1. Business Models
that rocked
Feedback? Comments?
Twitter: @nickdemey
BoardofInnovation.com
10

2. 27/04/1010different ideas to make money

3. 27/04/10
Hi there,
We are from www.boardofinnovation.com
We help companies find new revenue.
@Philderidder
philippe@boardofinnovation.com
@Nickdemey
nick@boardofinnovation.com

4. 27/04/10
just pay with a post
To download this presentation…

5. 27/04/10
PatientsLikeMe.com
!Example case: “The feedback of other patients with
similar conditions made 10% switch from doctor.
Welcome in the information age. ”
!
+70,000 patients share medical records*
10
*xconomy.com/boston/2010/02/10/patientslikeme-growing-as-pharma-customers-boost-focus-on-patients/?single_page=true

6. 27/04/10

7. 27/04/10
The Business Model behind PatientsLikeMe.com
!a community platform for patients
Forget privacy, people are sharing more info than ever, even medical records.
By offering a free service PatientsLikeMe can attract thousands of patients.

8. 27/04/10
The Business Model behind PatientsLikeMe.com
!a community platform for patients
With permission, PatientsLikeMe gathers data that can be resold for huge sums
to third parties likes pharmaceutical companies. Simple. Marvelous.
Download all slides as PDF
Download all slides as PDF

9. 27/04/10
Flattr.com
!Example case: “When Paypal, Mastercard and others
blocked Wikileaks, the Swedish Flattr donation system
kept Wikileaks’ income stream afloat”
!
1 Wikileaks article led to +3500 donations*
9
*flattr.com/thing/42799/Afghanistan-War-Diary-2004-2009

10. 27/04/10

11. 27/04/10
IncIncHQHQ
Flattr.comReader
Online content
creator
Online content
creator
Content you've
read this month
articles (content)
articles (content)
The Business Model behind Flattr.com
!a service to structure donations for content
Online readers consume tons of content monthly. Strong content can be
‘flattred’ via a button. (similar to ‘like’ on Facebook)

12. 27/04/10
The Business Model behind Flattr.com
!a service to structure donations for content
You decide wich fee you give monthly to Flattr.com. Every month, Flattr
splits your fee evenly over all creators and takes a 10% commission.
Download all slides as PDF

13. 27/04/10
Groupon.com
!Example case: “Exclusive deals limited in time made
Groupon the fastest growing company ever, leading to
hundreds of copy-cats world wide.”
!
GAP made $11,000,000 within 1 day
8
*revenews.com/barrysilverstein/will-success-for-the-gap-secure-groupons-first-mover-advantage/

14. 27/04/10

15. 27/04/10
The Business Model behind Groupon.com
!a broker platform with exclusive discounts
Groupon uses a no cure no pay strategy. They guarantee that a minimum
number of clients will take the discount that is communicated.
IncIncHQHQ
Groupon.com
Buyer Buyer
Crowd of buyers
IncIncIncInc
Company
Guaranteed number
of clients
Massive discounts
1 deal, 1 city, 1 day

16. 27/04/10
The Business Model behind Groupon.com
!a broker platform with exclusive discounts
Next, when enough people take the massive discount, the deals goes on.
Groupon takes 50% of the revenue resulting from this promotion.
IncIncHQHQ
Groupon.com
Buyer Buyer
Crowd of buyers
IncIncIncInc
Company
5
50% of revenue
Guaranteed number
of clients
Massive discounts
1 deal, 1 city, 1 day
Product
5
Significantly
Less Mone

17. 27/04/10
Spotify.com
!Example case: “In August SONY BMG Sweden
confirmed they already made more money out of
Spotify music service than iTunes.”
!
750K paid subscribers are already hooked*
7

18. 27/04/10

19. 27/04/10
The Business Model behind Spotify.com
!an adbased freemium model
The basic music streaming service is offered for free to music fans.
Advertisers pay to cover the costs.
IncIncHQHQ
Spotify Music fan
5
Money
Free music service
IncIncIncInc
Advertiser
Exposure to
music fans

20. 27/04/10
The Business Model behind Spotify.com
!an adbased freemium model
A small percentage does already pay for a premium service. The 2011 US
launch must be the most anticipated music service launch ever.
pitch your business model visually via this free template
IncIncHQHQ
Spotify Music fan
Music fan
5
Money
Free music service
IncIncIncInc
Advertiser
Ad-free
Premium music service
5
Monthly subscription €9,99
Exposure to
music fans
by BoardofInnovation.com

21. 27/04/10
PayWithaTweet.com
!Example case: “Paying with the value of your social
network was never more easy. Expect more concepts
like this in 2011. (e.g. SocialWhispers.com,...)”
!
+300,000 people paid already with a tweet*
6
*vator.tv/news/2010-10-11-pay-with-a-tweet-a-new-kind-of-marketing

22. 27/04/10

23. 27/04/10
The Business Model behind PayWithaTweet
!pay with the value of your social network
More a marketing tool than a business model but remarkable enough to
mention. Instead of paying with cash, users buy products with exposure.
IncIncHQHQ
Paywithatweet Online shopper
Facebook friend
Twitter users
Digital product
Social network
Pay with a Tweet/post

24. 27/04/10
The Business Model behind PayWithaTweet
!pay with the value of your social network
Hopefully boosting the viral effect what would result in a better reputation
for the initiator. The latter could use this to sell more products later on.
IncIncHQHQ
Paywithatweet Online shopper
Facebook friend
Twitter users
Digital product
Digital product
Social network
Pay with a Tweet/post
Pay with a Tweet/post
1
reputation

25. Train your team in
Business Innovation
Hire us?
get more info
Boardofinnovation.com/training

26. 27/04/10
HumbleBundle.com
!Example case: “Buying indie games and supporting
charity is an attractive formula. Being open and
transparant helped this pay-what-you-want concept.”
!
$1,824,408 was raised within 1 week
5

27. 27/04/10

28. 27/04/10
The Business Model behind HumbleBundle
!a succesful pay-whay-you-want formula
You decide how much you pay. Information of previous buyers (How much do
other Mac users pay?) set anchor prices to encourage payments.
IncIncHQHQ
Humble Bundle Gamer
Digital games
5
Set your own price

29. 27/04/10
The Business Model behind HumbleBundle
!a succesful pay-whay-you-want formula
To boost sales Humble Bundle gives buyers control on how the money is
divided over themselves, charity and other organizations.
IncIncHQHQ
Humble Bundle Gamer
Digital games
5
Set your own price
IncIncIncInc
EFFCharity
5
Set % donation
5
Set % donation
5
Set %
commission

30. 27/04/10
Free with in-app sales
!Example case: “The sales of virtual goods has
flourished in 2010 and even outperformed mobile ads.
6/10 top grossing iPhone apps can be bought for free.”
!
80% of revenue comes from in-app sales*
4
*readwriteweb.com/mobile/2010/10/in-app-purchases-generate-more-revenue-than-ads.php

31. 27/04/10

32. 27/04/10
The Business Model behind In-App sales
!cross-selling strategy
By offering the game (or application) for free they try to get you in.
If the experience is addictive, users are willing to pay for extras.
IncIncHQHQ
Mobile Game Mobile Gamer
Free mobile game
Addictive
Experience

33. 27/04/10
The Business Model behind In-App sales
!cross-selling strategy
Often an intermediate credit system is used to loose the real-world value
perception of the virtual goods that can be bought with it.
pitch your business model visually via this free template
IncIncHQHQ
Mobile Game Mobile Gamer
Free mobile game
Digital upgrades & virtual goods
Credits
5
Money
Some credits
Addictive
Experience
by BoardofInnovation.com

34. 27/04/10
Quirky.com
!Example case: “Quirky raised the bar for co-creation
platforms by paying out influencers. Every week 2 new
products are being launched.”
!
+500 people co-designed 1 new iPad stand*
3
*quirky.com/products/30-Cloak-iPad-Case

35. 27/04/10

36. 27/04/10
The Business Model behind Quirky.com
!a co-creation platform + e-shop
Inventors pay $99 to submit their idea to this co-creation platform. After
selection a community of designers will co-design and improve this product.

37. 27/04/10
The Business Model behind Quirky.com
!a co-creation platform + e-shop
Suppliers will set a minimum amount on the pre-sales. If enough people buy
this product, it will be go into production.
pitch your business model visually via this free templateby BoardofInnovation.com

38. 27/04/10
The Business Model behind Quirky.com
!a co-creation platform + e-shop
Revenues from the e-shop are shared with the community. 30% of profit goes
to the initiator. 30% will be proportionally divided amongst the influencers.

39. 27/04/10
2 Airbnb.com
!Example case: “In times when more people discover
the joy of sharing Airbnb.com, swap.com and others
found ways to make some cash on this movement.”
!
+700,000 nights are already booked*
*airbnb.com/home/press

40. 27/04/10
Clickworker.com
!Example case: “Just like Amazon Mechanical Turk,
people world wide are performing micro-tasks gaining
micro-payments. ”
!
+300.000 people paid already with a tweet*
2

41. 27/04/10
The Business Model behind AirBnb.com
!a one-sided matchmaking platform
With this bottom-up P2P model AirBnb connects normal people so they can
rent out spare rooms to eachother. A professional service democratised.

42. 27/04/10
The Business Model behind AirBnb.com
!a one-sided matchmaking platform
Depending on the rental price AirBnb takes a commission up to 12%.
Other platforms use posting fees when people just swap goods or services.

43. 27/04/10
Kickstarter.com
!Example case: “Looking for $15,000 funding? Scott
Wilson convinced 13,512 people to pledge money to
develop an iPod Nano Watch.”
!
$941,718 was funded within 30 days
1

44. 27/04/10

45. 27/04/10
The Business Model behind Kickstarter.com
!a marketplace for fund seekers
First step, give Fund Seekers some exposure so they can connect with a
crowd of ‘backers’ who are willing to pledge some money for their ideas.

46. 27/04/10
The Business Model behind Kickstarter.com
!a marketplace for fund seekers
Next, people who gave funding to a project idea are being rewarded (small
or large) depending on the amount they pledged.

47. 27/04/10
The Business Model behind Kickstarter.com
!a marketplace for fund seekers
Kickstarter takes 5% of the funding as a commission.

48. Train your team in
Business Innovation
Hire us?
Get in touch
Boardofinnovation.com/training
@Philderidder
philippe@boardofinnovation.com
@Nickdemey
nick@boardofinnovation.com