APIs for Biz Dev 2.0 - Which Business Model?
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The document discusses the significance and growth of APIs as a crucial business development tool, emphasizing their role in expanding distribution channels and fostering innovation. It outlines various types of APIs, including private, partner, and public APIs, and provides strategies for effectively monetizing and managing API operations. Additionally, it offers best practices and recommendations for businesses looking to leverage APIs to enhance their services and reach.
APIs for Biz Dev 2.0 - Which Business Model?
- 1. APIs for Biz Dev 2.0 Which Business Model? Guillaume Balas - CMO @3scale [email protected] - @guillaumebalas
- 2. Introduction THE RISE OF THE APIS The Plug & Play Cloud API Management Platform 2 for Startups, SMBs and Enterprises
- 3. APIs are growing & reshaping the new Web This is not a trend, this is a fact 5B / Day (April ‘10) 5B / Day (Oct ‘09) 75% Traffic (April ‘10) 8B / Mth (Oct ‘09) 3B / Day (March ‘09) 50% Traffic (March ‘08) Success for these businesses is Annual growth in # of APIs: 100% heavily relying on their API(s) The Plug & Play Cloud API Management Platform 3 for Startups, SMBs and Enterprises
- 4. APIs are everywhere Examples Media & Content SaaS Integration Social & e-Commerce Others Interest is broad and deep Currently disrupting the web ! The Plug & Play Cloud API Management Platform 4 for Startups, SMBs and Enterprises
- 5. What is an API ? WHY IS IT IMPORTANT? The Plug & Play Cloud API Management Platform 5 for Startups, SMBs and Enterprises
- 6. Application Programming Interface Definition “A particular set of rules and specifications that a software program can follow to access and make use of the services and resources provided by another particular software program that implements that API. It serves as an interface between different software programs and facilitates their interaction, similar to the way the user interface facilitates interaction between humans and computers.” The Plug & Play Cloud API Management Platform 6 for Startups, SMBs and Enterprises
- 7. Web sites are local There was 255 Million Web sites as of December 2010 Disadvantages: Limited reach Lost business opportunities Limited brand awareness Web scraping risks Significant SEO and SEM costs Source: Dion Hinchcliffe, http://blogs.zdnet.con/Hinchcliffe The Plug & Play Cloud API Management Platform 7 for Startups, SMBs and Enterprises
- 8. APIs help you grow your business APIs are Biz Dev 2.0 – The first paradigm shift Advantages: APIs unlock distribution channels and enable you to expand your business beyond the limits of your web site. Source: Dion Hinchcliffe, http://blogs.zdnet.con/Hinchcliffe The Plug & Play Cloud API Management Platform 8 for Startups, SMBs and Enterprises
- 9. APIs Deliver Raw Data, Content and Services Allowing you to… Create New Build an Power Mobile Distribution Partner Up Ecosystem Apps Channels Rationalize and Serve any type of Protect your Decrease your Control who device, software, cost of serving IPR accesses your anywhere your customer resources “Externalize” your Lower Barriers to Create New Reach More R&D and Integration Business Models Customers Foster Innovation The Plug & Play Cloud API Management Platform 9 for Startups, SMBs and Enterprises
- 10. APIs Deliver Raw Data, Content and Services Generating Strategic Advantage Business Advantage New Revenue Streams The Plug & Play Cloud API Management Platform 10 for Startups, SMBs and Enterprises
- 11. An API? SO WHAT NOW?… The Plug & Play Cloud API Management Platform 11 for Startups, SMBs and Enterprises
- 12. API business strategy Get the most from your API APIs enable cloud scale MVC, Identify your own core asset Choose the complementary asset which will deliver most value Define the strategy to capture the value most effectively Examples of API Business Strategy allowing you to focus on your core Presentation Logic Data Mission asset. Revolutionize the way people ✓ watch movies Simplify the world of telecom ✓ by providing simple, powerful, pay-as-you-go IaaS Increase the world's access ✓ to data, especially free and open data The Plug & Play Cloud API Management Platform 12 for Startups, SMBs and Enterprises
- 13. API typology Concepts Typical Evolution of an API 1 Private APIs Rationales They are used internally to facilitate the Rationalize infrastructure integration of different applications/systems Reduce costs used by your company. Increase flexibility Improve internal operations Partners APIs Enable the integration of software between Value-added service your organization and your business partners. Up sell Must have for your partners Public APIs Publicly expose information and functionality of one or various of your systems/ Foster innovation applications to 3rd that don’t necessarily have Increase reach, traffic a business relationship with your company New revenue stream 1 Not necessarilly always the case (e.g musiXmatch, Seevl, Genability) The Plug & Play Cloud API Management Platform 13 for Startups, SMBs and Enterprises
- 14. API business model Another paradigm shift Source: John Musser, ProgrammableWeb.com The Plug & Play Cloud API Management Platform 14 for Startups, SMBs and Enterprises
- 15. API delivery How? Developers Your content & services Customers Partners Your API Affiliates Mobile Users Internal Projects The Plug & Play Cloud API Management Platform 15 for Startups, SMBs and Enterprises
- 16. API delivery How? Access Control? Developers Your content & services Security? Customers Your Monitoring? Partners API Monetizing ? Affiliates User Experience? Mobile Users Scalability? Internal Projects Flexibility? Reach? The Plug & Play Cloud API Management Platform 16 for Startups, SMBs and Enterprises
- 17. API delivery “Managing” your API operations Developers Your content & services Access Control Customers & Security API Business Engine Analytics & Partners Your Reporting API Developer & Affiliates Partner Portal Billing & Mobile Users Payments API Management Solution Internal Projects The Plug & Play Cloud API Management Platform 17 for Startups, SMBs and Enterprises
- 18. API managemen solution To deliver the power of your APIs to the Internet Access Control Flexible & & Security Configurable Speed time to API Business Engine Analytics & Reporting market Developer & Highly Scalable Partner Portal Cost Effective Billing & Value Added Payments Services API Management Solution A key enabler for your API Business and Operations The Plug & Play Cloud API Management Platform 18 for Startups, SMBs and Enterprises
- 19. WHAT WHO HOW What is your API? Who will use your How do you offer API? your API? Your API is the product? Business Partners? Business Model? Calls/requests to your API are the primary Facilitate the integra<on of your product in Direct/Indirect? Tiered/Freemium? Revenue The Plug & Play Cloud API Management Platform (only?) way to interact with your technology, as many devices, services or soBware sharing? White labeling? Partnerships? data, content provided by your business partners (e.g. Twillio, Amazon AWS, SImpleGeo, (e.g. Samsung & Skype, Spo2fy & 7Digital) (e.g. Bluevia, Wine.com, PeopleBrowsr) for Startups, SMBs and Enterprises Musixmatch ) Extends the reach of your product? Customers? Technology choice? Your API is a way for your partners to make Sell your product (content, data or services) Authoriza<on, provisioning and control of their customers experience your product via directly to clients through your API accesses? Usage Tracking? their own apps, devices, solu<on or service (e.g. Twilio, Daily Telegraph, LiveOps) Proxy versus Plugin API Management (e.g. Skype, Maxdome, 7Digital) solu<on? Promotes your product? Developers? User Experience? Adver<se your product in different ways -‐ “Outsource” your R&D to Developers. Tap SDK? Widget? Interac<on and Support? such as via an affiliate program. into their fantas<c crea<vity and innova<on T&C and SLAs proposed? Blogs? Forum? (e.g. Wine.com, Oodle.com) skills to evolve your product Documenta<on? (e.g. Twilio, Salesforce) Makes your product be<er, richer? Your Company? MarkeDng, PromoDon? Your API is a channel to get new content/ Make it easier, faster and more flexible to Hackathons, Dev. Challenges? Private Beta, value "into” your business that goes to make use/access your assets. Homogenize and Public Beta? Use cases? up part of the service. centralize access to your data. (e.g. Viadeo Dev Challenge) (e.g. TwiNer, eBay, Facebook) (e.g. NeClix, Seevl, The Guardian, NPR) 19
- 20. Conclusion RECOMMENDATIONS The Plug & Play Cloud API Management Platform 20 for Startups, SMBs and Enterprises
- 21. Dos & Don’ts Tips and tips to avoid pitfalls Dos Don’ts API first, Mobile second, Web third API as a “side project” Do your homework (Who, What, Neglect developers How) Bad documentation (or inexistent) Start “small” in terms of functionalities (you can always add but Bad sample code/examples (or you can never remove) inexistent) Provide a compelling value No versioning planned proposition to drive adoption and grow your API ecosystem No or unclear Terms & Conditions Remain flexible to evolve with the needs of your user base The Plug & Play Cloud API Management Platform for Startups, SMBs and Enterprises 21
- 22. Thank you ! QUESTIONS & ANSWERS The Plug & Play Cloud API Management Platform 22 for Startups, SMBs and Enterprises
- 23. Thank you ! Email: [email protected] Twitter: @guillaumebalas 3scale USA. 3scale SPAIN 3scale UK 440 N Wolfe Rd, Calle Llacuna 162-164 Techhub, 76-80 City Rd Sunnyvale, CA 94085 08018 Barcelona London EC1Y 2BJ USA Spain United Kingdom +1 (408) 524 1503 +34 933 092 786 +44 758 069 2832 The Plug & Play Cloud API Management Platform 23 for Startups, SMBs and Enterprises
- 24. Annexes ABOUT 3SCALE The Plug & Play Cloud API Management Platform 24 for Startups, SMBs and Enterprises
- 25. 3scale Overview and more… International Deep technical Team expertise Infrastructure as a Service for APIs – create business value from APIs High Founded Gartner cool vendor / Cloud perf. in 2007 Computing, March 2010 infrastructure Barcelona / Spain – London / England – San Francisco / California The Plug & Play Cloud API Management Platform 25 for Startups, SMBs and Enterprises
- 26. 3scale API managemen platform Helps you “Deliver the power of APIs to the Internet” Access Control Flexible & & Security Configurable Speed time to API Business Engine Analytics & Reporting market Developer & Highly Scalable Partner Portal Cost Effective Billing & Value Added Payments Services API Management Solution 3scale, a key enabler for your API Business and Operations The Plug & Play Cloud API Management Platform 26 for Startups, SMBs and Enterprises