Create Network Effects to Grow Customers
Network effects happen when a product or service becomes more valuable as more people use it.
This sets the stage for a positive feedback loop: as more people use the product or service, it becomes more useful; that leads to even more people using it, which makes it even more useful, and so forth and so on.
Network effects provide a powerful way to build a bridge between your initial fan base and the general public.
Consider the case of @Slack1 , an online collaboration platform for coworkers.
Initially, it was embraced by a small fan base of people who were willing to learn the ropes of a new program that nobody else was using.
Once they had learned it, they worked on converting their coworkers into Slack users.
Why?
Because the more coworkers using the platform, the more useful it became.
So the platform started spreading – and before long, even if someone was a change-resistant adapter, they felt like they had to, well, adapt to the new Slack-ified reality of their workplace.
Why? Because they didn't want to miss out on the conversations and collaborations everyone else was having on the platform.
Another example is @Facebook1 : it wouldn't be very useful if none of your friends were signed up.
What makes it valuable to you is the fact that many of the people in your network can be found there.
Network effects can help your product go mainstream, and your initial fan base can lead the way.
Create Network Effects to Grow Customers
Network effects happen when a product or service becomes more valuable as more people use it.
This sets the stage for a positive feedback loop: as more people use the product or service, it becomes more useful; that leads to even more people using it, which makes it even more useful, and so forth and so on.
Network effects provide a powerful way to build a bridge between your initial fan base and the general public.
Consider the case of @Slack1 , an online collaboration platform for coworkers.
Initially, it was embraced by a small fan base of people who were willing to learn the ropes of a new program that nobody else was using.
Once they had learned it, they worked on converting their coworkers into Slack users.
Why?
Because the more coworkers using the platform, the more useful it became.
So the platform started spreading – and before long, even if someone was a change-resistant adapter, they felt like they had to, well, adapt to the new Slack-ified reality of their workplace.
Why? Because they didn't want to miss out on the conversations and collaborations everyone else was having on the platform.
Another example is @Facebook1 : it wouldn't be very useful if none of your friends were signed up.
https://media.giphy.com/media/14ozJbpK9ZAxsA/giphy.gif
What makes it valuable to you is the fact that many of the people in your network can be found there.
https://media.giphy.com/media/78E3Cv7kKD5XW/giphy.gif
Network effects can help your product go mainstream, and your initial fan base can lead the way.
#CreateNetworkEffectsto