A hand placing an orange tile into a layered stack of system icons projected above a desk

PartnersPlatform

Making money by connecting supply and demand

A platform is not a website, but a different business model. The Next Organization helps you decide whether a platform fits your strategy. If it does, we work out how to attract participants so that value is created through their interaction.

Sound familiar?

New players are positioning themselves between you and your customers
Customers want everything in one place, but your offering is fragmented
You have plenty of partners, but they work alongside each other instead of together
Your own online environment costs a lot and attracts few users
You want to grow without making or delivering everything yourself

What is a platform business model?

Most organisations make something and sell it to a customer. A platform works differently: it brings providers and customers together and makes money from their interaction. The difference comes down to three points.

A platform is a strategic choice. It affects your revenue model, your role among partners and your IT landscape.

The difference in three points

Focuses on

Traditional: The customer

Platform: Providers and customers

Advantage from

Traditional: Own resources and processes

Platform: A growing network of participants

Value created in

Traditional: Its own process

Platform: The interaction between participants

AffectsRevenue modelRole among partnersIT landscape

Three pillars of every platform

Choose a pillar to see what it does and when it takes the lead.

Providers

PlatformBrings providers and customers together

Value is created through the interaction between participants

Customers

Appeal

What it is

The community that draws participants in and keeps them

Leads when the value comes from

Interaction

Tools

What it is

The technology and rules participants use to create value

Leads when the value comes from

Product development

Matching

What it is

Data that brings the right provider to the right request

Leads when the value comes from

Data

Schematic.

Every platform has all three pillars, but one takes the lead. That depends on where the value comes from: interaction, product development or data.

You can map what each participant puts in and gets back with the Network Business Model Canvas.

What you get

You know whether a platform fits your strategy and what role you take in it.
You know the core of the exchange and the pillar you are betting on.
You only invest in technology once the model holds up.

Frequently asked questions

What is the difference between a platform and a webshop?

A webshop sells your own offering. A platform brings providers and customers together and makes money from their interaction. Every new participant makes the platform more valuable for the rest.

How do you get your first users?

Start in a niche or with a group you already know. Make sure the platform delivers value even when there are few others on it yet. A well-known first provider builds trust among the rest.

How does a platform make money?

Usually through a fee per transaction, a subscription or paid promotion. Often one side pays more than the other, so the other side can join easily.

Should you build a platform yourself?

Not always. Sometimes joining an existing platform is smarter. Building your own pays off mainly when you have a role others cannot fill, such as the trusted party in your supply chain.