Kliment Merzlyakov

How to Accurately Measure Binomial Proportions for Reliable Conversion Metrics | HackerNoon

Problem statement Let’s talk about binomial proportion measures and two ways of reasonably calculating them. Essentially, these measures are percentages derived from binary variables (0, 1). For instance, conversion rate is a proportion measure that is calculated as an average from the binary variable is_transaction, another example is click-through rate — it is an average from is_click. We can go on with examples: churn rate, order fulfillment rate, delivery rate, and cart abandonment rate, all

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