viral loops: making self-marketing apps

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An overview of how to build applications that have built-in mechanisms for driving users to recruit additional users through normal use of the application.

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Page 1: Viral Loops: Making Self-Marketing Apps
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Summary

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Summary

• Viral Loops create exponential growth

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Summary

• Viral Loops create exponential growth

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Summary

• Viral Loops create exponential growth

This is a goodproblem

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Summary

• Viral Loops create exponential growth

• Viral Loops are cheap

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Summary

• Viral Loops create exponential growth

• Viral Loops are cheap

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Summary

• Viral Loops create exponential growth

• Viral Loops are cheap• Viral Loops must be built into your

product

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Introduction

• What is a Viral Loop?

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Viral Loop:A self-fueling action loop that

drives users to create more users.

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Example:

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Example:

Not Viral: please come to my party.

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Example:

Not Viral: please come to my party.

Marketing 1.0

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Example:

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

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Example:

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

Viral Marketing

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Example:

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

Not a Loop Yet

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Viral Loop:A self-fueling action loop that

drives users to create more users,which increase engagement of

existing users.

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Example:

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

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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

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Is This A New Thing?

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Is This A New Thing?

No.

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Is This A New Thing?

All social memes areViral Loops.

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Is This A New Thing?

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Is This A New Thing?

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Is This A New Thing?

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Is This A New Thing?

It’s still viraleven when transmittedvia town crier.

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Viral Loops Are:

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Viral Loops Are:

Self-Spreading

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Viral Loops Are:

Self-Spreading• They use existing social mechanisms

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Viral Loops Are:

Self-Spreading• They use existing social mechanisms• You trust your friends

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Viral Loops Are:

Self-Spreading• They use existing social mechanisms• You trust your friends• You want to do what your friends do

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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

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Viral Loops Are:

Inexpensive

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Viral Loops Are:

Inexpensive

Cost = Almost Zero

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Viral Loops Are:

Inexpensive

Cost of Acquisition

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Viral Loops Are:

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Viral Loops Are:

Initial Cost of Acquisitionis high per person.

It drops to almost zero over time.

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Viral Loops Are:

Exponential

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Viral Loops Are:

Exponential• 1 person recruits 1 more person

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Viral Loops Are:

Exponential• 1 person recruits 1 more person• 2 x 2 = 4

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Viral Loops Are:

Exponential• 1 person recruits 1 more person• 2 x 2 = 4• 4 x 4 = 16

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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

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Ok, so all of that is great, but

how do they work?

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4 Stages

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4 Stages

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Stage 1: Attract

On Ramps

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Stage 1: Attract

On RampsActive:

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Stage 1: Attract

On RampsActive:• Friends and Family

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Stage 1: Attract

On RampsActive:• Friends and Family• Interrupt and Annoy

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Stage 1: Attract

On RampsActive:• Friends and Family• Interrupt and Annoy• Ad Words

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Stage 1: Attract

On RampsActive:• Friends and Family• Interrupt and Annoy• Ad Words• Early stages may require desperate measures

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Stage 1: Attract

On RampsPassive:

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Stage 1: Attract

On RampsPassive:• Search Engines (SEO)

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Stage 1: Attract

On RampsPassive:• Search Engines (SEO)• Be an Expert

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Stage 1: Attract

On RampsPassive:• Search Engines (SEO)• Be an Expert• Reviews

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Stage 1: Attract

On RampsPassive:• Search Engines (SEO)• Be an Expert• Reviews• Word of Mouse

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Stage 1: Attract

On RampsPassive:• Search Engines (SEO)• Be an Expert• Reviews• Word of Mouse

Congratulations, you went viral!

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Stage 2: Capture

Engagement

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Stage 2: Capture

Engagement• Immediately useful

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Stage 2: Capture

Engagement• Immediately useful• It just works

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Stage 2: Capture

Engagement• Immediately useful• It just works• Beware Off Ramps

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Stage 2: Capture

Engagement• Immediately useful• It just works• Beware Off Ramps• I don’t get it• It’s broken• You’re annoying me

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Stage 3: Spread

Sharing

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Stage 3: Spread

Sharing• Easy to share

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Stage 3: Spread

Sharing• Easy to share• Obvious reasons

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Stage 4: Grow

Engagement

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Stage 4: Grow

Engagement• Multiplier effect

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Stage 4: Grow

Engagement• Multiplier effect• Use Drives Use

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Stage 4: Grow

Engagement• Multiplier effect• Use Drives Use

Important!

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4 Stages

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Examples

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Examples

Ebay

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Examples

Ebay• Attract: extremely strong

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Examples

Ebay• Attract: extremely strong• Capture: extremely strong

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Examples

Ebay• Attract: extremely strong• Capture: extremely strong• Spread: very weak

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Examples

Ebay• Attract: extremely strong• Capture: extremely strong• Spread: very weak• Grow: nothing. Nada. Zilch.

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Examples

Ebay• Attract: extremely strong• Capture: extremely strong• Spread: very weak• Grow: nothing. Nada. Zilch.• Maybe this is their problem

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Examples

Ebay• Attract: extremely strong• Capture: extremely strong• Spread: very weak• Grow: nothing. Nada. Zilch.• Maybe this is their problem• They should be Groupon

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Examples

Twitter

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Examples

Twitter• Attract: moderately strong

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Examples

Twitter• Attract: moderately strong• Capture: strong

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Examples

Twitter• Attract: moderately strong• Capture: strong– Very few off ramps

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Examples

Twitter• Attract: moderately strong• Capture: strong– Very few off ramps

• Spread: moderate

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Examples

Twitter• Attract: moderately strong• Capture: strong– Very few off ramps

• Spread: moderate• Grow: moderate

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Examples

Twitter• Attract: moderately strong• Capture: strong– Very few off ramps

• Spread: moderate• Grow: moderate– Off Ramp: too much noise

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Examples

Twitter• Attract: moderately strong• Capture: strong– Very few off ramps

• Spread: moderate• Grow: moderate– Off Ramp: too much noise– Use Kills Use

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Examples

Facebook

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Examples

Facebook• Attract: strong

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Examples

Facebook• Attract: strong• Capture: strong

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Examples

Facebook• Attract: strong• Capture: strong• Spread: strong

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Examples

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

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Examples

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

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Time To Get Rich

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Time To Get Rich

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Build a Viral Loop

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Build a Viral Loop

• Plan Your Loop First

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Build a Viral Loop

• Plan Your Loop First• Build Product Second

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Build a Viral Loop

• Plan Your Loop First• Build Product Second

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Build a Viral Loop

Phase 1: Attract

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Build a Viral Loop

Phase 1: Attract• Make your usefulness obvious

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Build a Viral Loop

Phase 1: Attract• Make your usefulness obvious• Sign up should be insanely easy

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Build a Viral Loop

Phase 1: Attract• Make your usefulness obvious• Sign up should be insanely easy– Sign up is a big Off Ramp

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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.

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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

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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

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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

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Build a Viral Loop

Phase 2: Capture

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Build a Viral Loop

Phase 2: Capture• Simple

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Build a Viral Loop

Phase 2: Capture• Simple• Immediately Useful

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Build a Viral Loop

Phase 2: Capture• Simple• Immediately Useful• It just works

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Build a Viral Loop

Phase 2: Capture

A simple, usable, stable app is much better than a

complex, hard, buggy one

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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.

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Build a Viral Loop

Phase 2: Capture

A simple, usable, stable app is much better than a

complex, hard, buggy one

So will you.

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Build a Viral Loop

Phase 3: Spread

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Build a Viral Loop

Phase 3: Spread• Easy to share

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Build a Viral Loop

Phase 3: Spread• Easy to share• Reasons for sharing

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Build a Viral Loop

Phase 3: Spread• Easy to share• Reasons for sharing– Direct rewards (Dropbox)

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Build a Viral Loop

Phase 3: Spread• Easy to share• Reasons for sharing– Direct rewards (Dropbox)– Inherent usefulness (Facebook)

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Build a Viral Loop

Phase 4: Grow

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Build a Viral Loop

Phase 4: Grow• Network effect

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Build a Viral Loop

Phase 4: Grow• Network effect–More people = more useful

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Build a Viral Loop

Phase 4: Grow• Network effect–More people = more useful

• UDU: Use Drives Use

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Build a Viral Loop

Phase 4: Grow• Network effect–More people = more useful

• UDU: Use Drives Use– This part is hard

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Worksheet:

Attract Capture Spread Grow

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Worksheet:

Attract Capture Spread Grow

Don’t build your app until you have compelling features in all four columns.

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Conclusion

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

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Who the heck is this?

Josh JeffryesCreative Director at BusyEvent

www.busyevent.comwww.jjeffryes.com

Jjeffryes.blogspot.com@jjeffryes

[email protected]/jjeffryes

www.meetup.com/design