Types of Network Effects

  • Shared Data. When someone design a product in a 3D CAD tool, the person manufacturing it can use that model to create their tooling. It makes having the same CAD software beneficial.
  • Communication Devices. Work better when your friends are on them.
  • Physical Places. Coffee Shops. Restaurants. Eventually you bring other people to the ones you like.
  • Being Remarkable. People like to share things that are hard to believe. Something new.
  • Discounts for groups.
  • Credits for referrals.
  • A good story. Everyone loves to share a good story.