Should WiGroup focus on expanding our user base or increasing revenue from current users?

Introduction

The key trade-off we're examining is whether WiGroup should focus on expanding our user base or increasing revenue from current users. This decision is critical for our growth strategy and resource allocation. I'll analyze this trade-off by considering our product ecosystem, user segments, and potential impacts on key metrics.

Step 1

Clarifying Questions (3 minutes)

• Context: I'm assuming WiGroup is a digital platform, but I'd like to confirm. Could you give me a quick overview of our main product offerings and current user base size?

Why it matters: Helps frame the scale and nature of our expansion vs. monetization options Expected answer: Digital platform with 10M+ users, offering services X, Y, Z Impact on approach: Would influence potential growth strategies and monetization methods

• Business Context: Based on our current growth stage, I'm thinking revenue might be a pressing concern. How urgent is the need for increased revenue, and how does it compare to our user growth targets?

Why it matters: Helps prioritize short-term vs. long-term strategies Expected answer: Revenue growth is critical for next 2 quarters, but long-term user growth remains important Impact on approach: Would balance immediate monetization efforts with sustainable growth tactics

• User Impact: I'm assuming we have different user segments. Can you tell me about our most valuable segments and their current engagement levels?

Why it matters: Identifies opportunities for targeted monetization or expansion Expected answer: Power users in segment A generate 60% of revenue but only 20% of user base Impact on approach: Might focus on expanding this high-value segment or increasing their monetization

• Technical Feasibility: Considering our current infrastructure, I'm wondering about our capacity for rapid user growth. Are there any technical limitations we should be aware of in scaling our user base quickly?

Why it matters: Assesses feasibility of aggressive user acquisition strategies Expected answer: Current infrastructure can handle 2x growth without major upgrades Impact on approach: Might influence the pace and scale of user acquisition efforts

• Resource Allocation: Given that both expansion and monetization require resources, I'm curious about our current team structure. How are our product and marketing teams currently allocated between user acquisition and monetization efforts?

Why it matters: Helps understand the effort required to shift focus Expected answer: 70% on acquisition, 30% on monetization Impact on approach: Would inform the feasibility and timeline of pivoting resources