Business Canvas Model: A template to understand Business
The business canvas model is a strategic template that helps the company to understand the concepts in a straightforward manner. The business model canvas is a shared language for describing, visualizing, assessing, and changing business models. It describes the rationale of how an organization creates, delivers, and captures value.
Elements in business model
To fill this template, we have a specific approach to reach your destination easily. In the following article, you can find it.
Let us start with the customer segment. The customers are actual kings in a business. List out the top three customer categories. To whom you wanted to sell the product.
“People do not care how much you know until they know how much you care.” – Teddy Roosevelt.
To find your customers, try to answer the following questions.
1.Who will buy my product?
2.why should they choose me?
Let’s consider an example. We classify the customer segment of uber into two segments drivers and customers. The drivers get connected to the customer through the uber app. Thus both driver and the company gets benefited from the service. People experience pleasant rides at a moderate price. Hence finding ideal customers is much needed.
From the above three segments of the consumer, Choose the one for whom you are solving the problem. A good value proposition gives you an advantage over your competitors. It helps the customers while exploring your brand.
Want to find your value proposition, then try to identify the answer to this question.
“If I am your ideal customer, why should I buy from you instead of your competitors?”
Consider the same uber example. The value proposition is to serve people by ensuring safe and pleasant rides. Such a simple value proposition, right!
An essential aspect of the business is to generate revenue. For that one has to look into the different aspects of the product to gain revenue. By answering the following questions, you might find your revenue streams.
· What type of value my company will be selling to my customers? …
· Where is my value compared to the competitor’s value? …
· What do my customers think about the value that I will give them?
The channels are the way to reach your customers. Let’s take an example if you want to buy a Lamborghini car. You either visit the showroom or the dealer. You can’t order a car on the eCommerce website. Likewise, the supply chain varies according to your product. This chain must be stronger enough to reach your customers. The marketing strategies influence the supply chain. Hence it becomes a must for start-ups to frame strategic marketing techniques to reach their customers.
“It’s not what you say or what you do, but how you make people feel that matters the most.”
The customer relationships help to evaluate your show-up and your relationship with your customers. We can make this with help of getting feedback for your products. A small survey event with offers will engage them to buy your product more.
Key activities, key resources, and partners:
The key activities, resources, and partners major focuses on who is your supplier, dealer. This will also state what will be the activities carried by them to support you. Here are few questions which will help you find your key activities, resources, and partners.
What do you do every day to run your business model?
List the partners that you can’t do business with?
the cost structure helps you find the amount of money required to develop a product, marketing expenses, and will also help in identifying the break-even point.
On the whole, this template will help a start-up to plan the whole business requirements in a brief time. But it requires deep research to find a solution to every segment.
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