What factors are causing the sudden 30% decrease in new student signups for Platzi's English language courses this quarter?

Introduction

The sudden 30% decrease in new student signups for Platzi's English language courses this quarter is a critical issue that demands immediate attention. To address this problem, I'll employ a systematic approach to identify, validate, and resolve the root cause while considering both short-term and long-term implications.

Step 1

Clarifying Questions (3 minutes)

• Looking at the timing, I'm thinking there might be a seasonal component. Has this decrease occurred during the same quarter in previous years?

Why it matters: Helps distinguish between cyclical patterns and unique issues. Expected answer: No, this is unprecedented for this quarter. Impact on approach: If seasonal, we'd focus on year-over-year comparisons; if not, we'd investigate recent changes.

• Considering user segments, I'm curious about the demographics. Has the decrease been uniform across all age groups and regions?

Why it matters: Identifies whether the issue is global or specific to certain user segments. Expected answer: The decrease is more pronounced in the 18-25 age group and in Latin American countries. Impact on approach: We'd focus on factors affecting these specific segments if the decline isn't uniform.

• Thinking about recent changes, have there been any significant updates to the course content or platform in the last quarter?

Why it matters: Helps identify if internal changes could be contributing to the decline. Expected answer: A new user interface was rolled out for the English courses two months ago. Impact on approach: We'd investigate the impact of the UI change on user experience and conversion rates.

• Considering external factors, has there been any shift in marketing spend or strategy for English courses this quarter?

Why it matters: Helps determine if the issue is related to acquisition rather than product. Expected answer: Marketing budget was reduced by 15% this quarter due to budget constraints. Impact on approach: We'd analyze the impact of reduced marketing on new signups and explore cost-effective alternatives.