In this write up, we are going to disclose all the basics to get started with Digital Platform. Here we will discuss the platform strategy, digital platform, Platform Strategy for business benefits, framework, best practices, challenges and much more.
So, let’s get started!
What is Digital Platform?
Digital platforms are the online solutions that enable the execution of multiple tasks in the same place through the internet. Developing a digital marketing strategy includes a series of information that one should carry out and continuously monitor to broader the online presence. The absence of Digital Platform makes everything expensive and hard to achieve.
Why Digital Platform?
The main aim of Digital Platforms is to enhance the collaboration between end-users and producers to transact with each other. These platforms enable users to share different information like new products and services and connect the platform’s ecosystem. Creating a robust network for increasing value is also made possible by this technology.
The development of digital platforms can be boosted by the third-party providers of APIs (Application Programming Interfaces), which let participants share the data for developing new services.
What is Platform Strategy?
A Platform strategy aims to penetrate the online market just by focusing on allowing one segment of participants to benefit from the presence or interaction of others. Traditionally it is supposed that clients can determine their willingness to pay for a service or product independently. However, Platforms can break this assumption as the participation of a user segment on the platform is interdependent on user choices.
Formulating a Platform Strategy for business requires somewhat different products to help entrepreneurs and managers the challenges to create and capture values.
Platform Strategy Framework
First, the network effect is to bring together market participants, which means that more clients attract a more significant number of vendors and partners, and vice versa. Platform Strategy for business varies the cost and risk burden to create markets from the business to a network. As the system collects its dynamic momentum, the platform owner reacts as a facilitator to spread that burden between a growing number of participants.
Second, the concurrence of technologies like cloud governance, automation, analytics, AI, mobile and the industrial internet—is developing a new “as-a-service” economy. In this field, services are dynamic, on-demand and targeted. It makes a massive impact on the cost to serve, investment levels and speeding up the market. By integrating business technologies, software and infrastructure to make them available “on-demand,” large and small organizations can benefit from the plug-in, modular, scalable services. Entrepreneurs are particular beneficiaries here; even without the constraints to fund the full costs of a platform business upfront, which have access to new markets and distribution channels.
Finally, open and shared data can be mined intelligently with the help of specialists and adjacent industries to create new forms of the existing values. Insights might be created from monitoring customer behaviour at scale or from applications or machines that are being used in the field. Indeed, the large amount of data is being generated today and estimated to double in every two years to 2020. This agile and collaborative way of working is catching many organizations off-balance to create Platform Strategy for business.
What are the benefits of Platforms Strategies?
Platforms are responsible to enable efficient interaction among participants using data about participants and their platform usage. They do it with the following mechanisms:
- Search or Discover
Some of the best advantages of digital platforms are as follows:
1. Network Effects
All the tech giants like Google, Facebook, and Amazon have been so successful because they have explored the phenomena often cited by economists as network effects. At a primary level, network effects describe how the value of a network or service becomes disproportionately more valuable to its users the more users there are.
2. Difficult Competition
The double-sided platform, which brings vendors and buyers together can be a powerful way to keep competitors out of the market and hamper their success by reducing the requirement of continually speeding a large amount of marketing.
3. Create value
Platform Strategy for business tries hard to deliver value to its customers and receive money in return. The platforms like Facebook can twofold the payment and grab the attention of users and invest it in advertising their services.
Best Practices for Platform Engineering
Today thousands of companies are reducing their old advertising budget and increasing their digital marketing efforts and so knowing platform strategy best practices is essential.
1. Define goals and objectives
Before starting, businesses must know their aim or where they want to go. While this, each company is to be profitable as it has to dig deeper to define its digital marketing goals.
2. Set key channels
Since omnichannel marketing can be beneficial to some businesses, but there are rare chances that there are companies that need to use all digital marketing channels. So, it is essential to define the key channels for the objectives of the companies as it is one of the best practices for platform engineering.
3. Develop a content strategy
Thousands of brands are increasing their investment in content marketing. Whether it be emailing, social media posts, blogs, or visual content, it is what the Internet is built on.
4. Create and stick to the calendar
Once you get the content, create a calendar or timeline for the consistency of content. Then, make a marketing channel with multiple pieces of content for managing and let this calendar act as the underpinning of your digital strategy.
The most important best practices for platform engineering after making a plan is the implementation. Planning and thinking are the two things that are “going to work”. Therefore, for the implementation of Platform Strategy for business, you have to consider everything that has been developed with a realistic mindset and evaluate it objectively on business objectives.
Biggest Challenges of Digital Platforms
- Using online platforms
- Equipment and connectivity
- Lack of face-to-face interaction
- Platform co-operativism
Factors of Platform Strategy
Five factors that generate the network effects and critical mass crucial to the success of platform ecosystems :
Highlight the five underlying environmental enablers that are necessary for platforms to flourish
- Digital user size and savviness
- Digital talent and entrepreneurship
- Technology and governance
- Open innovation culture
- Policy and regulation
Best Digital Platform Services
1. Best Digital Platform Services
Infrastructure Automation Platform: Organizations that automate their IT infrastructure can streamline network, IT and data management processes, which makes the entire digital organization more responsive and efficient. In addition to increased agility and flexibility. In the past a few years, a reduction of cloud costs by up to 27% by using automation.
DevOps is a technique to foster a highly productive culture of collaboration between Development (Dev) and Operations (Ops) teams. The main aim of DevOps Services is to eliminate the constraints, reducing the development cycle times, and facilitating the success of production deployments of the products. These services make it possible to deliver the best quality at the lowest possible cost.
In order to deliver services quickly and with fewer resources, organizations use more than one cloud services provider, like Amazon Web Services (AWS), Azure, and Google Cloud Platform. Multi-Cloud Management strategy involves the use of multiple cloud services from various public cloud hosting providers, in combination with an on-premises virtual, private, or physical cloud infrastructure. IT companies need to manage their IT infrastructure, not just the cloud.
Data integration is the method that involves combining data from various sources into a single unified vision. It starts with ingestion, cleaning, mapping to transformation in a particular given collector, and finally, converting it into more exploitable elements and essential to those who access them.
There are technologies that present the user with statistics or data which is required to make decisions. The data that users see in the form of graphs, diagrams, charts, etc., is the output of analyzing massive data sets in real-time.
MLops frameworks and environments that support machine learning lifecycle management. Machine learning operations, MLOps are the best practices for businesses to run AI successfully with the help of various software products and cloud services.
7. API Testing
Automated testing is a critical component of the software quality control procedure. However, testing the REST (Representational State Transfer) APIs can be tricky. Many who resort to manual REST API testing overlook the information and miss out on ways to save time.
8. Embedded Analytics Platform
The embedded analytics platform is a business intelligence engine that allows businesses to analyze and combine the master data with other information sources to gain a deeper understanding of various business operations.
Data visualization is the representation of the information through simple visual attributes like graphs, diagrams, maps, interactive pieces, and much more. It is a method of representing data that has existed since human beings used cave drawings to communicate messages. Today, marketers use data visualization to make decisions.
10. Digital Experience Platform
Digital Experience Platform (DXP) is an emerging enterprise software seeking to meet the needs of companies undergoing a digital transformation, with the ultimate goal of delivering better customer experiences. It can be a single product or a suite of products that work simultaneously.
The digital e-Commerce platform allows performing the entire operations of an online store. The effectiveness of methods like product display, sales, stock control, payments, promotions, among all others, and it depends on them. This is why, when creating an e-commerce site, it is crucial to consider the existing main options to choose the best suits.
Conversational artificial intelligence uses machine learning to speak to users in a natural and personalized way. This platform carries some weight, but ultimately it comes down to the practical difference it can make for the business.
The customer experience (CX) is how a business engages its customers on its customer journey from marketing to sales, service, and each point in between. It is the additional total of all the interactions that a customer has with a brand—however, the most important thing to know about the customer’s experience.
Summing Things Up
Digital strategies must be well aligned with the work of an organization in all the channels. If they are not well integrated, businesses will often encounter problems in the long term and must be completely redesigned. To design an effective Platform Strategy with lasting solutions, it is essential to collect as much information as possible and define the objectives along with criteria from the beginning.