How To Grow Your Startup By Leveraging Third Party Platforms (Shopify, Upwork, Amazon)

How To Grow Your Startup By Leveraging Third Party Platforms (Shopify, Upwork, Amazon)

This article is a part of our encyclopedia, and is editable by you. Edit ➜

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Topic
Sales
Cost
Low
Difficulty
Medium
Result
Brand Exposure
Cost Details
$0-$100

What Does It Mean To Use Third Party Platforms?

Running a successful startup requires wearing a variety of hats at all times.

According to Forbes Report, startups should leverage third-party platforms to thrive.

Simply put, third-party platforms involve startups using an existing infrastructure and expertise built by the third-party platform to market and reach your customers.

Amazon, Etsy and Shopify are all examples of third-party platforms.

Startups that choose to leverage third-party platforms save an enormous amount of resources involved in hiring, training, and retaining in-house experts.

Third Party Platform Key Takeaways

  • Leveraging third-party platforms save businesses time and resources
  • Many startups are able to reach a wide audience by listing their products and services on third-party platforms
  • Third-party platforms sometimes come at a price, so it's important to ensure that this model is right for your business

Understanding How Third-Party Platforms Work

For new startups, keeping costs low, ensuring product availability, and building brand awareness is extremely important.

That is where leveraging third-party platforms can become a startup's greatest cost advantage.

A startup will list the products and services on the platform.

The third-party platform will display the products, deal and collect orders, manage payments, ship the orders, and track delivery.

Hosting and managing the supply chain for the startup could be at a small fee, which can sometimes be less expensive compared to building an in-house solution.

Therefore, the startup can focus on ensuring product availability, building brand awareness, and keeping the cost of operation low.

Choosing the right third-party platform is critical to the success of your startup.

Real-World Examples of How Startups are Leveraging Third Party Platforms

1.Cee Cees Closet

Cee Cees Closet is an example of startups that leverage third-party platforms to build a successful business online.

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Powered by Shopify, the Cee Cees Closet has been able to build something within three years.

2.Nick Freiling

Nick Freiling, an online freelancer, has taken advantage of Upwork and built a successful business online.

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Today, Nick earns more on Upwork than he did at one of the world’s largest research firms.

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According to Nick, his Upwork profile launched his solopreneur success, and ultimately sparked the idea behind his fast-growing startup.

Upwork

The largest freelancing website, where businesses connect with talented freelancers.

Businesses using Upwork:

210 successful businesses are using Upwork ➜

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Get Upwork ➜

How To Start Leveraging Third Party Platforms

  • Define your business objectives
  • Understand your ecosystem
  • List potential third-party platforms
  • Conduct third-party screening, onboarding, and due diligence to select the best platforms
  • Form appropriate contingency plans
  • Utilize suitable technology to grow your sales
Pat Walls,  Founder of Starter Story

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