A newspaper marketing department is seeking to increase home
A newspaper marketing department is seeking to increase home-delivery sales through an aggressive direct marketing campaign that includes mailings, discount coupons, and telephone calls. Feedback from these efforts indicates that getting newspapers delivered early in the morning is a very important factor for both prospective and existing subscribers.
After several brainstorming sessions, the team from marketing and circulation departments agreed that guaranteeing newspaper delivery by a specific time could be an important selling point in retaining and getting new subscribers. The team agreed that the company should offer a guarantee that customers will receive their newspapers by a certain time or else that day’s newspaper is free.
In order to help decide on the guaranteed delivery time, Candy from Circulations had the data that showed the percentage of total newspapers yet undelivered every 15 minutes from 6am to 8am. Mark from Marketing recalled that customers were asked on their subscription forms at what time they would like to have their newspaper delivered. These data were recorded in the Newspaper Delivery Excel file.
Review the data and propose a reasonable time (to the nearest 15 minutes) to guarantee delivery. Show your workings (if any) and explain your solution. State the probability distributions that you used in your analysis.
Percent customers Percent of total newspaper looking for newspaper undelivered from the 1 Time delivery by this time distribution centre at this time 2 6am 3 6:15am 4 6:30am 5 6:45am 6 7am 7 7:15am 87:30am 9 7:45am 10 8am 11 Anytime 12 13 15% 5% 8% 696 15% 12% 16% 3% 5% 15% 38% 3196 22% 14% 796 696 4% 3% 3%Solution
Suppose i we have 1000 newspaper, out of this 128 newspaper is not deliverd from the distribution centre at this time. So, these newspaper is free.
The average of the newspaper is distributed is 87.2 which is in between 6:30 to 7:15 am. this time we guarantee delivery the newspaper and the median is also 87.2. So, the distribution is unimodal ,symmetric and the distribution will have zero skewness.
| Time | % customers looking for newspaper delivery by this time | % of total newspapers undelivered from the distributin centre at this time | number of newspaper is distributed n this time |
| 6:00 AM | 0.15 | 0.38 | 130.8 |
| 6:15 AM | 0.05 | 0.31 | 43.6 |
| 6:30 AM | 0.08 | 0.22 | 69.76 |
| 6:45 AM | 0.06 | 0.14 | 52.32 |
| 7:00 AM | 0.15 | 0.07 | 130.8 |
| 7:15 AM | 0.12 | 0.06 | 104.64 |
| 7:30 PM | 0.16 | 0.04 | 139.52 |
| 7:45 PM | 0.03 | 0.03 | 26.16 |
| 8:00 PM | 0.05 | 0.03 | 43.6 |
| Anytime | 0.15 | 130.8 |
