This paper critically examines the concept proposed by Hagel and Armstrong in their 1997 book "Net.gain," which advocated for using online communities to transform individuals into loyal customers, thereby creating continuous revenue streams. Contrary to their optimistic view, the paper argues that current economic conditions indicate that commercial online communities are not the panacea for Internet business profitability previously suggested. It delves into the challenges not present in the early stages of online community development, focusing specifically on issues related to audience characteristics and the exploration of business model alternatives. The paper emphasizes the need for careful consideration of these factors before leveraging online communities as a tool for enhancing customer loyalty and revenue generation.
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Andrews, Dorine. "Considerations in the development of commercially based online communities." (2001).
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