Design an A/B test for a pricing model

Last updated: October 3, 2025

Quick Overview

Design an experiment to test the impact of a redesigned homepage. Include sample size calculation, metrics, and analysis plan.

Apple
Analytics & Experimentation
Product Manager
Apple
October 3, 2025
Product Manager
Take-home Project
Analytics & Experimentation
Easy

2

11

310 solved


Design an experiment to test the impact of a redesigned homepage. Include sample size calculation, metrics, and analysis plan.

This analytics question from Apple's Take-home Project tests your ability to think critically about data. The interviewer expects you to consider confounding variables, selection bias, and the difference between correlation and causation.

What the Interviewer Expects
  • Define clear success metrics aligned with business goals
  • Propose a basic experimental design with control and treatment groups
  • Interpret results correctly and draw reasonable conclusions
  • Identify obvious confounding variables
Key Topics to Cover
Metric definition and success criteria
Long-term vs short-term metrics
Network effects and interference
Guardrail metrics
Simpson's paradox and ecological fallacy
How to Approach This
  1. Define success metrics carefully. A good metric is measurable, actionable, and aligned with business goals.
  2. Run experiments long enough to account for novelty effects and weekly seasonality.
  3. Use funnel analysis to identify where users drop off for maximum optimization impact.
  4. Segment results by key dimensions (platform, country, user cohort) to catch hidden patterns.
  5. Consider network effects and interference between treatment and control groups.
Possible Follow-up Questions
  • How would you handle seasonality in your experiment?
  • What if the experiment shows a positive short-term effect but you suspect a negative long-term impact?
  • How would you handle interference between treatment and control?
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Sample Answer
Problem Setup

To evaluate the impact of a redesigned homepage on Apple's pricing model, the analytical question is: "Does the redesigned homepage increase conversion rates for the new pricing model?" To answer this...

Methodology

We will conduct a randomized A/B test where half of the visitors to the Apple website see the current homepage (control group) and the other half see the redesigned homepage (treatment group). Using a...


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