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Fight the
HIPPO
Get A/B
experiments right
Ning Zhou
Oslo, 2020-04-16
A bit about myself
• PM at Microsoft, working with enterprise search
• Previously researcher and PM in Schibsted, Microsoft (1st time!) and
SONY
• My relationship with A/B experiments
• My first A/B experiment in 2011
• 9 A/B experiments year to date
• Formalized the experimentation process for Microsoft Search in SharePoint
and Office.com in 2019 with my colleague Natalia An
• Reviewing ~10 A/B experiments every week
What is
HIPPO?
HIghest
Paid
Person’s
Opinion
First used by Avinash Kaushik in
his book Web Analytics: An Hour
a Day
Why HIPPO is not the way to go
• Suboptimal decision making
• Discourage different opinions
• Hinder creativity and innovation
What is AB experimentation
Image from https://www.ab-tests.net/
How can A/B
experiments help you?
• Give customers their
voice
• Use data instead of your
own opinion to fight the
HIPPO
• Prevent yourself
becoming a HIPPO
5 steps to
get HIPPO
out of the
door
Step 5
Step 4
Step 3
Step 2
Step 1
5 steps to
get HIPPO
out of the
door
Step 5 Close the door
Step 4 Get HIPPO out
Step 3 Let A/B experiment in
Step 2 Open the door
Step 1 Find the HIPPO in the room
5 steps to
get HIPPO
out of the
door
Step 5 Analyze the data from the experiment and
make a data-driven decision.
Step 4 Design an experiment to test it out.
Step 3 Don’t rush to make a decision. Make a
hypothesis.
Step 2 Encourage different opinions (including
highest-paid person’s)
Step 1 Build the consensus around caring about
customers
Basic
concepts of
A/B
experiments
According to Wikipedia:
• Null hypothesis: “there is no relationship
between two measured phenomena or no
association among groups”
• Statistical significance: “a result has
statistical significance when it is very unlikely
to have occurred given the null hypothesis”
• p-value: “the probability of obtaining a
result at least as extreme, given that the null
hypothesis were true”
Basic concepts of A/B
experiments – Example
• Null hypothesis: Adding a kitten picture will
not change the quality of my presentation
• A/B experiment: Half of the audience
seeing the kitten and half not, and measure
the rating of my presentation from the two
groups
• Data: With a p-value < 0.05 that the
average rating from the group having seen
the kitten is higher.
• Decision: I’ll by default include a kitten
picture in all my presentations.
Kitten from https://www.petmd.com/cat/behavior/how-socialize-kitten-new-people
What can be
improved
with my
experiments?
Very unlikely to obtain statistically significant results
of p-value < 0.05 without large audience
Different metrics to define presentation quality
Different ways of separating the audience
Try a different kitten picture
Try more kitten pictures
Try HIPPO pictures
…
Challenge 1: Define success
Is rating a good metric for presentation quality?
• Only a small number of participants fill in the survey
• People with strong opinions are more likely to fill in the survey
• People don’t always say their true opinion in the survey
Choosing the right metrics is critical for a trustworthy experiment.
Challenge 2: Too small audience
• A true example: An experiment was running for two weeks, collected 120
sessions with 24 clicks. Similar features normally have a 10% click through rate. Is
it successful?
• Answer: Inconclusive.
Products in early stage should either test strong impact or route to
other ways for collecting data for decision making.
Challenge 3: Make trade-off
• Conversion rate vs Cost
• Relevance vs Latency
• Rich content vs Page loading time
• …
There is rarely a perfect decision. It is very common that you
improve on some metrics while hurting some others.
Challenge 4: Causation vs Correlation
• Metrics improved after your change != Metrics improved because of your change
• The division of audience can be biased, e.g. divide by different channels or
regions. You might see differences without doing anything different.
Doing the experiment is only half of the work. Analyzing the
results is the other half.
Challenge 5: The temptation of
testing every option…
• A/B experiment is not free – bandwidth of audience available for testing, time
and engineering cost for conducting and analyzing an experiment, user tolerance
on testing, etc.
• A/B experiment cannot give you a perfect answer of all questions.
Don’t hesitate to use A/B experiment, but use it wisely.
The culture aspect
It may be not that bad in Nordic,
but…
• Beware of different cultures of
your clients, suppliers and
colleagues
• HIPPO can also manifest in
other forms than salary or title
Source: https://clearlycultural.com/geert-hofstede-cultural-dimensions/power-distance-index/
80
77
74
69 68
57
54
50 49 49
38 36 35 35 34 33 31 31
18
13
0
10
20
30
40
50
60
70
80
90 Power Distance Index
Extended readings
• Ron’s Harvard Business Review article in 2017:
A/B Testing: How to Get it Right
• https://exp-platform.com/
• https://experimentguide.com/
Thank you!
Questions?
Email: ning@duoja.com

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Fighting the hippo - Get A/B experiments right

  • 1. Fight the HIPPO Get A/B experiments right Ning Zhou Oslo, 2020-04-16
  • 2. A bit about myself • PM at Microsoft, working with enterprise search • Previously researcher and PM in Schibsted, Microsoft (1st time!) and SONY • My relationship with A/B experiments • My first A/B experiment in 2011 • 9 A/B experiments year to date • Formalized the experimentation process for Microsoft Search in SharePoint and Office.com in 2019 with my colleague Natalia An • Reviewing ~10 A/B experiments every week
  • 3. What is HIPPO? HIghest Paid Person’s Opinion First used by Avinash Kaushik in his book Web Analytics: An Hour a Day
  • 4. Why HIPPO is not the way to go • Suboptimal decision making • Discourage different opinions • Hinder creativity and innovation
  • 5. What is AB experimentation Image from https://www.ab-tests.net/
  • 6. How can A/B experiments help you? • Give customers their voice • Use data instead of your own opinion to fight the HIPPO • Prevent yourself becoming a HIPPO
  • 7. 5 steps to get HIPPO out of the door Step 5 Step 4 Step 3 Step 2 Step 1
  • 8. 5 steps to get HIPPO out of the door Step 5 Close the door Step 4 Get HIPPO out Step 3 Let A/B experiment in Step 2 Open the door Step 1 Find the HIPPO in the room
  • 9. 5 steps to get HIPPO out of the door Step 5 Analyze the data from the experiment and make a data-driven decision. Step 4 Design an experiment to test it out. Step 3 Don’t rush to make a decision. Make a hypothesis. Step 2 Encourage different opinions (including highest-paid person’s) Step 1 Build the consensus around caring about customers
  • 10. Basic concepts of A/B experiments According to Wikipedia: • Null hypothesis: “there is no relationship between two measured phenomena or no association among groups” • Statistical significance: “a result has statistical significance when it is very unlikely to have occurred given the null hypothesis” • p-value: “the probability of obtaining a result at least as extreme, given that the null hypothesis were true”
  • 11. Basic concepts of A/B experiments – Example • Null hypothesis: Adding a kitten picture will not change the quality of my presentation • A/B experiment: Half of the audience seeing the kitten and half not, and measure the rating of my presentation from the two groups • Data: With a p-value < 0.05 that the average rating from the group having seen the kitten is higher. • Decision: I’ll by default include a kitten picture in all my presentations. Kitten from https://www.petmd.com/cat/behavior/how-socialize-kitten-new-people
  • 12. What can be improved with my experiments? Very unlikely to obtain statistically significant results of p-value < 0.05 without large audience Different metrics to define presentation quality Different ways of separating the audience Try a different kitten picture Try more kitten pictures Try HIPPO pictures …
  • 13. Challenge 1: Define success Is rating a good metric for presentation quality? • Only a small number of participants fill in the survey • People with strong opinions are more likely to fill in the survey • People don’t always say their true opinion in the survey Choosing the right metrics is critical for a trustworthy experiment.
  • 14. Challenge 2: Too small audience • A true example: An experiment was running for two weeks, collected 120 sessions with 24 clicks. Similar features normally have a 10% click through rate. Is it successful? • Answer: Inconclusive. Products in early stage should either test strong impact or route to other ways for collecting data for decision making.
  • 15. Challenge 3: Make trade-off • Conversion rate vs Cost • Relevance vs Latency • Rich content vs Page loading time • … There is rarely a perfect decision. It is very common that you improve on some metrics while hurting some others.
  • 16. Challenge 4: Causation vs Correlation • Metrics improved after your change != Metrics improved because of your change • The division of audience can be biased, e.g. divide by different channels or regions. You might see differences without doing anything different. Doing the experiment is only half of the work. Analyzing the results is the other half.
  • 17. Challenge 5: The temptation of testing every option… • A/B experiment is not free – bandwidth of audience available for testing, time and engineering cost for conducting and analyzing an experiment, user tolerance on testing, etc. • A/B experiment cannot give you a perfect answer of all questions. Don’t hesitate to use A/B experiment, but use it wisely.
  • 18. The culture aspect It may be not that bad in Nordic, but… • Beware of different cultures of your clients, suppliers and colleagues • HIPPO can also manifest in other forms than salary or title Source: https://clearlycultural.com/geert-hofstede-cultural-dimensions/power-distance-index/ 80 77 74 69 68 57 54 50 49 49 38 36 35 35 34 33 31 31 18 13 0 10 20 30 40 50 60 70 80 90 Power Distance Index
  • 19. Extended readings • Ron’s Harvard Business Review article in 2017: A/B Testing: How to Get it Right • https://exp-platform.com/ • https://experimentguide.com/