Why is Facebook successful? Michael Zeisser's 4 Rules, DEMOgala 2011Nov 17
The Denver DEMOgala on Oct. 14th only lasted eight hours, but I'm always reminded of that day's lessons. One speaker in particular continues to invigorate my interest for our industry. That speaker was Michael Zeisser. Zeisser challenged the audience to learn more, be more and do more in their professions. He was the keynote speaker and also the Senior VP of Liberty Media Corporation. Liberty Media Corporation owns interests in a borad range of media, communications and entertainment businesses. He used his experience at Liberty Media Corp. to pass along expert advice to crowd.
Zeisser beleives, once you fall behind, you’ll never catch up. In order to not fall behind, we must learn from the mistakes of those before us. He demonstrated his point by using various social media networks as examples. He discussed why many failed and a just a few were successful, revolutionary in fact. Successful social media networks have a few things in common. They embrace new ideas while learning from the mistakes of other social networks. They also seem to have a few other things in common. Zeisser listed out 4 rules that Facebook, Twitter and other successful companies abide by.
- Always staying relevant to your users and to your market
- Gain scale, not size
- Scale = dominant market share
- You gain scale by specializing, being the best and what you do, and continuing to progress
- Building Network Effects
- The best way to demonstrate this is by example: Google - Every person that uses the Google search algorithm makes the algorithm for every other person that uses it. Hence, Network Effects
- Management 1.0 - Management style of the past. 1.0 does not encourage innovation and equality. Chracteristics include: optimization, hierarchy, command and control
- Management 2.0 - Management style of the future. Encourages all ideas and healthy work environments. Characteristics include: Inspirer in Chief, imagination, problem solving