15 Comments

Interesting perspective. Emphasis on focused value. Social media is so broad and already dominated. This broadness lacks the focused value that can be provided by a game, canva-like tool, etc.

In other words single intention apps.

Haven’t thought much about superusers not just being the most engaged but also most monetized because they keep buying more.

Definitely makes me think…

Expand full comment
Sep 9Liked by Andrew Chen

Thanks Andrew great ideas!

Expand full comment

Completely agree. Many exciting trends in technology and human preference are presenting an opportunity for $20+ a month subscription tiers in consumer products. Products that provide incredible value for a small set of desperate users (but larger than 10,000,000) that are severely underserved. I'm building something in this space right now. Will apply to SPEEDRUN once I launch and get some traction! Thanks for sharing, Andrew; always enjoy reading your insights.

Expand full comment

Thought provoking as always, Andrew - and forward looking - Thanks for sharing ! Agree on the limited runway for ad-supported model. Would love your thoughts on ways to get the flywheel effect and sustainable virality from these niche audiences. Monetizable distribution would still matter, I imagine.

Expand full comment

Thank you, Andrew, for sharing your insights. You are always ahead of the curve, and it was a refreshing post to read.

Whale verticals will favor 'last movers' with deep domain expertise, profit-focused business models, and superior execution skills. And the bright future isn't in apps but in platforms tailored to B2C-2-B2B verticals.

Contrary to what many founders and investors may think, for anyone with the above 'assets,' there are more and better opportunities today than there were 15 years ago.

Expand full comment

Thanks for the insightful article, Andy! It’s highly relevant to what we’re building over at inda.band. Also, just a small note: there’s a duplicated “often” in the sentence “…tools often often scale up in terms of $ on usage…”. Looking forward to your next post!

Expand full comment

Could Substack itself be the next large horizontal app?

Expand full comment

Thank you for the insightful article. We're focusing on SEO and it is still worth investing in it because it brings us huge traffic. But eventually, it wouldn't work.

Also, our product is B2C and social media, then we've been focusing on rapid organic growth, but it's a good timing to start thinking of monetizing and becoming profitable at this moment.

Memo to myself: https://glasp.co/kei/p/36fe7484b038ead70e3b

Expand full comment

This information is invaluable. Thanks a lot Andrew for sharing :)

Expand full comment

Thank you for writing this Andrew, your words describe what we’re running into with our project- that sort of “yeah yeah we’ve seen it all…” reaction. We’ve been thinking that examples like Doximity and Muck Rack are the way forward, which align with your thinking/experience…. Keep the writing coming, it helps! Thank you-

Expand full comment

You are right. The next mass-appeal mainstream consumer app on mobile will be a 1000X social network with vertical utility workflow as its foundation. And the first hybrid Web2/3 market-network model decentralized on the front end. Where the consumer owns their privacy, data, and UGC. Where community services, not ad-supported models, are the monetizers. And then the true power of dApps emerges. Gamified systems will be a new catalyst for immersive consumer interaction. Novel dynamic mobile programmable GUIs, including multi-modal RWA tokenization and p2p payments, will become a new standard for asset leverage and monetization. The entire value chain as its own vertical market category. A new dynamic network effect. BTW, I invented and patented it all. 18-year journey. I am one of the builders you speak of. I am making an announcement on LinkedIn in three weeks.

Expand full comment

That was insightful, now i am starting to feel how "threads" by meta is now a lost opportunity. Even with the network effect its probably not going to create that impact which it may have a few years ago.

Expand full comment

An interesting perspective on these are dating apps - generational changes and additiction fatigue are opening the way for a new generation of dating products. Why would this not happen to more mainstream social media apps, you think?

Another note: "Consumers have heard it all" - only applies to all that can be made with current tech! I think this is partly why crypto was so interesting for a while - because it opened the doors to new ideas, but we all know what happened there. I think it's also partly why AI is so exciting to developers right now. The perennial question then arises: < startup : tech :: incumbent : distribution >

Expand full comment

This is very interesting. Thanks for sharing.

Expand full comment

This last play by OpenAI / Anthropic / Perplexity etc is just to get us to pay for search and knock one more ad supported model to its knees

Expand full comment