Metrics question

Hypothetically, there is a data point that indicates that there are more Uber drop-offs at the airport than pick-ups from the airport. Why is this the case and what would you do within the product to change that?

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What this question tests

Root cause analysis paired with a product response, checking you can move from a data anomaly to a hypothesis to an action.

How to approach it

  1. State the observation precisely: more drop-offs than pick-ups at the airport, meaning a net outflow of riders arriving via Uber but not leaving via Uber.
  2. Generate hypotheses: some pick-ups may fail to convert to completed trips due to surge pricing or long wait times at the airport, or riders use alternatives like taxis, ride-hailing rivals, or pre-booked transport for departures.
  3. Consider a structural explanation: business travelers dropped off by a company car or personal vehicle, then leaving by Uber for the return, would skew the ratio the other way, so verify the direction of the imbalance carefully.
  4. Prioritize the hypothesis most testable with existing data, like comparing wait times and cancellation rates for airport pick-ups versus other trips.
  5. Propose a product response tied to the most likely cause, for example a dedicated airport pick-up queue or pre-scheduled pick-up feature to reduce wait-time related cancellations.
  6. State how you would validate the fix, comparing pick-up completion rate before and after the change in a controlled test.

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