I'm building a logistic regression model and one of the variables I have is postcode, I might be over thinking this but is it fine for me to leave postcode as is and regress it as:
fitlogit <- glm(target ~ postcode + ..., family="binomial", data = dat)
I was thinking it might be better to combine postcodes into 4 distinct areas and model it as dummy variables once I figure out rough ranges for the groups.