SneakyChat
Practice this intermediate profitability case interview question in the Technology sector. Includes detailed problem prompt, clarifying questions, structured framework, and expert recommendation. Part of ProHub's 835+ consulting case library.
ProHub Comment
This case tests a candidate's ability to structure a growth problem combining user acquisition strategy with revenue monetization. The case requires candidates to analyze trade-offs between different marketing channels, understand the cumulative nature of users and revenue, and make a recommendation balancing profitability with growth targets while managing cash constraints.
Estimated Time
26 minutes
Difficulty
Medium
Source
Duke
31
/ 100
Your client, SneakyChat, is a wildly popular Silicon Valley startup with a rapidly growing user base. SneakyChat’s App allows users to send expiring pictures as well as connect with local people in their area. A potential acquirer has offered to purchase the Company for $500m, but on the condition that the Company will generate $2m in cumulative net income over the next 3 months, and have at least 700k daily active users as of the end of month 3. SneakyChat’s CFO has hired you to help hit these metrics.
Clarifying Information
- SneakyChat currently only operates in the US
- No current revenue, as company has focused solely on user growth and not monetization
- Company started operations this year
- Net Income and daily active users are total at the end of 3 months