The document discusses using the Business Model Canvas as an exercise to create a business model. It provides instructions on filling out the nine blocks of the canvas, which include key partners, key activities, value propositions, customer relationships, customer segments, channels, revenue streams, key resources, and cost structure. For each block, it poses questions to consider when defining that particular element of the business model. It notes that the exercise aimed to have a group create a canvas, but that it did not work as planned with a large audience. Suggestions are provided for improving the exercise in the future, such as working in smaller groups or having an introductory session before completing the canvas.

1. The right business model
can be the difference between
success and failure for
exactly same technology or
product. #BMGEN

2. Business Model Generation
Canvas
a brief review and a fun practice
October 29, 2011

3. Business Model Generation
is a practical, inspiring
handbook for anyone
striving to improve a
business model – or craft
a new one.

6. the exercise
Let’s create a canvas for

7. for who are we creating value?
who are the most important customers?
what are they needs?
how much they value our services?
are they willing to pay?

8. what value to we deliver to our
customers?
which of their needs are we satisfying?
why would they choose us over others?
how to we bundle and deliver these values to
them
Newness | Performance | Customization | Getting job done | Design | Brand/status | Price | Cost Structure | Risk reduction | Accessibility | Convenience/usability

9. how do our customers want
to be reached?
how do we deliver value to different customer
segmentations?
how do we communicate our values?
when and how frequent should they be
reached?
which ones work best?

10. what type of relationship
should we establish?
what type of relationship do they expect?
which ones we have established?
how do we maintain it?
how costly are they?

11. for what value are the they
really willing to pay?
what do they currently pay us or competitors?
how do they prefer to pay?
do different customers value our services
differently?
do they like to pay per transaction or
recurring?

12. what key resources do our
Value Proposition require?
what do we need to create value, maintain
operations, reach customers, build relationships
and capture revenue?
Physical | Intellectual | Human | Financial

13. what key activities do our
value proposition require?
what do we need to do to create value,
maintain operations, reach customers, build
relationships and capture revenue?

14. who are our key partners?
who are the partners, suppliers and resource
providers that we need to deliver value or
perform activities?
what is out strategic alliance between non-
competitors?

15. what are the major costs
inherent in our business model?
is the business model cost driver?
which resources and activities are most
expensive?
should we minimize costs or focus on premium
value proposition?

16. Design

17. Customer Insight
Them
You Custo m
er -Cent
ric
tric
at ion Cen
Organiz
“Apple understands that
consumers don't buy
‘technology’. They buy
products that makes
their lives easier and
better”

18. empathy map
Think and Feel?
Hear? See?
Say and Do?
Pain Gain

19. empathy map
Think and Feel?
Hear? See?
Say and Do?
Pain Gain

20. Strategy

21. Business Model Environment
- foresight -
Key
Trends
- competitive analysis -
- market analysis -
Industry Market
forces Forces
Macro-
Economic
Forces
- macro economics -

22. Thank you
Shahed Khalili
www.pifpof.com
@shahedkhalili
shahed.khalili@gmail.com

23. Post session notes:
the plan was to briefly cover the concept, describe the building blocks then dig deeper into
the topic as we do the exercise.
it was a bit ambitious to think we can complete the canvas with a group of about 30 people.
the exercise didn’t workout as well as I i thought it would, however the overall feedback
about the topic was positive and relevant.
@manningsmith had a good suggestion: to randomly pick four people from the audience,
preferably those with exposure to the concept, do the exercise with the small group and
have the rest of the room observe. another suggestion was to have two back-to-back
sessions, the first session would be an introduction to the topic and in the following session
form groups of 4-5 and have each group create their own canvas then compare and discuss.
something to consider for next time anyone wants to do this in a ProductCamp.