Paid Ads

Holdout Test

A holdout test withholds ads from a control group and compares outcomes to measure incremental lift.

Updated 2026-01-23

Definition

A holdout test withholds ads from a control group and compares outcomes to measure incremental lift.

How to use it

  • Define the holdout population and prevent spillover (contamination).
  • Run long enough to cover your purchase cycle and seasonality effects.

Common mistakes

  • Peeking early and stopping on noise.
  • Letting the holdout get exposed via other campaigns (invalidates the test).

Why this matters

This term matters because it affects how you interpret performance and make budget decisions. If you use inconsistent definitions or windows, ROAS/CPA can look "better" while profit gets worse.

Practical checklist

  • Write a 1-line definition for "Holdout Test" that your team will use consistently.
  • Keep the time window consistent (weekly/monthly/quarterly) when comparing trends.
  • Segment results (channel/plan/cohort) before drawing big conclusions from blended averages.
  • Use a calculator that references this term (e.g., Incrementality Lift Calculator) to sanity-check assumptions.
  • Read the related guide (e.g., Incrementality lift: how to compute incremental ROAS from holdouts) for context and common pitfalls.

Where to use this on MetricKit

Calculators

Guides