Research & Evidence

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40 results
  1. MSC-P-001How do you turn a marketing claim into a testable question?Decision Science
  2. MSC-P-002Correlation or causality: what can an analysis actually support?Marketing Measurement
  3. MSC-P-003How should uncertainty in a marketing result be expressed?Decision Science
  4. MSC-P-004Statistical significance or effect size: which result should be interpreted?Decision Science
  5. MSC-P-005How do you measure a marketing construct that is not directly observable?Market Research
  6. MSC-P-006How do you design and validate a measurement scale?Market Research
  7. MSC-P-007Alpha or omega: how should scale reliability be assessed?Market Research
  8. MSC-P-009PCA, EFA or CFA: which method should you choose?Market Research
  9. MSC-P-010When should you run a marketing experiment?Marketing Measurement
  10. MSC-P-011How do you design an A/B test that actually estimates an effect?Marketing Measurement
  11. MSC-P-012How many observations does an experiment need?Decision Science
  12. MSC-P-013How do you measure campaign incrementality with a control group?Marketing Measurement
  13. MSC-P-017How do you detect selection, contamination and attrition in an experiment?Marketing Measurement
  14. MSC-P-018Predictive or causal regression: what are you trying to estimate?Marketing Models
  15. MSC-P-019How do you diagnose a marketing regression before interpreting it?Marketing Models
  16. MSC-P-022How do you estimate price elasticity and its uncertainty?Pricing Science
  17. MSC-P-026Logit vs Probit: how do you choose for purchase probability?Customer Science
  18. MSC-P-029Which customers have the highest probability of churn?Customer Science
  19. MSC-P-027TAM, UTAUT or UTAUT2: which framework should be used to study technology acceptance?Market Research
  20. MSC-H-001Measurement and causality: how can a marketing effect be established?Marketing Measurement
  21. MSC-H-002Marketing response models: shape, delay and saturationMarketing Models
  22. MSC-H-003Pricing science: connecting price, demand and contributionPricing Science
  23. MSC-H-004Customer and choice science: behavior, value and heterogeneityCustomer Science
  24. MSC-H-005Measurement science: building valid indicatorsMarket Research
  25. MSC-H-006Statistical decision methods: choose, quantify, validateDecision Science
  26. MSC-P-008How do you validate a marketing measurement scale?Market Research
  27. MSC-P-014How do you design a marketing geo experiment?Marketing Measurement
  28. MSC-P-015How do you estimate an effect with difference-in-differences?Marketing Measurement
  29. MSC-P-020How do you address price endogeneity?Pricing Science
  30. MSC-P-021Fixed or random effects: which panel model should you choose?Marketing Models
  31. MSC-P-023How do you estimate a demand function?Pricing Science
  32. MSC-P-024How do you simulate a price-volume-margin scenario?Pricing Science
  33. MSC-P-028How do you estimate CLV with BG/NBD and Gamma-Gamma?Customer Science
  34. MSC-P-030How do you analyze retention with a survival model?Customer Science
  35. MSC-P-031How do you build a useful customer segmentation?Customer Science
  36. MSC-P-032How do you test segmentation stability?Customer Science
  37. MSC-P-033How do you validate a marketing forecast?Decision Science
  38. MSC-P-034How do you build a Monte Carlo simulation for a marketing decision?Decision Science
  39. MSC-P-035How do you model saturation and adstock?Marketing Models
  40. MSC-P-039Which statistical test should you choose?Decision Science
All methods
METHOD DOSSIERMSC-P-011Experimentation and causality

How do you design an A/B test that actually estimates an effect?

Before the test, specify population, randomization unit, variant, primary metric, MDE, duration, exclusions and intention-to-treat analysis.

Direct answer

Estimate an ITT with known precision for the eligible population.

Before the test, specify population, randomization unit, variant, primary metric, MDE, duration, exclusions and intention-to-treat analysis.

Model or deliverableITT = mean(Y assigned B) − mean(Y assigned A)

Kohavi et al., 2009

ESTIMAND

Estimation profile

Unit of analysis
Assigned unit × group × periodControlled scientific terminologyrandomization unit
Exact estimand
ITT = E[Y|Z=1] − E[Y|Z=0]
Model or deliverable
ITT = mean(Y assigned B) − mean(Y assigned A)

01—08

Verifiable analysis framework

  1. 01
    Question

    How do you design an A/B test that actually estimates an effect?

  2. 02
    Estimand

    ITT = E[Y|Z=1] − E[Y|Z=0] · randomization unit

  3. 03
    Data

    unit_id · assignment · outcome · pre_period · exposure

  4. 04
    Model or deliverable

    ITT = mean(Y assigned B) − mean(Y assigned A)

  5. 05
    Declared calculation

    ITT = mean(Y assigned B) − mean(Y assigned A)ITT = E[Y|Z=1] − E[Y|Z=0]

  6. 06
    Uncertainty checks

    Sample ratio mismatch · Pre-period balance · Missing outcomes

  7. 07
    Method-specific validation

    Check data, estimate stability and interpretation limits. Sample ratio mismatch · Pre-period balance · Missing outcomes

  8. 08
    Limitations

    Change the metric or duration after seeing the result.

Required variables

  • unit_id
  • assignment
  • outcome
  • pre_period
  • exposure

Checks · Controlled scientific terminology

  • Sample ratio mismatch
  • Pre-period balance
  • Missing outcomes
Possible decision

Estimate an ITT with known precision for the eligible population.

Not supported

Change the metric or duration after seeing the result.

Scientific sources

1 source

  1. Kohavi et al., 2009

Dataset · Tool

Tool · MSC-T01A/B sample size

Method connections

Parent territoryMeasurement and causality: how can a marketing effect be established?

Read next

MSC-P-012How many observations does an experiment need?MSC-P-013How do you measure campaign incrementality with a control group?MSC-P-017How do you detect selection, contamination and attrition in an experiment?