Nick Griffin

Nick Griffin, Head of Investments at Munro Partners, says network effects strongly dominate the digital business world. A network effect is when a good or service becomes more valuable as it’s more widely adopted, creating a virtuous cycle. Examples include Google, or closer to home, and “Once you have that network effect, for instance, with, it’s very hard to take it away… Ultimately, it’s not the customer who pays REA that is deciding whether to search at REA or not. It is the consumer, and the consumer is looking at it for free.” In this video, he explains why even Google has failed to compete against businesses with established network effects.


Please sign in to comment on this wire.
Medium 96853c0e2dd18a1ef79b19f485d602901404095827

Foster Stockbroking

Good clip/article. Have you looked at ASX-listed Updater (UPD.ASX). Ticks a lot of the boxes to achieve network effect...

Join the conversation