Metrics question

As a PM at Amazon, if returns and cancellations have recently peaked, how would you go about identifying the root cause?

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What this question tests

Tests root-cause investigation methodology for an operational quality metric spike.

How to approach it

  1. Segment by category, seller, first-party versus third-party marketplace, and reason code, since causes differ completely by segment.
  2. Check timing correlation with a recent seller onboarding surge, a logistics or carrier disruption, or a category-specific quality issue.
  3. Cross-reference with delivery performance data, late or damaged shipment rate, since fulfillment issues commonly drive returns.
  4. Prioritize the segment or category contributing disproportionately to the spike, a Pareto view of which category accounts for most of the increase.
  5. Recommend targeted action once isolated, for example seller quality enforcement if concentrated in specific third-party sellers.

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