How many product units will we sell if we spend €85.000 on advertising?
Advertising spend,
€1.000 | Sales,
€1.000 |
|---|
| 40 | 377 |
| 60 | 507 |
| 70 | 555 |
| 110 | 779 |
| 150 | 869 |
| 160 | 818 |
| 190 | 862 |
| 200 | 817 |
Collected Data
Relationship between Sales and Advertising Spend
- Advertising spend explains 83.6% of the variance in sales.
- Every additional euro invested in advertising brings €2.82 of additional sales.
- €85.000 of advertising spend results in 2.8239 · 85 + 352.07 = 592.1 (thousand €) of sales.
