How can you increase the monthly active advertisers for boosted posts on Facebook and Instagram?

Certainly, I'll address the question about increasing monthly active advertisers for boosted posts on Facebook and Instagram. I'll structure my response as if I'm directly speaking to the interviewer in a product leadership interview.

Introduction

To increase the monthly active advertisers for boosted posts on Facebook and Instagram, we need to focus on both acquisition and retention strategies. This growth challenge involves understanding our current advertiser base, identifying potential new segments, and creating compelling value propositions. I'll outline a comprehensive approach to tackle this problem.

Step 1

Clarifying Questions

• Based on the growth challenge described, I assume we're looking at Facebook and Instagram's existing advertiser ecosystem. Is that correct, or are we considering a third-party tool?

Why it matters: This impacts our ability to leverage first-party data and platform features. Expected answer: Yes, we're focusing on Facebook and Instagram's native advertising tools. Impact on approach: We can utilize internal data and platform-specific features in our strategy.

• Are we targeting a specific increase in monthly active advertisers, or is this a general growth initiative?

Why it matters: Helps set concrete goals and measure success. Expected answer: We're aiming for a 20% increase in monthly active advertisers over the next quarter. Impact on approach: Would focus on high-impact, short-term strategies to meet this aggressive goal.

• Do we have data on the current advertiser retention rates and the average lifetime value of an advertiser?

Why it matters: Helps identify whether to focus more on acquisition or retention strategies. Expected answer: Yes, we have this data available. Impact on approach: Would tailor strategies based on current retention rates and LTV metrics.

• Are there any geographic or industry-specific constraints we should consider for this growth initiative?

Why it matters: Helps focus our efforts on the most promising markets or industries. Expected answer: We're primarily looking at small to medium-sized businesses in North America and Europe. Impact on approach: Would tailor messaging and features to appeal to SMBs in these regions.