You're the PM for Agoda. Due to increasing failure rates in newer payment methods like wallets and UPI, how would you investigate the cause and what steps would you take to address it?

My first step would be to clarify the scope and nature of the problem. I'd define 'failure rate' precisely (e.g., real-time transaction failures vs. backend processing errors) and confirm if this is a recent trend affecting only newer payment methods like wallets and UPI, or if other Agoda features are also experiencing similar issues.

Next, I'd diagnose the impact. A significant increase in payment failures directly affects conversion rates, customer satisfaction, and ultimately, revenue and customer lifetime value. I'd quantify this impact by analyzing key metrics such as booking volume, average order value, and churn rates related to these payment methods.

To address the issue, I would:

1. Deep Dive into Data: Analyze transaction logs, error codes, and user journey data to pinpoint specific failure points (e.g., specific wallet providers, network issues, API errors, user errors).
2. Collaborate with Engineering & Operations: Work closely with the engineering teams responsible for payment integrations and the operations team managing payment gateways to identify technical glitches, latency issues, or capacity constraints.
3. Engage with Payment Partners: Communicate with wallet providers and UPI facilitators to understand if the issues stem from their end and to coordinate on resolutions.
4. User Feedback & Testing: Gather direct user feedback through surveys or in-app prompts to understand their experience. Conduct A/B testing on potential solutions, such as optimizing the payment flow, improving error messaging, or offering alternative payment options.
5. Implement & Monitor: Roll out fixes incrementally, closely monitoring the failure rates and other key metrics to ensure the problem is resolved and doesn't reoccur. This would involve setting up robust alerting for payment success/failure rates.