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Business Model Canvas
Created by ex-McKinsey, Deloitte & BCG Management
Consultants.
2
What is the purpose of a Business Model Canvas?
A Business Model describes the rationale of how an organization creates, delivers and captures value.
A Business Model Canvas is a strategic management and lean tool that will help you develop new business models or
improve existing ones. It includes 9 building blocks, which were initially proposed in 2005 by Alexander Osterwalder:
1. Key Partners
2. Key Activities
3. Key Resources
4. Value Propositions
5. Customer Relationships
6. Channels
7. Customer Segments
8. Cost Structure
9. Revenue Stream
Feasibility: Can the company deliver its products & services?
Desirability: Is there a customer demand for the company’s products & services?
Viability: Can the company be profitable?
3
Best practices to effectively use the Business
Model Canvas
When we use the Business Model Canvas with our clients, we usually like to organize workshops with key stakeholders.
The most common mistake we’ve noticed over the years is when a CEO only invites the Corporate & Business Strategy
team to the workshops. The stakeholders need to come from different functions such as Corporate & Business Strategy,
Finance, Sales, Marketing, etc. That way your Business Model will be designed or refined based on many different
perspectives. Besides, the different functions will feel better engaged. And the more they feel engaged, the better they
will commit to the implementation of the Business Model.
We usually print on the wall a version of the Business Model Canvas (see next slide) in extra large (e.g. A1), so groups of
people can jointly start sketching and discussing business model elements with post-it notes or board markers. Many of
our clients also like to simply project the Business Model Canvas on a big screen using Powepoint, with one person
responsible for writing the stakeholders’ inputs in real time. When available, we also like to use an interactive display
whiteboard such as Google Jamboard. Interactive display whiteboards are great tools, especially when you have
stakeholders attending your workshop online, which seems to be increasingly the case.
Please note that defining your business model should be an iterative process, that will be refined along the way. The first
version of your business model will include many hypotheses. The idea is to test these hypotheses in order to quickly
validate or invalidate these hypotheses. Start by testing the most critical hypotheses.
Business Model Canvas
Tutorial
Key Partners
• List the key partners that will
help you optimize your
operations, reduce your risks,
and get a competitive
advantage.
Value Propositions
• List the products and services
you offer to meet the needs of
your customers. Also include in
this section your unique selling
proposition (USP) that will
distinguish you from your
competitors.
Key Activities
• List the most important
activities required to implement
the company's value
proposition.
Customer Relationships
• Identify the type of relationship
you want to create with your
customer segments. How will
you interact with them?
Cost Structure
• Estimate how much you are planning to spend on Product development, Marketing,
Sales, Website design & development, etc.
Revenue Stream
• Estimate how much you are planning to earn from your different sources of revenue.
• Estimate your earnings based on your costs and revenues.
Customer Segments
• Identify which customers you
try to serve (e.g. age, gender,
location, interests, languages,
habits, etc.).
Key Resources
• List the resources that are
necessary to create value for
your customers. These
resources could be human,
financial, physical and
intellectual.
Channels
• List the different channels you
will be using to deliver your
value proposition to your
targeted customers. An
organization can reach its
clients through its own
channels, partner channels, or
a combination of both.
Feasibility Desirability Viability
Caption:
Key Partners
• Insert your own text
• Insert your own text
• Insert your own text
Value Propositions
• Insert your own text
• Insert your own text
• Insert your own text
Key Activities
• Insert your own text
• Insert your own text
• Insert your own text
Customer Relationships
• Insert your own text
• Insert your own text
• Insert your own text
Cost Structure
• Insert your own text
• Insert your own text
• Insert your own text
Revenue Stream
• Insert your own text
• Insert your own text
• Insert your own text
Customer Segments
• Insert your own text
• Insert your own text
• Insert your own text
Key Resources
• Insert your own text
• Insert your own text
• Insert your own text
Channels
• Insert your own text
• Insert your own text
• Insert your own text
Business Model Canvas for [insert company name or logo]
Template
Feasibility Desirability Viability
Caption:
Key Partners
• People who sell on the
platform.
• Bloggers who earn a
commission for any referrals
that lead to a sale.
• Independent authors who
publish their works through
Kindle Direct Publishing.
• Companies providing storage
spaces.
Value Propositions
• Jeff Bezos defines that
Amazon’s business model is
based on three value
propositions: low price, fast
delivery and a wide selection of
products.
Key Activities
• Development, maintenance and
expansion of its platform.
• Management of the entire
supply chain
• Cloud computing
• Production of films, series from
its video platform
• Marketing all its products and
services.
Customer Relationships
• Amazon’s focus is to have a
healthy and long-lasting
relationship with its customers.
• They maintain several
communication channels open
with their consumers, such as
reviews and comments on the
platform, phone, online chat
and email contact.
Cost Structure
• IT structure.
• Customer service centre.
• Software development & maintenance and information security.
• Marketing.
• Fulfilment centres.
Revenue Stream
• Amazon Marketplace: Amazon asks for a fee from its sellers
• Amazon Prime: subscribers have access to videos, music, and a free two-day shipping
• Amazon Web Services: a low-cost complete IT structure platform
• Amazon Kindle: Users can buy, browse and download books, magazines & newspapers
• Amazon Advertising, which offers sponsored ads
Customer Segments
• The customer segments of
Amazon can be divided into
basically three groups: sellers,
buyers and developers.
• Sellers are all the companies
that use the Amazon’s e-
commerce platform to sell their
products.
• Developers are all the
community involved with the
Amazon Web Services (AWS).
• And the buyers are the millions
of people across the world who
acquire products and services
through Amazon’s channels.
Amazon tracks its customers
based on some characteristics,
such as interest, engagement
and personal information (age,
gender, geographical space,
language, among others).
Key Resources
• Its technological infrastructure,
which needs to be broad and
very secure, in order to keep
the whole chain running without
interruption and without losses
• Offices and warehouses
• Human resources (e.g.
designers, engineers,
developers etc.)
Channels
• The Amazon website is its
largest and most important
channel.
• As an internet-based company,
its marketing is basically digital,
including advertisements,
sponsored publications and e-
mail marketing.
Real-life example
Business Model Canvas for
Real-life example
Need more help? Our team of ex-McKinsey, Deloitte & BCG Consultants
created many Business & Consulting Toolkits such as:
1.Corporate &
Business Strategy
Toolkit
2.Management
Consulting Toolkit
3.Change & Project
Management Toolkit
4.Sales, Marketing &
Communication
Toolkit
5.Financial Planning &
Analysis Toolkit
7.Operations & Supply
Chain Toolkit
8.Leadership &
Personal Development
Toolkit
Visit Website Visit Website Visit Website Visit Website Visit Website
Visit Website Visit Website
9.Risk Management
Toolkit
Visit Website
10.Mergers &
Acquisitions Toolkit
Visit Website
6.Digital
Transformation Toolkit
Visit Website
11.Post Merger
Integration Toolkit
Visit Website
7
12.Entrepreneurship
Toolkit
Visit Website
Includes the Strategic
Planning Toolkit
Each Business & Consulting Toolkit includes:
8
Toolkits
Tools
Templates
Step-by-step Tutorials
Real-life Examples
Best Practices
Support from Tier-1
Management Consultants
Frameworks
Interested in more than 1 Toolkit? You can access to all our Toolkits for half the
price with the Gold Business & Consulting Package
www.slidebooks.com
Gold Business & Consulting Package
Learn More
9
Need more help?
Hire one of our Management Consultants for $4,000 a day
See more Management Consultants
10
Thanks for your attention!
www.slidebooks.com
11

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Business_Model_Canvas.pptx

  • 1. Business Model Canvas Created by ex-McKinsey, Deloitte & BCG Management Consultants.
  • 2. 2 What is the purpose of a Business Model Canvas? A Business Model describes the rationale of how an organization creates, delivers and captures value. A Business Model Canvas is a strategic management and lean tool that will help you develop new business models or improve existing ones. It includes 9 building blocks, which were initially proposed in 2005 by Alexander Osterwalder: 1. Key Partners 2. Key Activities 3. Key Resources 4. Value Propositions 5. Customer Relationships 6. Channels 7. Customer Segments 8. Cost Structure 9. Revenue Stream Feasibility: Can the company deliver its products & services? Desirability: Is there a customer demand for the company’s products & services? Viability: Can the company be profitable?
  • 3. 3 Best practices to effectively use the Business Model Canvas When we use the Business Model Canvas with our clients, we usually like to organize workshops with key stakeholders. The most common mistake we’ve noticed over the years is when a CEO only invites the Corporate & Business Strategy team to the workshops. The stakeholders need to come from different functions such as Corporate & Business Strategy, Finance, Sales, Marketing, etc. That way your Business Model will be designed or refined based on many different perspectives. Besides, the different functions will feel better engaged. And the more they feel engaged, the better they will commit to the implementation of the Business Model. We usually print on the wall a version of the Business Model Canvas (see next slide) in extra large (e.g. A1), so groups of people can jointly start sketching and discussing business model elements with post-it notes or board markers. Many of our clients also like to simply project the Business Model Canvas on a big screen using Powepoint, with one person responsible for writing the stakeholders’ inputs in real time. When available, we also like to use an interactive display whiteboard such as Google Jamboard. Interactive display whiteboards are great tools, especially when you have stakeholders attending your workshop online, which seems to be increasingly the case. Please note that defining your business model should be an iterative process, that will be refined along the way. The first version of your business model will include many hypotheses. The idea is to test these hypotheses in order to quickly validate or invalidate these hypotheses. Start by testing the most critical hypotheses.
  • 4. Business Model Canvas Tutorial Key Partners • List the key partners that will help you optimize your operations, reduce your risks, and get a competitive advantage. Value Propositions • List the products and services you offer to meet the needs of your customers. Also include in this section your unique selling proposition (USP) that will distinguish you from your competitors. Key Activities • List the most important activities required to implement the company's value proposition. Customer Relationships • Identify the type of relationship you want to create with your customer segments. How will you interact with them? Cost Structure • Estimate how much you are planning to spend on Product development, Marketing, Sales, Website design & development, etc. Revenue Stream • Estimate how much you are planning to earn from your different sources of revenue. • Estimate your earnings based on your costs and revenues. Customer Segments • Identify which customers you try to serve (e.g. age, gender, location, interests, languages, habits, etc.). Key Resources • List the resources that are necessary to create value for your customers. These resources could be human, financial, physical and intellectual. Channels • List the different channels you will be using to deliver your value proposition to your targeted customers. An organization can reach its clients through its own channels, partner channels, or a combination of both. Feasibility Desirability Viability Caption:
  • 5. Key Partners • Insert your own text • Insert your own text • Insert your own text Value Propositions • Insert your own text • Insert your own text • Insert your own text Key Activities • Insert your own text • Insert your own text • Insert your own text Customer Relationships • Insert your own text • Insert your own text • Insert your own text Cost Structure • Insert your own text • Insert your own text • Insert your own text Revenue Stream • Insert your own text • Insert your own text • Insert your own text Customer Segments • Insert your own text • Insert your own text • Insert your own text Key Resources • Insert your own text • Insert your own text • Insert your own text Channels • Insert your own text • Insert your own text • Insert your own text Business Model Canvas for [insert company name or logo] Template Feasibility Desirability Viability Caption:
  • 6. Key Partners • People who sell on the platform. • Bloggers who earn a commission for any referrals that lead to a sale. • Independent authors who publish their works through Kindle Direct Publishing. • Companies providing storage spaces. Value Propositions • Jeff Bezos defines that Amazon’s business model is based on three value propositions: low price, fast delivery and a wide selection of products. Key Activities • Development, maintenance and expansion of its platform. • Management of the entire supply chain • Cloud computing • Production of films, series from its video platform • Marketing all its products and services. Customer Relationships • Amazon’s focus is to have a healthy and long-lasting relationship with its customers. • They maintain several communication channels open with their consumers, such as reviews and comments on the platform, phone, online chat and email contact. Cost Structure • IT structure. • Customer service centre. • Software development & maintenance and information security. • Marketing. • Fulfilment centres. Revenue Stream • Amazon Marketplace: Amazon asks for a fee from its sellers • Amazon Prime: subscribers have access to videos, music, and a free two-day shipping • Amazon Web Services: a low-cost complete IT structure platform • Amazon Kindle: Users can buy, browse and download books, magazines & newspapers • Amazon Advertising, which offers sponsored ads Customer Segments • The customer segments of Amazon can be divided into basically three groups: sellers, buyers and developers. • Sellers are all the companies that use the Amazon’s e- commerce platform to sell their products. • Developers are all the community involved with the Amazon Web Services (AWS). • And the buyers are the millions of people across the world who acquire products and services through Amazon’s channels. Amazon tracks its customers based on some characteristics, such as interest, engagement and personal information (age, gender, geographical space, language, among others). Key Resources • Its technological infrastructure, which needs to be broad and very secure, in order to keep the whole chain running without interruption and without losses • Offices and warehouses • Human resources (e.g. designers, engineers, developers etc.) Channels • The Amazon website is its largest and most important channel. • As an internet-based company, its marketing is basically digital, including advertisements, sponsored publications and e- mail marketing. Real-life example Business Model Canvas for Real-life example
  • 7. Need more help? Our team of ex-McKinsey, Deloitte & BCG Consultants created many Business & Consulting Toolkits such as: 1.Corporate & Business Strategy Toolkit 2.Management Consulting Toolkit 3.Change & Project Management Toolkit 4.Sales, Marketing & Communication Toolkit 5.Financial Planning & Analysis Toolkit 7.Operations & Supply Chain Toolkit 8.Leadership & Personal Development Toolkit Visit Website Visit Website Visit Website Visit Website Visit Website Visit Website Visit Website 9.Risk Management Toolkit Visit Website 10.Mergers & Acquisitions Toolkit Visit Website 6.Digital Transformation Toolkit Visit Website 11.Post Merger Integration Toolkit Visit Website 7 12.Entrepreneurship Toolkit Visit Website Includes the Strategic Planning Toolkit
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