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
How to stop being unconfident
It’s no secret that we spend a lot of time and effort trying to appear confident on the surface when we’re around other people because we kind of have no choice. People are extremely judgmental, whether they’re aware of it or not. Sizing people up is an e…
United Kingdom vs Great Britain vs England primer
For someone who lives outside of the United Kingdom, the terms United Kingdom and Great Britain and England often feel interchangeable, and they feel like they’re referring to the same thing. But as we’ll see in this video, they aren’t referring to exactl…
15 Principles of Effective Leadership
Today, leadership is a force that can shape the destinies of organizations, communities and individuals. Effective leadership is not just a title or a position. It’s a profound and transformative art that gathers a set of guiding principles. These princip…
Ponzi Factor radio interview with Loiue B Free
And I, as I had promised, a very, very special guest on to talk about something that will, it’s going to, I guess, to taught it, which I say, rock their worlds, right? It’s gonna rock your world. He’s gonna, it’s a preconceived notions that you have, thin…
What you MUST know about Acorns Investing
What’s the guy’s histogram here? So, okay everybody, I’m listening. You guys have been asking me non-stop to make a video about Acorns investing, and I’ve been ignoring it for quite a long time until today. So here it is! We’re gonna be talking about Acor…
The Soul of Music: Exploring Chief Xian’s Ancestral Memory | Overheard at National Geographic
Foreign Douglas, I’m a producer here at Overheard, and this is part three of our four-part series focusing on music exploration and black history. It’s called “The Soul of Music.” National Geographic explorers will be sitting down with some of our favorit…