Flywheel

Imagine a steam engine with a large, very heavy, metal, circular, suspended wheel (see above). This is referred to as a flywheel. To get the wheel moving takes serious effort, but once it's rotating, it picks up speed, requiring less and less effort to maintain momentum. Soon, it spins on its own. This has been analogized as a useful strategy concept for describing the power of building momentum through consistent, aligned actions over time (popularized by Jim Collins in Good to Great).

How a Flywheel Works in Strategy

In business, a flywheel strategy means identifying key actions that build on one another, reinforce each other, and gradually build unstoppable momentum. When each action supports and amplifies the next, growth becomes sustainable and even exponential. Unlike "quick wins" or "isolated, once-off efforts," a flywheel approach is about playing the long game—knowing that with each turn, you’re adding to something that will eventually run on its own.

One of the most well-known examples of a flywheel in Strategy is Amazon.

By offering a wide selection of products, Amazon improves customer experience and attracts more customers. More customers lead to more traffic, attracting more third-party sellers on the platform and further increasing product variety. This variety lowers prices due to competition, attracting even more customers—and the cycle continues.

Another less well-known example is the upstart, rapidly growing media company Morning Brew. Their flywheel operates at the intersection of content quality, audience growth, advertiser value, and talent attraction, creating a self-reinforcing loop that drives sustained growth.

1. High-Quality, Engaging Content: Morning Brew’s crisp, witty, and relevant business news captivates its core demographic of young professionals, establishing trust and fostering daily readership.
2. Audience Growth via Referrals: Satisfied readers share the newsletter with peers, amplified by referral incentives like swag or exclusive content. This organic growth expands the subscriber base rapidly.
3. Increased Advertiser Appeal: A larger, highly engaged audience attracts premium advertisers seeking access to Morning Brew’s niche demographic. This boosts revenue, enabling further investment in content quality.
4. Talent Attraction:?As a well-known, favorable brand among the young professional demographic, up-and-coming, talented media personalities are drawn to work for MB, and these talented individuals create more good content and develop recommendations for enhanced product offerings.
5. Enhanced Product Offerings: With more resources and talent, Morning Brew can innovate its content delivery, introduce new verticals (e.g., industry-specific newsletters, engaging podcasts, niche events), and improve user experience, solidifying its position in the market.

Each element feeds the next, creating compounding momentum. By meticulously balancing audience engagement with advertiser value, Morning Brew has turned its flywheel into an engine of growth, transforming from a small newsletter to a media powerhouse.

Creating Your Flywheel

1. Identify Core Drivers: Start by pinpointing three to five key activities that can reinforce each other. Think about your unique strengths and resources—what activities consistently produce results?
2. Map Out a Sequence: Look at how each driver can connect to the next in a cycle. For example, if you’re a business, you might focus on customer satisfaction, which leads to referrals, which attract more customers, allowing you to reinvest in better service.
3. Invest in Each Push: Building momentum takes effort initially. Be patient and give each driver a strong push, knowing that the effort will build. This could mean increasing content production, refining your service, or doubling down on customer relationships.
4. Measure and Adjust: As the flywheel picks up speed, track progress and refine your actions. If one driver isn’t contributing to the flywheel’s motion, consider adjusting it to improve momentum.

Start Small, Build Big

A flywheel strategy isn’t about instant results—it’s about building something that, over time, requires less effort and delivers more impact. By focusing on actions that reinforce each other, you can create a self-sustaining system that fuels your long-term growth and success. Remember, the initial effort might be heavy, but each push brings you closer to unstoppable momentum.