How do companies solve no user no content, no content no user problem?
Let say I have launched a platform where merchants can advertise their products and customers can browse and buy products. Initially after launched, there will be zero merchants and zero customers using the platform. Merchants are not interested to advertise their product on platform because there is no users. Users are not interested to use the platform because there is no merchants advertising on the platform. How do companies soft such loop of no user no content, no content no user problem?
Offer incentives for merchants to add it and incentives for the first couple of purchases for consumers. Upside.com offered free $200 Bose headphones for the first $600 in bookings. They probably got a deal from Bose for these headphones (less than $200), but the perceived value for the end user was greater than the cost, and it was enough to get me to try out the site.
Jet.com offered 15% off the first 3 orders.
For merchants, ease of product upload is important, as is low transaction cost or monthly cost.
Some companies, such as fastline.com, scrape inventory listings off of major sites and refer leads to merchants for free to get SEO and also prove to the merchant that the site gets viable traffic.
Lots of creative ways to structure that!
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