Interpret a statistically significant lift of 2% from an experiment

Last updated: August 8, 2025

Quick Overview

An experiment shows conflicting results. What conclusions can you draw? What are the caveats?

ServiceNow
Statistics & Math
Data Scientist
ServiceNow
August 8, 2025
Data Scientist
Technical Screen
Statistics & Math
Easy

7

3

2,780 solved


An experiment shows conflicting results. What conclusions can you draw? What are the caveats?

ServiceNow values data-driven decision making. This Technical Screen question assesses whether you can design experiments, interpret results correctly, and avoid common statistical pitfalls like p-hacking or Simpson's paradox.

What the Interviewer Expects
  • State the correct formula or theorem with clear definitions
  • Apply the concept to the given scenario step by step
  • Interpret the result in plain language
  • Identify assumptions and when they might be violated
Key Topics to Cover
Regression analysis
Confidence intervals and significance levels
Multiple testing correction (Bonferroni, FDR)
Probability distributions
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
  • How would you explain this result to a non-technical audience?
  • How would you design a follow-up experiment based on these results?
  • What alternative statistical method could you use here?
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Sample Answer
Problem Formulation

In this scenario, we are analyzing the results of an experiment that indicates a statistically significant lift of 2%. To properly interpret this result, we need to define the relevant statistical fra...

Solution Approach

To analyze the 2% lift, we will:

  1. Calculate the confidence interval for the lift using the formula: CI = estimate ± (z * SE) Where z is the z-score corresponding to the desired confidence ...

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