Network effects are a tricky thing to get right, but they're the holy grail of technology companies. They work in all sorts of different ways and have many different types, so this blog post is going to take you through what network effects are and how they work - as well as how you can build them into your company's product or service.
The idea of network effects is very simple. Every time someone joins your network, they are increasing the value of the whole system for everyone else in it. For example, the more people who use Facebook to connect with friends and family, the better it is for all of those other users. Or the more riders who use Uber, the more demand there is for drivers who in turn provide more supply, and shorter wait times, for riders thus increasing the user experience.
This blog post will explore how to build and measure them, as well as best practices of what to do to create a company with network effects from scratch.