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Product Management Root Cause Analysis Question: Investigating sudden decrease in new user signups for food delivery app

What's causing the sudden 30% decrease in new user signups on the Talabat app?

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

Introduction

The sudden 30% decrease in new user signups on the Talabat app is a critical issue that demands immediate attention. As we dive into this analysis, we'll systematically explore potential causes, validate hypotheses, and develop a comprehensive plan to address the root cause while considering both short-term fixes and long-term strategic implications.

Our approach will involve a thorough examination of internal and external factors, data analysis, and cross-functional collaboration to ensure we're addressing the problem holistically. Let's begin by clarifying the situation and gathering essential information.

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 there might be a recent change that triggered this. Has there been any significant product update or feature release in the past 30 days?

Why it matters: Recent changes often correlate with sudden metric shifts. Expected answer: Yes, we launched a new onboarding flow two weeks ago. Impact on approach: If confirmed, we'd prioritize analyzing the new onboarding process.

  • Considering user segments, I'm curious about the distribution of this decrease. Are we seeing this 30% drop uniformly across all user segments, or is it more pronounced in specific groups?

Why it matters: Identifying affected segments can pinpoint specific issues. Expected answer: The decrease is more significant among younger users (18-25). Impact on approach: We'd focus on understanding the needs and behaviors of younger users.

  • Given the competitive landscape, I'm wondering if there have been any major moves by competitors recently. Have any of our main competitors launched new features or promotions in the last month?

Why it matters: External factors can significantly impact user acquisition. Expected answer: Our main competitor launched a aggressive discount campaign last week. Impact on approach: We'd need to consider our competitive positioning and value proposition.

  • Thinking about potential technical issues, I'm concerned about the stability of our systems. Have there been any reported outages, slow loading times, or error rates in the signup process recently?

Why it matters: Technical issues can directly impact user signups. Expected answer: We've noticed a slight increase in error rates during peak hours. Impact on approach: We'd prioritize technical investigation and performance optimization.

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