How to start and grow a platform product
Planted March 27, 2025
A platform product/business, also referred to as a ‘plugin’ or ’embedded software,’ is a product that lives inside a larger platform. Slack apps, Shopify apps, Monday apps etc. are all examples of such products.
Why build inside another platform?
I’ve built two profitable platform products so far (Canopact, Data Importer). I’ve also tried to build stand-alone SaaS products, which were an order of magnitude harder to launch and get off the ground.
In particular, there are two leg ups that building inside another platform gives you:
- An instant acquisition channel for users by listing into the platform’s app marketplace.
- Familiarity with the product – users already understand the parent platform, which makes it easier for the onboarding flow to feel natural and low-friction.
Depending on the platform, there could also be advantages such as:
- A standardised installation/onboarding flow
- Managed billing
There’s a growing argument that with the arrival of LLM-assisted coding tools, the barriers to launching stand-alone products are no longer as steep. I’d say that holds true for building an MVP, but not for getting an instant and reliable acquisition channel which is the single biggest advantage of a platform business.
Finding ideas
There’s pretty much an infinite number of ways to discover startup ideas, but there are two main proven strategies I’ve seen work time and time again for platform businesses is:
- Look at forums/groups for features or pain points that customers are requesting or complaining about. Build a product around them.
- Take an existing feature or platform product that’s successful on one marketplace, and build it in a different marketplace.
These work fantastically well for product discovery. With (1), you have some upfront validation that there is a group of users who share the same problem. With (2), you have validation that this is a problem people are already paying to solve.
If you have both of these, I’d say it’s a pretty surefire sign that there’s an opportunity to build a product that will at the very least get some initial paying customers.
Picking a platform
Not all platforms are equal. The best platforms for plugin businesses typically have:
- A mature and well-trafficked app marketplace
- A friendly developer experience (clear docs, stable APIs, fair rate limits)
- An active user base that is open to third-party tools
- A monetisation model that allows you to charge users directly or via the platform
Some platforms allow you to create plugins, but don’t have a dedicated place for users to discover them. This can severely limit your growth, even if the product is good.
Consider how well-promoted the marketplace is:
- Does the platform highlight apps in onboarding flows or in-app suggestions?
- Are there “staff picks” or rankings that can surface quality products?
Also consider platform hostility:
- Do they actively discourage (or ban) promotion of marketplace apps in their community forums?
- Are APIs or SDKs unstable or frequently changed without notice?
- Is there a history of popular apps being copied or delisted?
Getting your first users
Your first acquisition channel will ideally be organic leads coming in through the app marketplace.
Your second acquisition channel should be the main/biggest community forum of the marketplace.
Not all platforms have a community forum, but if they do:
- Post in the forums when you launch
- Engage with users, answer questions, and build trust
- Share demos or walkthroughs
These early interactions can lead to your first batch of real users.
Getting your first paid users
Start simple:
- Offer a free trial or freemium plan to get people in the door
- Use pricing tiers that scale with usage or number of seats
- Consider pricing psychology: plugins often need to feel “cheap relative to the platform,” but you can usually find room to charge if you focus on ROI
Growing
- Optimise your marketplace listing: title, keywords, screenshots, reviews
- Move beyond community forums for marketing:
- Create YouTube videos or tutorials
- Invest in SEO and content marketing
- Reach out to relevant newsletters or communities
- Build integrations or enhancements based on user feedback to increase stickiness
The headwinds your platform business will face
- Platform Risk: probably the biggest single issue. You are beholden to the platform you’re building in. At any point, they could de-list your app, hike API pricing, or just build your functionality natively.
- Pricing Constraints: very much dependent on your product and not always true (especially for enterprise), but usually customers don’t want to pay more for a plugin than they do for the overall platform, which can limit your pricing.
- UI/UX Limitations: you’ll undoubtedly come up against feature requests that you just can’t fulfil due to API or UI constraints. For example, with Data Importer, I’m bound to the rate limits of monday.com, which makes certain features impractical.
Knowing when you’ve hit a ceiling
All SaaS products have a natural ceiling. When your churn offsets your new customer acquisition, and growth stalls consistently, that’s a strong signal.
So what next?
- Is there another platform that you could launch the same product in?
- Can you expand outside of the platform, into a stand-alone version?
- Can you launch a new product in the same platform, solving a different pain point?