Probit Analysis

Probit analysis is most appropriate when you want to estimate the effects of one or more independent variables on a binomial dependent variable, particularly in the setting of a dose-response experiment.

To know more, go to Standard Edition>Regression>Probit Analysis

For example, a retail company wants to establish the relationship between the size of a promotion (measured as a percentage off the retail price) and the probability that a customer will buy. Moreover, they want to establish this relationship for their store, catalog, and internet sales. In the context of a dose-response experiment, the promotion size can be considered a dose to which the customers respond by buying. The three sites at which a customer can shop correspond to different agents to which the customer is introduced.

Using probit analysis, the company can determine whether promotions have approximately the same effects on sales in the different markets.

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