The Spotify wrapper threw me off a bit since this was a Flipkart interview.
Start by clarifying the goal of the price increase—whether it's revenue growth, margin improvement, or signaling premium value—and the specific market context. Then outline a structured approach: segment users, assess willingness to pay, design the pricing change (e.g., tiered plans, grandfathered pricing), and plan a rollout with clear success metrics and risk mitigation.
Pro tip: Acknowledge that price increases are inherently risky and often trigger churn; demonstrate maturity by proposing a phased rollout with a control group and pre-defined kill criteria, and emphasize transparent communication to retain trust.
Confirm the primary goal (e.g., increase ARPU, fund content investments) and any constraints like competitive pressure, contractual obligations, or regulatory factors.
Analyze user segments by engagement, tenure, plan type, and price sensitivity; use surveys, conjoint analysis, and behavioral data to estimate willingness to pay and potential churn.
Decide on the pricing architecture: uniform increase vs. tiered plans, new features to justify value, grandfathered pricing for existing users, and timing (e.g., annual vs. monthly).
Choose a phased rollout (e.g., by region or cohort) with a control group; craft transparent messaging that highlights added value and provides options (e.g., downgrade paths).
Set success metrics (e.g., ARPU, churn rate, LTV, conversion to higher tiers) and monitor closely; be prepared to adjust or roll back based on early signals.
AI-generated suggestions, not part of the candidate's original notes. May be inaccurate — verify before relying on them.