Fostering Commercial Expansion via Leveraging Mutual Interdependence
Kristin Savilia leads JOOR.
In business, tech, infrastructure, and product quality all matter, but the power of networking can make or break a company. Finding the right network is vital for business success. Still, it can mean collaborating with the right suppliers and manufacturers, attending suitable trade events, or joining the right B2B platform.
But where do you find the perfect network for your business? It's not always about following competitors to platform giants.
As head of JOOR, I'm frequently asked why some B2B platforms excel, while others struggle, despite sharing similar technologies. My answer? Network effect! This means that a network becomes more valuable as more people participate, making it more attractive to new users, creating a cycle of growth. The network grows naturally as users promote it.
Unraveling the Network Effect
A thriving network relies on its strength and volume of users to grow and provide an excellent experience. However, a small network may be too limiting. Like software, the more data (people) it collects, the better it learns (improves).
Quality and Quantity Matter
Choose a B2B platform that corresponds with your product and aligns well with your business objectives. Vertical networks with deep industry connections can help maximize the network effect. It's crucial to ensure the network consists of the right people for your business and that its members are eager to form new partnerships.
Finding a Network in 2025
Technology advancements suggest 2025 will witness digital networks transforming industries. Being part of the right network can help your business scale and thrive, giving you the chance to form valuable connections and establish long-lasting partnerships.
Closed or Open for Business?
Management research found that around a third of B2B platforms fail to leverage the full potential of network effects by operating as closed portals. Both open and closed networks can prosper, with each offering unique benefits.
Open networks provide a vast pool of potential connections but can become cluttered with inactive members. Closed or paid networks give a targeted approach and value insights. They may not be ideal for new brands due to their cost, but they tend to attract powerful brands that require a certain level of exclusivity.
Don't Let Big Names Influence You
While big-name partners can signal a good network, consider their openness to collaboration. Partnering with a major player may not benefit you if they show no interest in fostering relationships with businesses like yours.
Focus on the Future
Consider not just the size of the network, but the quality and industry dynamics. Networks with a diverse range of members offer multiple growth opportunities, especially in markets like fashion where independents are growing in prominence.
- Kristin Savilia, as the head of JOOR, often reflects on the success of various B2B platforms, attributing it to the network effect, which increases a network's value as more people participate.
- In the digital age of 2025, finding the right network for your business is crucial for growth and success, as it can provide an excellent experience and maximize the network effect, particularly for businesses in the fashion industry where independents are growing in prominence.
- When choosing a B2B platform, Kristin Savilia advises aligning with one that corresponds with your product and objectives, and emphasizes the importance of a network comprised of the right people for your business, willing to form new partnerships, regardless of the network being open or closed.
