Creative and testing

Winner's curse

The tendency of the winning result in a test to look bigger than its true effect.

What it is

When many versions are tested, the one that comes out on top is often the one that got lucky as well as good. Its measured lift includes that luck.

Why it matters

For lead generation and e-commerce

Budgets planned on the measured lift are planned on a number that will shrink.

In practice

Re-test big wins, and plan on a smaller effect than the test showed.

A common mistake

Scaling a winner on the strength of one test and calling the later drop creative fatigue.

Read the evidenceThe winner is smaller than it looks All terms

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