How would you increase retention for Oyo Rooms?

Thank you for providing the context and instructions. I'll now address the question about increasing retention for Oyo Rooms from the perspective of a seasoned VP of Product interviewing for a senior product leadership role. I'll structure my response according to the outlined steps and format.

Introduction

The challenge at hand is to increase retention for Oyo Rooms, a budget hospitality chain. This growth problem is crucial as retention directly impacts the company's profitability and long-term success. I'll approach this by first clarifying key aspects, then diving into a comprehensive analysis and strategy development. My response will cover diagnostics, market analysis, user segmentation, growth levers, retention strategies, and success metrics.

Step 1

Clarifying Questions

• Based on the growth challenge described, I assume we're focusing on Oyo's core hotel booking service. Is this accurate, or should we consider other verticals like Oyo Homes or Oyo Workspaces?

Why it matters: Defines the scope of our retention efforts. Expected answer: Focus on core hotel booking service. Impact on approach: Concentrate on hotel guest experience and repeat bookings.

• Are we looking at a specific geographic market, or is this a global retention challenge for Oyo?

Why it matters: Different markets may require tailored retention strategies. Expected answer: Focus on key markets like India and Southeast Asia. Impact on approach: Prioritize culturally relevant retention tactics and local partnerships.

• Can you share any specific retention metrics or goals we're aiming for? For instance, are we looking to improve 30-day retention by a certain percentage?

Why it matters: Helps set clear, measurable objectives for our retention strategy. Expected answer: Aim to increase 30-day retention by 20% within 6 months. Impact on approach: Focus on short to medium-term tactics that can show quick wins.

• Do we have any data on the current reasons for customer churn or low repeat booking rates?

Why it matters: Identifies key pain points to address in our retention strategy. Expected answer: Main issues include inconsistent room quality and poor customer service. Impact on approach: Prioritize quality control measures and customer service improvements.