Ronny Kohavi

Ex-Airbnb, Microsoft and Amazon, author of Trustworthy Online Controlled Experiments

Ronny Kohavi wrote Trustworthy Online Controlled Experiments. He led the search experience team at Airbnb, Microsoft's experimentation platform team before that, and data mining and personalization at Amazon. He wants every code change in an experiment, since even small bug fixes can have surprising impact. Most ideas fail, in his experience: about two-thirds at Microsoft and 92% at Airbnb.

Lenny's Podcast 01:12 01:32 01:36 13:37 14:02 21:08 37:45

Frameworks
3
Problems
1
Recordings
1
Updated

Key ideas

Idea validation

When you're not sure anyone wants it

Research

The Overall Evaluation Criterion

Decide what an A/B test optimizes for before it runs, and pair it with a countervailing metric, or the experiment will faithfully optimize the wrong thing.

you have to define the OEC such that it is causally predictive of the lifetime value of the user
Kohavi, on what the OEC has to predict Watch at 32:07
Read the framework

Research

The Minimum Detectable Effect Rule

Pick the smallest lift worth catching, 5% or less, and size the A/B test for it before launch. A win from a low-power test is usually an exaggerated one.

the statistical power of your test is the probability that if there is a difference say B is better by 5% that you will detect it
Kohavi on what power means Watch at 10:30
Read the framework

Disagreements

Define the metric, or trust the taste?

Ronny Kohavi

says write the success metric down before you build, ask how you would cheat it, and add the countervailing metric that catches the cheat. Any metric you can move you can also game, and an experiment with no OEC will faithfully optimise the wrong thing.

Archie Abrams (Shopify)

runs core product without traditional KPIs, on the view that intuition and taste guide the decisions that matter and a metric target quietly narrows what the team is willing to try.

From The Overall Evaluation Criterion

Check every split, or ship the winners fast?

Ronny Kohavi

says no result counts as evidence until the split passes the sample ratio check. Lost traffic is biased traffic, so a failed split makes results look super good or super bad. His team at Microsoft blanked the scorecard rather than let anyone read one.

John McEvoy

ran about ten paywall and onboarding experiments on his own app over two or three months. Conversion went from 0.5% to 8%, and revenue from around $8K to over $30K a month. His rule: A/B test paywalls and onboarding flows relentlessly (Starter Story, 9:12).

From The Sample Ratio Mismatch Check

200,000 users, or five?

Ronny Kohavi

says size the test before it runs: an MDE of 5% or less at 80% power, which for a store converting at 5% means about 200,000 users. Below that a significant result is likely exaggerated, so build the culture and the platform, and test only for large effects.

Jake Knapp

tests a prototype with five target customers on the Friday of a design sprint, not with internal stakeholders. In Sprint, five customers reveal the major patterns without statistical overhead, so there is no reason to wait for a large sample.

From The Minimum Detectable Effect Rule

Sources