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Product Management Root Cause Analysis Question: Investigating sudden order decline in food delivery app

As a PM at Swiggy, you observed that the number of orders went down by 20% last week as compared to all the weeks before. How would you go about doing the Root Cause Analysis here?

Data Analysis Problem Solving Strategic Thinking Food Delivery E-commerce Mobile Apps
Data Analysis Food Delivery Root Cause Analysis Technical Troubleshooting User Behavior

Introduction

At Swiggy, a 20% drop in orders over the past week is a significant issue that demands immediate attention. As a seasoned product leader, I'll approach this problem systematically, focusing on identifying the root cause, validating hypotheses, and developing both short-term and long-term solutions.

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 a seasonal effect. Has there been any notable change in weather patterns or local events in the past week?

Why it matters: Seasonal factors can significantly impact food delivery orders. Expected answer: No significant weather changes or local events. Impact on approach: If confirmed, we'll focus more on internal factors.

  • Considering potential system issues, have there been any recent updates to the app or backend systems?

Why it matters: Technical glitches could explain a sudden drop in orders. Expected answer: A minor app update was released two weeks ago. Impact on approach: We'll prioritize investigating the impact of this update.

  • Regarding user segments, has the drop been consistent across all user types or concentrated in specific groups?

Why it matters: Helps identify if the issue is widespread or segment-specific. Expected answer: The drop is more pronounced among occasional users. Impact on approach: We'll focus on understanding what's affecting occasional users.

  • Thinking about competition, have any major competitors launched significant promotions or features recently?

Why it matters: Competitive actions could explain a shift in user behavior. Expected answer: No major competitive moves noted. Impact on approach: We'll prioritize internal factors over market dynamics.

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