Business model innovation
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This is a talk I gave on 13-Oct-16 to the RishonTec entrepreneurs community. This presentations tries to answer questions like what is a business model? What types of business models are there? How to use it to defend you startup?
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DentBetty is an online marketplace that allows consumers to get estimates for cosmetic car repairs by uploading photos. Consumers can receive up to 7 competing estimates by email and select an appointment with a shop. This saves consumers time and money by eliminating driving from shop to shop for estimates. The document outlines DentBetty's business model, market opportunity in the $3-5 billion cosmetic car repair industry, product roadmap, and management team.
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This document summarizes a seminar about improving customer satisfaction and experience for SaaS businesses. It discusses:
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2) The link between customer service and SaaS business performance, as SaaS relies on recurring revenue that is sensitive to usage and satisfaction. Key metrics like monthly recurring revenue, churn, and organic growth are impacted.
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2013 CRM Evolution Conference Session: Getting Maximum Value from You Custome...
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The Evolution and Impact of OTT Platforms: A Deep Dive into the Future of Ent...
This presentation provides a thorough examination of Over-the-Top (OTT) platforms, focusing on their development and substantial influence on the entertainment industry, with a particular emphasis on the Indian market.We begin with an introduction to OTT platforms, defining them as streaming services that deliver content directly over the internet, bypassing traditional broadcast channels. These platforms offer a variety of content, including movies, TV shows, and original productions, allowing users to access content on-demand across multiple devices.The historical context covers the early days of streaming, starting with Netflix's inception in 1997 as a DVD rental service and its transition to streaming in 2007. The presentation also highlights India's television journey, from the launch of Doordarshan in 1959 to the introduction of Direct-to-Home (DTH) satellite television in 2000, which expanded viewing choices and set the stage for the rise of OTT platforms like Big Flix, Ditto TV, Sony LIV, Hotstar, and Netflix. The business models of OTT platforms are explored in detail. Subscription Video on Demand (SVOD) models, exemplified by Netflix and Amazon Prime Video, offer unlimited content access for a monthly fee. Transactional Video on Demand (TVOD) models, like iTunes and Sky Box Office, allow users to pay for individual pieces of content. Advertising-Based Video on Demand (AVOD) models, such as YouTube and Facebook Watch, provide free content supported by advertisements. Hybrid models combine elements of SVOD and AVOD, offering flexibility to cater to diverse audience preferences.
Content acquisition strategies are also discussed, highlighting the dual approach of purchasing broadcasting rights for existing films and TV shows and investing in original content production. This section underscores the importance of a robust content library in attracting and retaining subscribers.The presentation addresses the challenges faced by OTT platforms, including the unpredictability of content acquisition and audience preferences. It emphasizes the difficulty of balancing content investment with returns in a competitive market, the high costs associated with marketing, and the need for continuous innovation and adaptation to stay relevant.
The impact of OTT platforms on the Bollywood film industry is significant. The competition for viewers has led to a decrease in cinema ticket sales, affecting the revenue of Bollywood films that traditionally rely on theatrical releases. Additionally, OTT platforms now pay less for film rights due to the uncertain success of films in cinemas.
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We know we want to create products which our customers find to be valuable. Whether we label it as customer-centric or product-led depends on how long we've been doing product management. There are three challenges we face when doing this. The obvious challenge is figuring out what our users need; the non-obvious challenges are in creating a shared understanding of those needs and in sensing if what we're doing is meeting those needs.
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Business model innovation
- 2. The story about the dentist software (based on Fred Wilson’s blog post)
- 4. $25,000 per dentist $100mm annual revenue Dentasoft Goes public (IPO)
- 5. Photo credit: Kevin Krejci via VisualHunt / CC BY $5,000 per year per office Raise $10mm from Seqouia Dent.io
- 6. Misses the quarter projections Stock crashes Dentasoft
- 7. Photo credit: Fouquier ॐ via Visual hunt / CC BY-NC Open source community and Hosted solution DentOps / DentHub “Let’s Disrupt the dental industry” -- @NitrousOxide
- 8. Photo credit: arecity via Visualhunt.com / CC BY-NC-SA Dentasoft files for bankruptcy and restructure their $100mm debt round they took after going public. NitrousOxide is featured on the cover of Wired as the man who disrupted the dental industry. The Dent.io board fires its CEO and begs the founders to come back and take control.
- 9. Lessons 1.Software alone is a commodity. There is nothing stopping anyone from copying the feature set, making it better, cheaper, and faster. And they will do that. 1.Startups should include something other than features and functions. Something that was not a commodity
- 12. Simple? Not quite! More complicated than that. (Technology can be copied)
- 13. Product/Market fit is all that matters “The true product of a successful entrepreneur is not just a great solution or an innovative piece of technology, but a repeatable process that connects your solution with paying customers -- in other words, finding a working business model.” -Ash Maurya
- 14. What is a business model?
- 15. “A business model is a story about how an organization creates, delivers and captures value.” -- Saul Kaplan, The business model innovation factory
- 16. Business model innovation Examples • American Express and the Travelers Checks (revenue before cost) • The credit card (loan that the seller pays the interest) • AirBnB • Peer-to-peer lending
- 20. Marketplace
- 21. HOW TO PROTECT YOUR BUSINESS MODEL
- 23. Network effect: Value = f(number of users)
- 24. Takeaways 1. Think value, not features 2. Use a business model that will help you disrupt and protect 3. Bake network effects into your product
- 25. Thank you Eitan Katz @eitank or LinkedIn: eitankatz