1. Type of Network Effects: How will your marketplace grow? - Deepstash
1. Type of Network Effects: How will your marketplace grow?

1. Type of Network Effects: How will your marketplace grow?

All marketplaces exhibit a form of network effects, where each additional user on either the demand side or the supply side enhances the utility of the network for all users. 

Airbnb has global network effects because travel is global. Companies like DoorDash and TaskRabbit have root density network effects - each market grows independently of another. Supply gains little value from demand growth in another market, and demand gains little from supply developing in another market. These businesses grew from being the first mover in each market, then aggressively building supply, city by city.

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liviu

My interests are many and eclectic. Product guy.

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