19 Tactics to Solve the Chicken-or-Egg Problem and Grow Your Marketplace

By James CurrierMay 18, 2020

The article from NFX outlines 19 strategies for overcoming the "chicken or egg" problem in marketplace startups, where the challenge is to simultaneously attract both supply and demand. It suggests tactics such as focusing on a niche market to gain traction, employing a single-player mode to engage users before scaling, and leveraging existing networks to build initial user bases. Other strategies include creating fake supply or demand to simulate activity, using manual processes to ensure quality, and incentivizing early adopters with discounts or exclusive access. The article emphasizes the importance of understanding the specific dynamics of each marketplace and adapting tactics accordingly to achieve sustainable growth.

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