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Product Management Root Cause Analysis Question: Investigating sudden revenue drop in mobile game
Image of author vinay

Vinay

Updated Nov 19, 2024

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Asked at Rovio

15 mins

What caused the sudden 30% decrease in in-app purchases for Angry Birds Friends during the last weekend?

Data Analysis Problem-Solving Strategic Thinking Mobile Gaming Free-to-Play Entertainment
Data Analysis Mobile Gaming Monetization Root Cause Analysis User Behavior

Introduction

The sudden 30% decrease in in-app purchases for Angry Birds Friends during the last weekend is a critical issue that demands immediate attention. This significant drop in revenue could have far-reaching implications for the game's financial performance and user engagement. I'll approach this problem systematically, focusing on identifying the root cause, validating hypotheses, and developing both short-term and long-term solutions.

Framework overview

This analysis follows a structured approach covering issue identification, hypothesis generation, validation, and solution development.

Step 1

Clarifying Questions (3 minutes)

  • Looking at the timing, I'm thinking this could be related to a recent update. Has there been any game update or app store change in the past week?

Why it matters: Recent changes often trigger unexpected behaviors. Expected answer: Yes, a minor update was released two days before the weekend. Impact on approach: If true, we'd focus on the update's contents and rollout process.

  • Considering user segments, I'm curious about the impact distribution. Is the 30% decrease uniform across all user segments, or are certain groups more affected?

Why it matters: Helps identify if the issue is global or segment-specific. Expected answer: The decrease is more pronounced among high-value players. Impact on approach: We'd prioritize investigating features used by high-value players.

  • Given the sudden nature, I'm wondering about technical issues. Have there been any reported server problems or payment processing errors during this period?

Why it matters: Technical glitches can cause immediate drops in purchases. Expected answer: No major technical issues reported. Impact on approach: If true, we'd shift focus from technical to product or user behavior factors.

  • Thinking about external factors, has there been any significant competitor activity or market event that could influence user behavior?

Why it matters: External events can dramatically shift user attention and spending. Expected answer: A major competitor launched a new game feature. Impact on approach: We'd analyze the competitor's offering and our relative market position.

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