A Checklist for Online Disruption

On November 13, 2012, Bill Gurley, a partner at Benchmark Capital, posted a remarkable essay on his blog. In it, he described the, “10 factors to consider when evaluating digital marketplaces.” Given the tremendous value marketplaces create and how hard they are to get right, I found this essay to be a goldmine of insight.

I teamed-up with my friend and blogger Sangeet Paul Choudary, to digest Bill’s post into a more memorable format. The result is this brief checklist we hope will help take some of the luck out of evaluating marketplace businesses.

As Bill wrote, “It is unlikely that you will find a marketplace opportunity that would score ten out of ten with respect to this list.” But according to Bill, the odds of success improve the more of these characteristics the business exhibits.

If you are viewing this post over email and having trouble seeing it, click here.

About NirandFar

NirandFar is about the intersection of psychology, technology, and business. I call it "Behavioral Design."

I write to help companies design consumer behavior while educating individuals about behavior change and digital distraction. Feel free to read more about me here.

CONTACT NIR

Contact Nir Eyal

Follow @NirEyal

Subscribe and get Nir's latest articles