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Business Model Generation Outline

Presentation to illustrate business model generation cycle proposed by businessmodelgeneration.com
by

Matthijs den Besten

on 11 October 2012

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Transcript of Business Model Generation Outline

Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Current Situation Free Commons Freemium Bait-and-hook Multi-sided Platform Long Tail Relationships Infrastructure Product Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Alternatives Choice: ... Value proposition Customer Segments Customer Relationships Key Activities Key Resources Channels Key Partners Cost Structure Revenue Streams Opportunity Mission Potential Augmented Expected Core Ideas Issues Preferences Marketing Distribution Clients Early Adopters Majority Laggards Customers Businesses Agents Customers Businesses Agents Customers Businesses Agents 2000 2010 2005 A B C Qualifiy Retire Launch Plan Deliver Develop Conceive Capital Equipment Experience Expertise Intellectual Property Waste Investments Variable Costs Fixed Costs Science-based firms Supplier-dominated firms Specialist equipment suppliers Scale-intensive firms Information-intensive firms Shocks; accidents; inspiration; imitation; recombination; etc. Validation Value Proposition What do I think and feel? What do I hear? What do I see? Empathy Map First-to-market Early adopters Development Creatives First-mover-advantage Sprint-and-spend Infrastructure
providers Confidence Awareness Customer
platforms Product
suppliers High fixed costs Low variable costs Mass market Subscription fees Low cost access Maintenance Know-how Equipment Contracts Contracts Economies of scale Product
suppliers Diversified
market Putting the
client first Diversified product portfolio Economies of scope Marketing Client database Market studies Advertisements Abernathy and Utterback's three phases of innovation Figure 6.8 in Trott (2012); source: Utterback (1994) Fluid
phase Specific
phase Product Innovation Process innovation Transitional
phase Explosion of different designs
Era of radical product innovation Dominant design Standarisation of design
Emergence of process innovation Contraction of competitors
Era of incremental innovation Selling less of more Low distribution & inventory costs large population, diverse needs Access to rare products Providers of rare products Recommendation Warehouses Inventory management "We sold more books today that didn't sell at all yesterday than we sold today of all the books that did sell yesterday." Group 1 Group 2 ... Group n Group 1 ... Group n Group 2 Customer Segments Keep/get everyone on board Infrastructure providers time 0 time Mass Market Niche Market Core Extra Personal Automated Fast Slow Free Premium Infrastructure Fixed costs Maintenance Development Channels Group 1 Group 2 Gratis Subsidy Group 1 Group 2 Platform Bait Hook Fish Awareness
Evaluation
Purchase
Delivery
After Sales Acquisition Usage Service Intellectual property
Tacit knowledge Protection of resources Anglers Perennial System Short-lived components One Two Three Four (cc) image by rocketboom on Flickr (cc) image by quoimedia on Flickr Co-Creation Community Stakeholders Stakeholders Governance Exchange Intellectual Property Infrastructure Downstream Upstream What do I say and do? What really counts? Major preoccupations, worries, and aspirations Attitude in public, appearance, behavior towards others. Environment, friends, what market offers. What friends say, what boss says, what influencers say. Pain Gain Fears
Frustrations
Obstacles Desires/needs
Measure of success
Full transcript