Come for the Network, Pay for the Tool

Bloomberg is an example of the classic Web 2.0 business maxim “come for the tool, stay for the network.” But the inverse trajectory, from which this essay takes its name, is now equally viable: “come for the network, pay for the tool.” Just as built-in social networks are a moat for information products, customized tooling is a moat for social netw... See more

Success here will come down to implementation details. The incentive structure, funding sources, size, goals, moderation approach, and community management philosophy of these networks will determine their long term viability as both businesses and communities. Whether coming at it from the angle of social media, brand, or content creator, building... See more

Success here will come down to implementation details. The incentive structure, funding sources, size, goals, moderation approach, and community management philosophy of these networks will determine their long term viability as both businesses and communities.

This entrenchment effect provides a realistic business case for bespoke social networks. Running a bespoke social network means you’re basically in the same business as Slack, but for a specific focused community and with tailored features. This is a great business to be in for the same reasons Slack is: low customer acquisition costs and long life... See more

Here, design, development, and content creation are no longer merely tools for generating revenue; they are also tools of community organizing. Here, design and engineering take on the valence of care, and the emotional involvement of being a contributor, moderator, and member. Where does “design” end and “moderation” begin? Because the mainstream ... See more

Today, most paid communities live on the outskirts of existing social platforms. But as they become normalized, paid communities are becoming a viable business model for smaller-scale social networks aiming to be both profitable and socially sustainable.

Content and social are also unifying, with Twitch streaming and YouTube being the biggest video players. Meanwhile paid newsletters have taken off in a big way in the last two years. In content + community, an audience connects around a specific content producer through some platform.

A new business type here is the paid community: a direct subscription to join in. Today, most paid communities live on the outskirts of existing social platforms. But as they become normalized, paid communities are becoming a viable business model for smaller-scale social networks aiming to be both profitable and socially sustainable. 

Paid communities are a still-nascent category, but the business model is familiar: free content with a subscription paywall for more (the standard model of content + social). Paid communities develop this formula further: they take the subject matter of a content producer or brand lifestyle, and pair it with a paywalled digital social space for ong... See more

I think we will gain the most learnings about the future of business and identity not from top-down corporate models of community management, but from friends, squads, and content creators starting groups and supporting the legitimate participation of community members in their ongoing development, finance, and governance.