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Business Model Innovation Matters

ā€¢
ā€¢
Alexander Osterwalder
Alexander Osterwalder

If you are an executive you should know how to reflect on business model innovation. No matter what industry you are in...

Lifestyle
1 of 109
BUSINESS MODEL INNOVATION matters !
consider Eric
Eric works forā€¦
Ā 
he joined the music industry forā€¦
ā€¦ the glitz
ā€¦ & glamour
in those days he used to go out with ā€¦
Pearl on Thursdayā€¦
Sara on Fridayā€¦
and Cris on Saturday
but things have changedā€¦
CD Sales
now Eric is working onā€¦
ā€¦ Thursday
ā€¦ Friday
ā€¦ and Saturday
he is blamingā€¦
Ā 
andā€¦
Ā 
so Eric hiredā€¦
Rosen & Craig, Law Firm
to hunt down ā€¦
Lisa, 12, illegal downloader
but Eric really should have focused onā€¦
BUSINESS MODEL INNOVATION
considerā€¦
Ā 
AMIE st. first gives songs away for 0.- USD
but the more a tune is downloadedā€¦
ā€¦ the more AMIE st. charges
BUSINESS MODEL INNOVATION thatā€™s
BUSINESS MODEL INNOVATION thatā€™s new talent discovery
BUSINESS MODEL INNOVATION thatā€™s distribution channels
BUSINESS MODEL INNOVATION thatā€™s revenue streams
now considerā€¦
Ā 
Nokia is launching an ā€œall-you-can-eatā€ music service
itā€™s called Nokia ā€œcomes with musicā€
pay a monthly subscription ā€¦
ā€¦ and listen as much as you want
BUSINESS MODEL INNOVATION thatā€™s
BUSINESS MODEL INNOVATION thatā€™s building a platform
BUSINESS MODEL INNOVATION thatā€™s leveraging brand
BUSINESS MODEL INNOVATION thatā€™s with recurring revenues
considerā€¦
Ā 
they offer a really neat serviceā€¦
imagine youā€™re shoppingā€¦
or working outā€¦
and you hear a tune you likeā€¦
ā€¦ but donā€™t know the title or artist
with Shazam you canā€¦
dial a numberā€¦
hold your phone to the speakersā€¦
ā€¦ and get the title and artist by SMS
you know how they make money?
communication and SMS chargesā€¦
ā€¦ and sales commissions
BUSINESS MODEL INNOVATION thatā€™s
BUSINESS MODEL INNOVATION thatā€™s product innovation
BUSINESS MODEL INNOVATION thatā€™s new channels
BUSINESS MODEL INNOVATION thatā€™s new revenues streams
and then of course there isā€¦
well, you know this one
now you might be sayingā€¦
ā€¦ Iā€™m not in the music industry
but considerā€¦
the pharma industry
generic drugs India!
the telco industry
VoIP for free!
the car industry
oil prices
consider your industry !
so, whatā€™s to do?
Ā 
ā€¦ probably not the best solution
so, consider thisā€¦
BUSINESS MODEL CANVAS the
reflect systematically on your business model
areas 4
WHAT?
WHAT? WHO?
WHAT? WHO? HOW?
WHAT? WHO? HOW? $? ā‚¬ ?
building blocks 9
WHAT? HOW? $? ā‚¬ ? WHO?
WHAT? WHO? HOW? $? ā‚¬ ? CUSTOMERS
WHAT? WHO? HOW? $? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CUSTOMER SEGMENTS
WHAT? WHO? HOW? $? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CUSTOMER SEGMENTS
WHAT? WHO? HOW? $? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CUSTOMER SEGMENTS DISTRIBUTION CHANNELS
WHAT? WHO? HOW? $? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS DISTRIBUTION CHANNELS
WHAT? WHO? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS REVENUE FLOWS DISTRIBUTION CHANNELS HOW? $?
WHAT? WHO? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS REVENUE FLOWS DISTRIBUTION CHANNELS $? CLIENT SEGMENTS CLIENT SEGMENTS KEY RESOURCES HOW?
WHAT? WHO? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS REVENUE FLOWS DISTRIBUTION CHANNELS $? CLIENT SEGMENTS CLIENT SEGMENTS KEY RESOURCES CLIENT SEGMENTS CLIENT SEGMENTS KEY ACTIVITIES HOW?
WHAT? WHO? HOW? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS REVENUE FLOWS DISTRIBUTION CHANNELS PARTNER NETWORK $? CLIENT SEGMENTS CLIENT SEGMENTS KEY RESOURCES CLIENT SEGMENTS CLIENT SEGMENTS KEY ACTIVITIES
WHAT? WHO? HOW? $? ā‚¬ ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER COST STRUCTURE CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS KEY RESOURCES KEY ACTIVITIES REVENUE FLOWS DISTRIBUTION CHANNELS PARTNER NETWORK
how do you use the business model canvas?
assemble a team with diverse perspectives
OFFER DISTRIBUTION CHANNELS CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS REVENUE STREAMS COST STRUCTURE KEY ACTIVITIES PARTNER NETWORK KEY RESOURCES print the canvas on a posterā€¦
brainstorm like crazyā€¦
OFFER DISTRIBUTION CHANNELS CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS REVENUE STREAMS COST STRUCTURE KEY ACTIVITIES PARTNER NETWORK KEY RESOURCES ā€¦ get business model prototypes
go and try
go and try it really works
but click on that ā€œvoteā€ button first
check out my blog for more: http://business-model-design.blogspot.com
or contact me for a conference or workshop engagement [email_address]

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