I went straight to subscriber growth and kind of ignored pricing levers for too long.
Start by clarifying the scope: are we growing total Prime revenue or just subscription revenue? Then structure your answer around the key revenue drivers: subscriber growth, retention, and ARPU (average revenue per user). Prioritize initiatives by impact and feasibility, and propose a few concrete ideas with metrics to measure success.
Pro tip: Show that you understand Amazon's flywheel: Prime growth fuels retail and AWS, so consider cross-synergies. Also, quantify your ideas with rough numbers to demonstrate business acumen.
Ask whether the 20% growth is in total Prime revenue (including subscription and associated retail spend) or just subscription fees, and over what time period. This ensures you solve the right problem.
Decompose Prime revenue into: number of subscribers × average revenue per subscriber (subscription fee + additional services like Prime Video, Music, etc.). Then identify levers for each component.
Brainstorm initiatives across acquisition, retention, and monetization. Prioritize using impact vs. effort, considering Amazon's strengths and potential risks.
Pick 2-3 high-potential ideas and explain how they would work, why they'd drive growth, and how you'd measure success (e.g., conversion rate, churn reduction, ARPU increase).
Recap your recommended strategy, expected impact, and key metrics to track. Mention potential trade-offs or risks.
AI-generated suggestions, not part of the candidate's original notes. May be inaccurate — verify before relying on them.