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EXPERIMENT-DESIGN5 MIN READ

Power Is a Business Choice, Not a Formality

Use power analysis to connect minimum detectable effect, sample size, and experiment duration to the actual decision at stake.

Power planning is where strategy meets math. Start with a meaningful effect The minimum detectable effect should reflect the smallest lift that would change the decision, not the smallest lift that sounds impressive on a slide. Connect it to runtime Sample size, variance, baseline rate, and split determine how long the test must run. If the timeline cannot support that duration, the design or the decision rule must change. Respect practical significance A tiny but statistically significant lift can still be operationally irrelevant. Adequate power is about detecting an effect that matters enough to act on.

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