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Diagnose Growth Funnel Bottleneck

Easy
MetricsFunnel AnalysisLeading IndicatorsDiagnosisAsked 7 times

Problem

Business Context

FitTrack is a consumer fitness app with a free signup flow and a 7-day onboarding program. Over the last 2 months, weekly new paid subscribers have fallen from 12,000 to 9,000, and the CEO wants to know whether the growth slowdown is primarily an acquisition problem or an activation problem.

Metric Scenario

Last month, FitTrack had 1.8M landing page visitors, down from 2.1M the prior month. Visitor-to-signup conversion stayed roughly flat at 10% vs 10.2%. However, signup-to-activated-user conversion fell from 42% to 31%. An activated user is currently defined by the product team as someone who completes account creation, finishes the onboarding questionnaire, logs at least one workout, and returns for a second session within 7 days. Marketing argues the issue is top-of-funnel traffic quality; Product argues the issue is onboarding friction after signup.

Requirements

  1. Define the core metrics you would use to separate acquisition from activation issues.
  2. Show how you would decompose the growth decline across the funnel and identify the primary driver.
  3. Explain what cuts of the data you would review first and why.
  4. Propose 3-4 hypotheses that could explain the decline and how you would validate each.
  5. Recommend the first actions you would take if the issue is acquisition-led vs activation-led.

Data Available

  • web_sessions: visitor_id, session_id, landing_page, traffic_source, campaign_id, device_type, country, session_start
  • signups: user_id, visitor_id, signup_time, signup_method, country, device_type
  • onboarding_events: user_id, event_time, step_name, step_status, app_version
  • workout_events: user_id, workout_start_time, workout_type, duration_minutes
  • user_sessions: user_id, session_start, platform, app_version
  • marketing_spend: date, channel, campaign_id, impressions, clicks, cost

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