Interview concept

A/B Test Design and Power Analysis

Asked of: Data Scientist

Last updated

Square flowchart of A/B test design and power analysis showing steps: metric & MDE, unit choice, power/sample-size calc, randomize A/B, SRM monitoring, variance reduction, sequential monitoring, final analysis.
  1. What it is A/B test design is how you plan an online experiment: who to randomize, what to measure, and how to analyze outcomes. Power analysis is the math that tells you how much traffic or time you need to reliably detect a minimum effect you care about.

  2. Why interviewers ask about it At companies like Meta, shipping fast while avoiding regressions depends on running sensitive, trustworthy experiments. Strong candidates can translate product goals into a valid design, pick an MDE that matches business value, and use power analysis and variance reduction to shorten test duration without inflating false positives.

  3. Core ideas to know

  • Power = 1 − β; choose α, β, baseline, and MDE to compute required sample size.
  • Randomize and analyze at the same unit (user, session, cluster); check for interference and spillovers.
  • Predefine primary metric(s) and guardrails; control multiple testing if you monitor many metrics.
  • Use SRM checks; big allocation imbalances signal logging or assignment bugs.
  • Variance reduction (e.g., CUPED/ANCOVA) lowers required N by using pre-experiment covariates.
  • Avoid “peeking” with fixed-sample tests; if you must monitor early, use sequential/alpha-spending designs.
  • For triggered features, choose ITT vs. “triggered” analysis carefully; misalignment can bias or waste power.
  1. A common pitfall Candidates often reverse-engineer sample size from whatever traffic they have, then claim the test is “powered.” Interviewers expect you to set MDE from business impact (e.g., +0.2 pp conversion = +$X/day), then compute required N and timeline—and say no if it’s infeasible. Another trap is ignoring interference or the wrong unit (e.g., pageview randomization for a social graph effect), which invalidates the test. Finally, many “wins” disappear because of peeking or multiple comparisons without correction; describe safeguards you’d use in production.

  2. Further reading

  • Trustworthy Online Controlled Experiments (Kohavi, Tang, Xu) — the industry handbook on design, metrics, pitfalls, and platform practices. Cambridge University Press. (cambridge.org)
  • Microsoft Research: Deep Dive Into Variance Reduction (CUPED) — clear explanation of using pre-experiment data to increase sensitivity and shorten tests. (microsoft.com)
  • Amazon Science: Leveraging covariate adjustments at scale in online A/B testing — modern, large-scale perspective on regression adjustment to improve power. (assets.amazon.science)

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