Alar Kolk
President, European Innovation Academy
Different
Grow Fast or Die
ARE YOU
SOLVING THE RIGHT
PROBLEM?
“If I were given one hour to save the planet, I would
spend 59 minutes defining the pro...
Customer Discovery
Customer Discovery, Phase One:
State Your Business Model
Value
proposition?
Value
proposition?
What are value propositons
for the products?
Business Model Determines Value
of the Product or Service.
Business Model Innovation
Transforms Technology into
Money
Busi...
Focus in Business Model
A business model is a conceptual tool that contains a big set of elements and their
relationships ...
areas4
WHAT? WHO?HOW?
$? €?
WHAT? WHO?HOW?
$? €?
CUSTOMERCUSTOMER
CLIENT
SEGMENTS
CLIENT
SEGMENTS
CLIENT
SEGMENTS
CLIENT
SEGMENTS
CLIENT
SEGMENTS
CLIE...
how much did the coffee price
change for Swiss households
over the last couple of years?
6-8 x
more
Nespresso changed the
business model for coffee
The business model system
TARGETED
CUSTOMER
SEGMENTS
PARTNERSHIP
NETWORK
OFFER – VALUE
PROPOSITION
Nespresso coffee
machin...
RESULTS
35% growth p.a. for the last
7 consecutive years
fastest-growing business in
the Nestlé group
Nespresso has a 26.6 %
global share in Espresso
machine sales
Sketch many business models and select the ONE
Customer Discovery, Phase Two:
"Get Out of the Building" to Test the
Problem: "Do Customers Care?"
Get your team "out of t...
Customer Discovery, Phase Three:
"Get out of the Building" and Test the
Product/Service Solution
Alar Kolk
President, European Innovation Academy
building
blocks9
Business Model
Innovation…
Alar Kolk
President, European Innovation Academy
Traditional Value Chain vs. Modern Value Chain
Who?
Which new customer segments will emerge in
the next 5 years?
YUPPIES
YUFFIES
MOBY/DOBY
WOOFS
SKIPPIES
SANDWICHERS Adu...
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
The Business Model Canvas
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The Business Model Canvas

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  • Nespresso
  • http://www.flickr.com/photos/joeshlabotnik/2294656527/ Joe Shlabotnik
  • http://www.flickr.com/photos/timtom/2478359433/ Thomas Guignard
  • Transcript of "The Business Model Canvas"

    1. 1. Alar Kolk President, European Innovation Academy
    2. 2. Different
    3. 3. Grow Fast or Die
    4. 4. ARE YOU SOLVING THE RIGHT PROBLEM? “If I were given one hour to save the planet, I would spend 59 minutes defining the problem and one minute resolving it,” Albert Einstein Most firms are not and that undermines their innovation efforts… Indeed, when developing new products, processes, or even businesses, most companies aren’t sufficiently rigorous in defining the problems they’re attempting to solve and articulating why those issues are important. Without that rigor, organizations miss opportunities, waste resources, and end up pursuing innovation initiatives that aren’t aligned with their strategies.
    5. 5. Customer Discovery
    6. 6. Customer Discovery, Phase One: State Your Business Model
    7. 7. Value proposition? Value proposition?
    8. 8. What are value propositons for the products?
    9. 9. Business Model Determines Value of the Product or Service. Business Model Innovation Transforms Technology into Money Business Model Functions: 1.Value Creation 2.Value Capture Business Model
    10. 10. Focus in Business Model A business model is a conceptual tool that contains a big set of elements and their relationships and allows expressing the business logic of a specific firm. It is a description of the value a company offers to one or several segments of customers and of the architecture of the firm and its network of partners for creating, marketing, and delivering this value and relationship capital, to generate profitable and sustainable revenue streams. Osterwalder, Pigneur and Tucci (2005)
    11. 11. areas4
    12. 12. WHAT? WHO?HOW? $? €?
    13. 13. WHAT? WHO?HOW? $? €? CUSTOMERCUSTOMER 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 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 OFFEROFFER COST STRUCTURECOST STRUCTURE CUSTOMER RELATIONSHIPS CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS CUSTOMER SEGMENTS KEY RESOURCESKEY RESOURCES CAPABILITIESCAPABILITIES REVENUE FLOWS REVENUE FLOWS DISTRIBUTION CHANNELS DISTRIBUTION CHANNELS PARTNER NETWORK PARTNER NETWORK
    14. 14. how much did the coffee price change for Swiss households over the last couple of years?
    15. 15. 6-8 x more
    16. 16. Nespresso changed the business model for coffee
    17. 17. The business model system TARGETED CUSTOMER SEGMENTS PARTNERSHIP NETWORK OFFER – VALUE PROPOSITION Nespresso coffee machines households distribution channels marketing machine sales capsule sales REVENUE MODEL espresso capsules retail outlets Nespresso.com DISTRIBUTION CHANNELS call center Nespresso stores retail logistics machine manufacturer production CAPABILITIES distribution KEY RESOURCES marketing Nespresso club CUSTOMER RELATIONSHIPS COST STRUCTURE business production facilities patents production
    18. 18. RESULTS
    19. 19. 35% growth p.a. for the last 7 consecutive years
    20. 20. fastest-growing business in the Nestlé group
    21. 21. Nespresso has a 26.6 % global share in Espresso machine sales
    22. 22. Sketch many business models and select the ONE
    23. 23. Customer Discovery, Phase Two: "Get Out of the Building" to Test the Problem: "Do Customers Care?" Get your team "out of the building" to test the problem and to answer three key questions: •Do we really understand the customer's problem? •Do enough people really care enough about the problem for this to become a huge business? •And will they care enough to tell their friends?
    24. 24. Customer Discovery, Phase Three: "Get out of the Building" and Test the Product/Service Solution
    25. 25. Alar Kolk President, European Innovation Academy
    26. 26. building blocks9
    27. 27. Business Model Innovation… Alar Kolk President, European Innovation Academy
    28. 28. Traditional Value Chain vs. Modern Value Chain
    29. 29. Who? Which new customer segments will emerge in the next 5 years? YUPPIES YUFFIES MOBY/DOBY WOOFS SKIPPIES SANDWICHERS Adults caught between caring their children and their older parents School Kids with Income + Purchaing Power Well Off Older Folks Mom/Dad Older – Baby Younger Young Urban Failures Youg Urban Professionals

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