Transcript Diapositive 1

BMO
Business Model Ontology
Business Models – BMO
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A Business Model Supports...

Understanding

Knowledge Sharing

Measurement

Simulation and Learning
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BMO Main Concepts
WHAT?
VALUE proposition
WHO?
HOW?
Value configuration
Customer group
Partnership
Core capability
Distribution channel
Revenue
Relationship
Cost
HOW MUCH?
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Value proposition
The value proposition defines


the actual product or service
the value or benefits perceived by customers of
the products and services offered by the firm
refined by
Core capabilities
requires
Value
proposition
Business Models – BMO
targets
Customer group
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Value Proposition – Reasoning

Use


Risk


The actual use of a product or service by the
customer
Reducing the risk for the customer
Effort

Reducing the effort for the customer
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Value Proposition – Value Level

Me-too


Innovative imitation


Established product with some
innovative features
Excellence


Same value as the competitors
Exceptional value
Innovation

New product or combination of
products
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Value Proposition – Price Level

Free


Economy


Low cost for the customer
Market


No cost for the customer
Same cost as competitors charge
High-end

High costs for the customer
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High-end
PRICE
Value proposition > price/value
Exec jet
High-end
Quality, comfort
…
Underperformer
s
market
Major airlines
economy
free
EasyJet
Me-too
Low cost
(frequent flight, on-time schedule, service)
Imitative
innovation
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VALUE
excellence
innovation
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Customer Relationship
Who are our customers?
How do we reach them?
How do we get and keep them?
WHAT?
Value proposition
WHO?
HOW?
Value configuration
Customer group
Partnership
Core capability
Distribution channel
Revenue
Relationship mechanisms
Cost
HOW MUCH?
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Customer Group

Categorizations of the population into social
classes or psychologically defined groups
 A company can specialize and gain competitive
advantage by tailoring its value propositions
refined by
Value proposition
targeted by
Customer
group
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Distribution Channel

A channel can be defined as a set of links or
a network via which a firm “goes to market”
and delivers its value proposition
precedes
Distribution
link
is a
delivers
Value proposition
refined by
Distribution
channel
Business Models – BMO
serves
Customer group
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Relationship – Customer Equity

Customer acquisition


Customer retention


How do we get new
customers?
How do we keep existing
customers?
Add-on selling

How do we get our customers
to buy more?
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Relationship – Mechanisms

Personalisation


Trust




Customising marketing and services
to groups or individuals
Accreditation
Rating
Insurance
Branding

Building and maintaining an image
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Infrastructure Management
WHAT?
Value proposition
WHO?
HOW?
Value configuration
Customer goup
Partnership agreement
Capability
Distribution channel
Revenue
Customer relationship
Cost
HOW MUCH?
How do we operate and deliver?
How do we collaborate?
What are our key competencies?
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Capabilities and Resources

Resource (ASSETS)


Inputs to the value creation process; can be
tangible, intangible, or people-based skills
Capability (KNOW-HOW)

The ability to exploit and coordinate resources
to create, produce, and/or offer products and
services to a market
Capability
refined by
required by
Resource
Value proposition
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Value Configuration
Value chain
Value network
Value shop
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Partnership Agreement

Reasoning

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Strategic importance

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Closeness of partnership
Degree of competetion

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Relevance for business success
Degree of integration


Economy of scales
Risk mitigation
Resource acquisition
Partner is a competitor or not
Substituability

Ease of finding a substitute partner
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Financial Aspects
WHAT?
Value proposition
WHO?
Value configuration
Customer group
Partnership agreement
Core capability
Distribution channel
REVENUE
Customer relationship
Cost
HOW MUCH?
What are our revenues? Our pricing?
What are our costs?
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Revenue Streams – Categories
Mobile:
REVENUE
PRE-PAID
card
one time
combination
Phone
• registry
• subscription
• Usage
sale
• Time
• Services
registry
recurrent
subscription
Income of the subscription fees to become a member
Paid by the buyer and/or the vendor
advertisement
Income of the ad banners posted on the shopfront
Paid by the vendor
use
transaction
Income of online sales paid by the buyer
commission
Income, percentage of a transaction made by
the settlement
(affiliate program)
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BMO – Links
Web Object Placeholder
Address:http://www.hec.unil.ch/yp/
Displayed in: Articulate Player
Window size:640 X 480
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