In British Colonial India, the government wanted fewer cobras. They paid for every dead one. What happened? People bred more cobras to cash in.
This is a kind of perverse incentive because the incentive unintentionally rewards people for making the issue worse.
In Product Management, good intentions can backfire. Ever added a feature to boost engagement, but it drove users away?
Example: Snapchat’s 2018 redesign
Aim: User-Friendliness
Reality: 1.2 million signatures on a petition against it. A drop of 3 million users in a quarter.
Actionable Tips to overcome the Cobra Effect
- User Testing: Do not launch features at full scale. Test with a few users and collect data.
- Feedback Loop: Always have a way for users to tell you what they think.
- Iterate: If things go south, roll back, learn, and try again.
Takeaway
Good intentions don’t equal good outcomes. Always look at the data and be ready to change course.
In Product Management, it is not just about what you intend to do but what actually happens.