Strategy question
You need to increase Acquisition for a Subscription based SaaS product in virtualization space. What product growth model would be useful?
- Airbnb
- Strategy
- Medium
Practice this question out loud. An AI interviewer asks it, follows up like a real interviewer would, and scores your answer. Type or speak.
Start a mock interview on this question · Mock interview from a job description
What this question tests
Tests growth strategy for enterprise SaaS: choosing an acquisition model that fits a technical, longer sales cycle product.
How to approach it
- Define the buyer: IT and infrastructure teams evaluating virtualization tools, who need technical validation before purchase.
- Rule out pure product led growth alone, since enterprise virtualization often needs technical proof and procurement approval.
- Propose a hybrid model: a free or trial tier for technical evaluation, paired with sales assisted onboarding for larger accounts.
- Address the technical trust barrier: developer documentation, sandbox environments, and case studies specific to virtualization use cases.
- Define success: trial to paid conversion rate and sales cycle length for accounts that started with a free trial.
- Confirm with the interviewer whether the target is SMB IT teams or large enterprise infrastructure buyers.
What a strong answer includes
- Proposes a product led plus sales assisted hybrid model, since virtualization buyers need hands on technical validation before enterprise procurement will approve spend.
- Grounds acquisition in developer trust building, offering a sandbox environment and detailed technical documentation as the top of funnel hook.
- Suggests targeting mid market IT teams first, where sales cycles are shorter than large enterprise but budgets exceed SMB constraints.
- Sets a measurable goal, for example a stated trial to paid conversion rate benchmark and reduced average sales cycle length.
Common mistakes
- Proposing a pure consumer style product led growth model without accounting for enterprise procurement and technical validation needs.
- Ignoring the difference in sales cycle and buyer sophistication between SMB and large enterprise virtualization customers.
Likely follow-up questions
- How would you shorten the technical evaluation phase without sacrificing buyer confidence?
- What would make an IT team choose a free trial over requesting a sales demo directly?
More strategy questions
- What should Airbnb's strategy be during the COVID-19 pandemic?Google · Strategy · Hard
- Walk me through how you prioritize your product backlog.Spotify · Strategy · Easy
- Evaluate the upsides and downsides of building a super app — an app having all major B2C features including entertainment, e-commerce, food ordering, hotel booking, cab booking, chat, holiday planning, gaming, med ordering, service booking, etc.Google · Strategy · Hard
- This is an interview question, with a few sub-questions I was able to get after asking them: How would you determine the roadmap for a product? (Assume any product and any feature). What are the key criteria's/aspects you will consider to create this road map? How much weight will your roadmap have for user-driven features?Amazon · Strategy · Medium
- For a marketplace, how would you decide whether to have two different apps for buyers & sellers or only a single app?Swiggy · Strategy · Hard
- How will you plan the launch of a travel product after the end of coronavirus?Airbnb · Strategy · Hard
More questions from Airbnb
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 9: Prove it paid off: outcomes, economics, and pricing
- Chapter 14: Get the job: the AI PM interview loop