Lesson #4: “Treat People Like You Want to Be Treated”

Newmark considers himself a "rabid civil libertarian," an ideology he diligently applies to management of his site. "There are different flavours of libertarianism, but my take is that its core values are ‘treat people like you want to be treated' and ‘live and let live,' which works for most humans," he says. "We provide a useful service, helping people with everyday stuff like jobs and housing and we do it in this culture of trust that seems to relate to a value system where the core values are treating people like you want to be treated."

Craigslist makes it easier for everyday people to get everyday stuff done, stuff like selling things and finding apartments. On top of that, "it has helped people who have a hard time meeting other people," says Newmark. "They're using the site and becoming friends, lovers, and every possible twist on those two situations."

It is all about giving people a break, as the Craigslist company motto touts. "A break from how difficult our lives are, " says Newmark. "It's like, if you're walking out of your apartment building and somebody is coming the other way with an armful of groceries, you hold the door. It feels good - it's the neighbourly thing to do."

Newmark has taken that neighbourhood online. And, in his role as neighbourhood watch, so to speak, Newmark has made it his top priority to make sure that user cooperation continues as smoothly as possible. "I remember hearing at IBM that if you focus on your customers, then treat them as you want to be treated, that's more effective and profitable," he says. "That's works, though people often forget it."

People often forget that Newmark spent years in the traditional corporate world before venturing off onto his own as an entrepreneur - years that taught him many lessons. He learned that "large organizations are usually dysfunctional," he says. "In hierarchies people tell their boss what their boss wants to hear; that business process for engineering is a great idea and usually not done; that line workers in a company want to do things right but they get beaten down by the prevailing corporate culture; and that customer service is extremely important but not taken seriously."

To that end, Newmark says he has learned to "obsess about customer service." Of all his endeavours, his greatest sense of satisfaction comes from "a sense that we're helping out lots of people." Three of his employees work with him full-time on customer service as well. "We have our lapses," he says, "but I think we do this as well as anyone I've ever heard of."

It is by providing a service that is free and that actually helps people, and by ensuring first-class responses to their demands that Newmark has been able to secure the loyalty and trust of his users.