3 – Business Example

In this case study, you’ll be analyzing AB test results for an online education company called Audacity, that offers courses on finance. Let’s first see what a typical user flow might look like on Audacity site. New users would land on the home page, and if they’re interested, they would click to explore courses. As they browse the course list, a course may catch their eye, and they click on it to learn more. Once they’re on the course overview page, they may decide to enroll. After enrolling, they’d hopefully complete the course. In this flow, commonly called the customer funnel, users lose interest, and leave at different stages of the funnel, and few make it to the end. Of course, this is a simplistic model, and isn’t how all user experiences would play out. But it does capture pretty well the main steps from an initial exposure to course completion in order of decreasing probability. To increase student engagement, Audacity wants to perform AB tests to try out changes, at different points in this funnel. In this case study, we’ll analyze test results for two particular changes they have in mind, and then make a recommendation on whether they should launch each change.

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