What caused the 30% drop in new member signups for WeWork's hot desk offering last month?

Introduction

WeWork's 30% drop in new member signups for hot desks is a critical issue that demands immediate attention. I'll approach this problem systematically, focusing on identifying the root cause, validating hypotheses, and developing both short-term and long-term solutions. My analysis will cover data gathering, metric breakdown, hypothesis formation, and a comprehensive resolution plan.

Step 1

Clarifying Questions (3 minutes)

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

Why it matters: Seasonal patterns could explain the fluctuation and inform our solution approach. Expected answer: No significant seasonal pattern observed in previous years. Impact on approach: If seasonal, we'd focus on annual strategies; if not, we'd investigate recent changes.

• Considering user segments, I'm wondering if this drop is uniform across all user types. Are we seeing a similar decline in enterprise vs. individual sign-ups?

Why it matters: Different user segments may have distinct needs and pain points. Expected answer: The drop is more pronounced in individual sign-ups. Impact on approach: We'd tailor our investigation and solutions to the most affected segment.

• Thinking about recent changes, have there been any significant updates to the sign-up process or pricing structure in the last 3 months?

Why it matters: Recent changes could directly impact user behavior and sign-up rates. Expected answer: A new pricing tier was introduced two months ago. Impact on approach: We'd closely examine the impact of this change on user perception and behavior.

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

Why it matters: External market forces could be drawing potential customers away. Expected answer: A major competitor launched an aggressive marketing campaign last month. Impact on approach: We'd need to assess our competitive positioning and marketing strategy.