A/B Testing vs. Multi-Armed Bandits: A Simulated Study [Vanguard]

In this episode, we explore how Vanguard evaluated standard A/B testing against multi-armed bandits for digital experimentation. Their simulated study showed that A/B testing is often the better choice when dealing with a small number of variations, while bandit strategies, such as Thompson Sampling, become more effective as the number of variations increases. The broader lesson is that experimentation design should always be context-aware—balancing simplicity, speed, and interpretability based on your business needs.For more details, you can refer to their published tech blog, linked here for your reference: https://medium.com/vanguard-technology/smarter-web-wins-a-b-testing-vs-multi-armed-bandits-unpacked-7f5032358513