Briefly about business models using Osterwalder's canvas

Building Business Models: A Handbook for the Strategist and Innovator” (English “Business Model Generation”), which Osterwalder and his co-author Yves Pigneur published in 2010. This book was the result of many years of research conducted as part of their doctoral dissertation, and has since gained worldwide fame, becoming a bestseller.

Osterwalder's canvas includes several blocks, each covering a specific aspect of the business. Together, these blocks create a complete picture of how a company creates, delivers, and earns value.

Blocks

1. Key partners

The selection of key partners depends on their role in creating value for your business and your customers. Partnerships may include collaboration with suppliers, joint ventures. It is important to determine what resources or activities your partners can provide to improve the business model and reduce risks.

2. Key actions

Key activities are the processes and tasks that need to be completed to deliver the value proposition to customers. This could be software development, supply chain management, or marketing campaigns. It is important to understand which activities directly impact the creation and delivery of value.

3. Key resources

These are the assets required to run a business, including physical resources, intellectual property, finances, and human resources. Resources should be tailored to your type of business, whether it is a manufacturing company that requires significant capital investment or an IT company where talented staff are essential.

4. Value Propositions

Value propositions should clearly define how a product or service solves problems or satisfies the needs of your customers. That is, some unique characteristics of the product or the same competitive advantages.

5. Customer Relations

This block describes how the company interacts with customers during the sales and after-sales process: personal service, various services or various communities. It is important to determine what types of interactions your customers value most.

6. Distribution channels

Channels describe how the value proposition reaches the end user. These include various physical stores, online platforms or distributors, for example. Identifying effective distribution channels is important to successfully deliver a product or service to customers.

7. Customer segments

Defining your customer target audience helps you understand who your customers are and what they value. You can identify different groups based on demographics, needs, or behavior.

8. Cost structure

A description of all the costs associated with the company's operating activities. It is important to understand which costs are the main ones and how they can be optimized while maintaining the value of the offerings to customers.

9. Income Streams

This block describes how the company makes money. It is important to develop a pricing strategy that matches customer values and expectations.

Examples of using

1. Mobile app development startup

Key partners: IT outsourcing companies, freelancers for development and design, platforms for testing applications.
Key actions: User interface design, programming, application testing, marketing and promotion in the App Store and Google Play.
Key Resources: Development team, intellectual property (application code), server infrastructure.
Value Propositions: Mobile solutions, ease of use, high functionality.
Customer Relations: Customer support via chats and forums, product updates.
Sales channels: Direct sales through mobile app stores, company website.
Customer Segments: Small and medium-sized businesses, individuals.
Cost structure: Software development and support, marketing and user acquisition costs.
Income Streams: Sales of applications, subscriptions for additional features, in-game purchases.

2. Restaurant business

Key partners: Food suppliers, local farmers, equipment service companies.
Key actions: Food preparation, customer service, inventory management.
Key Resources: Kitchen equipment, staff, culinary recipes.
Value Propositions: High quality, local ingredients, unique menu.
Customer Relations: Personal service, loyalty program, organization of special events.
Sales channels: Restaurant (physical location), home delivery, catering.
Customer Segments: Locals, tourists, business people.
Cost structure: Purchase of products, staff salaries, rental of premises.
Income Streams: Sale of dishes, organization of private events, catering.