Design an A/B test for a new checkout flow

Last updated: May 29, 2026

Quick Overview

Design an experiment to test the impact of new pricing tiers. Include sample size calculation, metrics, and analysis plan.

Spotify
Statistics & Math
Data Scientist
Spotify
May 29, 2026
Data Scientist
Take-home Project
Statistics & Math
Hard

226

4

2,009 solved


Design an experiment to test the impact of new pricing tiers. Include sample size calculation, metrics, and analysis plan.

Statistics questions at Spotify test your ability to reason quantitatively and design rigorous experiments. This Take-home Project question evaluates your understanding of statistical inference and its application to business decisions.

What the Interviewer Expects
  • Derive results from first principles when needed
  • Handle complex scenarios with multiple interacting variables
  • Design experiments that account for real-world complications
  • Discuss advanced topics: Bayesian methods, causal inference, resampling
  • Connect statistical concepts to business decision-making
  • Identify subtle errors in reasoning (Simpson's paradox, survivorship bias)
Key Topics to Cover
Hypothesis testing (H0, H1, p-values)
Confidence intervals and significance levels
Multiple testing correction (Bonferroni, FDR)
Bayesian vs frequentist inference
Regression analysis
Conditional probability and Bayes theorem
How to Approach This
  1. Define your hypotheses (H0 and H1) clearly before performing any test.
  2. Calculate required sample size BEFORE running an experiment, using power analysis.
  3. Remember the Central Limit Theorem: sample means become approximately normal with large n.
  4. Watch for Simpson's paradox. Always segment data by key dimensions.
  5. Distinguish between statistical significance and practical significance.
Possible Follow-up Questions
  • What assumptions does this test make, and how would you validate them?
  • How would you design a follow-up experiment based on these results?
  • What if the sample size is very small?
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Sample Answer
Setting Up the Problem

Start by formalizing the problem: 1. **Define the hypotheses**: H0 (null hypothesis) and H1 (alternative). Be precise about what you're testing. 2. ...

Solution Approach

**Compute the test statistic**: Apply the appropriate formula using the sample data. **Find the p-value**: The probability of observing a result this...


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