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Product Management Root Cause Analysis Question: Identifying reasons for declining food delivery app orders

As a Product manager at a food delivery app, you observe a downward trend in number of orders fulfilled. How would you identify the root cause??

Data Analysis Problem-Solving Strategic Thinking Food Delivery E-commerce Logistics
Data Analysis User Retention Product Metrics Food Delivery Root Cause Analysis

Introduction

As a seasoned product leader, I understand the critical importance of maintaining a healthy order fulfillment rate in a food delivery app. The downward trend in orders fulfilled is a concerning issue that requires immediate attention and a systematic approach to identify and address the root cause.

I'll approach this problem by first clarifying the context, then ruling out external factors before diving deep into our product, user journey, and metrics. We'll generate data-driven hypotheses, conduct root cause analysis, and develop a comprehensive plan to validate and resolve the issue.

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 trend. Has this downward trend coincided with any particular season or event?

Why it matters: Seasonal patterns could explain the trend and inform our solution approach. Expected answer: No clear seasonal correlation. Impact on approach: If seasonal, we'd focus on adaptive strategies; if not, we'd look deeper into internal factors.

  • Considering user segments, I'm curious if this trend is uniform across all user types. Are we seeing a more significant drop in orders from any particular user segment?

Why it matters: Identifying affected segments helps narrow down potential causes. Expected answer: The trend is more pronounced among occasional users. Impact on approach: We'd focus on retention strategies for occasional users if this is the case.

  • Thinking about recent changes, have we implemented any significant product updates or policy changes in the last few months?

Why it matters: Recent changes could directly impact user behavior and order fulfillment. Expected answer: A new UI was rolled out two months ago. Impact on approach: We'd investigate the UI change's impact on user experience and order flow.

  • Regarding our metrics, I'm wondering about the definition of "orders fulfilled." Has there been any change in how we measure or define this metric recently?

Why it matters: Ensures we're addressing a real issue, not a measurement anomaly. Expected answer: No changes in metric definition. Impact on approach: Confirms we're dealing with an actual decline, not a measurement issue.

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