Bear with me here; this was originally three different posts, but I quickly realized the crucial connection between all topics involved.
If you’re even remotely following the startup world / new sharing economy, you’ve noticed all the two-sided marketplaces sprouting up – Uber, TaskRabbit, Airbnb, Handybook, Elance, Lyft, and so on. They all face a pretty common challenge, which is the chicken and egg problem. These platforms do not offer prime value to either side until network effect is achieved on a relatively large scale (when Member X joins, Member Y benefits). And this isn’t exclusive to strict buyer-seller services, as it’s also in play for companies like Tinder and CoFounders Lab. I’m currently working with a few startups that fall into this category, so I thought it useful to research and outline some real-life examples of solving this problem. This will lead right into my next two points: 1) startups need biz dev hustlers on Day One and 2) engineers should cozy up with marketers much closer and much earlier than they typically do.