Business Cases & Product Sense
Product Analytics Questions
Product analytics questions test your ability to think like a data-driven product manager. They require combining business intuition with analytical skills.
Question Type 1: Metric Investigation
Pattern: "X metric changed by Y%. Diagnose."
Example: "Daily active users dropped 10% last month. What would you investigate?"
Strong answer structure:
-
Clarify the metric
- How is DAU defined?
- Is this vs last month or vs same month last year?
- Is 10% outside normal variance?
-
Check data quality
- Logging changes?
- Definition changes?
- Data pipeline issues?
-
Segment the drop
By platform: iOS -5%, Android -8%, Web -25% ← Focus here By user type: New -20%, Returning -5% ← Also investigate By geo: Proportional across regions -
Form hypotheses
- Web-specific: Site redesign? SEO drop? Performance issue?
- New users: Acquisition channel change? Onboarding broken?
-
Recommend data to pull
- Funnel conversion by platform
- Traffic sources over time
- Session duration and bounce rates
Question Type 2: Feature Evaluation
Pattern: "How would you evaluate the success of [feature]?"
Example: "Netflix just launched a 'Random Play' button. How would you measure success?"
Framework:
| Metric Type | Example | Why |
|---|---|---|
| Usage | % users who click Random Play | Adoption rate |
| Engagement | Watch completion rate after Random | Content satisfaction |
| Retention | Return rate of Random users vs control | Long-term value |
| Cannibalization | Search/browse usage change | Unintended effects |
| Segment | New vs power users adoption | Who benefits |
Complete answer: "I'd measure Random Play success across multiple dimensions:
Primary: Watch time from Random Play sessions (shows value delivered)
Secondary:
- Adoption rate: What % of users try it?
- Completion rate: Do they finish what they start?
- Repeat usage: Do they use it again?
Guardrails:
- Overall watch time (doesn't decrease)
- Content diversity viewed (algorithm isn't pigeonholing)
- Search usage (not replacing intentional discovery)
Segmentation:
- New users (helps discovery) vs veterans (already know what they want)
- Content type (movies vs TV shows)
- Time of day (decision fatigue in evening?)"
Question Type 3: Funnel Analysis
Pattern: "Users are dropping off at [stage]. Why?"
Example: "Only 30% of users who add to cart complete purchase. What's happening?"
Investigation approach:
Funnel:
View product: 100%
Add to cart: 40%
Begin checkout: 32% (-8% absolute, -20% of cart)
Enter payment: 20% (-12% absolute, -37.5% of checkout) ← Big drop
Complete: 12% (-8% absolute, -40% of payment) ← Another big drop
Hypotheses by stage:
| Drop Point | Possible Causes | Data to Check |
|---|---|---|
| Cart → Checkout | Shipping cost surprise, no guest checkout | Exit survey, competitor pricing |
| Checkout → Payment | Trust issues, limited payment options | Payment methods attempted vs available |
| Payment → Complete | Payment failures, timeout | Error logs, processor data |
Question Type 4: Cohort Analysis
Pattern: "Analyze retention over time."
Example: "Our 30-day retention dropped from 40% to 35%. What's the analysis approach?"
Cohort retention table:
Day 1 Day 7 Day 30
Jan cohort 80% 50% 40%
Feb cohort 80% 48% 38%
Mar cohort 78% 45% 35% ← Recent drop
Pattern: Day 1 retention stable, but Day 7 and Day 30 falling
Insight: Users activate but don't form habits
Follow-up analysis:
- What do retained users do that churned users don't?
- When do users churn (day 3? day 10?)?
- Is there a product change that correlates with the trend?
Interview Tip: Think Out Loud
For product analytics questions, verbalize your thinking:
"First I'd want to understand... Then I'd look at... My hypothesis is... I'd test this by... If that's true, I'd recommend..."
This shows:
- Structured problem solving
- Business intuition
- Data-driven thinking
- Actionable recommendations
The goal isn't to have the "right" answer - it's to demonstrate a rigorous analytical process. :::