Calculating Cumulative and Monthly Savings

The following procedure describes how to use the prepared panel data and model specification to calculate cumulative and monthly savings in regression analysis.

To calculate cumulative and monthly savings:

1. Include in the regression all rows after the treatment start (billing data prior to treatment start should be used only to create regression coefficients).
2. Estimate the savings per day coefficient (β) for each month using the model specification.
3. Calculate the number of active customer days for each month by using the customer account active and inactive dates and the customer RCT start and end dates.
4. Estimate monthly savings by multiplying savings per day (β) for each month by the number of active days in each month. Estimate cumulative savings over the whole post-treatment period by multiplying savings per day (β) across all active days in the post-treatment period.