Mediaplaza event \'08

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here a presentation I did in the Netherlands for the media industry

Transcript of Mediaplaza event \'08

BUSINESS MODEL

INNOVATION ! I love business models‘08!Utrecht, Netherlands !

Companiesfocusingonbusinessmodelinnova3on

outperformcompaniesfocusingonopera3onsintermsofopera3ngmargingrowth

IBMGlobalCEOStudy2006

it’s difficult…

the right equipment!

what if… you didn’t even try ?

Eric works for…

he joined the music industry for…

he used to go out with …

but things have changed…

CD Sales

now Eric is working on…

he is blaming…

and…

so Eric hired…

to hunt down …

but Eric really should have focused on…

BUSINESS MODEL

INNOVATION

while Eric was “whining”, others were innovating…

AMIE st. first gives songs away for

0.- USD

but the more a tune is downloaded…

BUSINESS MODEL

INNOVATION

that’s

BUSINESS MODEL

INNOVATION

that’s

new talent discovery

BUSINESS MODEL

INNOVATION

that’s

distribution channels

BUSINESS MODEL

INNOVATION

that’s

revenue streams

now consider…

Nokia is launching an “all-you-can-eat” music service

pay a monthly subscription…

BUSINESS MODEL

INNOVATION

that’s

BUSINESS MODEL

INNOVATION

that’s

building a platform

BUSINESS MODEL

INNOVATION

that’s

leveraging brand

BUSINESS MODEL

INNOVATION

that’s

recurring revenues

consider…

they offer a really neat service…

with Shazam you can…

you know how they make money?

BUSINESS MODEL

INNOVATION

that’s

BUSINESS MODEL

INNOVATION

that’s

product innovation

BUSINESS MODEL

INNOVATION

that’s

new channels

BUSINESS MODEL

INNOVATION

that’s

new revenues streams

and then of course there is…

now you might be saying…

then look at…

and…

and…

VoIPforfree!

what about your industry ?

…probably not the best solution

we need new methods for strategy analysis & design

BUSINESS MODEL

CANVAS

the

reflect systematically on your business model

areas 4

WHAT? WHO?HOW?

$? €?

building blocks 9

WHAT? WHO?HOW?

$? €?

CUSTOMER

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

CLIENT SEGMENTS

OFFER

COST STRUCTURE

CUSTOMER RELATIONSHIPS

CUSTOMER SEGMENTS

KEY RESOURCES

KEY ACTIVITIES

REVENUE FLOWS

DISTRIBUTION CHANNELS

PARTNER NETWORK

our example

DISTRIBUTION CHANNELS

KEY ACTIVITIES

CUSTOMER RELATIONSHIPS

CUSTOMER SEGMENTS

COST STRUCTURE

PARTNER NETWORK

KEY RESOURCES

OFFER

super-star artists & hits! mass

market!

retail outlets!

protected content!

distribution channel!

finding talent!

marketing!huge revenues from few

artists!

radio & TV!

REVENUE STREAMS

marketing!

talent “production”!

it’s about selling less of more…

sale

s

number of products

focus on a small number of products with large volume!

sale

s

number of products

focus on a large number of products with low volume!

NewWaystoDiscover&PopularizeMusic…

DISTRIBUTION CHANNELS

platform for musicians & fans/buyers!

match-making with

taste!

communities!

online!breadth of platform!

platform management!

platform maintenance!

small revenues from many artists!

niche segments!

niche segments!

niche segments!

content producers!

music subscription

service!

KEY ACTIVITIES

CUSTOMER RELATIONSHIPS

COST STRUCTURE

PARTNER NETWORK

KEY RESOURCES

OFFER

REVENUE STREAMS

CUSTOMER SEGMENTS

KEY ACTIVITIES

KEY RESOURCES quality content!

subscription profile!

CUSTOMER RELATIONSHIPS

specialty alliances!

content

production!

global business community!

CUSTOMER SEGMENTS

DISTRIBUTION CHANNELS

news stand!

OFFER

REVENUE STREAMS COST STRUCTURE

PARTNER NETWORK

reader base!

FT.com profile!

brand!

content production!

sales & marketing!advertising!

news & analysis!

reader base!

newspaper!

FT.com!

subscription

delivery!

Ft.com!advertisers!

sales department!

sales news

stand!

subscriptions! specialty services fees!

“lending” brand for services!

content partners! sales & marketing!

voters’ participation!

platform dev.

& maintenance! news consumers online!

CUSTOMER SEGMENTS

DISTRIBUTION CHANNELS

digg.com!

OFFER CUSTOMER RELATIONSHIPS

REVENUE STREAMS COST STRUCTURE

KEY ACTIVITIES

PARTNER NETWORK

KEY RESOURCES

content & news “rating” website!

platform & algorithms!

scale & reach!website

traffic!

community discussions!

content sites!

advertising!platform management!

adoption by content producers! traffic

generation!

advertisers!website traffic!

HOW? … do w

e come up

with business

models like th

at? !

BUSINESS MODEL

CANVAS

the

you need to adopt a designer’s mindset

design ≠

only form

business people don’t just need to understand designers better; they need to become designers

Roger Martin, Dean Rotman School

4 business design techniques

we need to

co-create 1

?

everybody should be

OFFER

DISTRIBUTION CHANNELS

CUSTOMER RELATIONSHIPS

CUSTOMER SEGMENTS

REVENUE STREAMS COST STRUCTURE

KEY ACTIVITIES

PARTNER NETWORK

KEY RESOURCES

OFFER

DISTRIBUTION CHANNELS

CUSTOMER RELATIONSHIPS

CUSTOMER SEGMENTS

REVENUE STREAMS COST STRUCTURE

KEY ACTIVITIES

PARTNER NETWORK

KEY RESOURCES

we need to

prototype 2

the past was about choosing solutions the future is about generating options

there is no right solutions there are only good designs

[source:ideo.com]

you've got to bumble forward into the unknown

Frank Gehry, Star Architect

“”

we need to

think visually 3

“TheWallistheNewDesk”DaveGrayCEOXPLANE

we need to tell a

story 4

€!€!€! €!€!€!€!€!€! €!€!€!€!

go and try it really works

check out my blog for more: http://business-model-design.blogspot.com

upcomingBusinessModelInnova3onBook

thank you for your attention!

Alex@BusinessModelDesign.com

Jeff Ryan r000pert midorisyu

Denis Martin Philippe Starck

Apple MySpace Rotman School

Nokia

proprietary images

all other images: iStockphoto