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Statistical Significance

Plain English

Knowing if results are real or just luck.

Definition

Statistical significance indicates whether the results of an are likely due to real effects rather than chance.

In practice

Used to validate results before making decisions.

In context

It gets checked daily, which is how false winners are declared. Peeking at a running test until it crosses the threshold guarantees crossing it eventually.

The reality

Misunderstood or ignored, leading to false conclusions.

Compared with

Statistical Significance vs Practical Significance

Significance says the effect is probably real. Practical significance asks whether it is large enough to matter. On high , a statistically certain quarter-percent lift can cost more to maintain than it earns.

FAQ

Common questions

A few practical answers to the questions that usually come up around this term.

What is statistical significance?

It shows whether results are likely real and not random.

Why is it important?

It ensures decisions are based on reliable .

How is it measured?

Using probability and levels.

What is a common mistake?

Stopping tests too early.

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