“ADVANCED” BUSINESS MODEL CANVAS: Template

A Visual Template for Mapping, Optimizing, and Designing Business Models & Value Chains

KEY PARTNERS KEY ACTIVITIES VALUE CUSTOMER CUSTOMER

PROPOSITIONS RELATIONSHIPS SEGMENTS
 SUPPLIERS  PROCESSES

KEY RESOURCES CHANNELS

 PARTNERS  EMPLOYEES/IP  CUSTOMER
ITENN
PROBLEM/JOB
 MACHINERY
 INVESTORS/  PRODUCT/
ENVIRONMENT SERVICE

COST STRUCTURE REVENUE STREAMS

Based on Business Model Canvas: http://en.wikipedia.org/wiki/Business_Model_Canvas

Dr. Rod King. rodkuhnking@sbcglobal.net & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

 “ADVANCED” BUSINESS MODEL CANVAS
For Apple’s iPod (2001)

KEY PARTNERS KEY ACTIVITIES VALUE CUSTOMER CUSTOMER

PROPOSITIONS RELATIONSHIPS SEGMENTS
 SUPPLIERS  PROCESSES
“A Thousand Songs in “Lovemark”
Mass Market
Original Equipment - Hardware Design Your Pocket”
Manufacturers (OEMs) - Software Design Switching Costs
- Marketing
“Luxury Spot”
Seamless Music
KEY RESOURCES Experience on Demand CHANNELS
 PARTNERS
 EMPLOYEES/IP iTunes Store
Record Companies ITENN
- Staff www.apple.com
- Apple Brand
 INVESTORS/  CUSTOMER Apple Stores
 MACHINERY
ENVIRONMENT PROBLEM/JOB
Selected Retail Stores
 PRODUCT/ - Fragmented and Low–Fi
SERVICE Music Experience
- To Effortlessly Listen to
- IPod Hardware High Quality and Diverse
- iTunes Software Music at Any Time
- Content & Agreements

COST STRUCTURE - Employees

REVENUE STREAMS - iPod Hardware
- Manufacturing - iTunes Store
- Marketing & Sales - Commissions

Based on Business Model Canvas: http://en.wikipedia.org/wiki/Business_Model_Canvas

Dr. Rod King. rodkuhnking@sbcglobal.net & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

 Minimum “ADVANCED” BUSINESS MODEL CANVAS
For Apple’s iPod (2001)

KEY PARTNERS KEY ACTIVITIES VALUE CUSTOMER CUSTOMER

PROPOSITIONS RELATIONSHIPS SEGMENTS
“A Thousand Songs in “Lovemark”
Mass Market
Original Equipment - Hardware Design Your Pocket”
Manufacturers (OEMs) - Software Design Switching Costs
- Marketing
“Luxury Spot”
Seamless Music
Experience on Demand
KEY RESOURCES CHANNELS
iTunes Store
Record Companies ITENN
- Staff www.apple.com
- Apple Brand
 CUSTOMER Apple Stores
PROBLEM/JOB
Selected Retail Stores
- Fragmented and Low–Fi
Music Experience
- To Effortlessly Listen to
- IPod Hardware High Quality and Diverse
- iTunes Software Music at Any Time
- Content & Agreements

COST STRUCTURE - Employees REVENUE STREAMS - iPod Hardware

- Manufacturing - iTunes Store
- Marketing & Sales - Commissions

Based on Business Model Canvas: http://en.wikipedia.org/wiki/Business_Model_Canvas

Dr. Rod King. rodkuhnking@sbcglobal.net & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

 COST-REVENUE MAP For Apple’s iPod
Where currently are you & your competitors? Where must you go? How will you get there?
Blue Ocean Universe/
New Market
Market Segment: Digital Music Players

Blue Ocean Luxury Spot

Revenue (“Practical Impossibility”)

DisruptionSpot
Disruption Spot
(+): DELIGHT

Red Ocean
Strategic
Choice
Key
OMG-Experience:
Cost
Undesirable Experience: (-): PAIN

Copyright 2010. Dr. Rod King. rodkuhnking@sbcglobal.net & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing
 COST-REVENUE MAP: Categories of Business Models & Canvases
Where currently are you & your competitors? Where must you go? How will you get there?
Blue Ocean Universe/
New Market
Market Segment

Blue Ocean Sweet Spot Luxury Spot

Luxury Spot
Revenue (“Practical Impossibility”)
(Differentiation;
Quality;
Performance)

DisruptionSpot
Disruption Spot Oasis Volcano
(+): DELIGHT

Green Ocean No Man’s Island Red Ocean

Strategic
Choice
Key
OMG-Experience:
Cost
Undesirable Experience: (-): PAIN (No. of Competitors)

Copyright 2010. Dr. Rod King. rodkuhnking@sbcglobal.net & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing
 “ADVANCED” BUSINESS MODEL CANVAS: Jumbo Blocks

A Visual Template for Mapping, Optimizing, and Designing Business Models & Value Chains

ADVANCED
BUSINESS MODEL CANVAS

BUSINESS CUSTOMER
BUSINESS VALUE CUSTOMER VALUE
(SUPPLY) (DEMAND)
INFRASTRUCTURE pro INFRASTRUCTURE

KEY PARTNERS
* SUPPLIERS
* PARTNERS
* INVESTORS/ENVIRONMENT
COST STRUCTURE VALUE PROPOSITIONS CUSTOMERS

KEY ACTIVITIES
REVENUE STREAMS * CUSTOMER PROBLEM/PAIN CUSTOMER RELATIONSHIPS
* PROCESSES

CHANNELS
KEY RESOURCES
* EMPLOYEES/IP
* MACHINERY
* PRODUCT/SERVICE

Copyright 2010. Dr. Rod King. rodkuhnking@sbcglobal.net & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing
 “ADVANCED” BUSINESS MODEL CANVAS
Original Business Model Canvas & Elements from the Business Model Environment

A Visual Template for Mapping, Optimizing, and Designing Business Models & Value Chains

 Suppliers  Processes

 Partners ITENN
 Customer
Problem/Job

 Investors /  Employees/IP
Environment  Machinery

 Product/
Service

Based on Business Model Canvas: http://en.wikipedia.org/wiki/Business_Model_Canvas

Dr. Rod King. rodkuhnking@sbcglobal.net & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

 BUSINESS MODEL CANVAS
Alexander Osterwalder

A Visual Template for Developing and Sketching Out New and Existing Business Models

ITENN

Source: http://en.wikipedia.org/wiki/Business_Model_Canvas
 “ADVANCED” BUSINESS MODEL CANVAS
Performance Dashboard For Lean Startups

KEY PARTNERS KEY ACTIVITIES VALUE CUSTOMER CUSTOMER

PROPOSITIONS RELATIONSHIPS SEGMENTS
 SUPPLIERS  PROCESSES Level of Complaints
- Customer Satisfaction
No. of Prospects/
- Cycle time for pivots/
Registrations
prototyping/releases
Net Promoter Score
- Cost per pivot cycle - Customer Delight
No. of Customers
KEY RESOURCES CHANNELS
 PARTNERS No. of Referrals
 EMPLOYEES/IP Advertising Expenses
No. of contracts/
memo of understanding
- Lessons learnt/insights ITENN Cost per Acquisition
(Paid/Net)
- No. of interviews/pivots Viral Coefficient
 INVESTORS/  CUSTOMER
 MACHINERY
ENVIRONMENT PROBLEM/JOB Customer Lifetime Value

- Revenue (Sales)  PRODUCT/ - Customer Pain Customer Loyalty/

- Cash Burn Rate
SERVICE Retention
- Months of Cash Left
- Level of Defects
- Time to Cash Flow-
- No. of Releases/Pivots Average Time to
Breakeven
- No. of MVPs First Order; Time for
- Contribution Margin
- Total Page Views/Visits Follow-on Order
- No. of Competitors

COST STRUCTURE REVENUE STREAMS

- Suppliers/Materials/Employees/Rent/Hosting - Direct Sale of Product/Service
- Machinery/Equipment/Design/Manufacturing - Subscriptions/Leasing Fees/Licensing Fees/Royalties
- Marketing & Sales/Transportation/Miscellaneous - Advertising/Commissions/Brokerage

Based on Business Model Canvas: http://en.wikipedia.org/wiki/Business_Model_Canvas

Dr. Rod King. rodkuhnking@sbcglobal.net & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing