IPOs in 2020 have been quite the rollercoaster ride, with some companies experiencing a significant jump in their stock prices on the first day of trading, while others struggled to meet expectations. According to data, only 25% of companies ended the day trading lower than their IPO price, while over 25% of companies ended the day trading more than 50% higher than their IPO price. This phenomenon is commonly known as the "IPO pop."

IPOs in 2020 have been quite the rollercoaster ride, with some companies experiencing a significant jump in their stock prices on the first day of trading, while others struggled to meet expectations. According to data, only 25% of companies ended the day trading lower than their IPO price, while over 25% of companies ended the day trading more than 50% higher than their IPO price. This phenomenon is commonly known as the "IPO pop."

Out of the 61 IPOs in the US in 2020, the median company that went public had a "pop" of 20% on the first day. This means that investors who were able to buy shares at the IPO price saw a 20% increase in the value of their investment within a single day. However, it's important to note that this doesn't mean that all IPOs are guaranteed to have a positive pop. There are still risks involved, and not every company will experience the same level of success.

One interesting aspect to consider is that the 61 companies that went public in 2020 raised $6.7B less than they would have been able to if their IPOs had been priced at what the market valued the company. This discrepancy highlights the challenge faced by institutional investors who want to make a return on their investment. Their goal is to get the stock as cheaply as possible, but they also need to ensure that the company raises enough capital to fund its growth and expansion plans.

Now, let's shift gears and talk about motivating users to invite their friends to a new platform. When users begin inviting the people they know to join a platform, it can have a significant impact on its growth. Studies have shown that a sense of belonging is recognized as an important determinant of psychological and physical well-being. Relationship building, involvement, and identity building are key factors that contribute to this sense of belonging.

According to a source, 78% of users feel that relationship building is a crucial aspect of their online experience, while 69% value involvement in the platform's activities and discussions. Additionally, 68% believe that the platform helps them build their identity. These statistics highlight the importance of creating a platform that fosters meaningful connections and provides users with a sense of purpose.

However, one challenge that many platforms face is that they are only useful if users have friends and connections on the platform. This can be a barrier to entry for new users who may not have an existing network on the platform. To overcome this hurdle, it's crucial to ensure that new users quickly realize the magical moment or the unique value proposition of the platform. They need to understand the importance of bringing in a couple of friends to fully avail of the benefits it offers.