The Business Model Canvas was proposed by Alexander Osterwalder. Business Model Canvas helps lean advocates to develop new or document existing business models.

1. Introduction to
Business Model
Canvas
@luiserazoga

2. What is a
Business
Model?

3. “A business model
describes the
rationale of how to
create, deliver,
and capture value”
Steve Blank

4. Why use a
Canvas?

5. • Helps you understand and explain your idea/business better
• See your assumptions so you can test them
• Know what you don’t know
• Keeps your team on one page and on track
• REMEMBER: each section is an assumption – you will need to
test them!

6. When to use a
Business Model
Canvas?

7. • Co-create Strategic Planning
• Understanding Competition
• Prototype business models and test them
• Understanding Customers (B2B)
• Before doing a Business Plan

8. Why a Canvas
and not a
Business Plan?

11. • Useful later down the line.
• Take a lot of time (and often money) to prepare.
• Hard to change.

12. Business Model Canvas -
Key Partners Key Activities Value Propositions Customer
Relationships
Customer Segments
Key Resources Channels
Cost Structure Revenue Streams
http://www.businessmodelgeneration.com

13. Customer
Segments

14. • For whom are we creating value?
• Who are our most important customers?

15. Mass Market

16. Niche Market

17. Segmented

18. Diversified

19. Multi-side

20. Value
Proposition

21. • How does your solution create value?
• Which one of our customer’s problems or needs are
we helping to solve?
• How will it make your customer’s life better?
IMPORTANT: It is not a list of features!

22. “To turn your idea into a business
you need to iterate between
designing and testing business
models and value propositions
until you find what will work.”
Alexander Osterwalder

23. Simplicity

24. Cost reduction

26. Quality

27. Price
Accessibility

28. Channels

29. • Describes how a company communicates with and
reaches its Customer Segments to deliver a Value
Proposition
• Through which Channels do our Customer Segments
want to be reached?

30. 1. Awareness
2. Evaluation
3. Purchase
4. Delivery
5. After Sales
Channel PhasesChannel Types
1. Direct
2. Indirect

31. Customer
Relationships

32. Describes the type of relationships a company
establishes with specific Customer Segments.
• Which type of relationships does each of our
Customer Segments expect us to establish and
maintain with them?

33. • Personal assistance
• Dedicated personal assistance
• Self-service
• Automated services
• Communities
• Co-creation

34. Revenue
Streams

35. Represents the cash a company generates from
each Customer Segment
• For what value are our customers really willing to
pay?
• How would they prefer to pay?
• How much does each Revenue Stream contribute
to overall revenues?

36. Types
• Asset sale
• Usage fee
• Subscription fee
• Lending/Renting/Leasing
• Licensing
• Brokerage fee
• Advertising

37. Pricing Mechanisms – Fixed Pricing
• List price
• Product feature dependent
• Customer segment dependent
• Volume dependent

38. Pricing Mechanisms – Dynamic Pricing
• Negotiation
• Yield management
• Real-time-market
• Auctions

39. Key
Resources

40. Describe the most important assets required to make a
business model work
• What Key Resources do our Value Propositions
require? Our Distribution Channels? Customer
Relationships? Revenue Streams?

41. Categories
• Physical
• Intellectual
• Human
• Financial

42. Key
Activities

43. Describe the most important things a company must do
to make its business model work.
• What Key Activities do our Value Proposition require?
Our Distribution Channels? Customer Relationships?
Revenue Stream?

44. Categories
• Production
• Problem Solving
• Platform/Network

45. Key
Partnerships

46. Describes the network of suppliers and partners that
make the business model work
• Who are our Key Partners and Suppliers?
• Which resources are we acquiring from partners?
• Which activities do partners perform?

47. Types
• Strategic alliance between non-competitors
• Coopetition: Strategic partnership between competitors
• Join venture to develop new business
• Buyer-supplier relationship to assure reliable supplies

48. Cost
Structure

49. Describes all costs incurred to operate a business model.
• What are the most important costs inherent in our
business model?
• Which Key Resources are most expensive?
• Which Key Activities are most expensive?
• Are you Cost-Driven or Value-Driven?

50. Categories
• Fixed costs
• Variable costs
• Economies of scale
• Economies of scope