What Should You Know About Digital Platforms?

What are Digital Platforms?

Digital platforms are used to digitally expand the range of products and services. It is the virtual interface between companies and customers, other companies, and their employees. The basis for a digital platform is a cloud-based technology.

The Four Stakeholders in a Digital Platform

• Owner
• Operator, who is the interface to the customer
• Producer, who offers their products or services
• Consumer, who uses the products/services

Through platforms, data can be exchanged and users can interact with each other.

Categories of Platforms

• Digital platforms, such as Amazon, Uber or Airbnb
• Social platforms, such as Instagram, Facebook, Twitter or YouTube
• Digital industry platforms, such as General Electric, Axoom

Characteristics of Digital Platforms

Digital platforms characterize by high scalability and high reach. The computing capacity can be adjusted quickly and sensitively and that makes the platforms very flexible. In addition, location does not matter.

Success Factors of Digital Platforms

The platform either brings supply and demand together through several functions, such as search functions, or is a direct provider, which means that a contract is concluded directly with the platform.

Digital platforms are also so successful because they are independent in the market.

Final Thoughts

Digital platforms are becoming increasingly relevant and profitable, and this also applies to the B2B sector. Manufacturers and retailers can thus offer customers additional services.