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Product Management Trade-off Question: Evaluating newsfeed content strategy for social network and marketplace balance

Asked at Meta

15 mins

An engineer suggests showing suggested Buy/Sell Groups on users' newsfeed instead of the People You May Know section. How do you determine if that is a good idea or not?

Product Trade-Off Hard Member-only
Trade-Off Analysis Experiment Design Metric Definition Social Media E-commerce Online Marketplaces
Product Strategy User Engagement A/B Testing Social Networking E-Commerce Integration

Introduction

The trade-off we're considering is whether to replace the "People You May Know" section on users' newsfeeds with suggested Buy/Sell Groups. This decision involves balancing user engagement, monetization potential, and the overall user experience. I'll analyze this trade-off by examining its impact on key stakeholders, defining relevant metrics, and designing an experiment to validate our hypotheses.

Analysis Approach

I'd like to outline my approach to this trade-off analysis and ensure we're aligned on the key areas we'll explore.

Step 1

Clarifying Questions (3 minutes)

  • What's the current performance of the "People You May Know" section in terms of user engagement and network growth?

  • Why it matters: Understanding the baseline performance helps assess the opportunity cost.
  • Hypothetical answer: Moderate engagement, with 10% of users adding a new connection weekly.
  • Impact: If performance is low, the trade-off becomes more attractive.
  • What percentage of our user base is actively engaged in Buy/Sell Groups?

  • Why it matters: Indicates the potential reach and relevance of suggested groups.
  • Hypothetical answer: 30% of users engage with Buy/Sell Groups monthly.
  • Impact: Higher engagement suggests more potential for the suggested groups feature.
  • Are there any upcoming strategic initiatives or partnerships related to e-commerce on our platform?

  • Why it matters: Aligns the trade-off with broader company goals.
  • Hypothetical answer: We're exploring partnerships with major e-commerce players.
  • Impact: Strong alignment could prioritize the Buy/Sell Groups suggestion feature.
  • What's the current monetization model for Buy/Sell Groups, and how does it compare to the "People You May Know" section?

  • Why it matters: Helps evaluate the revenue implications of the trade-off.
  • Hypothetical answer: Buy/Sell Groups generate 20% more revenue per active user than network growth.
  • Impact: Higher monetization potential could favor the Buy/Sell Groups suggestion.
  • Do we have data on user sentiment towards Buy/Sell content in their feeds?

  • Why it matters: Gauges potential user reaction to increased commercial content.
  • Hypothetical answer: Mixed sentiment, with younger users more receptive.
  • Impact: Negative sentiment might require a more cautious, segmented approach.

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