Product design question
How would you increase the basket size on Walmart's eCommerce site?
- Walmart
- Product design
- Medium
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What this question tests
Tests ecommerce growth thinking: can you name concrete cross-sell and merchandising mechanisms rather than generic 'recommend more products' advice.
How to approach it
- Clarify the goal: increase average order value (basket size) without hurting conversion rate, since aggressive upselling can backfire and reduce checkout completion.
- Identify levers: bundling and cross-sell recommendations at product and cart pages, free-shipping threshold incentives, and subscribe-and-save options for recurring household items Walmart sells heavily.
- Prioritize a free-shipping threshold nudge as a quick win, showing users how much more to add to reach free shipping, a proven ecommerce tactic for lifting basket size.
- Prioritize cart-page cross-sell recommendations next, surfacing complementary items (like batteries with electronics, or recipe ingredients together) based on what's already in cart.
- Consider a loyalty or bundle-discount mechanism, like a small discount for buying a curated bundle, to nudge multi-item purchases without discounting the whole cart.
- Define success as average order value and units per order, guarded against a drop in conversion rate or return rate from over-nudged, unwanted add-ons.
What a strong answer includes
- Names the free-shipping threshold nudge specifically, a well-established and effective ecommerce lever, rather than only generic recommendations.
- Distinguishes cross-sell (complementary items) from up-sell (higher-tier version), since Walmart's assortment favors cross-sell for household basket building.
- Adds a guardrail against over-nudging, noting that pushing add-ons too aggressively can raise return rates or hurt checkout conversion.
- Picks metrics (AOV, units per order) that are precise to the basket-size goal rather than generic revenue.
Common mistakes
- Proposing generic 'personalized recommendations' without a concrete mechanism like threshold nudges or cart-page cross-sell.
- Ignoring the risk that aggressive upselling can reduce checkout conversion or increase returns.
- No guardrail metric to catch negative side effects of the basket-size push.
Likely follow-up questions
- How would you personalize the free-shipping threshold nudge by customer segment?
- How would you test whether cross-sell recommendations are cannibalizing other purchases?
- What would you do if AOV went up but return rate also increased?
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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