From the gigster faq "Profits come later when we are at scale"

From the faq.

1. This is dangerous if there is no clear plan on what competitive advantage scale gets you.

- Is it network effects? - Is there some other benefit that i am missing? Would it drive down the marginal costs of the project once you have an existing library or ways to optimize the process?

2. I have a theory, running at a loss, free or with no bus model only makes sense in a few cases:

- strong network effects (fb, twitter etc) - High LTV for customer, together with low churn. - Proxy for demand/supply. For e.g Solving a customers problem on one side. This may be low cost or even free, eventually you bring in the other side of the market - The scale gives you access to data that no-one else can get. This allows you to be much more efficient / cross subsidise etc.