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Company focus

Rakuten

What caused the sudden 30% decrease in daily active users for Rakuten's mobile app in the last week?

Prepared by NextSprints

15 mins
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Data Analysis Problem Solving Strategic Thinking E-commerce Mobile Apps Online Retail E-Commerce Data Analysis User Retention Root Cause Analysis Mobile Apps
Product Management Root Cause Analysis Question: Investigating sudden drop in Rakuten mobile app daily active users

Introduction

The sudden 30% decrease in daily active users for Rakuten's mobile app in the last week is a critical issue that demands immediate attention. This significant drop in user engagement could have far-reaching consequences for the company's overall performance and market position. 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.

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 app update. Has there been any significant changes or updates to the app in the past week or two?

Why it matters: Recent changes often correlate with sudden shifts in user behavior. Expected answer: Yes, there was an update released 10 days ago. Impact on approach: If confirmed, we'd focus on analyzing the changes in that update.

  • Considering the scale of the decrease, I'm wondering about potential technical issues. Have there been any reported server outages or performance problems recently?

Why it matters: Technical issues can dramatically impact user engagement. Expected answer: No major outages, but some users reported slower load times. Impact on approach: We'd investigate performance metrics and error logs more closely.

  • Given Rakuten's diverse user base, I'm curious about the demographics affected. Is the 30% decrease uniform across all user segments, or is it more pronounced in specific groups?

Why it matters: Identifying affected segments can narrow down potential causes. Expected answer: The decrease is more significant among users aged 18-24. Impact on approach: We'd focus on features and content relevant to younger users.

  • Considering external factors, has there been any significant competitor activity or market changes in the past week?

Why it matters: External events can influence user behavior across platforms. Expected answer: A major competitor launched a new feature last week. Impact on approach: We'd analyze the competitive landscape and our unique value proposition.

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Updated Jan 22, 2025