Should LinkAja prioritize expanding its merchant network or improving its peer-to-peer transfer features?

Introduction

The key trade-off for LinkAja is whether to prioritize expanding its merchant network or improving its peer-to-peer transfer features. This decision will significantly impact the company's growth strategy and user experience. I'll analyze this trade-off by examining the current product landscape, potential impacts, and key metrics, then design an experiment to inform our decision-making process.

Step 1

Clarifying Questions (3 minutes)

• Context: I'm assuming LinkAja is a digital wallet and payment platform in Indonesia. Could you confirm this and provide any additional context about our market position and primary competitors?

Why it matters: Understanding our competitive landscape will help prioritize features that differentiate us. Expected answer: Confirmation of market position and top 2-3 competitors. Impact on approach: Would influence whether we focus on catching up or innovating in specific areas.

• Business Context: Based on our current revenue model, I'm thinking merchant transactions might be a larger revenue driver than P2P transfers. Can you share how these two areas contribute to our overall revenue?

Why it matters: Aligns our decision with financial impact and business priorities. Expected answer: Breakdown of revenue sources, with merchant transactions likely being higher. Impact on approach: Would help weigh the potential ROI of each option.

• User Impact: I'm assuming we have distinct user segments for merchant payments and P2P transfers. Can you provide insights into the overlap and relative sizes of these user groups?

Why it matters: Helps us understand which option might have a broader impact on our user base. Expected answer: Percentage of users engaging in both activities and size of each segment. Impact on approach: Would influence which option could drive higher user engagement and retention.

• Technical Feasibility: Considering our current tech stack, I'm thinking expanding the merchant network might be more straightforward than enhancing P2P features. Is this accurate, and are there any major technical constraints we should be aware of?

Why it matters: Ensures we factor in implementation complexity and potential roadblocks. Expected answer: Overview of technical challenges for both options. Impact on approach: Would help assess the feasibility and timeline for each option.

• Resource Allocation: Given our current team structure, I'm assuming we have dedicated teams for merchant acquisition and product development. Can you share how our resources are currently allocated between these areas?

Why it matters: Helps understand if we have the capacity to execute on either option effectively. Expected answer: Breakdown of team sizes and current focus areas. Impact on approach: Would influence how quickly we could implement each option and any need for team restructuring.