Every multi-sided network has a hard side, then users that provided outsized value to your network (eg content creators in social media). Focus your energy on the hard side. It’s tempting to optimize for the easy side (eg users), because its easier but return is also smaller.
The thing with $DUOL is people are making up reasons to explain the price move, which common in public equity investing by the way. It is ultimately a SaaS product without network effect, comparing it to TikTok and citing number of users, retention rate, etc are missing the point
$DUOL “Don’t stop your hot streak! Only two more weeks until your account is liquidated, keep going!”
-43% since the pump-and-dump action a few weeks ago, while market moved to new all time highs. 2021 flashbacks.
If you’re building a marketplace everything you do has to strengthen and reinforce the network effect. Otherwise it’s a distraction and should be deleted.
I face this issue until now in a multi-billion $ marketplace. The vast majority of the team operates on the assumption how to extract as much value from the network as possible, putting a significant pressure on the network stability.
The problem with building marketplaces is that it relies a lot on network effect, which is very hard to build and people who knows how to build it is a scarce talent.
Even within the big tech the pool of talent who understands network effects are very small. The best talent are probably in socials, but it will be very hard to attract them.
Anecdotally, I’ve found the people most vocal and showy about grinding hard (9-9-6) tend to have less throughput than a garden variety workaholic.
I suspect this is because they’ve internalized endurance pace all the time. And loose the ability to sprint when needed.