Exploring Missteps in Community-Driven Companies

How often do community-oriented companies falter in their mission? We strive to believe that community is integral to all our actions, yet often it falls short. The pandemic brought a surge of enthusiasm for connection, but many attempts to foster genuine community engagement missed the mark.

The truth is that merging business operations with a community mindset is a complex endeavor. Are we expecting too much from businesses to cultivate a community-driven culture?

I sought insights from others about how businesses have stumbled in their community-centric efforts. Here are some responses I received:

• Misaligned Hires: "Hiring individuals who lack a genuine understanding of community leads to decisions that feel out of place. It’s a gradual decline from there." — Gareth Wilson
• Profit Over People: "Shifting focus towards profit rather than nurturing community relationships." — Melissa Fougere
• Pressure for Rapid Growth: "Securing traditional venture capital often forces companies to prioritize rapid growth over establishing a solid community connection." — Laís de Oliveira
• Value vs. Engagement: "Overemphasis on 'delivering value' can prevent businesses from asking for help or enabling members to contribute meaningfully." — Ece Kurtaraner
• Marketing vs. Authenticity: "Many so-called 'community-led' businesses merely rebranded during the COVID-19 hype without genuinely integrating community into their operations." — Kourosh Ghaffari Ghazi Said

Reflecting on the State of Community Engagement

There's a prevailing sentiment that community initiatives often fall short. "Can we define what being community-led means? Many businesses claim this status without fulfilling the promise. Issues like poor hiring practices, undervaluing community managers, and profit-centric views skew the perspective on community." — Regina Walton

While today isn’t the day for an exhaustive analysis of community failures, I aim to discuss the framework of a community-led approach, which I describe as "Community is the Business."

The Distinction: Business of Community vs. Community is the Business

When we discuss community in a business context, it often revolves around the "Business of Community," which focuses on how communities serve business interests. This perspective can skew our understanding of community-building, prioritizing organizational goals over the needs of individuals.

This model typically implies:

• Community exists separately from the business.
• Emphasis on metrics like ROI and engagement.
• Transactional relationships, treating community as a side project.
• A competitive mindset rather than collaborative efforts.

In contrast, "Community is the Business" integrates community into the fabric of the organization, ensuring that community values are foundational to business practices.

A community-centric approach looks like:

• Business decisions that strengthen community ties.
• Genuine communication and active listening.
• Clear boundaries that prioritize community investment.

This perspective enables businesses to recognize the interconnectedness of decisions and their potential impact on community dynamics.

The Importance of Community in Business Decisions

For instance, Reddit’s API pricing changes earlier this year were a business decision with significant repercussions for the community, sparking widespread backlash and leading to numerous subreddit blackouts.

This video delves into the implications of community-driven business decisions and how they shape engagement.

Revisiting Community Models: A Balanced Approach

To tackle these challenges, it's essential to reassess traditional community models. While these frameworks have value, they often lack the necessary balance between community needs and business objectives.

For example, the Commitment Curve model is designed to guide members toward leadership roles, primarily benefiting the organization. A more balanced approach could involve defining a "Company Commitment Curve," focusing on listening to and investing in community members.

Additionally, concentric circle models aim to increase member engagement but can feel one-dimensional. By flipping this model to emphasize "Company Contributions," organizations can develop strategies that contribute positively to the ecosystem.

Strategies for Future Community Engagement

To embody the principle of "Community is the Business," organizations should appoint a Community Executive Officer (CEO) or similar role to ensure that community values are upheld in decision-making processes.

The role of a Community Executive Officer is to guarantee that business decisions align with community needs, fostering meaningful outputs from strategic inputs.

Rather than fixating solely on ROI, we should prioritize decisions that resonate with community values and make sense for the overall mission.

Understanding the community flywheel—where activities create natural momentum—is crucial. Business decisions can disrupt this momentum, leading to detrimental effects.

We must acknowledge that community exists not just in designated spaces but in daily interactions. This understanding provides a competitive edge, as these connections foster trust and facilitate growth.

In conclusion, this exploration only scratches the surface of the potential within community-driven business practices. I look forward to deepening this conversation in the future.

This video offers insights into the nature of community-centric businesses and the principles that guide them.