I was so excited to turn 21 during my senior year of college. Of course, the bar scene in Boston was fun to experience…but so was the newfound freedom of being able to rent a car to escape campus on […]
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Alexa, Amazon and the Beauty of a Platform that Makes No Money
Amazon, Apple, Google, Microsoft are battling it out for dominance of voice as the next UX and for creating a truly intelligent personal assistant. Each has taken a difference approach, which will determine the strength of the network effects at play and ultimately, the success of their products and platforms.
GrubHub: Seamlessly Taking Over Delivery?
Leveraging two-sided network effects, GrubHub has established a solid grip on the meal delivery service industry. With many new entrants, however, the industry may be becoming commoditized, and the strength of these network effects will soon be put to the test.
AMAZON KINDLE IS KING OF NETWORK EFFECTS
Amazon brings together readers, publishers, authors, and advertisers in a platform/environment that creates mutual value for all stakeholders and allows Amazon to capture value for itself.
Open but not Free – OpenTable’s Monopoly of Reservations
OpenTable has grown to a near-monopoly in online reservations thanks to direct and indirect network effects, and by designing a historically high barrier to entry for competitors.
Apple Music – Locking Customers In Through Network Effects
For almost 15 years the success of Apple’s devices and iTunes services has been primarily based on indirect network effects. Now the rapid growth of music streaming services shifts the focus towards direct network effects.
Zillow: Network effects helping American to home their dreams
How Zillow has built a platform based on the information provided by its own customers.
Visa – Leveraging Indirect Network effects
Visa has dominated the payment processing industry for decades, leveraging indirect network effects
Amazon – how one controversial decision ignited massive growth
People often think that Amazon’s success is all about economies of scale, when actually it is the controversial customer review system that fueled Amazon’s massive growth.
The rise and demise of Groupon: the importance of satisfying both sides of a two-sided network
80% of Groupon’s market value evaporates after it fails to satisfy one side of the two-sided network on which its business model relies