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Business model canvas (Dropbox)

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Business model canvas (Dropbox)

  1. 1. Business Model Canvas- Dropbox Inc. Free as a Business Model
  2. 2. Model 3 Free as a business model • At least one substantial customer segment is continuously benefit from a free of charge offer. • Non paying customers are financed by another part of the business model (another customer segment). Free offers have exploded on the internet because of the low storage and digitizing costs. • Different patterns make the free offer possible. a. One segment continuously benefits b. Freemium c. Bait & Hook
  3. 3. One Segment continuously Benefits Times of India Key Partners Distributors Government Key Activities Newsgathering Production(Prin torOnline) Value Proposition Up-to-date News LowPrices LargeReadershi p CustomerReach Customer Relationships AuthenticNews Customer Segments Readers Advertises Key Resources Reporting Infra. Financial strength Editorial People Channels Distributors Online CostStructure ProductionCost OperatingCost Revenue Streams SaleofNewspapers AdvertisementRevenue
  4. 4. Freemium: Basics Free, Pay for more Flickr: Photo sharing website of Yahoo Key Partners Yahoo Key Activities Platform Management Value Proposition Free Basic Photo Sharing Premium Photo Sharing Customer Relationships Mass Customized Customer Segments Casual Users High Volume Technical Users Key Resources Flicker Platform Brand Channels Flicker.com Yahoo.com Cost Platform Develop Structure Storage Costs Revenue Annual Subscription – Premium AC Streams
  5. 5. Key Partners •Strategic partnership with HTC •(5GB free dropbox storage to all Android Users ) •Dropbox uses Amazon’s Simple Storage Serves (3S) for Data Storage. Key Activities •Promotion of service •Continual Development of platform and services •Troubleshooting for customers Value Proposition •Freemium Model •Online Storage : Backup •Easy Access to data •Accessibility : Universal Application •Simplicity of user Interface •Automatic Synchronization of data •Risk Reduction : Reliable Back up Customer Relationships •Account Management for Business customers •Personal assistance through tech support •Automated service through Q&A section •Communities : FB, Twitter. Customer Segments •Mass Market •Existing Market •Target : Everyone using memory card or email to transfer data. Key Resources •Physical assests (Servers, computer, high speed internet connection) •Skilled HR •Intellectual assets •Growing financial resources Channels •Direct and own: Homepage •Indirect : Referral through users •Other indirect channels •Partner channels :online tech forums as www.digg.com Cost Structure •2nd round of Venture capital was raised in 2011 to finance : Rapid Growth, Acquisitions, Strategic Partnerships Revenue Streams •Pricing mechanism : Fixed List price •Payment Model : Usage & Subscription fee •Recurring revenue from ongoing payments
  6. 6. Submitted By : • Namrata Jadhav : 58

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