What metrics would you use to evaluate Lending Club's investor platform for funding loans?

Introduction

Evaluating Lending Club's investor platform for funding loans requires a comprehensive approach to product success metrics. To address this challenge effectively, I'll follow a structured framework that covers core metrics, supporting indicators, and risk factors while considering all key stakeholders.

Step 1

Product Context

Lending Club's investor platform is a peer-to-peer lending marketplace that connects investors with borrowers seeking loans. The platform allows investors to fund portions of loans and earn returns based on interest payments.

Key stakeholders include:

1. Investors: Seeking attractive returns on their investments
2. Borrowers: Looking for competitive loan rates and terms
3. Lending Club: Aiming to facilitate transactions and generate revenue
4. Regulators: Ensuring compliance with financial regulations

User flow:

1. Investors sign up and verify their accounts
2. They browse available loans and select those matching their criteria
3. Investors fund portions of loans, which are then disbursed to borrowers
4. As borrowers repay, investors receive principal and interest payments

The platform fits into Lending Club's broader strategy of disrupting traditional lending by creating a more efficient, technology-driven marketplace. Compared to competitors like Prosper, Lending Club aims to offer a wider range of loan types and more sophisticated investment tools.

In terms of product lifecycle, the investor platform is in the growth stage, with ongoing efforts to expand the investor base and improve user experience.