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Business Data Management · End Term · 21 Dec 2025 · September 2025 term

Question 25: You are visualizing a funnel for an e‐commerce site:\ ● …

Question 25

+1.5 marksOne correct option

You are visualizing a funnel for an e‐commerce site:
● Visits → Add to Cart → Checkout → Payment → Order Confirmed
You observe the following over the past week: ● 10,000 users reached Checkout. ● 5,000 users reached Payment. ● 4,800 users reached Order Confirmed. ● Error logs show <0.5% payment gateway errors. ● Session replays show many users dropping off on the Payment page before submitting their card details.
What is the most reasonable data‐driven hypothesis to investigate first?

  1. A

    Price sensitivity at Checkout is high; users reconsider the value once they see the order summary.

  2. B

    There is friction or unexpected elements on the Payment page (e.g., extra fees, forced account creation, or complex forms) causing users to abandon before submitting payment.

  3. C

    The payment gateway is silently failing for many users despite low logged error rates.

  4. D

    Top‐of‐funnel traffic is poorly targeted, so users who reach Checkout were never serious buyers.

Show answer

Correct answer

  • B

    There is friction or unexpected elements on the Payment page (e.g., extra fees, forced account creation, or complex forms) causing users to abandon before submitting payment.

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Question 25 of 50 in the IIT Madras BS Business Data Management (BDM) End Term paper sat on 21 Dec 2025, in the September 2025 term (Business Data Management 18 Dec 25). It carries 1.5 marks.

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