•Network effects are a phenomenon whereby the more customers use the product, the more valuable it becomes.
• In the context of Learning & Development, network effects facilitate value generation around your learning content as more and more customers use and share them amongst themselves.
• There are two types of network effects: direct and indirect.
• Direct network effects happen when more people using the product or service make it more valuable.
Indirect network effects result when using one product generates interest in other products and ultimately increases the value of the original product.
• To foster and leverage network effects, whether direct or indirect, you must align your strategy with overall organizational strategy; define your niche audience; focus on capturing biggest market share possible; choose a reliable scalable SaaS platform to build community