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When to List on Cloud Marketplaces - AWS, Microsoft Azure, and Google Cloud Marketplace

Zinnov’s The Rise of Cloud Marketplaces Report 2023 states that ‘the cloud marketplaces space is expected to reach 150 billion USD by 2027.’ From the report’s findings, it becomes evident that cloud marketplaces have the potential to become the most prominent revenue-driving channels for companies of all sizes. According to research done by Alastair Edwards, Chief Analyst at Canalys, “By 2025, conservatively almost a third of marketplace procurement will be done via channel partners on behalf of their end customers,” He continues to add that “The route to cloud marketplaces is skyrocketing and cannot be ignored by any channel leader.”

Why such massive growth?

The typical SaaS purchase that involves back-and-forth, navigating legal, compliance, infosec, etc., takes a lot of time and effort. Cloud marketplaces are streamlining software purchases by automating these SOPs (Standard Operating Procedures). As a seller, once you get listed:

  1. Sales cycles are shortened
  2. Get access to newer prospects
  3. Drawdown on cloud spend commits to purchase marketplace products, accelerating the entire process. 

Here are more benefits for sellers from cloud marketplaces:

  • Access global buyers across enterprises, mid-market companies, and SMBs
  • Increase deal sizes and maximize win rates
  • Scale with minimum investment, lowest CAC, and gain optimum ROI
  • Streamline procurement, invoicing, billing, contract management, payment collection, and disbursement, and access it in one place.

To learn more about how cloud marketplaces create a win-win for both seller and buyer, read our previous blog post The Ultimate Guide to Cloud Marketplaces

When to list on cloud marketplaces?

The following are the strongest indicators of the right time to get aboard with cloud marketplaces.

1. When your customers ask for it

This is one of the crucial signal to get started on a cloud marketplace channel. If prospects enquire about your cloud marketplace presence for procuring the software, they want to draw down on their committed spend and use it to purchase your product.

2. When you want to reduce your sales cycles

As a software seller, navigating multiple teams and processes, such as procurement, finance, legal, vendor onboarding, etc., increases the time to close the sales cycle. One of the most significant advantages of the cloud marketplace channel is its alignment, pre-vetting, and compliance, primarily within your buyer's internal teams, saving you a lot of time in the sales cycles.


faster sales cycle than direct sales for the deals fulfilled via the AWS marketplace

Data from ‘The Partner Opportunity for AWS Marketplace ISVs’

3. When your competition is already there

As you explore listing your products or services on a cloud marketplace, you'll notice the presence of established competitors. This situation validates that there is enough demand for your product category in the marketplace. It is the right time to fine-tune your value proposition, buyer journey, and pricing options and consider listing instantly to capture and expand to untapped markets.

4. When you want to get started with co-sell

To start the co-sell flywheel, it is recommended that companies first get listed on marketplaces and drive more deals via the marketplace. This incentivizes the hyperscalers' sales team to work with you on the current deals in your pipeline and introduce new prospects for your business, eventually starting the most valuable GTM channel - Co-selling with cloud marketplaces. Some hyperscalers encourage sellers to sell on marketplaces by incentivizing their sales via a specific Sales Performance Incentive Fund (SPIF).

The story of sweet success:
Roman Kirsanov’s newsletter talks in detail about the Cybersecurity SaaS platform CrowdStrike’s success in the AWS marketplace. Their ARR in FY’22 through the AWS marketplace grew +100% YoY, and they were one of the top ISV partners by transaction volume on the AWS Marketplace.

5. When you want to make the best out of events

Large tech events such as AWS re: Invent, Black Hat, Gartner Security Summit, SaaStr, Snowflake Summit, RSA Summit, etc., are good platforms to showcase your brand and connect with your potential buyers. They are also a great way to announce a new partner channel, as it is the best place to have your buyers, competitors, partners, cloud partners, and media - all under one roof. This opens up a world of possibilities for fruitful collaborations and stronger business growth.

Assembly AI, an API platform that helps developers and organizations build AI applications with voice data, presented during the annual AWS Summit NYC in July’23, a day after they went live on the AWS marketplace. This initiative bolstered its brand presence and visibility.

The takeaway

Companies are constantly researching about new GTM channels. And the research states that the future of cloud marketplaces is bright and shiny. By adopting promising digital transformations early on, companies can unlock true value. Especially in a world where early adopters are seeing a positive change and companies are being open and agile more than ever, the time to get aboard marketplaces is here and now. The cues mentioned above help you discover the need to get aboard with cloud marketplaces. Companies that leverage cloud marketplaces as a GTM channel are more likely to future-proof their businesses.

Talk to our experts to understand how to get started with cloud marketplaces, or email us at, and we'll get back to you.

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