How a company creates value
for itself while delivering
products or services for
• In basic usage provides a good checklist
of important things
• Can be used as a very advanced tool by
any kind of company to model and iterate
new innovative business models very fast
• Orinally created by Alex Osterwalder &
•Validate the assumptions you make
•Make several iterations as your
learn more about the assumptions
•If needed, writing a traditional
business plan is straightforward
based on BMC
society & culture
Needs & demands
Value chain actors
What value do we deliver to the
Which one of our customer’s
problems are we helping to
What bundles of products and
services are we offering to each
Which customer needs are we
“Getting the Job
• What do we provide, what are the benefits, how it’s delivered and how it’s
• Increase your website sales and conversions. No coding or HTML knowledge
required” (Visual Website Optimizer). No differentiation, though.
• World’s #1 Project Management App (Basecamp)
• End result customer wants + specific period of time + address the
objections (Dane Maxwell)
• Hot fresh pizza delivered to your door in 30 minutes or it’s free (Domino’s)
• Start accepting credit cards today. No additional fees and next day deposits. (Square)
• “We help X do Y doing Z” (Steve Blank)
• We help non-technical marketers discover return on investment in social media by
turning engagement metrics into revenue metrics.
For whom are we creating
Who are our most important
Through which Channels do our
Customer Segments want to be
How are we reaching them now?
How are our Channels integrated?
Which ones work best?
Which ones are most cost-efficient?
How are we integrating them with
How do we raise awareness?
How do we help customers evaluate
our Value Proposition?
How do we allow customers to
purchase products and services?
How do we deliver a Value Proposition
How do we provide post-purchase
What type of relationship does
each of our Customer?
Segments expect us to establish
and maintain with them?
Which ones have we established?
How are they integrated with the
rest of our business model?
How costly are they?
Dedicated Personal Assistance
For what value are our customers
really willing to pay?
For what do they currently pay?
How are they currently paying?
How would they prefer to pay?
How much does each Revenue
Stream contribute to overall
What Key Resources do
our Value Propositions
Types of resources
Intellectual (brand patents,
Who are our Key Partners?
Who are our key suppliers?
Which Key Resources are we
acquiring from partners?
Which Key Activities do
motivations for partnerships
Optimization and economy
Reduction of risk and
Acquisition of particular
resources and activities
What Key Activities do our
Value Propositions require?
Our Distribution Channels?
What are the most
important costs inherent in
our business model?
Which Key Resources are
Which Key Activities are
structure, low price
focused on value
1. How much do switching costs prevent your customers from churning?
• iPod with “1000 songs in your pocket”
2. How scalable is your business model?
3. Does your business model produce recurring revenues?
• Redhat, SaaS
4. Do you earn before you spend?
• Dell, just-in-time manufacturing
5. How much do you get others to do the work?
• Ikea, Facebook
6. Does your business model provide built-in protection from competition?
• Apple Ecosystem
7. Is your business model based on a game changing cost structure?
• Skype vs. Telcos
10. Don't know how you'll measure success (Key metrics are missing)
9. Marketing to everyone
8. Ending up on local maximum
7. Problems are not specific enough
6. No unfair disadvantage story
5. A weak unique value proposition
4. Not enough runway
3. No significant path to customers
2. No monetizable pain
1. Falling in love with the solution
You cannot business-model
your way out of a shitty