WHAT IS A BUSINESS MODEL?
Burn Your Business Plan
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Business model generation
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9 building blocks of business model
1. Customer segments
- Which customers and users are you serving?
2. Value Propositions
- What are you offering them? What is that getting done for them? Do they care?
3. Channels
- How does each customer segment want to be reached through
which interaction points?
4. Customer Relationships
- What relationships are you establishing with each segment?
Personal? Automated? Acquisitive? Retentive?
5. Revenue Streams
- What are customers really willing to pay for? How?
Are you generating transactional or recurring revenues?
6. Key Resources
- Which resources underpin your b.model?
Which assets are essential?
7. Key Activities
- Which activities do you need to perform well in your b.model?
What is crucial?
8. Key Partners
- Which partners and suppliers leverage your model?
Who do you need to rely on?
9. Cost Structure
- What is the resulting cost structure? Which key elements drive your cost?
Creating Start-Up Success
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- No business plan survives the first customer contact
- It’s the business model, stupid
- Take time to think through alternative possibilities
- Your business model idea is just a set of hypotheses
- Don’t build your company, until you’ve verified your Business model
