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Beyond Websites and Apps: Is Hosting on Third-Party Platforms Better?

· 4 min read

As digitalization continues to shape the business landscape, enterprises are no longer confined to considering websites and applications (apps) as the primary channels for delivering software services. Third-party platforms such as LINE, Facebook, Discord, Telegram mini-apps, and e-commerce platforms like Shopee offer new avenues to reach and serve customers. But are these platforms better? This article explores the advantages and disadvantages of leveraging third-party platforms to help businesses make informed decisions.

Examples of Third-Party Platforms

  1. LINE

LINE is a popular instant messaging app, particularly dominant in Asia. Businesses can interact with users through LINE's official accounts or LINE Mini Apps.

  1. Meta (formerly Facebook)

Meta provides various business tools, advertising options, and boasts a massive user base. Businesses can utilize Facebook Pages, Instagram posts, Messenger, and Facebook Apps to engage customers.

  1. Discord

Initially a communication platform for gamers, Discord has expanded to cater to various communities. Businesses can interact with community members through Discord servers. One of well-known example is AI drawing product Midjourney

Discord example: midjourney

  1. Telegram Mini-Apps

Telegram, known for its security and speed, allows businesses to provide services through Telegram Bots and Mini-Apps, running directly within Telegram.

  1. Shopee

Shopee is one of Southeast Asia's leading e-commerce platforms. Businesses can sell products through Shopee, reaching millions of consumers and reducing the burden of maintaining their own websites or attracting traffic.

Advantages

  1. Wide User Base

Third-party platforms often boast a large user base, allowing businesses to easily reach a vast number of potential customers. For example, Facebook and LINE each have billions of active users, providing opportunities to rapidly expand market reach.

  1. Lower Development Costs

Developing small apps or bots on these platforms is often cheaper and quicker than developing a full-fledged app or website. Businesses can leverage APIs and development tools provided by these platforms to deploy services swiftly.

  1. Enhanced User Interaction

Instant messaging platforms like LINE, Facebook Messenger, and Telegram offer robust interaction features. Businesses can engage users through push notifications, real-time chats, and multimedia content, boosting user engagement.

  1. Simplified User Experience

Users can access services directly within the apps they already use, eliminating the need to download additional apps or visit specific websites. This lowers the barrier to entry and enhances user experience.

Disadvantages

  1. Platform Restrictions

Businesses must comply with platform rules and limitations, which may restrict certain functionalities or behaviors. Moreover, platforms can change their policies or technologies, impacting business operations.

  1. Dependence on Third-Party Platforms

Business operations and user data depend on third-party platforms, increasing operational risks. Any issues or service disruptions from the platform could significantly impact businesses.

  1. Diminished Brand Identity

Services operated on third-party platforms may diminish brand identity as users may focus more on the platform itself rather than the business behind it. This poses a challenge for businesses looking to strengthen their brand image.

  1. Data Privacy and Security

Using third-party platforms may raise concerns about data privacy and security. Businesses need to ensure the security of user data on these platforms and comply with relevant data protection regulations.

How to Choose?

When deciding whether to use third-party platforms, websites, or apps, businesses should consider several key factors:

  1. Target Audience: If the target audience predominantly uses specific third-party platforms, leveraging those platforms may be more effective.

  2. Functionality Requirements: Choose based on the complexity of required features and resource needs. If platform-specific features are essential, third-party platforms might be the better choice.

  3. Budget and Resources: Consider the costs and resources required for development and maintenance. If budgets are limited and rapid deployment is crucial, third-party platforms may be more practical.

  4. Brand and Data Control: If maintaining brand identity and data control are critical, investing in a website or app might be preferable.

In conclusion, third-party platforms and app platforms offer numerous advantages but also come with limitations. Businesses should align their choices with their specific needs, goals, and resources. Sometimes, adopting a mixed strategy of websites, apps, and third-party platforms can provide a comprehensive solution, catering to different types of customers and maximizing market coverage and user satisfaction.

For instance, a retail business can establish a complete brand presence and shopping experience on its website, including online ordering, customer service, and updates. Simultaneously, they can use an app to push notifications about new products, promotions, and enhance user engagement. Additionally, setting up a customer service bot on LINE can provide immediate consultations and order status inquiries. Such a hybrid strategy expands brand reach while leveraging the strengths of each platform. However, businesses must ensure consistent branding and seamless interaction across platforms to maximize benefits and mitigate risks effectively.

  1. Where Should My Software Go: Website or App?