What factors are causing the sudden increase in failed payments for Rapyd's Disburse product in the APAC region?

Introduction

The sudden increase in failed payments for Rapyd's Disburse product in the APAC region is a critical issue that requires immediate attention and a systematic approach to identify and address the root cause. As we dive into this analysis, we'll follow a structured framework to uncover the underlying factors, validate our hypotheses, and develop both short-term solutions and long-term strategies to resolve the issue.

Our approach will involve clarifying the problem context, ruling out external factors, understanding the product and user journey, breaking down the relevant metrics, gathering and prioritizing data, forming and testing hypotheses, conducting a thorough root cause analysis, and finally, proposing a comprehensive resolution plan.

Step 1

Clarifying Questions (3 minutes)

• Looking at the timing, I'm thinking there might be a recent change in the payment processing system. Has there been any recent update or modification to the payment infrastructure in the APAC region?

Why it matters: System changes often correlate with performance issues. Expected answer: Yes, there was a recent update to comply with new regulations. Impact on approach: If confirmed, we'd focus on system-related hypotheses.

• Considering the specificity to APAC, I'm wondering about regional factors. Are we seeing this increase in failed payments across all countries in APAC, or is it concentrated in specific areas?

Why it matters: Helps determine if it's a region-wide issue or localized problem. Expected answer: The issue is more pronounced in Southeast Asian countries. Impact on approach: If localized, we'd investigate country-specific factors.

• Given the nature of disbursements, I'm curious about the transaction volumes. Has there been any significant change in the volume or value of transactions being processed recently?

Why it matters: Unusual spikes in volume can strain systems and lead to failures. Expected answer: Transaction volumes have increased by 30% in the last month. Impact on approach: If confirmed, we'd explore scalability and capacity issues.

• Considering potential changes in user behavior, have there been any modifications to the user interface or payment flow in the Disburse product recently?

Why it matters: UI changes can impact user behavior and lead to errors. Expected answer: A new payment confirmation step was added last week. Impact on approach: If confirmed, we'd focus on user experience and interaction design.

• Thinking about data integrity, I'm wondering about our monitoring systems. Have there been any changes to how we define or measure failed payments in our analytics?

Why it matters: Ensures we're not dealing with a measurement issue rather than an actual increase in failures. Expected answer: No changes to measurement systems or definitions. Impact on approach: If confirmed, we can rule out data anomalies and focus on actual payment failures.