For whom are we creating value?Who are your most important customers? Customer segments 1) Everybody who you create value for 2) Make an archetype/persona of every segment 3) In a mulC-‐sided plaEorm every segment has its own value proposiCon 4) How do they solve the problem now? What does it cost? Who are you creating value for? Sketch your customers’ persona’s / archetypes Describe a day out of their live
The core of your business model The Value Proposi>on 1) Which problem are you solving, or which need are you fulﬁlling? 2) What is your soluCon to solve your customers’ problem/need? 3) Which customer value do you create with this soluCon? 1. Which problem are you solving? 2. What is your soluCon? 3. Which customer value do you create?
Channels • How do you reach your customers? • How do they want to be reached? How are they currently reached through which (distribuCon) channels? And what does not work or why does it 1) Communica+on work? 2) Distribu+on • How much do you channels cost you? 3) Technical customer service
Customer relationships Customer rela>onships • How do you want to relate with your customer? • How will you engage them to your website / product? • How costly is your relaConship? • How do your customers currently work with your compeCtors? What does not work, what does work? 1) The type of relaConship a company establishes with the customer 2) How inCmate do you want to be with your customers 3) AcquisiCon, retenCon and upselling 1) What type of relaConship do you build with your customer 2) How inCmate do you want to be with your customers 3) AcquisiCon, retenCon and upselling
Building blocks – revenue streamsRevenue streams 1) Revenue model 2) Actual prices
Building blocks – key resourcesKey resources 1) Physical 2) Intellectual 3) Financial 4) Human
Building blocks – key activities What are the most important things you must excell at in order to create and deliver the value proposiCon and to moneCze on it.
Building blocks – cost structure Cost structure 1) Type 2) Amount 3) Fixed / variable
How NOT to use the business model canvas 1. As a subsCtuCon for a business plan 2. As a staCc tool 3. As a goal on itself 4. As a part of your presentaCon 5. As a blanks exercise 6. Do NOT use a ballpoint 7. Do NOT use the examples literally 8. Do NOT write one Value ProposiCon for diﬀerent Customer Segments
Great, such an exercise… …but what is it worth? Can you succesfully execute on a poster full of guesses? “No business plan survives ﬁrst contact with customers” Steve Blank
Work as a lean startup… Learn as fast as possible Create maximum value for your customer Have strong visions and are rigourous in tesCng Minimise waste
Change assumptions into facts First test the problem, then the solution
Design the experiment to test yourassumption What do you want to learn? • Keep it simpel • Pass/fail experiment • Set minimum criteria for validaCon • Fast test, short cycle Cme
Minimum Viable Product (MVP) An MVP is the minimum amount of eﬀort creaCng some value for customers and needed to provide speedy feedback to determine the viability of a product. Can be a mock-‐up, video, fast prototype (3D prinCng), restricted service, etc… An MVP naturally comes in later stages of Customer Development as it is a rudimentary soluCon to a problem worth solving.
Where are the facts? There are no answers inside your oﬃce
So, get out of the building So get out of the building!
Any questions ? more information: Marcellien.firstname.lastname@example.org @UtrechtInc or @marcellien
Customer relationships Customer rela>onships • How do you want to relate with your customer? • How will you engage them to your website / product? • How costly is your relaConship? • How do your customers currently work with your compeCtors? What does not work, what does work?
How not to use the business model canvas ProvocaCve, aggressive, Flying Need to low cost, no Passengers Secondary o2en travel customer travelling for a airport mgt easy and service weekend/short and local cheap to stay abroad government nearby places Pay only for Secondary AviaCon fuel HR, airports value taken suppliers airplanes Cheap Cckets Website Low cost structure, Tickets Bargaining every deal Airport subsidies Airplanes, HR Luggage check-‐in
The customer development process Repeatable & scalable Problem-‐ sales model soluCon ﬁt