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A/B testing

Statistical Thinking in Python II

1000

500 500

45 67

rest of website

Statistical Thinking in Python II

Null hypothesis

redesign

Statistical Thinking in Python II

In [1]: import numpy as np

...: frac_A = np.sum(data_A) / len(data_A)

...: frac_B = np.sum(data_B) / len(data_B)

...: return frac_B - frac_A

...:

...: clickthrough_B)

Statistical Thinking in Python II

In [1]: perm_replicates = np.empty(10000)

...: perm_replicates[i] = permutation_replicate(

...: clickthrough_A, clickthrough_B, diff_frac)

...:

In [4]: p_value

Out[4]: 0.016

Statistical Thinking in Python II

A/B test

change gives a be"er result

Statistical Thinking in Python II

STATISTICAL THINKING IN PYTHON II

Lets practice!

STATISTICAL THINKING IN PYTHON II

Test of correlation

Statistical Thinking in Python II

= 0.54

Statistical Thinking in Python II

Posit null hypothesis: the two variables are completely

uncorrelated

Simulate data assuming null hypothesis is true

Use Pearson correlation, , as test statistic

Compute p-value as fraction of replicates that have

at least as large as observed.

Statistical Thinking in Python II

observed Pearson

correlation coecient

STATISTICAL THINKING IN PYTHON II

Lets practice!

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