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574 How to choose the appropriate level of statistical significance for an AB-test

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artemmarchenko @ Habr · 06/03/2021 05:03 EDT

How to choose the appropriate level of statistical significance for an AB-test

Nowadays a lot of product managers have to confirm most of their decisions with AB-tests. Yet, it is far not always clear how to choose the parameters for the test. A particularly difficult parameter to tune is often the level of statistical significance. If we choose too high level - tests will fail even though improvements do exist. If we choose too low level - we'll be getting lots of "confirmations" of false improvements.When we make decisions based on AB-tests, once in a while we'll be making mistakes.

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