Slack’s operating model aligns with its business model to deliver on its value proposition of making customer’s lives easier. Teams fall in love with the platform, using it becomes a habit, and over time many opt in to paying for the premium model that offers even more capability and value. This leads to a “stickiness” in that the more your team uses Slack the more valuable it becomes for your company. In addition, as more communication and data is archived in the platform it makes it a hassle for teams to leave. As teams start using Slack, information on the platform’s value spreads organically through word of mouth and because it is free and easy to test more and more people try it out. Slack draws users in by offering a free version of its platform that is easy to sign up for and delivers a lot of value.
Value Capture: Slack successfully utilizes “freemium” pricing in an advertising dominated world. For example, Slack increases collaboration, people can easily stay engaged in work conversations wherever they are, it improves efficiency of meetings, facilitates remote teams, offers better prioritization of messages, helps build team culture, and the list goes on and on. One only has to look at Slack’s “Wall of Love” to learn why so many users adore Slack.
Value Creation: Slack makes lives easier by offering simple, easy-to-use team communication that provides a more enjoyable and efficient experience than email. Slack has been so successful because of tight alignment between its business and operating models. Pathways to Just Digital Future Watch this tech inequality series featuring scholars, practitioners, & activists
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