ABSTRACT

The logistic regression model is the standard technique for building a response model in database marketing. Its theory is well established and its estimation algorithm is available in all major statistical software packages. The literature on the theoretical aspects of logistic regression is large and rapidly growing. However, little attention is paid to the interpretation of logistic regression response model. The purpose of this chapter is to present a CHAID-based method for interpreting a logistic regression model, specifically to provide a complete assessment of the effects of the predictor variables on response.