Multi-Sided Platforms

Designing high-value platforms through network effects.

Pipelines, Platforms, and the New Rules of Strategy

Platforms have existed for years. Malls link consumers and merchants; newspapers connect subscribers and advertisers. What’s changed in this century is that information technology has profoundly reduced the need to own physical infrastructure and assets.

Matchmakers

Although matchmakers have been around for millennia, they’re becoming more and more popular—and profitable—due to dramatic advances in technology, and a lot of companies that have managed to crack the code of this business model have become today’s power brokers.

All about network effects

What’s the difference between network effects, virality, supply-side economies of scale? And how do we know a company has network effects?

Strategies for two-sided markets

In the traditional value chain, value moves from left to right: To the left of the company is cost; to the right is revenue. In two-sided networks, cost and revenue are both to the left and the right, because the platform has a distinct group of users on each side.