network effects

Hi all-

Last week we talked about the “Flywheel Effect” and what that looks like at [ — ], but we need to dig deeper into WHY it matters.

The flywheel represents how processes build momentum and structure towards consistent success. But why is it important to build these structures at [ — ]? 

We have to assume other companies are going to come in and try to copy what we’re building. It’s just the nature of the game right now. People are constantly checking the pulse on what’s working and not working and if they’re not already working on something similar, they will be once they see a business doing well. And that’s what we have to fight against with Drift. 

I recently stumbled upon an article written by James Currier, General Partner at NFX, about the four types of defensibility that helps to answer our ‘why.’ 

Between the four types (brand, scale, embedding, and network effects) he calls out one in particular as most important to succeeding against competition: network effects. 

Currier says, “If you don’t have a source of durable advantage, well, you’re roadkill.” We will get run over by competition that steps in if we haven’t properly built network effects and stayed consistent with our flywheel. 

We have a mission to fulfill with [ — ] and it’s not to be roadkill -- it’s to transform the way everyone in the world conducts business and level up how companies connect with their buyers.

So, how will you ensure we have an edge on our competition?