What does "Nominal p-value" mean?

Definition of Nominal p-value in the context of A/B testing (online controlled experiments).

What is a Nominal p-value?

Alias: nominal significance

The nominal p-value is a calculated observed significance based on a given statistical model. When the statistical model reflects the actual test performed the nominal and actual p-value coincide. When the model is inadequate the nominal and actual significance can differ by varying amounts and oftentimes it is not possible to calculate the actual difference.

The nominal p-value may become a meaningless number if the assumptions of the statistical model used to compute it does not hold. These vary from simple things such as performing the calculation with a predefined (fixed) sample size (no peeking) to more complex ones such as requirements about normal distribution of the error, independence and identical distribution of observations, lack of multiple comparisons / multiple testing, and so on. Violating any of the prerequisites of a significance test will render the nominal p-value more or less non-actionable.

Like this glossary entry? For an in-depth and comprehensive reading on A/B testing stats, check out the book "Statistical Methods in Online A/B Testing" by the author of this glossary, Georgi Georgiev.

Articles on Nominal p-value

The Bane of AB Testing: Reaching Statistical Significance
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About the author

Georgi Z. Georgiev

Georgi has over twenty years of experience in online marketing, web analytics, statistics, and design of business experiments.

Author of the book "Statistical Methods in Online A/B Testing", white papers on statistical analysis of A/B tests, and a speaker, he has been distinguished as a winner in the Data & Analytics category of the 2024 Experimentation Thought Leadership Awards.

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