Did you know that our brains are biased towards the negative? That negative orientation is probably why we are more familiar with a vicious cycle than a virtuous one. Yet, a virtuous circle also known as the snowball effect is a recurring cycle of events that reinforces itself through feedback resulting in continuous improvement. It is the process that underpins Amazon's Flywheel.
In 2001, Jeff Bezos sketched what he called the virtuous cycle on a napkin. Data is collected during each customer experience. That data is used to refine the customer profile. The more a consumer uses Amazon, the more data is assembled ultimately creating a personalized experience for millions of users. Each iteration moves a potential buyer through the sales funnel until Amazon is recommending products customers didn't know they needed.
Amazon's feedback loop allowed the company to inform its product design. As the company interjected data earlier in its customer experience design, the better the end results and at a lower cost to the company. Without data, Amazon would not realize its virtuous cycle.