business model patterns

Unbundled Business Models
1. by John Hagel and Marc Singer
2. separate entities in order to avoid conflicts or undesirable trade-offs
3. examples
  1. mobile telecom industry
    1. key asset is their brand and their customer relationships
  2. private banking industry
    1. Maerki Baumann
      1. now solely focuses on building customer relationships and advising clients
      2. transaction-oriented platform to Incore Bank
    2. Pictet
      1. has preferred to remain integrated
4. three fundamentally different types of businesses:
  1. customer relationship businesses
    1. finding and acquiring customers and building relationships with them
    2. Customer acquisition and retention comprise main costs
  2. product innovation businesses
    1. develop new and attractive products and services
    2. Key resource :Creative talent
  3. infrastructure businesses
    1. build and manage platforms for high volume, repetitive tasks
    2. KR focused on delivering infrastructure services
Long Tail Business Models
1. Examples
  1. Netflix
  2. eBay
  3. Youtube
  4. Facebook
  5. Lulu.com
    1. changed the traditional bestseller-centric publishing model
    2. anyone can publish
    3. Helps niche & amateur authors bring their works to market
2. LEGO's new Long Tail
  1. Lego Factory
    1. customers assemble their own LEGO kits
    2. passive users turned into active participant
  2. LEGO Users Catalog
    1. allows users to post and sell their designs online
3. In the canvas
  1. Customer Segments
    1. Many niche segments & niche content providers
  2. Revenue streams
    1. selling less of more
  3. Value proposition
    1. large scope of niche contents & content production tools
Multi-Sided Platforms
1. Facilitates interactions between the different groups
2. Examples
  1. Visa
  2. Google
    1. offers distinct value propositions to three interdependent customer segments
      1. Advertisers
        Value proposition
        Targeted Ads
        Revenue Streams
        Keyword auctions
      2. Web surfers
        Value proposition
        Free search
        Revenue Streams
        Free
      3. content creators
        Value proposition
        monetizing content
        Revenue Streams
        Free
  3. eBay
  4. Microsoft Windows
  5. Financial Times
3. Key
  1. platform must attract and serve all groups simultaneously
4. Model Canvas
  1. Value proposition
    1. attracting user groups
    2. matchmaking between customer segments
    3. reducing costs by channeling transactions through the platform.
  2. Customer Services
    1. 2 or more each with its own value proposition
  3. Revenue Stream
    1. Each customer segment produce a different
FREE
1. three different business model patterns
  1. Bait & Hook
    1. characterized by an attractive, cheap or even free initial offer that leads to consecutive future purchases of products or services.
    2. Gillette
      1. decided to sell razor handles at a steep discount or even give them away with other products in order to create a demand for the disposable blades.
      2. “razor & blades” model
  2. Freemium
    1. get the basics for free, pay for more
      1. blending free basic services with paid premium services.
      2. Many of these users may never become paying customers
    2. follow closely are the average costs of service to free users and the conversion rates between FREE and premium (paying) users.
    3. Examples
      1. Flickr
      2. Skype
  3. Advertising: a multi-sided market model
    1. is a well-established source of revenue that enables free offers
    2. METRO newspaper
      1. offers the paper for free
      2. distributing the paper in high-traffic commuter zones
Open Business Models,
1. create and capture value by systematically collaborating with outside partners
2. Innovation
  1. outsidein
    1. occurs when an organization brings external ideas, technology, and intellectual property into its development and commercialization processes
  2. Insideout
    1. occurs when organizations license or sell their intellectual property or technologies, particularly unused assets.
3. Procter & Gamble
  1. key element
    1. “Connect & Develop” strategy aimed at exploiting internal research through outside partnerships.
  2. three “bridges” into its business model
    1. technology entrepreneurs, Internet platforms, and retirees.

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business model patterns

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	Created by iris221293 over 9 years ago