedAge Scale UsedIncome Ordinal UsedEducation Nominal UsedReside Scale UsedGender Nominal UsedMarried Nominal UsedChildren Ordinal UsedRegion Nominal UsedSequence Nominal Not Used

Responses

Create weight: 1820/97 = 19 Recode into a different variable:

Responded Weight Old (0) New (1) Old (1) New (19)

Economics Fixed cost = $0.80 Gross Revenue = $20.00 BE .8/20 = .04

SPSS Tree

Output and Criteria

Manage Nodes to end up with a maximum of 10 nodes

Missing values and Profits

Gains

Classification Matrix

Lab Exercise File: Subscribe.sav Cost: $2.40 Gross income: $30 Dependant variables: response2