Business Analytics

Case Study: Optimizing Marketing Campaigns

with Business Analytics

• Objective: To assess MBA students' ability to apply business analytics to optimize marketing campaigns
for a fictional retail company. This case study will involve data analysis, predictive modeling, and
strategic recommendations.
• Background
• Company: Stellar Retail
• Industry: Retail
• Problem: Stellar Retail has observed varying effectiveness of its marketing campaigns across different
regions and customer segments. The company seeks to optimize its marketing efforts using business
analytics to maximize ROI and customer engagement.
• Data Available
• Customer Data: Age, gender, location, income level, loyalty program status.
• Sales Data: Transaction dates, sales amounts, product categories.
• Marketing Data: Campaign type, spend, reach, engagement metrics (clicks, likes, shares).
• Economic Data: Regional economic indicators, competitor activities.
Exercise

• Step 1: Data Exploration and Preparation

• Objective: Understand and prepare the data for analysis.
• Tasks:
• Load the provided datasets into a data analysis tool (Excel, R, Python).
• Perform data cleaning to handle missing values, duplicates, and outliers.
• Conduct exploratory data analysis (EDA) to summarize main characteristics of the data.
• Visualize key metrics using charts and graphs (e.g., sales trends, marketing spend by
region).
• Deliverable:
• A report summarizing the data preparation steps and key findings from the EDA.
• Visualizations of important metrics.
Exercise

• Step 2: Assessing Campaign Effectiveness

• Objective: Evaluate the effectiveness of past marketing campaigns.
• Tasks:
• Analyze the impact of different marketing campaigns on sales and customer
engagement.
• Use statistical methods (e.g., correlation analysis) to identify relationships between
marketing spend and sales.
• Visualize the effectiveness of campaigns using bar graphs, scatter plots, and heatmaps.
• Deliverable:
• A report detailing the effectiveness of various marketing campaigns.
• Visualizations of campaign performance.
Exercise

• Step 3: Predictive Modeling for Campaign Optimization

• Objective: Build a predictive model to forecast the impact of future marketing campaigns.
• Tasks:
• Define the target variable (e.g., sales uplift).
• Select relevant features from the datasets to use in the model.
• Split the data into training and testing sets.
• Build and train a predictive model (e.g., linear regression, random forest) to predict the impact of
future campaigns.
• Evaluate the model’s performance using metrics such as RMSE, MAE, and R².
• Deliverable:
• A report describing the predictive model, including feature selection, model training, and
performance evaluation.
• Insights on expected impact of future campaigns.
Exercise

• Step 4: Strategy Development

• Objective: Develop strategies to optimize future marketing campaigns based on analysis insights.
• Tasks:
• Analyze the insights from the campaign effectiveness assessment and predictive model to
identify key drivers of campaign success.
• Develop targeted marketing strategies for different customer segments and regions.
• Propose specific actions (e.g., personalized campaigns, budget reallocation) to optimize
marketing spend and maximize ROI.
• Estimate the potential impact of the proposed strategies on sales and customer engagement.
• Deliverable:
• A comprehensive report detailing the proposed strategies to optimize future marketing
campaigns.
• Actionable recommendations and their expected impact.
Example Case Study Report
Title: Optimizing Marketing Campaigns at Stellar Retail Using Business
Analytics

• Introduction: Stellar Retail has experienced varying • Predictive Modeling for Campaign Optimization: We built a linear
regression model to predict the impact of future campaigns on sales,
effectiveness of its marketing campaigns across different achieving an R² of 0.85. The model predicts that increasing social media
regions and customer segments. This case study explores spend by 10% could result in a 5% increase in sales for urban regions.
how business analytics can be applied to evaluate past • Strategy Development: Based on our analysis, we proposed the following
campaign performance, predict future outcomes, and strategies:
develop strategies to optimize marketing efforts. • Targeted Social Media Campaigns: Increase budget allocation for social
media in urban regions, focusing on younger demographics.
• Data Exploration and Preparation: We began by loading • Personalized Email Marketing: Develop personalized email campaigns for
and cleaning the datasets, removing duplicates, handling older customers, highlighting loyalty program benefits and exclusive
missing values, and addressing outliers. Exploratory data offers.
analysis revealed that marketing spend is highest in • Budget Reallocation: Shift budget from less effective campaigns (e.g.,
urban regions, and younger customers (aged 18-30) print media) to high-impact digital campaigns.
show higher engagement rates. • Conclusion: By leveraging business analytics, Stellar Retail can optimize its
marketing efforts to maximize ROI and customer engagement. Our
• Assessing Campaign Effectiveness: Correlation analysis proposed strategies are expected to increase overall sales by 7% and
indicated a strong positive relationship between social enhance customer retention rates.
media campaign spend and sales uplift in urban regions. • Conclusion
Email marketing campaigns were found to be more • This case study exercise demonstrates how MBA students can apply
effective for older customers (aged 50+). business analytics concepts and techniques to a real-world marketing
problem. By following a structured approach, students can gain practical
experience in data preparation, campaign assessment, predictive
modeling, and strategy development, preparing them for assessments and
future careers in business analytics.
Case Study: Optimizing Supply Chain Operations with
Business Analytics

• Objective: To assess MBA students' ability to apply business analytics concepts and techniques to
optimize supply chain operations. This case study will include data analysis, predictive modeling, and
strategic decision-making.
• Background
• Company: GlobalMart
• Industry: Retail
• Problem: GlobalMart is facing challenges in its supply chain operations, including high inventory costs,
stockouts, and delays. The company wants to use business analytics to optimize inventory levels, reduce
costs, and improve delivery times.
• Data Available
• Sales Data: Transaction dates, sales amounts, product categories, store locations.
• Inventory Data: Stock levels, reorder points, lead times, storage costs.
• Supplier Data: Supplier performance metrics, delivery times, order quantities.
• Logistics Data: Transportation costs, shipping times, warehouse locations.
Exercise

• Step 1: Data Exploration and Preparation

• Objective: Understand and prepare the data for analysis.
• Tasks:
• Load the provided datasets into a data analysis tool (Excel, R, Python).
• Perform data cleaning to handle missing values, duplicates, and outliers.
• Conduct exploratory data analysis (EDA) to summarize main characteristics of the data.
• Visualize key metrics using charts and graphs (e.g., sales trends, inventory levels,
supplier performance).
• Deliverable:
• A report summarizing the data preparation steps and key findings from the EDA.
• Visualizations of important metrics.
Exercise

• Step 2: Inventory Optimization

• Objective: Optimize inventory levels to balance cost and availability.
• Tasks:
• Analyze sales and inventory data to determine optimal reorder points and order
quantities using the Economic Order Quantity (EOQ) model.
• Identify products with high holding costs or frequent stockouts.
• Visualize the impact of different reorder points on inventory costs and stockout
risks.
• Deliverable:
• A report detailing the optimal reorder points and order quantities for key products.
• Visualizations of inventory optimization results.
Exercise

• Step 3: Supplier Performance Analysis

• Objective: Evaluate supplier performance and identify areas for improvement.
• Tasks:
• Analyze supplier data to assess delivery times, order accuracy, and costs.
• Rank suppliers based on performance metrics.
• Identify suppliers causing delays or contributing to high costs.
• Deliverable:
• A report evaluating supplier performance and providing recommendations for
improvement.
• Visualizations of supplier performance metrics.
Exercise

• Step 4: Predictive Modeling for Demand Forecasting

• Objective: Develop a predictive model to forecast future demand and optimize inventory planning.
• Tasks:
• Define the target variable (e.g., monthly demand for each product).
• Select relevant features from the datasets to use in the model (e.g., historical sales data, marketing
promotions, seasonality indicators).
• Split the data into training and testing sets.
• Build and train a predictive model (e.g., time series forecasting, regression) to predict future demand.
• Evaluate the model’s performance using metrics such as RMSE, MAE, and R².
• Deliverable:
• A report describing the predictive model, including feature selection, model training, and performance
evaluation.
• Insights on expected future demand trends and their impact on inventory planning.
Example Case Study Report
Title: Optimizing Supply Chain Operations at GlobalMart Using
Business Analytics

• Introduction: GlobalMart is facing challenges in • Step 3: Supplier Performance Analysis: We evaluated

its supply chain operations, including high supplier performance metrics and ranked suppliers based
on delivery times, order accuracy, and costs. This analysis
inventory costs, stockouts, and delays. This case identified suppliers causing delays and high costs, allowing
study explores how business analytics can be for targeted improvements.
applied to optimize inventory levels, reduce costs, • Step 4: Predictive Modeling for Demand Forecasting: We
and improve delivery times. developed a time series forecasting model to predict future
• Step 1: Data Exploration and Preparation: We demand for each product. The model achieved an RMSE of
5%, indicating accurate predictions. Insights from the
loaded and cleaned the datasets, removing model will help optimize inventory planning and reduce
duplicates and handling missing values. stockouts.
Exploratory data analysis revealed seasonal sales • Conclusion: By leveraging business analytics, GlobalMart
trends and areas for improvement in supplier can optimize its supply chain operations, reduce costs, and
performance. Conclusion improve delivery times. Our proposed actions are expected
This case study exercise demonstrates howtoMBA students
increase can efficiency and customer
operational
• Step 2: Inventory Optimization: Using the EOQ
apply business analytics concepts and techniques to optimize
satisfaction.
model, we identified optimal reorder points and
supply
order quantities chain
for key operations
products. in a retail company. By following a
Visualizations
structured
showed the impact approach,
of different students
reorder pointsgain
on practical experience in data
inventory costspreparation,
and stockoutinventory
risks. optimization, supplier performance
analysis, and predictive modeling, preparing them for
assessments and future roles in supply chain management.
Use cases of Business Analytics
Netflix

• Netflix uses business analytics in • optimal pricing and subscription plans,

several ways: monitor customer churn, and understand
the impact of changes.
• Content analysis: They analyze data to
determine which content to produce • Marketing: They analyze the effectiveness
and license, including genre, budget, of marketing campaigns and adjust them
and target audience. accordingly.
• International expansion: They use data to
• Customer behavior: They track viewing
determine which markets to expand into,
habits, search and browsing behavior, what content to offer, and how to localize
and preferences to make the user experience.
recommendations and personalize the
user experience. • Overall, Netflix leverages analytics to drive
informed decision-making and optimize
• Pricing and subscription: Netflix uses their operations, user experience, and
analytics to determine revenue.
Use cases of Business Analytics
Amazon:

• Sales and revenue: They analyze sales • Pricing: Amazon uses data and analytics to
data to understand trends, customer determine optimal pricing for products and to
track competitor pricing.
behavior, and revenue growth.
• Marketing: They analyze the effectiveness of
• Inventory and supply chain: Amazon marketing campaigns, advertising, and
uses analytics to optimize inventory promotions to make informed decisions about
levels, manage the supply chain, and where to allocate budget.
ensure timely delivery of products. • Fraud detection: Amazon uses analytics to
detect fraudulent activity and protect the
• Customer behavior: They track security of customer data and transactions.
customer behavior, including • Overall, Amazon leverages analytics to drive
browsing, search, and purchase informed decision-making and optimize their
history, to make recommendations operations, customer experience, and
and personalize the user experience. revenue.
•
Walmart uses business analytics in several ways, including:

• Employee Management: Walmart uses data

analytics to monitor employee productivity,
• Supply Chain Optimization: Walmart uses schedule management and reduce labor costs.
data analytics to optimize its supply chain
and improve the efficiency of its • Pricing Strategies: Walmart uses data analytics
to inform its pricing strategies, ensuring that it
operations.
remains competitive while maximizing profits.
• Customer Insights: Walmart collects and •
analyzes data on customer shopping habits
and preferences to inform its marketing • Overall, Walmart leverages business analytics
to gain insights and make data-driven
strategies and product offerings.
decisions that improve its operations and drive
• Inventory Management: Walmart uses growth.
data analytics to track inventory levels and
sales patterns to ensure that the right
•
products are in stock at the right time.
Uber
uses business analytics in several ways, including:

• Demand forecasting: To predict • Route optimization: To determine the best

routes for drivers and passengers, reducing travel
demand for rides and optimize time and costs.
pricing and driver incentives. • Fraud detection: To identify and prevent
fraudulent activities, such as fake rides and fake
• Customer segmentation: To drivers.
better understand and target • Marketing and promotions: To measure the
effectiveness of marketing campaigns and
different customer segments. promotional offers.
• Driver performance evaluation: • Market expansion: To analyze new markets and
determine the viability of expanding into new
To measure driver performance cities and regions.
and identify areas for •

• improvement.
•
Google
uses business analytics in several ways, including:

• Data-driven decision making: Google • Ad campaign optimization:

collects and analyzes massive amounts Google uses analytics to
of data to inform its decisions and
strategies.
measure the effectiveness of its
advertising campaigns and
• Customer behavior analysis: Google
analyzes user data to understand adjust them accordingly.
customer behavior and preferences, • Market research: Google
which helps with product development analyzes market trends and
and marketing strategies.
competitor activity to inform its
• Financial analysis: Google uses business strategies.
business analytics to track and forecast
its financial performance.
 Business Analysis: Definition
and Activities
• Business analysis is the practice of assisting firms in resolving their technical difficulties by understanding, defining, and solving
those issues.
•
• The activities that are carried out while performing Business Analysis:
•  Company analysis: Business analysis aims at figuring out the requirements of a firm in general and its strategic direction and
determining the initiatives that will enable the business to address those strategic goals.
•  Requirements planning and management: It focuses on planning the requirements of the development process, identifying
what the top priority is for execution, and managing the changes.
•  Requirements elicitation: It outlines techniques for collecting needs from relevant members of the project team.
•  Requirements analysis and documentation: It explains how to establish and define the needs in detail to allow them to be
effectively carried out by the team.
•  Requirements communication: Business analysis explains methods to help stakeholders have a shared understanding of the
needs and how they will be carried out.
•  Solution assessment and validation: It also explains how a business analyst can execute a suggested solution, how to support
the execution of a solution, and how to evaluate possible flaws in the implementation.
•
• Business analysis is performed by Functional Analysts, Systems Analysts, Business Analysts, and Business Requirements Analysts.
  Business Analytics: Definition
and Its Applications
• Business analytics is also known as data analytics. It is a process of collecting,
evaluating, and drawing valuable outcomes from the enormous amount of
data available. Business analytics is widely used in the following applications:
•  Finance
•  Marketing
•  HR
•  CRM
•  Manufacturing
•  Banking and Credit Cards
• Business analytics is performed by Data Scientists and Data Analysts.
Business Analysis vs. Analytics: Similarities
Explained

• Business analysis and business analytics have some commonalities.

They both:
•  Examine and enhance businesses
•  Determine solutions to issues
•  Establish things based on the requirements
Objective: To provide MBA students with a practical example of how business analytics
can be applied to enhance customer satisfaction in a service-based company. This case
study will guide students through data analysis, customer segmentation, predictive
modeling, and strategy formulation.

• Background
• Company: ABC Services
• Industry: Customer Service
• Problem: ABC Services has received an increasing number of customer complaints and
low satisfaction scores over the past year. The company aims to use business analytics
to understand the factors affecting customer satisfaction and develop strategies to
improve it.
• Data Available
• Customer Feedback Data: Survey responses, ratings, comments.
• Service Interaction Data: Call logs, email inquiries, service tickets.
• Customer Demographics: Age, gender, location, service subscription details.
• Employee Performance Data: Service agent ratings, response times, resolution times.
 Assessment Exercise

• Step 3: Customer Segmentation • Step 4: Predictive Modeling for Customer Satisfaction

• Objective: Segment customers to identify groups with • Objective: Build a predictive model to forecast customer
different satisfaction levels and needs. satisfaction scores.
• Tasks: • Tasks:
• Use clustering techniques (e.g., K-means clustering) to • Define the target variable (e.g., satisfaction score).
segment customers based on their demographics, interaction • Select relevant features from the datasets to use in the model.
data, and satisfaction scores. • Split the data into training and testing sets.
• Interpret the characteristics of each customer segment. • Build and train a predictive model (e.g., linear regression, decision
• Visualize the customer segments using scatter plots or other tree) to predict satisfaction scores.
appropriate charts. • Evaluate the model’s performance using metrics such as R², MAE,
and RMSE.
• Deliverable:
• Deliverable:
• A report detailing the customer segments identified, including
• A report describing the predictive model, including feature
the characteristics of each segment.
selection, model training, and performance evaluation.
• Visualizations of the customer segments. • Insights on key predictors of customer satisfaction.
• Assessment Questions: • Assessment Questions:
• What are the main characteristics of each customer segment? • What features were selected for the predictive model?
• Which customer segment has the highest satisfaction levels, • How well does the predictive model perform in forecasting
and which has the lowest? satisfaction scores?
 Assessment Exercise

• Step 5: Strategy Development

• Objective: Develop strategies to improve customer satisfaction based on analysis insights.
• Tasks:
• Analyze the insights from the key drivers and customer segments to identify areas for improvement.
• Develop targeted strategies for different customer segments.
• Propose specific actions (e.g., training programs for service agents, faster response times, personalized
service) to improve satisfaction.
• Estimate the potential impact of the proposed strategies on customer satisfaction scores.
• Deliverable:
• A comprehensive report detailing the proposed strategies to improve customer satisfaction.
• Actionable recommendations and their expected impact.
• Assessment Questions:
• What specific strategies would you recommend to improve customer satisfaction for each segment?
• How do you estimate the impact of these strategies on overall customer satisfaction?
 Example Case Study Report
Title: Enhancing Customer Satisfaction at ABC
Services Using Business Analytics
• Introduction: ABC Services has experienced an increase in customer complaints and low
satisfaction scores. This case study explores how business analytics can be applied to understand
the factors affecting customer satisfaction and develop effective strategies to improve it.
• Data Exploration and Preparation: We began by loading and cleaning the datasets, removing
duplicates, handling missing values, and addressing outliers. Exploratory data analysis revealed that
younger customers and those from urban areas reported lower satisfaction scores.
• Identifying Key Drivers of Customer Satisfaction: Correlation and regression analyses indicated
that response times and service agent ratings are the most significant drivers of customer
satisfaction. Faster response times and higher service agent ratings were associated with higher
satisfaction scores.
• Customer Segmentation: Using K-means clustering, we identified three distinct customer
segments:
• Young Urban Customers: Aged 18-30, high service usage, low satisfaction.
• Middle-Aged Suburban Customers: Aged 31-50, moderate service usage, average satisfaction.
• Senior Rural Customers: Aged 51+, low service usage, high satisfaction.
Example Case Study Report
Title: Enhancing Customer Satisfaction at ABC
Services Using Business Analytics
• Predictive Modeling for Customer Satisfaction: We built a linear regression model to
predict satisfaction scores, achieving an R² of 0.75. The model highlighted the importance
of response times and agent ratings in predicting satisfaction.
• Strategy Development: Based on our analysis, we proposed the following strategies:
• Young Urban Customers: Implement faster response times and provide more personalized
service.
• Middle-Aged Suburban Customers: Enhance the quality of service interactions through
additional training for service agents.
• Senior Rural Customers: Maintain current service levels and explore opportunities for
additional services tailored to their needs.
• Conclusion: By leveraging business analytics, ABC Services can implement targeted
strategies to improve customer satisfaction. Our proposed actions are expected to increase
overall satisfaction scores by up to 20%, enhancing customer loyalty and retention.
Example Case Study Report
Title: Enhancing Customer Satisfaction at ABC
Services Using Business Analytics

• Conclusion
• This case study exercise demonstrates how MBA students can apply
business analytics concepts and techniques to a real-world
problem. By following a structured approach, students can gain
practical experience in data preparation, pattern identification,
predictive modeling, and strategy development, preparing them for
assessments and future careers in business analytics.