Hypothesis Testing with the Impact Canvas

The Methodology

Source: Business Model Generation

What about Social Impact?

Proof?

Responsiveto proof

Stakeholders / Customers

The different groups of people or entities an organization aims to reach and create value for.There are often different customer groups:• Their needs require and justify a distinct offer• They require different relationships• They are reached through different distribution channels• They have substantially different profitabilities• They are willing to pay for different aspects of the offer•Stakeholder vs. customer vs. beneficiary – do you offer different value propositions to each?

Source: Business Model Generation / Impact Strategy Advisors

Proof?

Source: Business Model Generation / Impact Strategy Advisors

Value Proposition

The bundle of projects and services that create value for a specific Customer Segment (the problem).

• This satisfies a particular problem or need.

• This is the reason why customers turn to one company over another.

• What different types of value do you create for your various stakeholders?

Proof?

Customer RelationshipsDescribes the types of relationships a company establishes with specific Customer segments.• The manner in which you interact with your

customers and stakeholders to provide value• Touch points that play an important role in

the customer experience.• Customer relationships may be motivated by

customer acquisition, customer retention or enhanced sales.

Customer ChannelsHow a company communicates with and reaches its Customer Segment to deliver the Value Proposition.• The most effective way to reach the greatest

concentration of your key customer

Source: Business Model Generation / Impact Strategy Advisors

Proof?

Revenue StreamsThe cash a company generates from each Customer. There may be different revenue streams for different Customer Segments. • Each revenue stream may have different pricing mechanisms.

MagnitudeThe size and depth of the addressable social and economic opportunity for customers, stakeholders, and society. • This is based on data and will influence the scale of the intended value propositions,

the channel strategy, and the profit.

Source: Business Model Generation / Impact Strategy Advisors

Proof?

Key ActivitiesMost important actions a company must do to operate a viable and sustainable business.• These activities are key to successfully

creating and providing the Value Proposition

Key ResourcesMost important assets required to make a business model work.• Key Resources can be physical, financial,

intellectual, or human. They can be owned or leased by the company, or acquired from key partners.

Source: Business Model Generation / Impact Strategy Advisors

Key Partners

Network of suppliers and partners that make the business model work.

• Can be formal / informalUsually involve an exchange of value

Source: Business Model Generation / Impact Strategy Advisors

CostsAll costs incurred to make the business model work.

Differentiation Describes how your venture is different or outlines your competitive advantage.• Can come from several other building blocks• Can be based in independent elements

Source: Business Model Generation / Impact Strategy Advisors

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6 –Activity –Impact Canvas

Probing QuestionsWhy do you think this is the case?What would have to change in order for…?What do you wish…?What’s another way you might…?What do you think would happen if…?How was…different from…?What sort of impact do you think…?What criteria did you use to…?When have you done/experienced

something like this before?

Activity –Impact Canvas

10 mins – Iterate!

From the feedback and probing questions you received:

- What assumptions need to be refined/modified/expanded?

- Where do you need to focus your next experiment in order to validate a critical assumption?

- Pick 1 – 2 assumptions that you want to validate next

Activity –Impact Canvas