Business Model Canvas
The nine "building blocks" of the business model design template that came to be called the Business Model Canvas were initially proposed in 2005 by Alexander Osterwalder based on his earlier work on business model ontology.
Since then, new canvases for specific niches have appeared.
The business model canvas is a great tool to help you understand a business model in a straightforward, structured way.
The Business Model Canvas breaks your business model down into easily-understood segments:
Key Partners, Key Activities, Key Resources, Value Propositions, Customer Relationships, Channels, Customer Segments, Cost Structure, and Revenue Streams.
Using the canvas will lead to insights and answers to some key business questions about the customers you serve, what value propositions are offered through what channels, and how your company makes money.
You can also use the business model canvas to understand your own business model or that of a competitor!
The following list with questions will help you brainstorm and compare several variations and ideas for your business model innovation.
List the partners that you can’t do business without.
Who are your key partners/suppliers?
What are the motivations for the partnerships?
What do you do every day to run your business model?
What key activities does your value proposition require?
What activities are important the most in distribution channels, customer relationships, revenue stream?
Key Value Propositions
What are your products and services?
What is the job you get done for your customer?
What core value do you deliver to the customer?
Which customer needs are you satisfying?
Key Customer Relationships
How does this show up and how do you maintain the relationship?
What relationship that the target customer expects you to establish?
How can you integrate that into your business in terms of cost and format?
Key Customer Segments
List the top three segments. Look for the segments that provide the most revenue.
hich classes are you creating values for?
Who is your most important customer?
The people, knowledge, means, and money you need to run your business.
What key resources does your value proposition require?
What resources are important the most in distribution channels, customer relationships, revenue stream?
How do you communicate with your customer?
How do you deliver the value proposition?
Through which channels that your customers want to be reached?
Which channels work best?
How can they be integrated into your and your customers’ routines?
Key Cost Structure
List your top costs by looking at activities and resources.
How much does Key Channels cost?
What are the most cost in your business?
Which key resources/ activities are most expensive?
Key Revenue Streams
List your top three revenue streams. If you do things for free, add them here too.
For what value are your customers willing to pay?
What and how do they recently pay? How would they prefer to pay?
How much does every revenue stream contribute to the overall revenues?
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