Why has Sonder's mobile app booking rate dropped 15% over the past month?

Introduction

Sonder's mobile app booking rate dropping 15% over the past month is a critical issue that demands immediate attention. This decline in a key performance metric could significantly impact revenue and user satisfaction. I'll approach this problem systematically, focusing on identifying the root cause, validating hypotheses, and developing both short-term fixes and long-term strategies to address the issue.

Step 1

Clarifying Questions (3 minutes)

• Looking at the timing, I'm thinking there might be seasonality at play. Has this 15% drop been compared to the same period last year?

Why it matters: Seasonal fluctuations could explain the change without indicating a deeper problem. Expected answer: Yes, it's been compared and is still significant. Impact on approach: If seasonal, we'd focus on optimizing for known patterns; if not, we'd dig deeper into recent changes.

• Considering user segments, I'm wondering if this drop is uniform across all user types. Are we seeing any differences between new and returning users in terms of booking rates?

Why it matters: Different user behaviors could point to specific areas of the app or user journey that need attention. Expected answer: The drop is more pronounced among new users. Impact on approach: If new users are more affected, we'd focus on onboarding and first-time user experience; if returning users, we'd look at loyalty features or changes in repeat booking patterns.

• Thinking about recent changes, have there been any significant updates to the app or backend systems in the last 1-2 months?

Why it matters: Recent changes could directly correlate with the drop in booking rates. Expected answer: A new UI for the booking process was rolled out 6 weeks ago. Impact on approach: If recent changes coincide with the drop, we'd prioritize investigating those specific updates; if not, we'd broaden our search for potential causes.

• Considering market dynamics, has there been any notable shift in competitor offerings or marketing strategies recently?

Why it matters: External market forces could be drawing users away from Sonder's app. Expected answer: No significant changes in competitor landscape noted. Impact on approach: If competitors have made moves, we'd focus on competitive analysis and differentiation; if not, we'd prioritize internal factors.