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Data Interview Question

Social Connections on User Retention

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Requirements Clarification & Assessment

  1. Define "Active User":

    • Clarify what criteria define an "active user." Is it based on login frequency, content interaction, or time spent on the platform?
  2. Data Availability:

    • Identify what data is available and accessible for analysis. Key data points include:
      • Number of friends at the start and end of the period.
      • User activity metrics (logins, posts, comments).
      • Demographic information (location, age, etc.).
      • Account age and historical activity data.
  3. Scope of Analysis:

    • Determine the time frame for the analysis (e.g., six months) and any specific cohorts (e.g., users who joined before a certain date).
  4. Potential Confounding Variables:

    • Assess other factors that might influence user retention, such as account age, initial engagement level, or demographic factors.
  5. Hypothesis Formulation:

    • Null Hypothesis (H0): There is no significant relationship between the number of friends and user retention.
    • Alternative Hypothesis (H1): A larger number of friends increases the likelihood of user retention.
  6. Data Cleaning and Preparation:

    • Ensure data quality by addressing missing values, outliers, and inconsistencies.
  7. Statistical and Machine Learning Methods:

    • Decide on the appropriate statistical tests or machine learning models to use, such as logistic regression or decision trees.
  8. Ethical Considerations:

    • Ensure compliance with privacy regulations and ethical standards in data handling.