Just found this newsletter from Friends of Lenny's Newsletter slack! This is so great. Question - if most product managers don't consider targeting churned users, what led the PMs at Wish to agree to optimize for churn over something else?
I think it came down to stack ranking their list of initiatives by opp size so in this case revenue from this initiative outweighted the initiatives that were driving up new sales. On top of just increase revenue re-engaging churned users ends up improving your LTV / CAC unit economics and that was their main focus as a e-commerce company.
Hi Lesli, the question assumes we had to choose bw churned users and something else. We did them in parallel.
I can't speak for what "most product managers don't consider" (it's safe to ignore this).
What differed was *proportion* –e.g., who, how, and how much? Investment amount, company visibility, and selecting the appropriate people.
The real constraint was bandwidth of a few people. For example, I personally opened-up most high-investment or high-potential growth & ad related efforts.
As the CEO’s 1st growth hire/leader, this was my sequence: (1) establish commercial opportunity, (2) proportion resources – including hire.
Just found this newsletter from Friends of Lenny's Newsletter slack! This is so great. Question - if most product managers don't consider targeting churned users, what led the PMs at Wish to agree to optimize for churn over something else?
I think it came down to stack ranking their list of initiatives by opp size so in this case revenue from this initiative outweighted the initiatives that were driving up new sales. On top of just increase revenue re-engaging churned users ends up improving your LTV / CAC unit economics and that was their main focus as a e-commerce company.
Hi Lesli, the question assumes we had to choose bw churned users and something else. We did them in parallel.
I can't speak for what "most product managers don't consider" (it's safe to ignore this).
What differed was *proportion* –e.g., who, how, and how much? Investment amount, company visibility, and selecting the appropriate people.
The real constraint was bandwidth of a few people. For example, I personally opened-up most high-investment or high-potential growth & ad related efforts.
As the CEO’s 1st growth hire/leader, this was my sequence: (1) establish commercial opportunity, (2) proportion resources – including hire.
Good question. Let me know if that helps.