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Two-sided marketplace platforms often run experiments to test the effect of an intervention before launching it platform-wide. A typical approach is to randomize individuals into the treatment group, which receives the intervention, and the…

Methodology · Statistics 2021-04-27 Hannah Li , Geng Zhao , Ramesh Johari , Gabriel Y. Weintraub

In this paper, we examine the biases that arise when firms run A/B tests on continuous parameters to estimate global treatment effects on performance metrics of interest; we particularly focus on price experiments to measure the price…

Methodology · Statistics 2026-01-22 Ramesh Johari , Orrie B. Page , Gabriel Y. Weintraub

It is standard practice in online retail to run pricing experiments by randomizing at the article-level, i.e. by changing prices of different products to identify treatment effects. Due to customers' cross-price substitution behavior, such…

Applications · Statistics 2024-02-23 Lars Roemheld , Justin Rao

Online marketplace designers frequently run A/B tests to measure the impact of proposed product changes. However, given that marketplaces are inherently connected, total average treatment effect estimates obtained through Bernoulli…

Methodology · Statistics 2020-04-28 David Holtz , Ruben Lobel , Inessa Liskovich , Sinan Aral

In the past decade, the technology industry has adopted online randomized controlled experiments (a.k.a. A/B testing) to guide product development and make business decisions. In practice, A/B tests are often implemented with increasing…

Methodology · Statistics 2023-03-27 Kevin Han , Shuangning Li , Jialiang Mao , Han Wu

Interference between treated and untreated units is a source of bias in marketplace experiments. In this paper, we specifically consider pricing interventions, in which a platform seeks to adjust base pricing levels at the marketplace level…

Optimization and Control · Mathematics 2025-02-27 Arthur Delarue , Kleanthis Karakolios

In an A/B test, the typical objective is to measure the total average treatment effect (TATE), which measures the difference between the average outcome if all users were treated and the average outcome if all users were untreated. However,…

Applications · Statistics 2020-04-28 David Holtz , Sinan Aral

Two-sided platforms are central to modern commerce and content sharing and often utilize A/B testing for developing new features. While user-side experiments are common, seller-side experiments become crucial for specific interventions and…

Methodology · Statistics 2024-02-12 Zhihua Zhu , Zheng Cai , Liang Zheng , Nian Si

Experiments on online marketplaces and social networks suffer from interference, where the outcome of a unit is impacted by the treatment status of other units. We propose a framework for modeling interference using a ubiquitous deployment…

Methodology · Statistics 2023-08-21 Ariel Boyarsky , Hongseok Namkoong , Jean Pouget-Abadie

We develop an analytical framework to study experimental design in two-sided marketplaces. Many of these experiments exhibit interference, where an intervention applied to one market participant influences the behavior of another…

Methodology · Statistics 2021-09-28 Ramesh Johari , Hannah Li , Inessa Liskovich , Gabriel Weintraub

Suppose an online platform wants to compare a treatment and control policy, e.g., two different matching algorithms in a ridesharing system, or two different inventory management algorithms in an online retail site. Standard randomized…

Methodology · Statistics 2022-12-27 Peter Glynn , Ramesh Johari , Mohammad Rasouli

Online experimentation, also known as A/B testing, is the gold standard for measuring product impacts and making business decisions in the tech industry. The validity and utility of experiments, however, hinge on unbiasedness and sufficient…

Applications · Statistics 2020-12-17 Min Liu , Jialiang Mao , Kang Kang

The widespread adoption of online randomized controlled experiments (A/B Tests) for decision-making has created ongoing capacity constraints which necessitate interim analyses. As a consequence, platform users are increasingly motivated to…

Applications · Statistics 2025-11-11 Abbas Zaidi , Rina Friedberg , Samir Khan , Yao-Yang Leow , Maulik Soneji , Houssam Nassif , Richard Mudd

Online user-generated content platforms allocate billions of dollars of promotional traffic through algorithms in two-sided marketplaces. To evaluate updates to these algorithms, platforms frequently rely on creator-side randomized…

Econometrics · Economics 2026-03-10 Ruohan Zhan , Shichao Han , Yuchen Hu , Zhenling Jiang

In this paper, we address the fundamental statistical question: how can you assess the power of an A/B test when the units in the study are exposed to interference? This question is germane to many scientific and industrial practitioners…

Social and Information Networks · Computer Science 2017-10-12 James D. Wilson , David T. Uminsky

We present a new experiment demonstrating destructive interference in customers' estimates of conditional probabilities of product failure. We take the perspective of a manufacturer of consumer products, and consider two situations of cause…

Artificial Intelligence · Computer Science 2022-06-01 Irina Basieva , Vijitashwa Pandey , Polina Khrennikova

Experimentation is widely utilized for causal inference and data-driven decision-making across disciplines. In an A/B experiment, for example, an online business randomizes two different treatments (e.g., website designs) to their customers…

Methodology · Statistics 2025-01-15 Wenxuan Guo , JungHo Lee , Panos Toulis

We consider experiments in dynamical systems where interventions on some experimental units impact other units through a limiting constraint (such as a limited inventory). Despite outsize practical importance, the best estimators for this…

Machine Learning · Computer Science 2022-06-10 Vivek F. Farias , Andrew A. Li , Tianyi Peng , Andrew Zheng

Experimentation platforms are essential to modern large technology companies, as they are used to carry out many randomized experiments daily. The classic assumption of no interference among users, under which the outcome of one user does…

When developing a new networking algorithm, it is established practice to run a randomized experiment, or A/B test, to evaluate its performance. In an A/B test, traffic is randomly allocated between a treatment group, which uses the new…

Networking and Internet Architecture · Computer Science 2021-10-04 Bruce Spang , Veronica Hannan , Shravya Kunamalla , Te-Yuan Huang , Nick McKeown , Ramesh Johari
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