In recent years, the term “digital platform” has become increasingly popular as more and more businesses move their operations online and rely on digital tools to reach customers.
Many companies now use their own platforms to host their products and services by applying for digital platform development services, while others collaborate with third-party providers to develop online ecosystems that offer customers a variety of products and services through one convenient interface.
So, let’s find out what a digital platform is, how you can benefit from it, and what types are available.
What Is a Digital Platform?
A digital platform is computer software that allows users to create, share, and access information or data. It typically refers to the hardware and software components that make up a digital ecosystem, including everything from social media networks and mobile apps to cloud-based services and Internet of Things (IoT) devices.
Digital platforms come in all shapes and sizes. Some are large-scale operations with thousands of employees, such as Amazon or Facebook. Others are much smaller and may only consist of a single person working out of his or her home office.
Regardless of size, however, all digital platforms have one thing in common: they are designed to facilitate user-generated content (UGC) and empower individuals or businesses with the ability to reach out to others via technology.
Digital platforms can be separated into social media and business-to-consumer (B2C) platforms.
- Social media platforms are websites or apps that allow users to create, share, and distribute content via a computer or mobile device. Examples include Facebook, Twitter, Instagram, Snapchat, and YouTube.
- On the other hand, business-to-consumer (B2C) platforms are designed for businesses to sell products and services directly to consumers. Examples include Amazon, eBay, Etsy, and Alibaba.
To create such a platform, you can easily apply to euristiq.com. They have an extensive experience in digital platform development, so be sure to get a high-quality product.
Advantages & Disadvantages of the Digital Platform
As with any new technology, there are advantages and disadvantages to considering digital platform development for your business.
- Cost Efficiency
Compared to traditional forms of marketing, such as TV or print ads, which require large budgets for production and distribution, digital marketing allows businesses to target specific geographical areas with little or no cost. This extends beyond just the internet; mobile devices are also used to send out text messages, making it easy to reach an extensive audience without a large budget.
For example, businesses can interact with their customers one-on-one with websites and mobile apps. Businesses can also consider their customer’s needs by collecting data through cookies or allowing customers to log in to their accounts on the website.
- Audience targeting
With social media platforms such as Facebook, Twitter, and LinkedIn, you can filter your posts so that they appear only in the feeds of those who share similar interests. This allows you to target a more specific audience without spending money on advertising.
Businesses can use websites, mobile apps, and social media platforms to reach their customers anytime and anywhere in the world. This gives you an enormous amount of freedom that is not available with other forms of marketing.
Unlike traditional media, such as television or print ads, which are viewed from a distance, digital marketing allows businesses to be much more personal. For example, if you log onto Facebook, the site knows your location and can show you ads based on what you like or what you have bought in the past.
If a business collects too much information about its customers, such as credit card numbers or social security numbers, there is a possibility that these details could fall into the wrong hands through hacking or phishing scams. In some cases, businesses have even had to pay out large sums of money as a result of these security breaches.
- Customer engagement
With print, radio, and TV advertising, businesses can access ratings and surveys that help them determine what works and doesn’t. However, digital marketing has no specific measurements available; you only have traffic data and click-through rates. It can be difficult to determine what works and what doesn’t when it comes to customer engagement.
- Technology knowledge
If you want to set up an e-commerce website, you will need to have enough knowledge about computers and web design so that your site does not crash at a busy time. This can be extremely frustrating for some business owners who don’t have a good understanding of modern technologies.
What Are the Types of Digital Platforms?
Digital platforms are a vital part of any business, and there are a variety of different types that you can choose from. Here are some most popular types of digital platforms:
- Online stores
An online store is a great way to sell products and earn profits. You can choose from a wide variety of different items, including clothing, food, electronics, and more.
- Online marketing
This platform allows you to reach out to your target audience through social media sites and search engines, allowing you to spread the word about your product or business.
- Payment processing
If you’re selling goods or services online, it’s important that you offer your customers convenient payment processing options. It allows customers to pay using their credit cards, debit cards, or other forms of payment via e-commerce transactions.
- Social media sites
These platforms help you connect with your customers on a more personal level. You can post updates about your business and share them through social media sites, such as Facebook, Twitter, Instagram, and more.
- Customer service
In order for your business to succeed, it’s important that you provide excellent customer service. With the help of digital platforms, such as live chat and phone support services, you can easily communicate with your customers and help them in any way that you can.
Now, when you know what a digital platform is, what types of them, and what are the advantages of each, you are fully equipped to navigate the world of social media!