Business Model Innovation

Traditional Value Chain vs. Modern Value Chain

Customer Discovery, Phase One:
State Your Business Model

Customer Discovery, Phase Two:
"Get Out of the Building" to Test the Problem: "Do Customers Care?"
Get your team "out of the building" to test the problem and to answer three key questions:
Do we really understand the customer's problem?
Do enough people really care enough about the problem for this to become a huge business?
And will they care enough to tell their friends?

Customer Discovery, Phase Three:
"Get out of the Building" and Test the Product/Service Solution

Value proposition?
Value proposition?

What are value propositons
for the products?

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
CAPABILITIES
REVENUE
FLOWS
DISTRIBUTION CHANNELS
PARTNER NETWORK

Nespresso changed the business model for coffee

huge revenues from few artists
The business model system
TARGETED CUSTOMER
SEGMENTS
PARTNERSHIP
NETWORK
OFFER – VALUE PROPOSITION
REVENUE MODEL
DISTRIBUTION CHANNELS
CAPABILITIES
KEY
RESOURCES
CUSTOMER RELATIONSHIPS
COST STRUCTURE

RESULTS

35% growth p.a. for the last 7 consecutive years

fastest-growing business in the Nestlé group

Nespresso has a 26.6 % global share in Espresso machine sales

http://canvanizer.com/