Mean, Median, Mode: The Three Musketeers of Misleading Stats

4 min read  •  April 18, 2025

#statistics #data literacy #data science #analytics

Ever heard the joke about the statistician who drowned in a river with an average depth of three feet? It’s not just a joke, it’s a perfect example of how averages can deceive us. Let’s wade into the murky waters of statistics and learn how to stay afloat.


1. Mean: The people’s favorite (can sometime mislead too!)

The mean is like that friend who insists everyone split the bill equally, even when one person ordered the most expensive wine and the rest had salads.

Effect of Outliers on Mean

e.g: The Silicon Valley Salary Trap

Imagine a startup with 5 employees

RoleSalary
Junior Dev$60,000
Junior Dev$65,000
Senior Dev$120,000
Designer$80,000
CEO$800,000

Mean Salary: $225,000
”We offer competitive salaries averaging $225K!” they boast. Technically true - practically misleading.

💡 Reality Check: Remove the CEO, and the average drops to $81,250 (much closer to reality)


2. Median: The Moderate Middle-Man

The median is like your neutral friend — avoids extremes but may miss the nuances.Very different distributions can share the same median

Median

🏠 The Housing Market Illusion

Oakwood Heights:
$300K – $310K – $320K – $330K – $340K
Median: $320K

Riverside Mix:
$150K – $200K – $320K – $500K – $600K
Median: $320K

Same median, completely different housing realities.


3. Mode: The One-Hit Wonder

The mode is like the loudest voice in the room (not necessarily the most insightful - IYKYK)

Mode

👕 The T-Shirt Tale

Monthly sales at a clothing store:

SizeUnits SoldReturns
S1005
M1508
L1487
XL954
XXL4515

Mode = Medium (most common size) — but context matters:

  • Large is only 2 units behind
  • XXL has the highest return rate
  • Seasonality may affect sales

💡 Pro Tip: For categorical data, explore the full distribution — not just the top value.


Real-World Statistical Deceptions

💼 The Salary Game

Real-world income distributions are rarely normal (Source: Wikimedia Commons)

“The average salary in our industry is $120K!”

What they don’t tell you:

  • 80% earn less than $100K
  • A few CTOs skew the average
  • Regional cost of living varies
  • Stock options are excluded

📱 Social Media Metrics

Long Tail Distribution
Social media engagement follows a “long tail” distribution (Source: Wikimedia Commons)

“Our posts average 10,000 engagements!”

But…

  • Most posts have: 50-100 engagements
  • Rare viral hits inflate the average
  • Median: 75
  • Mode: 32

How to Not Get Fooled: A Practical Guide

  • Ask the Right Questions

    • What’s the distribution shape?
    • Are there outliers?
    • What’s omitted?
    • Who benefits from this metric?
  • Use Multiple Metrics (also know when to use what)

MetricWhen to UseWatch Out For
MeanNormal distributionsOutliers
MedianSkewed dataHidden spread
ModeCategorical variablesMultiple peaks
RangeOverall spreadExtreme values
IQRRobust spread measureComplex distributions

  • Visualize Data (below are some tools)
    • Histograms: Frequency
    • Box plots: Spread & outliers
    • Violin plots: Shape + spread
    • Scatter plots: Relationships

TL;DR: Your Statistical Survival Kit

  1. Never Trust a Lone Number

    • Demand context
    • Use multiple metrics
    • Visualize the data
  2. Context is Everything

    • Time, population, and outliers matter
    • Missing data? Red flag 🚩

📚 Want to Learn More?


💬 Your Turn

Have you encountered misleading averages in the wild? Share your story in the comments and we can decode deception together.