DistributionEmerging Pattern
Own the transaction, not just the discovery - being a referral layer to incumbents means building distribution for competitors
When you help users discover products or services but the transaction happens elsewhere, you've created value for competitors instead of capturing it yourself. Discovery without transaction ownership creates a leaky funnel where user engagement flows directly to trusted incumbents.
When to use
When designing business model in markets with established transaction platforms; when evaluating whether discovery features create defensible value
Don't do this
Building discovery features without transaction integration, assuming users will switch transaction platforms because they like your discovery experience
1 Founder Who Did This
1
Destiby Imri Goldberg, Mosi Shuchman, Nadav Gur
Desti built AI-powered travel discovery that users found useful for finding destinations and recommendations
Result:Users completed bookings through TripAdvisor and other trusted platforms, generating zero revenue for Desti despite user engagement
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