Product design question
How would you double active users on Facebook Shop weekly when only 6% of FB users remain active in the first week and 0.4% remain active after 3 weeks?
- Meta
- Product design
- Hard
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What this question tests
Tests growth and retention problem-solving given specific, steep drop-off numbers, requiring a diagnosis-then-fix approach, not just tactics.
How to approach it
- Restate the funnel: 6% week-1 retention and 0.4% week-3 retention means nearly all early users churn almost immediately, so the fix must target week one first.
- Hypothesize why: likely weak onboarding (no clear first action), lack of relevant inventory for the user's interests, or unclear value versus browsing Marketplace directly.
- Prioritize week-1 activation: a guided first-purchase or first-listing flow that gets a user to a meaningful action (saved item, first message to a seller) within the first session.
- Address ongoing relevance: personalized re-engagement notifications when new items matching saved interests appear, to pull users back after day one.
- Define success: shift the week-1 retention curve first, e.g. from 6% to 12%, before worrying about week-3, since week-3 retention is downstream of week-1 activation.
What a strong answer includes
- Recognizes the steep drop implies an activation problem, not a long-term engagement problem, so focuses the fix on session one.
- Sequences the fix logically, fix week-1 activation before expecting week-3 retention to move, rather than attacking both simultaneously.
- Uses the given numbers directly, contrasting 6% and 0.4% to argue nearly all attrition happens in the first week, guiding where to invest.
- Proposes a concrete activation action (first meaningful interaction within session one) instead of vague 'improve onboarding'.
Common mistakes
- Proposing broad, unfocused fixes across the whole funnel instead of targeting the specific week where nearly all users are lost.
- Setting an unrealistic goal like doubling week-3 retention directly without first fixing the much larger week-1 leak.
Likely follow-up questions
- What would you test first if you had only one sprint to move the needle?
- How would you know if the problem is onboarding versus a lack of relevant inventory for these users?
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Learn the skill behind it
Chapters of the AI PM course that teach what this question tests.
- Chapter 4: Discovery and strategy for AI products
- Chapter 7: AI UX and human oversight: design for a system that is wrong sometimes
- Chapter 14: Get the job: the AI PM interview loop