How would you improve Uber? - Product Improvement
Uber Product Manager Interview: Product Improvement - How would you improve Uber Rides?
How to Answer Product Improvement Questions?
Here is a step-by-step framework, you should follow while answering product improvement interview questions during your interview:
0. Pay close attention to the keywords in the question.
1. Describe the Product. (P)
2. Ask clarifying Questions to trim down the scope of the question. (Q)
3. Define the Goal you want to achieve. (G)
4. List the User Segments and select one segment to focus on. (U)
5. List and prioritize the Pain Points for that segment. (P)
6. List out your Solutions to solve those pain points. (S)
7. Evaluate all the solutions and prioritize them. (E)
8. Define Metrics to measure the performance of the solutions. (M)
9. At the end, Summarize your answer (S)
(PQ-GUP-SEMS) -> Mnemonic to help you remember the steps & their order.
Let’s get started with the solution (remember to follow the framework),
First, clarify with the interviewer which Uber product you are referring to here. (Uber Rides, Uber Eats, Uber Delivery etc.)
A) For the purpose of this question, assume the Product to be Uber Ride.
Step 1: Describe the Product (P)
Once, you are clear with the question, start by explaining your understanding of the product. Cover the following things about the product,
What does the product do?
Who uses it?
How are they using it?
What pain point is it solving for the users?
Uber is a mobile application-based platform that connects passengers with drivers, enabling on-demand ridesharing and transportation services. Using the Uber app, users can request a ride from their current location to a desired destination, and a nearby available driver will respond to the request, pick them up, and take them to their destination. The entire process, from booking to payment, is seamlessly managed within the app.
Uber's mission is to “provide affordable, safe, and reliable transport that also creates job opportunities and a dependable income for drivers.”
Uber can be accessed from a desktop web, mobile web, and mobile app (Android, IOS).
Some of the major competitors of Uber are Lyft, Ola, Rapido, Didi Chuxing, Grab, Gett, Go-Jek etc.
Uber is designed for individuals who require transportation services, ranging from daily commuters and travellers to those seeking a reliable alternative to driving their own vehicles. The user base includes people of various age groups, backgrounds, and geographic locations. Both riders and drivers make up the user base, contributing to the symbiotic relationship that Uber has established.
How It Currently Works:
Requesting a Ride: Users open the Uber app, specify their pick-up location and desired destination, and request a ride. They can choose between different vehicle types, including economy, luxury, or larger vehicles for group travel.
Driver Matching: Uber's intelligent algorithms match the ride request with available drivers in the vicinity. The app provides users with real-time information, such as the estimated time of arrival and the driver's profile, including their name, rating, and vehicle details.
Seamless Ride Experience: Once a driver accepts the ride request, users can track the driver's location in real-time on the app's map. Users receive notifications about the driver's arrival, and they can communicate with the driver directly through the app for any additional instructions or questions.
Payment and Rating: After reaching the destination, the fare is automatically calculated based on factors such as distance travelled and time taken. Payment is processed digitally through the app, eliminating the need for cash transactions. Users can rate their experience and provide feedback, contributing to the overall quality of the service.
Pain Points Uber Currently Addresses:
Convenience and Accessibility: Uber offers users the convenience of reliable transportation at their fingertips. By eliminating the need to hail taxis or search for parking, users can save time and energy, particularly in busy urban areas.
Cost-Effectiveness: Uber's pricing model often provides a more cost-effective option compared to traditional taxis. Users can estimate fares upfront, ensuring transparency and avoiding surprise charges. By utilizing dynamic pricing based on demand and supply, Uber optimizes cost-efficiency for both riders and drivers.
Safety and Trust: Uber has prioritized safety by implementing various features such as driver background checks, GPS tracking, and ride-sharing details. Users have access to driver ratings and reviews, enhancing trust and peace of mind while travelling.
Time Efficiency: Uber reduces the time spent waiting for transportation. Unlike traditional taxis or public transportation, Uber provides users with real-time updates on driver location, estimated time of arrival, and the ability to track the driver's route. This eliminates the frustration of uncertainty and waiting for a ride, particularly during peak hours or in areas with limited transportation options.
Flexibility and Availability: Uber operates 24/7 in many cities, providing users with a flexible transportation solution at any time of the day or night. This is especially beneficial for those with irregular work schedules, late-night outings, or early-morning travel requirements. Users can rely on Uber's availability, ensuring they can reach their destination even during non-traditional hours.
Enhanced User Experience: Uber's app offers a seamless and user-friendly experience. Users can set their preferred pick-up and drop-off locations, save frequent destinations, and view their ride history. The app also provides features like splitting fares with friends, scheduling rides in advance, and accessing promotional offers, all contributing to an enhanced user experience.
Traffic and Parking Hassles: In congested urban areas, finding parking can be a time-consuming and frustrating task. Uber eliminates the need to search for parking spaces, as users can be dropped off at their destination and the driver can continue to the next ride. This saves users from the stress of navigating traffic and looking for parking spots, making urban travel more convenient and hassle-free.
Step 2. Ask clarifying questions to narrow the scope. (Q)
Q) What is the goal of improvement here? Improve user engagement? Increase user retention? Increase revenue? Acquire more users and content? Improve the user experience on the App?
A) It’s up to you. You are free to choose.
Q) What is the target audience for these improvements?
A) It’s up to you to choose.
Q) Are we focussing on any particular platform like desktop web/app or mobile web/app?
A) For now, you can just focus on the mobile App.
Q) For the improvement, are we focusing on a Global audience or a specific region?
A) It’s up to you to choose. You can consider any region (say. India)
Q) Why are we thinking about improvements now?
A) It is common for companies like Uber to continuously evaluate and seek improvements to their products and services in response to evolving customer needs, emerging technologies, market trends, and competitive landscapes. This proactive approach allows companies to stay ahead of the curve, maintain their competitive edge, and enhance the overall user experience.
Step 3. Define the Goal you want to achieve. (G)
Uber's goal is to provide affordable, safe, and reliable transport that also creates job opportunities and a dependable income for drivers. It makes transportation accessible to everyone, anytime and anywhere, by leveraging technology, innovation, and a network of drivers. They strive to create a seamless and efficient experience for both riders and drivers, while continuously improving safety, accessibility, and sustainability.
However, with the growth of other ride-sharing platforms like Lyft, Ola, Rapido, Didi Chuxing, Grab, Gett, Go-Jek etc. Uber is facing tough competition in keeping users engaged and retained on the platform.
Uber is now a matured product and I feel improvement in user retention is something it needs now and that aligns very closely with the mission of Uber. Also, an increase in user retention will lead to an increase in revenue as well for Uber.
Step 4. List the User Segments and choose one segment to focus on. (U)
Uber caters to a diverse range of user segments. Here are some of the main user segments that utilize Uber's services:
Daily Commuters: Daily commuters who rely on Uber to travel to and from work or other regular destinations. They appreciate the convenience, time-saving, and cost-effectiveness of using Uber for their daily transportation needs.
Travelers: Tourists and business travellers who use Uber to navigate unfamiliar cities or countries. Uber offers them a reliable and accessible mode of transportation, eliminating the need to rely on public transportation or navigate language barriers.
Nightlife Goers: Individuals who use Uber for safe and convenient transportation during evenings and late nights, especially after social outings, parties, or events. Uber provides a reliable alternative to driving under the influence and ensures a hassle-free return home.
Non-Car Owners: People who do not own personal vehicles or prefer not to drive for various reasons. Uber serves as a convenient transportation option, allowing them to travel comfortably without the responsibilities and expenses associated with car ownership.
Seniors and People with Limited Mobility: Individuals who may have difficulty using public transportation or driving due to physical limitations or age-related factors. Uber's accessibility options, such as wheelchair-accessible vehicles and assistance for those with special needs, cater to this segment.
Business Professionals: Executives, professionals, and entrepreneurs who utilize Uber for business-related travel. Uber's business features, such as expense management and seamless payment integration, make it an efficient choice for corporate travel.
Students: College and university students who rely on Uber for transportation to campus, social activities, or part-time jobs. The ease of booking and cost-effectiveness of Uber makes it a popular choice among students.
While all these user segments are essential to Uber's success, the Daily Commuters Segment likely has the most significant impact on the company. Commuters are individuals who rely on transportation services to commute to and from work, school, or other regular destinations on a daily basis. This segment represents a large portion of Uber's user base and has a substantial influence on the company's operations and growth. Here's a closer look at why the commuter segment is important and how it affects Uber:
Frequency and Regularity: Unlike occasional users, commuters rely on Uber consistently, often on a daily basis. This regular and frequent usage contributes to the demand and volume of rides, ensuring a steady stream of bookings for Uber.
Time Efficiency: Commuters value time efficiency, as they often have tight schedules and need to reach their destinations promptly.
Cost-Effectiveness: For many commuters, using Uber can be more cost-effective than owning and maintaining a personal vehicle or relying on traditional taxis.
Convenience and Reliability: Commuters appreciate the convenience of booking an Uber ride with just a few taps on their smartphones.
Reduced Parking and Traffic Hassles: Commuters who use Uber can avoid the challenges of finding parking in crowded urban areas or dealing with traffic congestion.
Flexibility: Uber's availability around the clock provides commuters with the flexibility to travel at any time, including during peak commuting hours or late at night.