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Product Management Analytics Question: Instagram Stories usage increase vs overall engagement decrease tradeoff analysis
Image of author vinay

Vinay

Updated Nov 15, 2024

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Asked at Meta

15 mins

I ran an A/B test on Instagram. It resulted in a 10% increase in usage for Instagram stories and a 10% decrease in overall usage for Instagram. As a product manager, what metrics will you ask from me to make trade-offs on the A/B test?

Product Success Metrics Hard Member-only
Data Analysis Strategic Decision Making Product Metrics Social Media Mobile Apps Digital Advertising
Social Media User Engagement Product Analytics A/B Testing Feature Tradeoffs

Introduction

When evaluating the results of an A/B test on Instagram that shows a 10% increase in Stories usage but a 10% decrease in overall platform usage, we need to carefully consider multiple metrics to make informed trade-off decisions. This product success metrics challenge requires a nuanced approach that balances short-term gains against long-term platform health. I'll follow a structured framework to analyze the key metrics and considerations for this Instagram feature test.

Framework Overview

I'll follow a simple success metrics framework covering product context, success metrics hierarchy, and strategic implications.

Step 1

Product Context

Instagram Stories is a feature that allows users to share ephemeral photos and videos that disappear after 24 hours. It's a core part of Instagram's offering, competing directly with Snapchat and now TikTok for user engagement.

Key stakeholders include:

  • Users: Seeking engaging, real-time content from friends and influencers
  • Advertisers: Looking for high-visibility placements in a popular format
  • Content creators: Wanting to reach their audience with timely updates
  • Instagram/Meta: Aiming to increase overall platform engagement and monetization

User flow:

  1. Users open Instagram app
  2. They tap on Stories at the top of the feed
  3. Users view Stories, swiping through content from multiple accounts
  4. They can interact through reactions, replies, or by creating their own Stories

Instagram Stories fits into Meta's broader strategy of increasing user engagement and time spent on the platform, while also providing additional advertising inventory. It's particularly important for retaining younger users who might otherwise migrate to competing platforms.

Compared to competitors, Instagram Stories has a larger user base than Snapchat but faces growing competition from TikTok's short-form video format.

Product Lifecycle Stage: Mature - Stories is a well-established feature but still evolving to meet changing user preferences and competitive pressures.

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