In recent years, a platform as a service has become increasingly popular. And there are also a lot of successful platforms on the market. But what is the success formula of these platforms? Of course, we cannot cast all platforms in one form, but there are a number of common growth phases that most platforms go through. We list the 8 growth phases of a platform for you. So you know what steps you need to go through to make a success of your platform!
The 8 growth phases of a platform
1. Concept phase
A platform always starts with a concept phase in which the idea is conceived and validated. This can be a theoretical validation, but also a market research. There are also entrepreneurs who immediately elaborate their idea and immediately start developing. They are not sure if their idea will catch on, they just feel it’s a good idea. We advise you – despite the good feeling – to always validate your idea.
2. Proof of concept
If you then start developing, it is important to start with a ‘small’ proof of concept. Many startups fail because they want to build something very big right away. If you then find out after construction that the product does not catch on, all the work has been for nothing. We therefore advise you to start with a proof of concept.
3. Pilot phase
When your proof of concept is ready, you can launch it through a pilot. During the pilot, you can release all kinds of analyses, so you find out if and how your product is used. If no one, for example, downloads your application, then there’s no need to continue building. Always test your ideas in a pilot phase.
4. Further development
If your idea gets through the pilot, then you can further develop until you have a Minimum Viable Product (MVP). In addition, you have also built a small user base with so-called early adopters. Try to involve these early adopters further in the development of your product. They can, for example, indicate via meet-ups what they would like to have realized, so you can gradually improve the product.
5. Launch
After further development, you can officially launch the Minimum Viable Product. At this point, you can truly offer users what they need. You can start marketing prior to the launch. This is the time to expand your user base and create awareness.
6. Invest and grow
To then really allow your platform to grow, you often need investors. This starts with the angel investors: investors who believe in your product. This is the so-called seed phase in which you get a significant investment. Your MVP is really mature from that moment on, so you grow out of the ‘startup coat’. After the seed phase, you often become a serious business.
7. Experiment
Now that you are a serious business and have a mature product, you can start experimenting. All must haves have been implemented, so you have the time to invent new features. For these new features, you also create a proof of concept that you test with your users. After rejecting and accepting various features, you will get a direction in which you can further develop. And that happens naturally in the direction of your why. From this moment on, you can also scale up and hire people for marketing and sales among other things. Then you go to the Series A phase in which you use investments to generate more revenue. Finally, you end up in the Series B phase where investments become even higher, so you can scale up as fast as possible.
8. Scale-up
If you have gone through all the phases, you have become a scale-up. You are now really standing on your own feet and are a serious player in the market. From this point on, you generally no longer need financing. Only in situations where you want to break out of your coat and achieve the next level, you may need to raise some money.
Step by step to the top
So quite a few steps are needed to grow from an idea to a serious business. But as long as you take all these steps and execute them well, you will slowly (or quickly) climb to the top. And if you can’t do that alone? Then the experts at Wise Minds are happy to help you go through these phases.