Metrics question

Suppose free-to-paid conversion rose 15% after recent pricing, paywall, and onboarding changes, but 30-day churn also rose. How would you determine whether Suno is acquiring lower-intent subscribers versus creating an activation or expectations problem, and what actions would you take based on that diagnosis?

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What this question tests

Ability to separate an acquisition quality problem from an activation or expectations problem using cohort and behavioral data.

How to approach it

  1. Segment the new cohort by which specific change drove their conversion, pricing, paywall messaging, or onboarding, to see if churn concentrates in one segment.
  2. Compare early product usage between the new higher churn cohort and historical cohorts, since low engagement in the first sessions points to an activation problem rather than low intent.
  3. Check if paywall or pricing messaging set expectations the product did not meet, for example promising a capability that underdelivered, which would show up as churn tied to specific complaint themes in support or cancellation surveys.
  4. Look at willingness to pay signals like plan tier chosen and price sensitivity, since lower intent users often pick the cheapest plan and show minimal usage before cancelling.
  5. Cross reference with cancellation survey text or exit feedback to distinguish this was not what I expected from I just was not using it enough.
  6. Based on the diagnosis, act specifically: if activation is the problem, invest in onboarding, if it is expectations, fix paywall messaging, if it is genuinely lower intent acquisition, consider tightening targeting or the offer.

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