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How are the top contributors identified in the hypotheses?
How are the top contributors identified in the hypotheses?
Updated over a week ago

As part of the Root Cause Analysis (RCA) various hypotheses run to confirm or reject potential root causes that might have driven a revenue change.

Some of these hypotheses seek to identify the top contributors among various values, e.g., channels, campaigns, products, so a contribution analysis is conducted in these cases.

The minimum threshold set for a value to be considered a top contributor is 60%.

Firstly, the value with the top contribution, in line with the Revenue change, is examined and if it is equal to or greater than 60% then it is highlighted as the top contributor.

In case the first value doesn’t reach the threshold of 60%, the value with the 2nd highest contribution is also taken into consideration and if combined they hit the 60% threshold, then these two are considered to be the top contributors. If the contribution of the first two values combined is not enough to reach at least 60%, then it is considered that there were no standing-out values.

The result of the contribution analysis also affects the verdict of these hypotheses. If the 60% threshold is hit either by one or two contributors, then the hypothesis is retained. Otherwise, it is rejected.

The hypotheses utilizing a contribution analysis are the following: Channel performance differences, Campaign performance differences, Product performance differences, and New vs. Returning.

The New vs. Returning hypothesis is a special case where if one of these two values contributes 60% or more, it is highlighted as the top contributor, and the hypothesis is retained.

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