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Conservation of Intent: The hidden reason why A/B tests aren’t as effective as they look

Andrew Chen

Then your revenue/installs/whatever goes up by +10% right? This is why you can’t add up your A/B test results. Similarly, this is a reason to be skeptical of vendors and 3rd parties who have case studies that’ll increase your revenue by X just because they increase their ad conversion rate (or whatever) by X.

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a16z Podcast: Why paid marketing sucks, Network effects, Viral Growth, and more

Andrew Chen

So not revenue per CAC is that you know typically there’s cost associated to user. You know, ecommerce, a lot of companies struggle with, “Okay, how do I get organic ecommerce traffic?” And you can start to draw conclusions, sort of a natural A/B test in order to do that. LTV is lifetime value.