A/B Testing for Product Managers
The Four Numbers
Sample size depends on four things. You need to understand what each one does, not how the formula works, your testing tool or a calculator will do the arithmetic once you can supply the inputs.
Number | What It Means | What Happens If It Changes |
|---|---|---|
Baseline rate | What your metric is now, e.g. 3.2% convert | Lower baselines need much bigger samples |
Effect you want to detect | The smallest lift worth knowing about, e.g. +12% relative | Halve the effect and you roughly quadruple the sample |
Confidence level | How sure you want to be it's not chance, usually 95% | Higher confidence needs more traffic |
Power | Your chance of spotting a real effect, usually 80% | Lower power means real effects get missed |
The Second Row Is Where Everything Goes Wrong
The relationship between effect size and sample size is roughly quadratic. Detecting a 10% lift might need 30,000 users per side. Detecting a 5% lift needs around 120,000. Detecting 2% needs somewhere near 750,000. This is why "we'll test this small copy change" is usually not a real plan, the arithmetic simply doesn't allow it.