Product strategy mock interview: grow Airbnb experiences (w/ Redfin PM)

Summary

In this strategic discussion, a hypothetical Airbnb product manager explores ways to grow the company's Experiences segment, focusing on increasing user engagement and revenue. The conversation delves into potential solutions like enhancing in-app discoverability with a dedicated tab, leveraging the lodging business for upsell opportunities, and introducing a referral credit program. The focus is on driving top-funnel growth while ensuring a high-quality user experience and not cannibalizing the lodging segment. The success of these initiatives is gauged by metrics like user engagement with the new tab and the overall increase in completed experiences.

The video is abnormal, and we are working hard to fix it.
Please replace the link and try again.

Q & A

What is the primary focus of the product manager at Airbnb in this scenario?

The primary focus is on growing Airbnb Experiences, which is the part of Airbnb that offers activities and things to do during a trip, rather than lodging.

What was the manager's instruction to the product manager regarding Airbnb Experiences?

The manager instructed the product manager to find ways to grow Airbnb Experiences further, implying the need to increase user engagement and possibly the user base.

What is the current state of Airbnb Experiences in terms of user satisfaction and revenue?

Airbnb Experiences has high user satisfaction with a high NPS (Net Promoter Score) and positive feedback. The belief is that driving user growth will lead to revenue growth, as the average selling price for an experience is stable.

How does the user experience process for Airbnb Experiences compare to the lodging side of the business?

The user experience process for Airbnb Experiences is strong, with a progression from discovery to booking to attendance that compares favorably to the lodging side of the business.

What is the strategy for addressing the discoverability issue of Airbnb Experiences within the app?

The strategy includes adding a separate tab for experiences in the app and potentially using visual flair or nudges to draw attention to the new feature.

How does the product manager plan to leverage the success of Airbnb's lodging business to grow experiences?

The product manager plans to use the lodging business as a platform for upselling experiences, presenting options to users after they have booked lodging.

What is the assumption regarding the retention and repeat booking rate of customers for Airbnb Experiences?

The assumption is that the retention and repeat booking rate for Airbnb Experiences is strong, consistent with the lodging part of the business.

What is the potential solution involving referral credits, and how does it aim to drive growth?

The potential solution of offering referral credits aims to incentivize current users to bring in new users by offering a financial reward for successful referrals.

How does the product manager plan to prioritize the different growth strategies for Airbnb Experiences?

The product manager plans to prioritize based on the potential volume of users each strategy can reach, starting with improving app discoverability, followed by upselling through lodging confirmations, and lastly, referral credits.

What metrics will the product manager monitor to assess the success of the new discovery tab for experiences?

The product manager will monitor metrics such as the number of people clicking the tab versus dismissing it, the number of engaged users, and the number of completed experiences booked through the app.

What concerns does the product manager have regarding the potential impact of the new strategies on the lodging business?

The product manager is concerned about ensuring that the growth strategies for experiences do not cannibalize the lodging business or negatively affect the overall user experience and satisfaction.