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Product Management Trade-off Question: Kitopi's growth strategy balancing partner expansion and delivery optimization

Asked at Kitopi

15 mins

Should Kitopi prioritize expanding our restaurant partner network or focus on improving delivery times for existing partners?

Product Trade-Off Medium Member-only
Strategic Thinking Data Analysis Prioritization Food Delivery Restaurant Tech Logistics
Product Strategy Food Delivery Trade-Off Analysis Growth Vs Optimization Kitopi

Introduction

The trade-off we're examining today is whether Kitopi should prioritize expanding our restaurant partner network or focus on improving delivery times for existing partners. This decision is crucial for Kitopi's growth strategy and operational efficiency. I'll analyze this trade-off by considering the business context, user impact, technical feasibility, and resource allocation. Let's dive into the key aspects of this scenario and explore the potential outcomes of each option.

Analysis Approach

I'd like to start by asking a few clarifying questions to ensure we're aligned on the context and constraints of this decision. Then, I'll walk you through my analysis framework, covering product understanding, hypothesis formation, metrics identification, experiment design, and ultimately, a recommendation with next steps.

Step 1

Clarifying Questions (3 minutes)

  • Business Context: I'm thinking our current growth rate might influence this decision. Could you share how our partner acquisition and retention rates have been trending over the past quarter?

Why it matters: Helps determine if we're facing a growth ceiling or retention issues Expected answer: Moderate growth, but slowing partner acquisition Impact on approach: Would lean towards improving existing partner experience if acquisition is slowing

  • User Impact: Based on our user feedback, I'm assuming delivery time is a key factor in customer satisfaction. Can you confirm if we've seen a correlation between delivery times and repeat order rates?

Why it matters: Validates the importance of focusing on delivery time improvement Expected answer: Strong positive correlation between faster delivery and repeat orders Impact on approach: Would strengthen the case for prioritizing delivery time improvements

  • Technical Feasibility: Considering our current tech stack, I'm curious about the complexity of optimizing our delivery routing system. How scalable is our current solution, and what would be involved in upgrading it?

Why it matters: Assesses the technical effort required for improving delivery times Expected answer: Current system is reaching its limits, significant upgrade needed Impact on approach: Would need to factor in development time and resources for system upgrade

  • Resource Allocation: Given our current team structure, I'm wondering about our capacity for partner onboarding versus operational improvements. How are our teams currently allocated between these two areas?

Why it matters: Determines if we have the right resources in place for either option Expected answer: More resources currently in partner acquisition than operations Impact on approach: Might require team restructuring depending on chosen priority

  • Timeline Pressure: Considering market dynamics, I'm thinking about the urgency of this decision. Are there any upcoming competitive moves or market events that could impact our timeline?

Why it matters: Helps prioritize short-term vs. long-term strategies Expected answer: Increasing competition in key markets within next 6 months Impact on approach: Might favor quicker wins in delivery time improvement if competition is imminent

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