How would you choose a North Star metric for a two-sided marketplace, like a platform connecting tutors and students?
What the interviewer wants to hear
- Metric should reflect value for both sides
- Link to long-term revenue and retention
- Example: completed lessons or learning hours
- Break it into input metrics teams can move
- Watch guardrails like quality and supply-demand balance
Model answer
For a marketplace the North Star must show value created for both sides at once. Sign-ups or listings only measure one side. For a tutoring platform, I would consider weekly completed lessons, because a completed lesson means a student learned and a tutor earned money, and it links directly to revenue and retention. I might refine it to completed lessons with a good rating, so quality is included. Then I would break it into input metrics that teams can influence: number of active tutors with open slots, student search to booking conversion, first lesson completion and repeat booking rate. I would also track guardrails such as cancellations, refunds and supply versus demand by subject and city. Finally I would check the metric with leadership and revisit it if the strategy changes.
Can you answer it under time pressure?
Take a timed hard round and get scored on every answer.
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