yego.me
💡 Stop wasting time. Read Youtube instead of watch. Download Chrome Extension

Virality and network effects drive organic growth.


less than 1m read
·Nov 3, 2024

The best consumer companies incorporate both virality and network effect, which are different concepts but very closely related, in order to grow their user base organically.

Virality is the idea that one user using your product introduces it to other users somehow in the use of your product, whereas network effect is the idea that the product gets better the more nodes in the network exist.

I'll give you an example from Facebook's early days. So, when you took a picture on Facebook and uploaded it, you were prompted to tag your friends, even if they weren't already on Facebook. Those friends would get an email saying, "Hey, someone's tagged a photo of you; sign up to view the photo." That's a viral mechanic.

By uploading the photo and tagging your friends, you spread it to new users. A network effect comes from Metcalfe's Law: the value of the network is the square of the nodes in a network.

What that basically means is the more people who use this thing, the more valuable it gets. So, WhatsApp is a great example of this.

More Articles

View All
Great Schism or East-West Schism part 2 | World History | Khan Academy
Now, the notion of the Holy Roman Emperor and the Holy Roman Empire does not last much beyond Charlemagne. After his death, over the course of the 9th century, his empire is broken up. His successors are not able to carry on the title. But then we get in…
The Curious Ecosystems of Antarctica | Continent 7: Antarctica
I kind of joke with folks that January is the longest day of my year. The sunlight down there is incredible because you get to see animals, uh, go about sort of what they do in perpetual sunlight in 24 hours. Generally, if you have nighttime, if we’ve got…
The first time I had full control of a plane!
First time I had full control of the plane by myself and the instructor wasn’t with me, I was like, “Holy… I mean, what do I do now?” I took off, and that we’ve done it so many times, but it’s so different when the instructor’s sitting there next to you. …
This Blind Astrophysicist 'Sees' the Universe in the Most Amazing Way | Short Film Showcase
Everything in the universe has so much uncertainty. This movie is very dynamic. [Music] But it is such a beautiful symphony all the time. [Music] I am from Puerto Rico. The town I grew up in is a tiny town in DBT Tyler. Like, I never knew what a Ph.D. de…
Warren Buffett: How to Find Great Stocks for 2023
Okay, so you’ve seen that the market is down at the moment. You know you should be investing right now, but how on Earth do you actually find great stocks to invest in? Well, in this video, we’re going to talk about a surprisingly simple screening method …
Why Being Busy is Ruining Your Life
Hey, it’s Joey. What could be better ideas? So, a lot of people think being busy is a good thing, as if picking up pieces of paper and putting them back down again, writing emails, and, you know, walking around checking your watch, and basically just havi…