Statistical
Correlation Between Datasets
Calculate the Pearson correlation coefficient between two datasets. Values range from -1 (perfect negative correlation) to +1 (perfect positive correlation). 0 means no linear relationship.
Excel Formula
=CORREL(A2:A100, B2:B100)Step-by-Step Explanation
1
CORREL calculates the Pearson correlation coefficient
2
A2:A100 is the first dataset
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B2:B100 is the second dataset
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+1 means perfect positive correlation
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-1 means perfect negative correlation
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0 means no linear correlation
Example
| Ad Spend (A) | Sales (B) | Correlation |
|---|---|---|
| $1,000 | $10,000 | |
| $2,000 | $18,000 | |
| $3,000 | $28,000 | |
| $4,000 | $35,000 | 0.99 |
Result: =CORREL(A2:A5,B2:B5) → 0.99 (strong positive correlation)
Common Variations
R-squared
=RSQ(B2:B100,A2:A100)Coefficient of determination (correlation²)
With PEARSON
=PEARSON(A2:A100,B2:B100)Same as CORREL
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