A lot of innovative ideas come out of hackathons, but they often lack a sustainable business model. In this presentation we show some examples of Open Data Business Models as well as Belgian and other international examples

1. Making Money with
A ‘quick’ guide to business modeling and how
open efforts can boost the Belgian start up scene.
@PJPauwels & @tthoeye

2. Thimo Thoeye
@tthoeye
Pieter-Jan Pauwels
@PJPauwels

3. Open Data?
Open definition!
“Open data and content can be freely used, modified, and
shared byanyone for any purpose”
-- opendefinition.org

4. Let’s break it down
open access basically means you can download it
from the internet, for free, without registration, …
open formats mean you can read the data in any
free text editor (sublime or notepad)
open license means you redistribute and make
money using the data

5. Source: http://ec.europa.eu/commission_2010-2014/kroes/en/blog/opendata

6. € 70.000.000.000
OR
BEF 2.823.800.000.000
like my granny would convert it to
Source: http://ec.europa.eu/commission_2010-2014/kroes/en/blog/opendata

7. Source: http://www.mckinsey.com/insights/business_technology/open_data_unlocking_innovation_and_performance_with_liquid_information

8. CC-BY Fufu Wolf
1. Government process optimisation and
cost reduction 2. New economic opportunities

9. Objectives of open data
1. More transparent government
2. Improved public services
3. Economic and social value

12. In almost all the application competitions, mostly innovative
applications are rewarded.
But on the other hand, the result shows that the most innovative
applications won’t necessarily be the successful one in future
business practice.
CC-BY - Sebastiaan ter Burg

13. On one hand, a lot of creativity and know-how exists in Europe to develop
smart applications based on open data sets.
On the other hand, solid business models to bring these apps to the
market and make them viable are often lacking.
- Raf Buyle

15. How does support ‘turning data into business’?
- European support network of organisation and individuals
- Tools for data based business
- 19 partners in 10 different countries

20. Do you have:
- A Start-Up using Open Data as a resource?
- An idea for a start-up using Open data as a resource?
- Ambition to start an Open Source / Open Data Start Up
And you want to become a participant during the
international business lounge.
You need:
- To win the online competition on http://www.
appsforeurope.eu/
- Win one of the local business lounges in Europe.

21. 5 minute pitch
5 minute Q&A
5 Jurymembers
± 5 teams

23. Even smart citizens can use a good headstart.

24. Why do we want a Belgian (team) to win (again)?
Open Data
reuse and
economic
value
Open Data
Publishing

25. CC-BY Images Money

26. CC-BY-SA Bambosz
We scratch but a small
surface in the galaxy of
business models

27. Business model details how a firm captures
monetary value now and how it plans to do so in
the long-term
- Afuah and Tucci (2000)

28. Business models are the relationships between
different participants in a commercial venture,
the benefits and costs to each and the flows of
revenue.
-- Electronic Commerce: B2C strategies and models”, Elliot (2002)

29. Regardless of complexity
Profits = revenue – costs
- Electronic Commerce: B2C strategies and models”, Elliot (2002)

30. CC-BY-SA Bambosz

31. Regardless of complexity
Profits = revenue – costs
- Electronic Commerce: B2C strategies and models”, Elliot (2002)

32. CC-BY Allan Ajifo

33. The big three
CC-BY Images Money

34. 1. Freemium
Free Amount 1 Amount 2 Amount 3
Semi
Open
Source
Friendly
Feature 1 x x x x
Feature 2 x x x
Feature 3 x x x
Feature 4 x x
Feature 5 x

35. Freemium Features could be...
- availability of different machine-readable formats
- unconstrained numbers of API calls
- more sophisticated querying
- access to data dumps rather than through an API (or vice
versa)
- provision of feeds of changes to the data
- enhancement of the data with additional information
- early access to data

36. And freemium is flexible
Subscription model
“Every month I pay 10
dollars”
One-time-payment model
“I pay 10 dollars for access”
Usage model
Paying per use or #
API calls

37. 1. Freemium
Subscription model
“Every month I pay 10
dollars”
One-time-payment model
“I pay 10 dollars for access”
Usage model
Paying per use or #
API calls
www.enigma.io

38. The Climate Corporation
www.climate.com

39. CC-BY Images Money
2. Support and Services (SLA) Model
Core
=
Open
Source
Support Integrations Hosted service Custom add-ons ...
Paid
Open
Source
Friendly

40. 2. Support and Services (SLA) Model

41. 2. Support and Services (SLA) Model
Open Bank Project

42. 3. Marketplace model
Hosts /
Merchants /
Suppliers
YOU End-users

43. 3. Marketplace model

44. 3. Marketplace model

45. CC-BY Images Money
Other models and Examples

46. Crowdsourcing Data - Network Model
Application
Developer
Using
crowdsourcing
data to create
your desired
application
Community
Can use data
without
restrictions and
expensive fees.
Release
data for
free
EXTRA

47. Multi product model
Product 1
Open
Product 2
Product 3 Closed
EXTRA

48. Freelance / Agency model
Agency Hackathons
working with
Companies Governments
participating in
EXTRA

50. ‘White label’-model
Application using open data
Sell it to
Companies Governments
EXTRA
Organisations

52. Source: Opendata500.com

53. CC-BY-SA AMBERBUNTING

54. And you should have a nice head start at the
Local Business Lounge next month.

55. 5 minute business pitch
- your idea or business
- your product(s)
- value

56. And now a real life
example

57. And now a real life
example

58. Thanks for listening!
Now let us act