A/B Testing Intermediate

Minimum Detectable Effect (MDE)

The smallest improvement in conversion rate that an A/B test is designed to detect — the key input that determines required sample size.

By Mario Kuren Updated

Minimum Detectable Effect (MDE) is the smallest relative improvement in conversion rate that an A/B test is designed to detect at the chosen statistical significance and power levels.

MDE is the most important input to sample size calculation — and the most commonly misunderstood. Setting MDE is a business decision, not a statistical one: it defines the threshold below which an improvement isn’t worth detecting.

MDE is Relative, Not Absolute

MDE is expressed as a relative percentage change from the baseline:

  • Baseline CVR: 2.0%
  • MDE: 20%
  • Minimum effect to detect: 2.0% × 1.20 = 2.4% CVR

You’re not trying to detect a 20 percentage point change — you’re trying to detect a 20% improvement relative to the baseline.

Baseline CVRMDE (relative)Minimum CVR to detect
2.0%10%2.2%
2.0%20%2.4%
2.0%30%2.6%
5.0%10%5.5%
5.0%20%6.0%
10.0%15%11.5%

How MDE Affects Sample Size

The relationship between MDE and required sample size is non-linear — halving the MDE approximately quadruples the required sample size:

MDE (relative)Sample size per variant (2% baseline, 95% sig, 80% power)
5%~315,000
10%~79,000
15%~35,000
20%~20,000
30%~9,000
40%~5,000

Calculated using standard two-proportion z-test

At 5,000 sessions/month to the test page:

  • MDE 20% → ~4 months per variant
  • MDE 10% → ~16 months per variant
  • MDE 5% → 63 months — not viable

The implication: most sites cannot run tests designed to detect 5–10% relative improvements. The math doesn’t allow it. Setting MDE below what your traffic can support produces tests that run for years and still don’t reach significance.

Setting MDE: Practical Guidelines

Ask: “Is this improvement worth implementing?”

If you’re testing a headline change, would a 5% relative CVR improvement (e.g., 2.0% → 2.1%) justify the development and design effort to implement and maintain? Probably not.

Would a 20% improvement (2.0% → 2.4%) justify it? Almost certainly yes.

Set your MDE at the minimum improvement you’d consider worth shipping.

Context-based MDE guidelines:

ContextRecommended MDE
High-traffic e-commerce (100k+ sessions/mo)5–10%
Mid-traffic site (20–100k sessions/mo)10–20%
Low-traffic site (under 20k sessions/mo)20–30%+
Email subject line (high volume)2–5% open rate
Checkout optimization (critical flow)10–15%
Headline test (large effect expected)15–25%
Pricing page test10–20%

MDE and Business Value

MDE should connect to real revenue impact. Before setting it, calculate what a given relative improvement is worth:

Example calculation:

  • Monthly revenue: €200,000
  • Current CVR: 2.0%
  • Monthly sessions: 50,000
  • 20% MDE means detecting a 2.0% → 2.4% CVR improvement
  • Revenue impact: 50,000 × 0.4% × average order value = additional revenue per month

If a 20% relative improvement is worth €4,000/month, it clearly justifies implementation. If a 5% improvement is worth €1,000/month, it might not — especially if it introduces technical debt or complexity.

MDE and Low-Traffic Sites

For sites under 5,000 sessions/month, even a 30% MDE produces impractically long test durations. The right response is not to lower the significance threshold — it’s to use qualitative CRO methods instead.

Lowering significance from 95% to 90% doesn’t solve the sample size problem; it just increases your false positive rate from 5% to 10%. The test is still underpowered; you’re just more likely to incorrectly declare a winner.

See How to Do CRO With Low Traffic for methods that work without A/B testing infrastructure, including Micro-Conversion testing, qualitative research, and expert review.

The Four Interrelated Parameters

MDE is one of four parameters that determine sample size. Changing any one affects all:

ParameterTypical valueEffect on sample size
MDE (relative)15–20%Smaller MDE → much larger sample
Significance level (α)0.05Lower α → larger sample
Statistical power (1-β)0.80Higher power → larger sample
Baseline CVRYour rateLower CVR → larger sample

These four parameters form a system. You cannot set all four independently — given your traffic, three of them are constraints, and the fourth must adjust. In most practical CRO situations, traffic and baseline CVR are fixed, significance and power are set by best practice, and MDE is the variable that must be set realistically based on what the traffic can detect.

Pre-Test Checklist: MDE

Before starting any A/B test, confirm:

  1. What relative improvement am I designing this test to detect?
  2. Is that improvement worth implementing if found?
  3. Is that improvement realistically achievable for this type of change?
  4. Does my sample size calculation show a test duration under 4–6 weeks at this MDE?
  5. Have I committed to stopping the test at the pre-calculated sample size, not before?

Sample Size Calculator

Free Tool Interactive Calculator — get your results instantly, no sign-up required
n

Sample Size Calculator

Calculate how many visitors you need per variant for a statistically valid A/B test

Relative improvement. 10% MDE on 3% baseline = detecting 3.3% CVR.

Calculating Required Sample Size

Use any of these free calculators with your baseline CVR and MDE:

For the complete test duration framework, see How Long Should You Run an A/B Test?. For the relationship between MDE and p-values, see P-Value.

Frequently Asked Questions

What is minimum detectable effect (MDE) in A/B testing?

Minimum Detectable Effect (MDE) is the smallest relative improvement in conversion rate that you would consider worth detecting and implementing. It's the business decision that determines your sample size requirements: a smaller MDE (detecting 5% improvements) requires far more traffic than a larger MDE (detecting 20% improvements). MDE is expressed as a relative change — a 10% MDE on a 2% baseline CVR means you want to detect a change to 2.2% CVR, not a 10 percentage point change. Setting MDE is not a statistical judgment — it's a business judgment about what improvement is worth acting on.

How do I set the right MDE for my A/B test?

MDE should be set based on two factors: (1) what improvement would actually be worth implementing, and (2) what's realistically achievable given your hypothesis. For most CRO tests, 15–20% relative improvement is a practical starting point — it's meaningful enough to justify implementation and achievable with well-founded hypotheses. If you wouldn't implement a 5% relative improvement, don't set MDE at 5% — you'd be running an impractically long test for a threshold you'd ignore. If you run high-traffic pages (100K+ sessions/month), a 5–10% MDE may be both achievable and worth detecting.

What happens if I set MDE too low?

Setting MDE too low (e.g., trying to detect 2% relative improvements) makes tests impractically long. At a 2% baseline CVR with a 2% relative MDE, you'd need over 200,000 visitors per variant to reach significance at 80% power and 95% confidence. At 5,000 sessions/month, that's 80 months — not viable. In practice, an MDE below 10% is only viable for very high-traffic pages (100,000+ monthly sessions). For most sites, 15–25% relative MDE is the practical range that balances sensitivity with achievable test duration.

Should MDE be set in relative or absolute terms?

MDE should be set in relative terms — as a percentage change from the baseline — not absolute percentage points. This is because a 5% absolute change means very different things at different baselines. A 5pp improvement (2% → 7%) on a lead gen page is enormous. A 5pp improvement (50% → 55%) on a checkout form is modest. Relative MDE (e.g., 20% better than baseline) scales consistently across different conversion rates. Most sample size calculators expect relative MDE as input. Always confirm whether your calculator expects relative or absolute MDE.

How does MDE relate to the practical significance of a test?

MDE defines the threshold of practical significance — the minimum improvement you'd consider worth shipping. This is separate from statistical significance (which only tells you whether the result is likely noise). A test can be statistically significant but practically insignificant (a 0.01% CVR improvement that reached significance on a very high-traffic page). Setting MDE correctly ensures you only declare a 'winner' when the effect is large enough to matter for business decisions. The two questions are: 'Is this real?' (statistical significance) and 'Does it matter?' (practical significance / MDE).

What is the relationship between MDE and confidence interval?

MDE and confidence intervals are closely related. Your pre-set MDE determines what CI width you're designing the test to achieve: if your MDE is 20%, you want a CI narrow enough that you can reliably detect a 20% relative improvement. At the end of the test, if the CI lower bound is above your MDE, you have strong evidence for a meaningful effect. If the CI spans from zero to much higher than your MDE, your test was underpowered relative to the observed variability — the uncertainty is too large to make a confident decision.