Why Reed’s Law Powers Social Networks
Feb 24th, 2009 by David Svet
In “The Law of the Pack” (Harvard Business Review, 2001) David P. Reed showed why Metcalfe’s Law underestimates the value of a group-forming network as it grows. He shows that the true value of a network rests not in its nodes, but in its connections.
In short, Reed’s Law shows that the utility of large networks, particularly social networks, can scale exponentially with the size of the network.
For a more detailed but easy-to-understand explanation (by the man himself) check out this article in Context magazine: Weapon of Math Destruction.
So what does this mean to nonprofits using social media?
- Increasing the number of individuals in your networks isn’t the goal: it’s the means to an end (more connections)
- If you want to empower your base and maximize the power of networks, then you want to help your constituents make connections whenever you can
- To succeed you need to seek out online supporters (e.g., established bloggers, top Twitter users) who have many REAL connections and recruit them to your cause
- You want to increase your opportunities for creating connections by using a variety of social networking sites in an integrated manner
By design, social media tools can help you create a connection-rich network. Here’s a very basic example: if your nonprofit has a Facebook page, when someone becomes a fan, that appears as a news item in their friends’ news feeds. Anyone they are connected to has the opportunity to click through and become a fan as well.
This has the potential to bring together people who were already supporters of your organization before making the Facebook connection. It also has the power to extend your reach to like-minded individuals who may not be familiar your organization, but care about your cause and trust the person who has shown support your organization.
And this basic level network building is just the tip of the iceberg.
How to cultivate exponential growth
If you tie all your social media channels together in a fully integrated way, you can truly tap into the exponential power of Reed’s Law. Consider that each person (node) you add to the network creates opportunities for that person to connect with each other person - as pairs, as trios, as foursomes, etc. The addition of each person has the potential to spawn an immense number of new connections.
According to Reed, it’s the connections that add value and create utility. You can capitalize on this by providing the ideal conditions for self-forming groups and by nurturing new connections when you see the potential for increased value. Simply providing tools that groups can use to communicate with one another will go a long way toward making this happen. Including a web-based “dashboard“ that provides communications resources that your supporters can use and customize will empower the groups to make use of their connections.
With the right social media tools in place - and a firm grasp of Reed’s law driving your decisions - your constituent base can proliferate into an exciting wellspring of support and inspiration.
