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
15 Things Mentally Strong Women Don't Do
You know, some women are mentally strong and some aren’t. But it’s not a fixed trait. It really depends on your situation. It’s also not something to be embarrassed about because it is something you can work on. It’s not even fair that some women come out…
Jeff Clavier and Andrea Zurek - Startup Investor School Day 3
Jeff is someone that I met in the very beginning of my venture into venture. When I first started investing a long time ago, he taught me as many lessons about how to be a good investor. In two senses, how to be a good investor by making good choices and …
Brave New Words - Bill Gates & Sal Khan
Hi everyone, it’s here from Khan Academy, and as some of you all know, I have released my second book, Brave New Words, about the future of AI, education, and work. It’s available wherever you might buy your books. But as part of the research for that boo…
Significant | Vocabulary | Khan Academy
Wordsmith, hello! We’ve got important work to get to, so I won’t keep you. The word we’re looking at in this video is “significant.” It’s an adjective. It means important, worth paying attention to, a large amount. Something can be emotionally significan…
Hinduism Introduction: Core ideas of Brahman, Atman, Samsara and Moksha | History | Khan Academy
We’re now going to talk about Hinduism, which is one of the largest religions on Earth, practiced by over a billion people. It’s interesting for several reasons. First, it is considered to be one of the oldest religions that is still practiced. Some histo…
The Long Lost White City | Explorer
The legend of CAD Blanca, the White City, has been around for generations of indigenous people in Honduras. The Pech and Tawahka Indians have stories about a white house or a white city. There are all these rumors about seeing the ramparts of a ruined cit…