How to build a business model

for your idea

What is a business model?

Business model is a prototype for how you create, deliver, and capture

the value of your product.

1. Customer segments2. Value propositions3. Channels4. Customer relationships5. Revenue streams6. Key resources7. Key activities8. Key partnerships9. Cost structure

Nine basic building blocks of a business model

1. Customer segments2. Value propositions3. Channels4. Customer relationships5. Revenue streams6. Key resources7. Key activities8. Key partnerships9. Cost structure

Nine basic building blocks of a business model

Nine basic building blocks of a business model

1. Customer segmentsFor whom are you creating value?

Who are your most important customers?

1. Customer segments

- Mass market- Niche market- Diversified market- Multi-sided markets

For whom are you creating value? Who are your most important customers?

2. Value PropositionsWhat problem are you solving?

What product/service are you offering as a solution?

2. Value PropositionsWhat problem are you solving?

What product/service are you offering as a solution?

- Newness - Performance- Customization- UX- Brand/Status- Price- Accessibility

3. ChannelsHow are you reaching your Customer Segments?

Which Channels are the most effective?

3. Channels

- Awareness- Evaluation- Purchase- Delivery- After sales

How are you reaching your Customer Segments?Which Channels are the most effective?

4. Customer RelationshipsWhich Customer Relationships are the most valuable?

4. Customer Relationships

- Personal assistance- Self-service- Automated service- Communities- Co-creation

Which Customer Relationships are the most valuable?

5. Revenue StreamsFor what value is each Customer Segment truly willing to pay?

5. Revenue Streams

- Usage fee- Subscription fees- Rent or Lease- Licensing- Advertising

For what value is each Customer Segment truly willing to pay?

6. Key ResourcesWhat Key Resources does your Value Proposition require?

6. Key Resources

- Physical- Intellectual- Human- Financial

What Key Resources does your Value Proposition require?

7. Key ActivitiesWhat Key Activities does your Value Proposition require?

7. Key Activities

- Production- Problem

solving- Platform or

network

What Key Activities does your Value Proposition require?

8. Key PartnershipsWho are your Key Partners?

9. Cost StructureWhat are the most important costs inherent in your business model?

Let’s see your business models!

Resources