testing, iterating and validating your business model canvas
DESCRIPTION
Slides from Rapid Innovation Group's workshop on the Business Model Canvas at Escape the City's Startup MBATRANSCRIPT
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The Business Model
Canvas
6 April 2013
The Escape School – Startup MBA
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David Gates
@davidrig81
Jessica Tayenjam
@jessicatayenjam
@rapidinnovation
www.rapidinnovation.co.uk
I’ve got my BMC … Now what?
TEST
ITERATE
VALIDATE
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How do I test my BMC?
‘A working hypothesis is a hypothesis that
is provisionally accepted as a basis for
further research in the hope that a tenable
theory will be produced, even if the
hypothesis ultimately fails’
‘Working hypothesis’ Wikipedia
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How do I test my BMC?
1. Define what you’re testing
– Articulate your proposition
– Define your information
requirement
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How do I test my BMC?
2. Decide who to test it on
– ‘Customer Segments’
– Industry stakeholders / 3rd parties
– Industry experts
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How do I test my BMC?
2. Decide who to test it on
Key questions
– Are all customers created equal?
– What mix of views do I need to represent?
– How big of a sample size do I need?
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BRAND
GOOD MERCHANDISING
SUSTAINABLE SALES
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EFFICIENCY
EFFECTIVENESS
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2008
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ASSETS
VISUAL RECORD
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INNOVATION
IMPROVED ASSET KNOWLEDGE
INCREASED ASSET VALUE AND LOWER COSTS
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WORKING SESSION
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MODEL STRUCTURE LEVEL
How we price When we charge How much we charge
Time and materials In advance Value-based
Success-based In arrears Cost plus
Freemium At each use Disruptive to market
Subscription Premium vs competition
License plus maintenance
Utility
Per site
Per user (can be
subcategorised)
Modular
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WORKING SESSION
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How do I test my BMC?
3. Bring together steps 1 and 2
– Identify the specific people you want to test
it on
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How do I test my BMC?
3. Bring together steps 1 and 2
– Identify the best means of engagement
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How do I test my BMC?
3. Bring together steps 1 and 2
– Identify the people you want to test it on
– Define the best means of engagement
– Craft your approach
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How do I test my BMC?
3. Bring together steps 1 and 2
– Identify the people you want to test it on
– Define the best means of engagement
– Craft your approach
– Get in touch!
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Some of this ‘testing’
may also be the first
step towards your
early sales!
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How do I iterate my BMC?
• Your Business Model Canvas is never finished!
• Revisit every time you have a significant
amount of new data
Look up XoomPark’s slideshare presentation for a good example of iteration
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How do I validate my BMC?
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Find
Your Model
Build
Your Capability
Realise
Your Value
Rapid Innovation Group