Assuming no other change was implemented that could have affected these metrics, lets start by breaking down the question. First piece of information is that additional profile information increased by 8%, which is desirable. We do not have information about what exactly we are asking the user to provide, so lets assume that the additional profile information consists of user's interests and experiences. And second info we have is that 7 day retention decreased by 2% because of this change.
The objective of getting more profile information from the user is to find better content and connections related to the user's interests and experiences. If we are not able to use the additional user info to find more relevant and engaging content for the user, then this effort is a waste. So, our primary focus should be to make the best use of this info to improve the experience for the user. This would have an effect on the churn rate too and generate positive word-of-mouth marketing for the product.
Now lets try to understand the possible reasons for the decrease in user retention. A thought that would come to our mind is that probably we have made the process so elaborate and complicated that user did not even complete the process and chose to leave the app. But since retention period metric tracks the user after they have completed the signup process, we can rule out this reason. We ought to be more specific about what kind of information we are asking from the user. For privacy reasons, many users will not be comfortable in sharing more personal info. Make sure that users are satisfied with your product's security and privacy policies and convinced that they have full control over how your product uses their data.
In summary, we need to do the following to improve retention -
- Create a more engaging experience for the user by finding and displaying relevant content based on user's interests.
- Communicate your product's compliance and privacy standards and make sure they trust you with their data.