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Difference-in-Differences (DiD)

A causal method that compares the change in outcome over time between a treated group and a control group.

Last updated: 2026-05-04

Definition

DiD assumes the parallel-trends assumption: in the absence of treatment, the treated and control groups would have moved in parallel. If true, the difference in their post-treatment movements is the causal effect. Useful for measuring the lift of a new channel launch, a creative refresh, or a price change — anywhere you have a clean before/after on one cohort and an untreated cohort to compare against.

How it applies in India

No India-specific behavior.

Related terms

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