Choose a New Industry for Facebook to Expand Into and Defend the Bet
Company: Meta
Role: Product Manager
Category: Product Design & Strategy
Difficulty: medium
Interview Round: Other
As a product manager at Meta, recommend the next vertical Facebook should expand into. Commit to one choice and explain why it beats the other options you considered.
```hint Start from what Facebook already has
Before naming industries, list the assets a newcomer could not copy. The strongest vertical is the one where those assets matter most, not simply the biggest market.
```
### Clarifying Questions
- Is the main goal new revenue beyond ads, deeper engagement from existing users, or progress on Meta's mission of bringing people together, and how should I weigh them?
- Does "vertical" mean an industry Facebook would serve end to end, such as healthcare or travel, or can it be a new product category inside the app, the way Marketplace and Dating were?
- Should the bet live inside the Facebook app, or can it span Meta's other apps such as Instagram and WhatsApp?
- Am I looking for something that can launch within a year, or a multi-year bet?
### What a Strong Answer Covers
- A clear objective for the expansion and evaluation criteria tied to it: user demand, Facebook's right to win, business fit, and trust and regulatory risk
- A short list of candidate verticals compared on those criteria, with a reason for dropping each one not chosen
- A single recommendation grounded in specific Facebook assets such as the friend graph, Groups, Pages, Messenger and Marketplace
- A first product and entry sequence, with a north-star metric and guardrails
- Honest risks, including Meta's trust and privacy history and incumbent competitors, with mitigations
### Follow-up Questions
- What evidence after the first year would make you shut the vertical down?
- How would you solve the cold-start problem on the supply side of your chosen vertical?
- Why build it rather than partner with or acquire an existing player?
Overview: A Meta product strategy question asking a PM candidate to recommend the next vertical Facebook should expand into. It tests setting a clear objective, comparing candidate markets against Facebook's real advantages, committing to one, and supporting it with an entry plan, success metrics and risks.