GrowthToonâ„¢: Build Next Generation Platforms
Next Generation Platforms can set the foundation for highly scalable business growth. A well-executed platform strategy can drive lower costs, faster ramp-up and multiple opportunities for network and scaling effects. The customerâ€™s willingness to pay more for access to a bigger network allows for growth in margins and users. By marrying the power, agility, innovation, and cost structures of platforms, companies can identify new markets, reduce time-to-revenue and enable growth. Explore these strategic platform features:
Double-Sided Platformsâ€”In the digital world, products and services that bring users together in two-sided networks can bring economies of scale on both the demand and cost sides of the platform.
Product Platformsâ€”Create families of products, services, and businesses to build capabilities into multiple new domains and an entirely new ecosystem.
Freemium Platforms â€”By providing your offering free, you can â€œup-sellâ€ at a premium for advanced features, functionality, or related products and services.
Consider the following questions when building Next Generation Platforms:
- Can you create a platform where you charge an interaction or usage fee to users on both sides of the platform?
- How can you subsidize one user while charging the other a premium for access to the subsidized group?
- How can you generate cross-platform network effects between your service providers and customers?
- What is your main product platform (technological, process, service)?
- Can you provide a â€œliteâ€ or â€œfeatureâ€ version of your offering for free?
- Can you provide account packages or capacity-limited offerings?
image credit: growthstrategy.com
Wayne Simmons is an accomplished executive, innovator, value creator, and entrepreneur and co-author of GrowthThinking: Building the New Growth Enterprise. As CEO and Co-Founder of The Growth Strategy Company, Wayne leads the vision, strategy and growth of the company. He has worked for global advisory firms Ernst & Young, Deloitte Consulting, and has been a trusted advisor to C-level executives at Fortune 500 corporations, venture capital firms, and small and midsized companies. Wayne was trained in airborne reconnaissance for US Army Intelligence; and is an alumnus and Fellow of The Wharton School of the University of Pennsylvania. Keary Crawford is a results-driven executive leader with extensive experience in operations, M&A and finance for start-up, entrepreneurial and middle-market companies. As co-founder and COO of The Growth Strategy Company, she manages the strategic growth and vision, and day-to-day operations; and is co-author of GrowthThinking: Building the New Growth Enterprise. Keary was trained in Behavioral and Social Sciences and is a Fellow and alumna of the Executive Development Program at the Wharton School of the University of Pennsylvania.
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