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Product Management Root Cause Analysis Question: Investigating Etsy mobile app download decrease

Asked at Etsy

15 mins

What's causing the sudden 30% decrease in Etsy mobile app downloads since last week's update?

Data Analysis Problem-Solving Strategic Thinking E-commerce Mobile Apps Handmade Goods
E-Commerce User Acquisition Root Cause Analysis Mobile Apps Etsy

Introduction

The sudden 30% decrease in Etsy mobile app downloads since last week's update is a critical issue that demands immediate attention. This significant drop in a key performance indicator could have far-reaching consequences for user acquisition, engagement, and ultimately, revenue. To address this problem, I'll employ a systematic approach to identify, validate, and resolve the root cause while considering both short-term fixes and long-term strategic implications.

My analysis will follow a structured framework, beginning with clarifying questions to gather essential context, followed by a thorough examination of potential causes, data analysis, hypothesis formation, and validation. We'll then develop a comprehensive plan to address the issue and prevent similar occurrences in the future.

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 there might be a direct correlation between the update and the download decrease. Can you confirm if this update introduced any significant changes to the app's functionality or user interface?

Why it matters: This helps establish a clear link between the update and the issue. Expected answer: Yes, there were notable changes. Impact on approach: If confirmed, we'll focus on update-specific factors.

  • I'm curious about the distribution of this decrease across different user segments. Have you noticed any patterns in terms of device types, operating systems, or geographical regions where the drop is more pronounced?

Why it matters: This helps identify if the issue is universal or specific to certain user groups. Expected answer: There might be variations across segments. Impact on approach: We'll tailor our investigation and solutions to the most affected segments.

  • Considering the competitive landscape, I'm wondering if there have been any significant moves by competitors or changes in the market around the time of the update. Have you observed any unusual activity in the handmade goods e-commerce space recently?

Why it matters: This helps rule out or consider external factors. Expected answer: No major competitor actions noted. Impact on approach: If confirmed, we'll focus more on internal factors.

  • Given the suddenness of the drop, I'm thinking about potential technical issues. Have there been any reports of app crashes, performance issues, or negative reviews specifically mentioning problems with the new update?

Why it matters: This helps identify if technical issues are contributing to the problem. Expected answer: Some increase in negative feedback. Impact on approach: If confirmed, we'll prioritize technical investigations and fixes.

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