Web 2.0 and the Network Effect.
The network effect is the value an exchange medium has (such as, Facebook) by supplying usage (your time) and your information to the service. You must of course, as a ‘user’ receive value from the usage of the service in return. Effectively, the more people who use the service such as; Facebook the more benefit the users will receive from the network. This can be with virtual groups, associations, friends and family. The difference here is again the WWW as you can now connect anywhere in the world with friends or virtual friends.
And wherever there are large numbers of users, business and marketers look to use the medium to engage and interact with the ‘users’ to sell their products and services.No Comments »