Zip code is classified as categorical data or quantitative data? Is it qualitative, or quantitative? Many will argue that zip codes are qualitative; however, it can be argued that zip codes are quantitative based off the definition of quantitative vs categorical data. Find out why it can be both and why it matters in this article on zip code category classification. In statistics, there are two types of variables: categorical and quantitative. Categorical variables, such as zip codes or car colors, only have certain options to pick from; they cannot be measured numerically and can only be divided into groups.

**What is a Zip Code?**

A Zip Code is a five-digit number that can be located on envelopes, letterheads, and packages. The Zip Codes are assigned by the United States Postal Service. The first digit indicates the region of the country. The second two digits indicate a state, territory, or district in which the mailing address is located. A third digit indicates the postal zone within a state. The final two digits represent a specific post office location to which mail should be sent for delivery. Some countries outside the U.S., such as Canada and Mexico, also have their own zip codes. There are no zeros in the Canadian zip codes, so they begin with an H instead. A zip code may seem straightforward at first glance, but there’s actually more than meets the eye. Although this number has been used since 1963 to identify where your package needs to go, it does not correspond with population density or land size. What does this mean? Essentially, if you live in an area that is sparsely populated but still has its own ZIP Code, it will take much longer for you to get your package delivered because there are few people around who can help deliver it. Meanwhile, densely populated areas will be able to get their packages delivered much faster because people are close together and ready to help!

**What is the difference between categorical and quantitative data?**

The difference between categorical and quantitative data is that categorical data has a finite number of values (such as colors), while quantitative data can take any value on a continuous scale. For example, if we have the following list of colors: red, blue, yellow, green. This would be considered to be a categorically set of colors because the color cannot change from one to another. If we were to put the following list of weights: 100 lbs., 120 lbs., 140 lbs., 160 lbs., then this would be considered quantitative because it is possible for someone’s weight to go from 100 lbs. to 160 lbs. Quantitative variables are often measured in numbers such as age in years, height in centimeters, and mass in kilograms. In contrast, categorical variables are often represented by categories such as male/female or smoker/non-smoker. Categorical variables are usually not measured with numbers; they are just categorized with different types of people. What does it mean when you say that something is qualitative? When something is qualitative, you don’t assign it a quantity. You may use adjectives to describe its qualities.

What does quantitative mean? Quantitative means assigning an amount to something like saying that there are three oranges on the table.

**How will you find the correlation between a categorical variable and quantitative variable**

Zip codes are a categorical variable because they can only be one of several different values. The total number of people living in the zip code is a quantitative variable because it can have any value. Quantitative variables are also called continuous variables.

It’s possible to use statistical analysis to determine whether there is any correlation between these two types of variables. One way would be to use regression analysis, which estimates the slope and intercept of a linear equation that best fits the data points on a scatterplot, like this:

The slope and intercept for this linear equation would tell you the relationship between zip codes and population size. A positive slope means an increase in population size corresponds with an increase in zip codes. A negative slope means an increase in population size corresponds with a decrease in zip codes.

**How can you tell if something is categorical or quantitative?**

If you want to find the correlation between a categorical variable and quantitative variable, you should look at the percentage of people in each category. For example, if some data says that 45% of men are under 5’8 and 50% of women are under 5’8, then you have a correlation of r=0.55 because x% of y% is z%. If, however, 25% of men are over 6’5 and 25% of women are over 6’5, then this doesn’t show a correlation because there is no pattern in the distribution. Another way to find the correlation would be to have them do statistical tests on the data. There are many different types of statistical tests but they all work with percentages. One type of test would be to use chi-square analysis which will tell you whether there is an association between two variables. So using our example again, if we wanted to see whether there was an association between height and gender (categorical) we could run a chi-square analysis on the data and see what it said about the null hypothesis (which in this case would be that height does not affect gender). So how can you tell if something is categorical or quantitative? Well as long as there’s some pattern involved like with our examples above or with other types of analysis, it’s categorical–there’s definitely not just one answer for everything!

**Conclusion**

The answer to the question is that it depends on the type of data that you are trying to collect. If you want to know about the demographics, then it is categorical because the data does not measure anything quantitative like weight. But if you want to know about crime rates, then it is a little more difficult and depends on how you collect the data. If you are looking for crimes by street addresses and locations, then it would be categorical because there are no numbers associated with them. But if you were measuring crime rates by city neighborhoods, then they would be quantitative since they have numbers associated with them