How to Eat an Elephant, One Atomic Concept at a Time - kwokchain

How to Eat an Elephant, One Atomic Concept at a Time - kwokchain

In the world of technology and product development, platforms are key to attracting developers and building a strong user base. Without a thriving ecosystem of add-ons and tools, new platforms struggle to meet the needs of users and compete with established players. This is why platforms endure and remain dominant in their respective markets.

One of the driving forces behind the need for a higher-level understanding of components and variants in platforms is the changing needs of customers. As customer preferences and behaviors shift, new use cases and types of users emerge. These new atomic concepts, which address the specific needs of these customers, have the potential to thrive and disrupt the market.

Legacy companies often resist changing their core products to accommodate new use cases. It's costly in terms of work, money, and attention. However, there are instances when a small use case grows into something significant enough to support its own company. Startups that identify and address these emerging atomic concepts become compelling contenders against incumbents.

The best products are those that align with how customers think about their workflow. They match the abstraction level of their customers, making them easy to use and extend in more complex ways. Figma, for example, builds on Sketch's approach but also focuses on the entire collaborative process, not just individual projects. Canva, on the other hand, provides templates and components that help users easily accomplish their tasks.

Emergent use cases and new customer types lead to the discovery of new ideal atomic concepts. These concepts cater to the unique workflows and priorities of these customers. Startups that embrace and develop these atomic concepts have a competitive advantage against incumbents.

However, navigating the transition from a traditional company to a platform is not without its challenges. Incumbents often face resistance from executives, store operators, and investors who are uncomfortable with the risks associated with such a transformation. But embracing collaboration and building out products to enable it can lead to significant changes in pricing models, distribution methods, and sharing form factors.

Marketplaces and ecosystems play a crucial role in the success of platforms. Canva, for instance, leverages its ecosystem of add-ons to address the diverse needs of its customers. This allows for personalization and customization, making the product more valuable to individual users.

Treating marketplaces as first parties has additional benefits. It increases the value of the product and cements platform network effects. Companies that introduce better atomic concepts and help push their customers forward create defensibility and extensibility for their platforms.

Founders often have a deep understanding of their product, its complexities, and its potential. However, this level of understanding is not always shared by others, including potential users and employees. Clarity is crucial, both for users and employees, to ensure that everyone is aligned and working towards the same goals.

Repetition can help employees remember what's important, but it's not as effective as having strong atomic concepts from the start. Simplified and transmissible ideas are essential for effective communication and alignment.

Companies must regularly refactor their products and narratives to avoid building up debt. Just as technical debt can hinder progress, narrative debt can lead to misunderstandings and deviations.

When it comes to news consumption, research suggests that people pay better attention to news presented on desktop than on mobile devices. Owning a mobile device may increase access to news, but it doesn't necessarily increase attention and engagement. Monetizing mobile news delivery may inadvertently decrease its democratic value.

In conclusion, building successful platforms and products requires a deep understanding of atomic concepts, customer needs, and the changing market landscape. Embracing collaboration, developing ecosystems, and focusing on clarity are key to thriving in today's competitive landscape. Here are three actionable pieces of advice:

1. Continuously identify and address emerging atomic concepts that cater to the unique needs of new customer types and use cases.
2. Build strong ecosystems and leverage marketplaces to address the diverse needs of users, making the product more valuable and personalized.
3. Regularly refactor your product and narratives to avoid building up debt and ensure clarity and alignment among employees and users.