Is Price Assist working?
A product case question from a product manager interview, set at Bazaario, a fictional value e-commerce company.
The question
Skills this case tests
A starting metric tree
NMV = orders × average order value × (1 − return and cancellation rate)
How to approach this case
Start with what Price Assist was meant to achieve and which guardrails were agreed at launch, then define NMV and net revenue per order exactly. Price competitiveness is an input, not the outcome, so don't let the 58% to 71% jump anchor your answer. Decompose NMV into its parts and see which moved and by how much. In a marketplace, ask where the extra orders came from: brand-new demand and orders moving between sellers look identical on a top-line dashboard. Ask how the experiment was set up and at what level its results were read. Segment by category, because buyers respond to price very differently across product types. With 0% commission, trace how a seller's price change feeds back into Bazaario's revenue. A strong close gives a clear keep, change or stop call, a category-level success metric and guardrails on both sides of the marketplace.
The full method for mixed diagnose-and-decide questions · A worked example answer
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