Measuring Success for a New VR Feature: A Guide for FAANG Interviews

Introduction

Aspiring product managers facing FAANG interviews often encounter challenging questions that require a balance of technical knowledge and strategic thinking. A pivotal part of this is the ability to set and measure success for new features. Today, we’re looking at a question centered on these competencies: How would you measure success for a new VR feature? This question tests a candidate’s understanding of data-driven decision-making. Let’s dissect this question using proven frameworks from the book ‘Decode and Conquer: Answers to Product Management Interviews.’

Detailed Guide on Framework Application

When tackling this question, one could utilize the AARM (Audience, Acquisition, Retention, Monetization) framework, which is specifically designed to measure feature success.

1. Identify the Audience:

• Understand who the VR feature is intended for, and ascertain their needs and desires.
• This involves segmenting the user base and predicting their behavior.

2. Acquisition:

• Strategize how users will discover the VR feature.
• Define metrics such as download rate, sign-ups, or the number of first-time uses as indicators of successful user acquisition.

3. Retention:

• Measure how well the VR feature keeps users engaged over time.
• Key metrics here could include daily active users (DAU), return rate, session length, and frequency of use.

4. Monetization:

• Determine how the VR feature will contribute to revenue.
• This could be direct, via in-app purchases, or indirect, through retention and brand engagement leading to a positive impact on overall revenue.

5. Additional Metrics:

• Besides AARM, consider the feature’s impact on Net Promoter Score (NPS), customer satisfaction (CSAT), and operational metrics like performance and load times.

Example:

Let’s imagine a VR feature that allows virtual tours of historical sites. You could measure:

• Acquisition: Rate of new user signups attributed to the feature’s availability.
• Retention: Number of repeat users per week or average duration of each virtual tour session.
• Monetization: Purchases of premium content within the experience.
• NPS/CSAT: User satisfaction survey to evaluate overall experience.

Conclusion

Effectively measuring the success of a new VR feature boils down to identifying the right metrics that align with business objectives and user satisfaction. The AARM framework provides a structured approach for tackling such questions in product management interviews. Practice is vital; employing these strategies in different scenarios will hone your ability to develop compelling, data-informed strategies in your FAANG interviews and beyond.