Expert case by

Cristian

Poliglot Language App Needs Users

Case information

Difficulty: Intermediate

Interviewer-led

4.6

< 100 Ratings

Times solved: 3.6k

Capacity change Market analysis Market sizing Operations strategy Organizational behavior Growth strategy

Case Prompt:

Let’s assume our client is Poliglot, a popular language app. Poliglot is five years old, originally from the US, but available worldwide. The app currently offers the possibility of learning over twenty languages for free, with extra benefits (e.g., no ads, additional exercises) available to premium members.

Historically, the app has been very successful and has seen significant growth over the past few years. However, over the past year, the app noticed a stagnating usage and app adoption. Considering that the market is very competitive, the client expects a decline in the customer base unless the root causes are identified and addressed.

As a consequence, the CEO of the company that owns the app asked us to support them in figuring out the reasons for the decline and laying out a plan for growth.

Overview of All Exhibits

Practice makes the difference

Practicing alone helps – with a partner it’s even better. Solve this case in a realistic mock interview.

Question 1

What are some of the reasons for why the app has seen a stagnating trend within its customer base?

Show solution Hide solution

Question 2

To help us get a better understanding of the small fluctuations in the customer base, the client has shared with us an exhibit containing the number of active users in the customer base over the course of a year. What are some of the insights that you can generate based on this chart?

Show additional information Hide additional information

Show solution Hide solution

Question 3

The client is inspired by the insights you shared earlier and is letting us know that the peaks in the active customer base indeed coincide with promotional campaigns they are running over social media. They agree that these campaigns have had limited effect in terms of converting the additional customers into premium customers or even retaining them as long-term active users on the platform.

What are the three-four levers they could pull to maximize the revenue out of their active base of customers?

Show solution Hide solution

Question 4

The client decided they would like to focus within the coming year on increasing their overall app adoption and number of premium users, in an effort to fun other qualitative upgrades there are developing for the app.

Currently, they have 5 million downloads of the app. 4 million of these lead to actual users opening the app, out of which 3 million make an account. 0.5M sign up for a premium plan. The leadership team in charge of the app claims they developed a set of measures to increase the total downloads to 7 million, as well as increase the conversation rate between those who open the account and who end up creating an account by 15 p.p. They would like to understand by how many percentage points does the conversion rate have to increase between those who create an account and who purchase the premium plan in order to reach a total base of 1.2 million users with a premium plan.

Show solution Hide solution

Question 5

The CEO drops by for a short update from the team. Considering the work done until know, what is your recommendation at this stage?

Show solution Hide solution

Practice This Case With Peers Who Are Currently Looking for Interview Partners.

All Meeting Slots

Do you have questions on this case?

Ask our community and receive answers and tips directly from our experts.

Question on This Case

Consulting

Question about

Base for conversion rates

on Aug 03, 2022

Global

1.9k

Related Case Interview Basics Articles

How to Practice Math Skills

Case Math

When preparing for a case interview in consulting, you will quickly realize that math is an essential component. Don’t worry, you don’t need to be a math genius – it’s enough to handle numbers in a structured and confident manner.

To the article

The Capability Maturity Model (CMM)

Useful Business Analysis Tools

A career in consulting requires a deep understanding of various methods and models that can help clients optimize their processes and maximize performance. One such model is the Capability Maturity Model (CMM), which can serve as a compass for organizations seeking to improve their project management and service capabilities.Developed by the Software Engineering Institute (SEI) at Carnegie Mellon University, the CMM, as well as its extension to the Capability Maturity Model Integration (CMMI), focuses on improving processes within an organization. The models provide a better view of process improvement within five levels (initial to optimized). Each level represents a different level of process maturity and guides an organization toward continuous process improvement.

To the article

Public Value Strategic Triangle

Useful Business Analysis Tools

The Strategic Public Value Triangle is a conceptual framework developed by Prof. Mark H. Moore to guide public managers in creating public value. It emphasizes the interplay between three key elements: public value proposition, the operational capacity to deliver, and the legitimacy and support of the authorizing environment.Prof. Mark H. Moore is a distinguished academic known for his work in public management and leadership. He is the Hauser Professor of Nonprofit Organizations at the Harvard Kennedy School. Moore's research and teachings have significantly influenced the field of public administration, particularly with the introduction of the Strategic Public Triangle in his seminal book "Creating Public Value: Strategic Management in Government" published in 1995.

To the article

ADKAR Model

Useful Business Analysis Tools

The ADKAR Model, developed by Jeff Hiatt, founder of Prosci, is a practical change management framework. It's designed to help organizations to successfully implement change and increase employee acceptance. As one of the most popular models for change management, ADKAR highlights an often overlooked fact: changes can only be successful if employees are actively involved.🔎 In this article, we'll introduce you to the components of the ADKAR Model and how it can be applied to challenges within organizations.

To the article

McKinsey Growth Pyramid

Useful Business Analysis Tools

The McKinsey Growth Pyramid is a strategic tool that helps businesses systematically explore growth opportunities. As the name suggests, it was developed in the 1980s by the renowned management consulting firm McKinsey & Company. It prioritizes different approaches to expansion and offers a structured roadmap for companies to increase revenue, expand their market presence, and drive long-term sustainability. This framework is widely used in consulting, including in case interviews, as it provides a clear methodology to assess how companies can scale efficiently.

To the article

Practice makes the difference

Practicing alone helps – with a partner it’s even better. Solve this case in a realistic mock interview.

Do you have questions on this case?

Ask our community and receive answers and tips directly from our experts.

Poliglot Language App Needs Users i

Case Prompt:

Question 1

Question 2

Question 3

Question 4

Question 5

Poliglot Language App Needs Users