When you take a look to AWS, you can smell the origin of their public cloud strategy and why you can buy thirty-party technology solutions such as Palo Alto Firewalls, Linux Red Hat or SUSE VMs with lots of applications, or even Cisco or other network providers products. As you know, marketplaces are nothing else than platforms which enable transactions between customers and thirty party sellers.
Jim Collins identified the term “flywheel effect” and explained the concept to Jeff Bezos who saw an incredible opportunity where other people would have seen just a methodology without options to survive.
The idea is simple. Create a virtuous cycle that increases the number of sellers who offer their products and services, which therefore, increase the amount of offers and prices of those products or services so it´s more interesting to the users in order to find exactly what they want with the right prices.
Hence, improves the traffic to the platform and drives more sellers and customers to buy there. Moreover, you reduce prices to users, and they are used to visit your platform or marketplace from time to time.
From Amazon to AWS (Amazon Web Service) Marketplace
AWS marketplace was the first cloud marketplace for Hyperscalers – AWS started the journey to sell thirty party IT products and services following in the footsteps of Amazon platform.
Customers can buy thousands of ISV products and services to deploy with agility and just for testing or find out if a specific software make sense and fill the gap in their company.
There is flexibility of prices, offer terms and conditions. There are pricing plans with an annual approach for 12 months subscriptions or even for just one month if you need for example to roll out a POC. there are others such as usage pricing where customers just pay for what they use in a PAYG approach or pricing models for specific product delivery methods such as containers or ML.
It is very flexible as you can buy even professional services product prices which are in general offerings of professional services packages. All the offers can be tailored for your target company if you are an AWS partner, and you can access to public or even private offers if you are a customer to leverage better discounts or improve some aspects of the ISV product or the consultancy company you deal with.
Lots of solutions are waiting for you…
You can make plans for some offer types publicly available or available to only a specific (private) audience. Likewise Azure marketplace we have explained in the previous post and follow up the same marketplace strategy as AWS did.
In summary, if you are figuring out which value can bring an ISV to your business on the cloud, and you want to leverage some AWS partner professional services in a specific area as cybersecurity or SAP, if a chance you should not forget.
Enjoy the journey to the cloud with me…see you then in the next post.