Viral Loops: Making Self-Marketing Apps

Summary 

Summary Viral Loops create exponential growth

Summary Viral Loops create exponential growth This is a good problem

Summary Viral Loops create exponential growth Viral Loops are cheap

Summary Viral Loops create exponential growth Viral Loops are cheap Viral Loops must be built into your product

Introduction What is a Viral Loop?

Viral Loop: A self-fueling action loop thatdrives users to create more users.

Example: 

Example: Not Viral: please come to my party.

Example: Not Viral: please come to my party. Marketing 1.0

Example: Viral: OMG, this party is like, the best EVAR! Let’s call all our friends and invite them too!

Example: Viral: OMG, this party is like, the best EVAR! Let’s call all our friends and invite them too! Viral Marketing

Example: Viral: OMG, this party is like, the best EVAR! Let’s call all our friends and invite them too! Not a Loop Yet

Viral Loop: A self-fueling action loop thatdrives users to create more users,which increase engagement ofexisting users.

Example: Viral Loop: Now that all my friends are here, this party is even more awesome. I’m going to invite more!

Example: Viral Loop: Now that all my friends are here, this party is even more awesome. I’m going to invite more! Now it’s a loop

Is This A New Thing?<br />

Is This A New Thing?<br />No.

Is This A New Thing?<br />All social memes areViral Loops.

Is This A New Thing?<br />

Is This A New Thing?<br />It’s still viraleven when transmittedvia town crier.

Viral Loops Are: 

Viral Loops Are: Self-Spreading 

Viral Loops Are: Self-Spreading They use existing social mechanisms

Viral Loops Are: Self-Spreading They use existing social mechanisms You trust your friends

Viral Loops Are: Self-Spreading They use existing social mechanisms You trust your friends You want to do what your friends do

Viral Loops Are: Self-Spreading They use existing social mechanisms You trust your friends You want to do what your friends do Telling your friends about something new makes you cool

Viral Loops Are: Inexpensive 

Viral Loops Are: Inexpensive Cost = Almost Zero

Viral Loops Are: Inexpensive Cost of Acquisition

Viral Loops Are: 

Viral Loops Are: Initial Cost of Acquisitionis high per person. It drops to almost zero over time.

Viral Loops Are: Exponential 

Viral Loops Are: Exponential 1 person recruits 1 more person

Viral Loops Are: Exponential 1 person recruits 1 more person 2 x 2 = 4

Viral Loops Are: Exponential 1 person recruits 1 more person 2 x 2 = 4 4 x 4 = 16

Viral Loops Are: Exponential 1 person recruits 1 more person 2 x 2 = 4 4 x 4 = 16 You’re smart and can do math

Ok, so all of that is great, buthow do they work?

4 Stages 

Stage 1: Attract On Ramps<br />

Stage 1: Attract On Ramps<br />Active:

Stage 1: Attract On Ramps<br />Active: <ul><li>Friends and Family</li></li></ul><li>Stage 1: Attract On Ramps Active: <ul><li>Friends and Family

Interrupt and Annoy</li></li></ul><li>Stage 1: Attract<br />On Ramps Active: <ul><li>Friends and Family

Interrupt and Annoy

Ad Words</li></li></ul><li>Stage 1: Attract On Ramps Active: <ul><li>Friends and Family

Interrupt and Annoy

Ad Words

Early stages may require desperate measures</li></li></ul><li>Stage 1: Attract On Ramps Passive:

Stage 1: Attract On Ramps<br />Passive: <ul><li>Search Engines (SEO)</li></li></ul><li>Stage 1: Attract On Ramps Passive: <ul><li>Search Engines (SEO)

Be an Expert</li></li></ul><li>Stage 1: Attract<br />On Ramps Passive: <ul><li>Search Engines (SEO)

Be an Expert

Reviews</li></li></ul><li>Stage 1: Attract On Ramps<br />Passive: <ul><li>Search Engines (SEO)

Be an Expert

Reviews

Word of Mouse</li></li></ul><li>Stage 1: Attract<br />On Ramps Passive: <ul><li>Search Engines (SEO)

Be an Expert

Reviews

Word of Mouse</li></ul>Congratulations, you went viral!

Stage 2: Capture Engagement 

Stage 2: Capture Engagement <ul><li>Immediately useful</li></li></ul><li>Stage 2: Capture Engagement <ul><li>Immediately useful

It just works</li></li></ul><li>Stage 2: Capture<br />Engagement <ul><li>Immediately useful

It just works

Beware Off Ramps</li></li></ul><li>Stage 2: Capture<br />Engagement <ul><li>Immediately useful

It just works

Beware Off Ramps

I don’t get it

It’s broken

You’re annoying me</li></li></ul><li>Stage 3: Spread<br />Sharing

Stage 3: Spread Sharing <ul><li>Easy to share</li></li></ul><li>Stage 3: Spread Sharing <ul><li>Easy to share

Obvious reasons </li></li></ul><li>Stage 4: Grow<br />Engagement

Stage 4: Grow Engagement <ul><li>Multiplier effect</li></li></ul><li>Stage 4: Grow Engagement <ul><li>Multiplier effect

Use Drives Use</li></li></ul><li>Stage 4: Grow<br />Engagement <ul><li>Multiplier effect

Use Drives Use</li></ul>Important! 

4 Stages 

Examples 

Examples Ebay 

Examples Ebay Attract: extremely strong<br />

Examples Ebay Attract: extremely strong<br />Capture: extremely strong

Examples Ebay Attract: extremely strong<br />Capture: extremely strong Spread: very weak

Examples Ebay Attract: extremely strong<br />Capture: extremely strong Spread: very weak Grow: nothing. Nada. Zilch.

Examples Ebay Attract: extremely strong<br />Capture: extremely strong Spread: very weak Grow: nothing. Nada. Zilch. Maybe this is their problem

Examples Ebay Attract: extremely strong<br />Capture: extremely strong Spread: very weak Grow: nothing. Nada. Zilch. Maybe this is their problem They should be Groupon

Examples Twitter 

Examples Twitter Attract: moderately strong<br />

Examples Twitter Attract: moderately strong<br />Capture: strong

Examples Twitter Attract: moderately strong<br />Capture: strong Very few off ramps

Examples Twitter Attract: moderately strong<br />Capture: strong Very few off ramps Spread: moderate

Examples Twitter Attract: moderately strong<br />Capture: strong Very few off ramps Spread: moderate Grow: moderate

Examples Twitter Attract: moderately strong<br />Capture: strong Very few off ramps Spread: moderate Grow: moderate Off Ramp: too much noise

Examples Twitter Attract: moderately strong<br />Capture: strong Very few off ramps Spread: moderate Grow: moderate Off Ramp: too much noise Use Kills Use

Examples Facebook 

Examples Facebook Attract: strong 

Examples Facebook Attract: strong Capture: strong

Examples Facebook Attract: strong Capture: strong Spread: strong

Examples Facebook Attract: strong Capture: strong Spread: strong Grow: extremely strong

Examples Facebook Attract: strong Capture: strong Spread: strong Grow: extremely strong One of the best examples of UDU

Time To Get Rich 

Build a Viral Loop 

Build a Viral Loop Plan Your Loop First

Build a Viral Loop Plan Your Loop First Build Product Second

Build a Viral Loop Phase 1: Attract

Build a Viral Loop Phase 1: Attract Make your usefulness obvious

Build a Viral Loop Phase 1: Attract Make your usefulness obvious Sign up should be insanely easy

Build a Viral Loop Phase 1: Attract Make your usefulness obvious Sign up should be insanely easy Sign up is a big Off Ramp

Build a Viral Loop Phase 1: Attract Make your usefulness obvious Sign up should be insanely easy Sign up is a big Off Ramp Use Facebook Connect, etc.

Build a Viral Loop Phase 1: Attract Make your usefulness obvious Sign up should be insanely easy Sign up is a big Off Ramp Use Facebook Connect, etc. Free

Build a Viral Loop Phase 1: Attract Make your usefulness obvious Sign up should be insanely easy Sign up is a big Off Ramp Use Facebook Connect, etc. Free Payment is an Off Ramp

Build a Viral Loop Phase 1: Attract Make your usefulness obvious Sign up should be insanely easy Sign up is a big Off Ramp Use Facebook Connect, etc. Free Payment is an Off Ramp Convince them, then let them pay for more

Build a Viral Loop Phase 2: Capture

Build a Viral Loop Phase 2: Capture Simple

Build a Viral Loop Phase 2: Capture Simple Immediately Useful

Build a Viral Loop Phase 2: Capture Simple Immediately Useful It just works

Build a Viral Loop Phase 2: Capture A simple, usable, stable app is much better than a complex, hard, buggy one

Build a Viral Loop Phase 2: Capture A simple, usable, stable app is much better than a complex, hard, buggy one Most people get this wrong.

Build a Viral Loop Phase 2: Capture A simple, usable, stable app is much better than a complex, hard, buggy one So will you.

Build a Viral Loop Phase 3: Spread

Build a Viral Loop Phase 3: Spread Easy to share

Build a Viral Loop Phase 3: Spread Easy to share Reasons for sharing

Build a Viral Loop Phase 3: Spread Easy to share Reasons for sharing Direct rewards (Dropbox)

Build a Viral Loop Phase 3: Spread Easy to share Reasons for sharing Direct rewards (Dropbox) Inherent usefulness (Facebook)

Build a Viral Loop Phase 4: Grow

Build a Viral Loop Phase 4: Grow Network effect

Build a Viral Loop Phase 4: Grow Network effect More people = more useful

Build a Viral Loop Phase 4: Grow Network effect More people = more useful UDU: Use Drives Use

Build a Viral Loop Phase 4: Grow Network effect More people = more useful UDU: Use Drives Use This part is hard

Worksheet: Attract Capture Spread Grow<br />

Worksheet: Attract Capture Spread Grow<br />Don’t build your app until you have compelling features in all four columns.

Conclusion Plan your loop, then your product Cost of Acquisition Word of Mouse Use Drives Use Eliminate Off Ramps

Who the heck is this?<br />Josh Jeffryes Creative Director at BusyEvent www.busyevent.com www.jjeffryes.com Jjeffryes.blogspot.com @jjeffryes jjeffryes@gmail.com Linkedin/jjeffryes www.meetup.com/design