Averages hide the extremes

Averages hide the extremes

I can't remember where I first heard it, but "averages hide the extremes" can be a really useful guide when thinking about how you manage data. Here's a nice illustration from one of my clients:

As they looked at their event registration they saw an average of 100 registrations per month over the course of six months. But a closer look showed that the first month of registration and the last month of registration was where the bulk of those registrations came in. In fact, if they removed the first and last month, the average number of registrations per month was actually more like 50.

The same also happens frequently with membership joins and renewals, certification, and other types of sales.

What this means is averages can be misleading. Basing a decision (e.g., staffing, technology, business processes) on the average number of transactions may lead to some choices that won't serve you well. So be sure to dig deeper when discussing averages.

And on a related note: Using the extremes (rather than the averages) can also be misleading because "extremes" is just another word for exceptions.

Wes's Wednesday Wisdom Archives

“People more frequently require to be reminded than informed.”

January 8, 2025

“People more frequently require to be reminded than informed.” “People more frequently require to be […]

Problems without solutions are not problems, they are facts of life

December 18, 2024

Problems without solutions are not problems, they are facts of life “Problems without solutions are […]

Perfect is not possible

December 11, 2024

Perfect is not possible We’ve all heard the phrase “Perfect is the enemy of good” and […]

“Different” isn’t necessarily better or worse.

December 4, 2024

“Different” isn’t necessarily better or worse. One of the biggest challenges I face when working […]

The Rule of 100 and 1,000 and automation

November 20, 2024

The Rule of 100 and 1,000 and automation I originally coined the rule of 100 […]

Once you know, what will you do?

November 13, 2024

Once you know, what will you do? I’ve yet to meet a client who didn’t […]

If it’s not in your AMS, why not?

November 6, 2024

If it’s not in your AMS, why not? I like to tell my clients they’ll […]

Why checkboxes and tags are awesome and dangerous

October 30, 2024

Why checkboxes and tags are awesome and dangerous One of the most common functions in […]

Don’t miss obvious engagement data

October 23, 2024

Don’t miss obvious engagement data What I’ve experienced with my clients over the years is […]

All data requires active management

October 16, 2024

All data requires active management It’s a simple fact of data management that is often […]

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top