Distribution vs Product

What this short covers

The idea that distribution is more important than product, suggesting that even a mediocre product can succeed with excellent distribution strategies, while a great product can fail without them. It encourages founders to prioritize how they will reach their customers.

Transcript

This chart demonstrates that distribution beats product. Slack was able to be first to market. They created an amazing thing to collaborate between teams. But one thing is for sure is that Microsoft had a crazy amount of distribution. When distribution is proprietary, you know, distribution is always going to win. Think about Comcast versus perhaps Netflix. When distribution is commoditized, typically the best product will win, such as Chrome versus, let's say, Internet Explorer. And when the product is commoditized, typically the best service will win. Like in this case, for example, it could be Amazon versus others. And lastly, when the service is commoditized, the best network wins. Again, take a look at this graph. It's absolutely ridiculous. If you're raising money, go to startupf fundraising.com and raise capital with AI to raise three times faster.

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