added by sari · updated 2y ago
While Zoom Zooms, Slack Digs Moats
- “Network effects” is an overused concept. The basic concept is that network effects occur when an experience gets better with each person who joins.
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago
- Zoom traded moats for speed. That trade works while they have the better product, but “superior product” is not one of the seven powers. Over time, product can be copied.
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago
- 12.5M isn’t as impressive as 300M. But the beauty of Slack is that those 12.5M+ daily active users (DAUs) and 9,000+ new paid accounts are locked. They will keep paying for years.
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago
- Slack made the opposite trade. They gave up some speed, but they’ve built in network effects and switching costs.
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago
- Arguably, Zoom’s virality has caused negative network effects, at least for me. The more people who join Zoom, the more Zoom happy hour invites I get, the worse my life becomes.
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago
- Slack, on the other hand, has Personal Utility (Direct) network effects inside of a company. People use PU(D) networks for essential communication with their personal or professional circles using their real identities.
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago
- Slack is “Come to our wedding!” It’s a real commitment, so it takes some real thought to say yes. Once you’re in, though, you’re in.
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago
- Drinks and weddings… am I in the right place?
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago
- Zoom is “Let’s meet up for a drink!” It’s easy to set up, and equally easy to cancel.
from While Zoom Zooms, Slack Digs Moats by Packy McCormick
sari added 2y ago