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How would you change the Amazon Fresh experience and how would you measure them?

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I have to cheat a little, I have actually never used AmazonFresh before. From my understanding of AmazonFresh, I believe it’s a part of the website where you can order fresh groceries delivered to your door. I believe there’s some sort of brown bag (?) that you have to fill up for free delivery. I also think that you are able to set schedules for delivery of groceries.

If I were to change the AmazonFresh experience, I would have to first define why I am changing it? is it to get higher DAU? Higher revenue? Higher returning users? I’ll choose one at random, I want to change the experience to get higher returning users. I want to go through some user stories and identify potential issues of why users may not come back to amazon fresh.

A user goes to amazon fresh because they want to buy groceries. Chooses from a list of items that they potentially want. Aim to hit the minimum for free delivery, checkout, and reserve a window for delivery. The user waits for the delivery after work hours and obtains the groceries.

There are some potential issues and again please let me know if these issues may already be solved for.

– Users may want a simpler process to identify key items they want to purchase
– Users may get items that are not as fresh as their standards (ie milk with a date that is expiring soon)
– Users may not always get upt o $50 and have to pay for delivery cost.
– Users may miss the normal grocery shopping experience of choosing ingredients themselves, and have ingredients inspire them
– Users may have have purchased the wrong amount of items, or have limited understanding and have to go out to the grocery store again regardless

I want to identify some potential solutions, but keeping in mind this is to improve customer experience so they will come back and shop on amazonfresh long term.

1. Amazon can create a shopping list widget for people’s desktop, or an app on their phones and integrate with all major personal assistants (google/siri/alexa). The purpose of this is to allow people to build a grocery list that amazon will keep track off on their website.

Additionally, Amazon may want to present options when user logs in, so if someone is like I want green Onions, well here’s a list of potential options. Users will click on a “saved list option” and see their list presented with options that they can click on.

2. For users that have a negative experience on freshness, we should immediately follow up with plans on redelivering their items. Amazon is historically really good at customer service, but we may want to reserve some delivery space everyday for these special complaints in order to service customers who had a complaint.

3. I think the best way to solve for this is 1) continuously explore ways to lower the minimum cost and 2) help users bunch together items to hit their target minimum. To focus on number 2, once amazon has built a history (and they can with their own purchase history outside of amazon fresh), we can create a widget that reminds users to purchase certain items. For example, if hte last time you pruchase shampoo was on amazon 2 months ago, we can present a “did you want to buy more shampoo as well?) This will all be presented on the shopping cart page to help users hit their minimum.

We can also leverage amazon shopping list widge and app to present a easy way for users to understand how far/how close they are to the free shipping.

4. I would build a recipe system. Build as part of the app, and web surfing experience a calendar plan of things you want to cook and want to eat. This way, amazon can suggest ingredients to you that are both seasonal, and delicious. Partner with some major chefs to create great recipes that allow users to both search for suggestions, but also enter their own. From there, amazon can create a shopping list for them and decide which day makes the most sense for delivery.

5. I think this issue can best be solved operationally by letting users know where the nearest whole foods is and allow users to easily either pick up missing ingredients or return items that are inappropriately purchased. It’s sometimes hard to avoid last minute situations and I believe having the store front will really help with the experience.

I’ve identified several ways to make amazon fresh a much more powerful experience that both relies on user engagement and user purchase history to make more powerful. I believe this will help customers use more of amazonfresh in the future.

I would prioritize releases based off of impact, goal, and cost

For 1, shopping list will have a high impact and might actually help organize the users life easier. It hits our goal because it builds the list over time and allows a user to leverage amazon fresh by planning ahead. The cost should be medium to high depending on how many apps and integration to come out with. I would first integrate with amazon echo devices and go through the mobile apps.

2, I believe this has high impact, reaches the goal, but may have high operational costs. To be honest, I think Amazon probably already does this.

3. High impact because free delivery is probably a primary concern for most users. High goal, and medium cost as a recommendation system is probably built in and we just need to surface the right information to the user to help build out their shopping cart.

4. Recipe system can be complex or simple in nature. I think it will hav ea high impact, high goal, and also potentially a high cost.

5. This one is harder to estimate. I think it will have high impact, high goal, but operationally may cost a lot as well. It’s really hard to manage consumer behavior during last minute times but I don’t necessarily think that this issue is keeping customers from using amazon fresh in the first place. I would run more experiments and understanding more about customer needs.

I would build 1,3,4 as first release. KPIs I’d be most interested in is:

1. how often users engage with these new systems
2. How often are customers shopping on amazon fresh, before and after
3. Segment by each feature, were customers before the change shopping more after the change per key feature and also combined?
4. Do customers who hit the free delivery churn less than customers who don’t?
5. How often are customers shopping on amazon fresh per week?

With the key KPI being customer shopping growth on amazon fresh because we are optimizing for returning customers being happy with the system and having amazonfresh augment their normal grocery experience.

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To start with this problem statement  , I would like to 1st ask few clairification questions to Interviewer. Since I have not used Amazon fresh , I would like to understand what the product does? What is their goal ? Who are their target users?

Now if I assume the interviwer tells that Amazon Fresh is the section of amazon where their customers can get fresh grocerry products with amazon's promise of delivery.

 Their end users are normal customers (like B2C) and also they have sellers who comes and list the products to sell through amazon.

 Amazon fresh goal is to provide best fresh products to their new/repeat customers and helping sellers to grow their revenue as well.

once i get such answer, now I will ask next set of questions that is , what do they mean by experience and improvement?

 I will provide few points to interviewer like By experience do they mean purchase experience , browsing experience and by improvement are they eyeing on any particular areas like search , repeat purchase  , browsing, add to cart or overall?

Now if the interviewer asnwers that I can assume all above. I will hearby structure my responses like below:

As Amazon product manager I would focus on browse and purchase expereince . I also understand , we have 3 or more persona groups like customers , sellers , last mile delivery partners etc. However for this use case , I would like to prioritse end customers and then phase wise would prioritise sellers and others.

I will do customer interviews , business reviews , UX research ,

 I assume I found below pain points:
1. when repeat customers are coming for their purchase , very frequently they search few keywords similar to the type of their regular products. If they do not find them , around 10% of them are skipping the original product as well and avarage basket size is reducing.

2. I found that , if their regualr items are bundled and a total discounts are shown , such items showed higher CTR and ATC (add to cart) rate is also high.

3. I also found during interviews when we asked customers that if on the recommendation section , if we highlight the change in price between their laste purchase month to current purchase month , they would like it as that will help them to tap on their montly budget.

To prioritse the problems above to solve , i would like take decision based on revenue impact and Engineering efforts:

1.As a quick win and move the needle of improvement , I would like to prioritise the Bundle deal and showing discounts on all favorite products. As this will retain existing experience and also will help customers to buy more in justified cost. As a business amazon will have a quick uptake on ATC rate and Payment to order. This will increase the revenue as well.

2, Search by Keywords

3. lastly to improve recommendations

 

For each , I will run A/B Test and on seeing a postive difference on Add to cart , payment to order , increase average order value , I will plan the production releases of all the features.

My risk mitigation will be Hypothesis testing and my baseline metrics to determine the win will be existing baseline metrics.
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How would you change the Amazon Fresh experience and how would you measure them?

I will check some basic assumptions before solving it.

Assumptions: Amazon fresh is an e-comm site that allows users to shop for their daily groceries. Customers can access amazon fresh through the amzon.com home page that directs them to the amazon fresh shopping catalogue. The delivery of these fresh items is usually done the same day or earliest.  

Interviewer: yes

Assumption: Amazon fresh is available both on the web and mobile. I would like to consider web experience. The first reason is that customers prefer mob to place grocery items and 2nd all major competitors' traffics are driven on mob too e.g Big basket, Blinkit, Zepto etc.

Interviewer: Alright.

Assumption: I would ask what would you like me to measure? Financial well being, usage, simple tracking metric or only shopping experience. 

Interviewer:  only shopping experience.

Let's move to solve this problem:

There are some important aspects to consider. Firstly, customer touchpoints that attribute to the success of any daily online grocery experience. I have jotted down a list of experiences at every touch point that the user expects throughout its customer journey.

They are -

 

  1. Quick and easy search of the products
  2. clear, concise Product categories
  3. easy navigation across the listed products,
  4. visible and quoted Marketing promotions, offers, coupons
  5. Auto-generated frequent purchase history
  6.  Price & product information
  7. Personalization offerings 
  8. Flawless Checkout experience
  9. Flawless payment gateway experience  
  10. Successful customer's completion of goals
  11. Intuitive Offering/coupon options

High-level mapping of customer Journey to experiences :

 

Customer Journey and experience mapping
Successful Access/login product discovery Cartcheckoutpayment Confirmation
 

4-clearly visible and quoted Marketing promotions, offers, etc

7-Personalization offerings.
1-Quick and easy search of the products
2-Clear & concise product categories.
3-Easy navigation across the listed products.
5- Auto-generated frequent purchase history.
6- Price and product information
8- flawless checkout9- Flawless payment gateways
11- Intuitive Offerings/coupon options
10-Successful completion of customers' goal
      
 

 

Any bottleneck across these experiences makes a customer unhappy.

 

There could be potential pain points for Amazon fresh from points 1 to 11. However, I will only pick 2, 3, 5, and 9  and elaborate. For others, Amazon is a trendsetter as they are part of their overall existing e-Commerce experience at amazon.com. Whereas 2, 3, 5, and 8 are aligned to the daily grocery experience and improving them will be an edge over competitors in the grocery segment.

Pain points related to 2, 3, 5, 9.

2) Not having clear, concise Product categories, subcategories and navigation, is painful for customers. The majority of customer wants to see a variety of options present in that category so that they can pick one as per their budgets.  

4) Not having a view to see a bucket of options based on their frequent purchases is another hindrance. Many customers don't want to spend too much time picking repetitive items for their weekly/monthly/daily groceries. 

8) If payment is failed and too many steps are involved to verify failed payment is a pain point too.

I will prioritize all the pain points.

Potential solutions to improve these pain points are-

1) keeping slick product navigation. To increase the experience amazon fresh should ensure that customer doesn't scroll way too down to find the product categories. Product categories should be above all recommendations, marketing flyers or past purchase information. [ easy to deliver, high business impact].

2) Considering having a separate Amazon fresh app altogether. Currently fresh is a sub-category (L2) of the main menu "groceries and pet supplies". It may break the experience of the user who couldn't able to locate the Amazon fresh on the mob app. [high effort, high business impact]

 3) Alternative to point 2 is to make the amazon fresh primary menu tile than the submenu. [easy to deliver, high business impact]

4) Payment failure notification or order cancelled or failed notification should be accessible on amazon's fresh page. Currently, users can access the order information by going back to the main amazon.com home page where all orders including amazon.com are stored collectively under the order section.  [ easy to deliver, high business impact]

5) categorize the past purchases view than keeping them as an open list view. This will give users not to scroll  way too down to see the past purchase  [ easy to deliver, high business impact]

 

Prioritization

I will prioritize 1, 3, 4, and 5 solutions as they are easy to deliver and would show good impact as well.

Metrics

To measure the success of these changes experiences. There are some actionable metrics.

  • No of the time customers access the product in less than 2 clicks.
  • % of Successful cart to checkout 
  • no of the times successful re-payment within an hr
  • reduction in checking the cancelled order status
  • Track Customer rating ( CSAT) for different touch points ( category, navigation, search, payment, order etc)
  • Frequency of repeat customers
  • No of the times search bar used over finding product through product category  < Bigger the value, there is huge scope to improve the product category & navigation>

 

 
 
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Great answer.

One thing, though:

3. Segment by each feature, were customers before the change shopping more after the change per key feature and also combined?

I would do an A/B test instead of looking "before and after" since other factors will not interfere this way.

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