Analytics: The Solution To Generative AI Apps’ Product Problem


In the world of artificial intelligence, large language models (LLMs) have become increasingly common. With the release of ChatGPT and similar models, it has become relatively easy to deploy an AI assistant by simply utilizing existing models and implementing some APIs for user interaction. However, relying solely on the technology behind these models is not enough to ensure the success of an AI app. In fact, the true differentiator lies in the application layer.

Key Takeaway

When it comes to generative AI apps, the technology itself is not enough. Companies must focus on understanding user problems and innovating with product design. TikTok’s success showcases the importance of leveraging the algorithm in a unique way and providing exceptional creator tools. To stand out in a competitive market, it is crucial to build a comprehensive ecosystem around the AI app.

While technology can be replicated and accessed by any competitor, companies that truly understand and address their users’ actual problems will have the upper hand. This means that focusing on product innovation and design is crucial for standing out in a crowded market.

TikTok: The Power of Product Ingenuity

An excellent example of this concept is TikTok. Though not a generative AI application, TikTok’s success goes beyond its algorithm. Other recommendation engines with powerful algorithms exist, but TikTok stands out due to its product decisions and design.

TikTok’s algorithm follows the same principles as other recommendation engines, suggesting content similar to what users already like and recommending content that people with similar interests enjoy. However, the platform’s unique packaging of the algorithm is what sets it apart. By creating an endless stream of short-form videos where users can effortlessly vote with swipes, TikTok has maximized the rate at which it can learn user preferences and improve its algorithm.

But that’s not all. TikTok also prioritizes providing best-in-class creator tools. Users can film and edit videos directly from their smartphones, without the need for any video production experience. This emphasis on empowering creators has contributed to the platform’s success.

Paving the Path to Innovation

Today, the competition among short-form video apps is not solely about the algorithm. Having a captivating algorithm is now the minimum requirement. To truly stand out and succeed, these platforms need to offer a comprehensive ecosystem. This includes fostering a loyal user base, providing revenue opportunities for creators, implementing effective content moderation, and offering various other features.

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