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Business Metrics Definition and Strategy Questions

Emphasizes defining meaningful metrics and measurement frameworks that answer business questions and drive decisions. Candidates should be able to distinguish between count metrics, ratio metrics, and rate metrics; select appropriate observation windows and time alignment for retention, churn, and conversion analyses; account for multiple user touch points and events when attributing actions; and identify leading versus lagging indicators. This topic covers designing metric definitions that avoid double counting, selecting denominators and numerators that match the business question, segmenting users for insight, and documenting business logic to ensure consistency. At senior levels expect discussion of trade offs between simplicity and fidelity, governance of metric definitions, and how to prioritize which metrics matter for different stakeholders.

MediumTechnical
0 practiced
Implement a pandas function that, given a dataframe of events (user_id, event_time, event_type), sessionizes events per user with a 30-minute inactivity threshold and returns session-level aggregated metrics (session_start, session_end, events_count, converted boolean if event_type='purchase' occurred). Explain edge cases.
MediumTechnical
0 practiced
You need to compute 28-day retention using event logs where some users have missing user_id but have device_id. Describe the trade-offs between (a) excluding those events, (b) using device_id as proxy, and (c) probabilistic identity resolution. Recommend an approach and mitigation strategies for bias.
EasyTechnical
0 practiced
You are given a mobile freemium app. Classify the following as count, ratio, or rate: DAU (daily active users), paying-user-conversion, churn-rate, sessions-per-user, feature-adoption-per-install. Explain how each should be computed and a common pitfall for each.
EasyTechnical
0 practiced
Describe how you would choose observation windows and time alignment for retention and churn analysis for (a) a monthly subscription product, and (b) a consumer mobile game with infrequent sessions. Explain why the same window doesn't fit both products.
HardTechnical
0 practiced
You're asked to compare two metrics: ARPU (average revenue per user) and ARPPU (average revenue per paying user). Explain which problems each solves, when ARPU may be preferable to ARPPU, and provide an example where ARPPU hides a declining conversion trend that ARPU reveals.

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