Summarize a new business model in its early stages.
Use this template to outline all the advantages, targets, challenges, risks, costs, and opportunities of your business. After completing each step, you'll have an exportable canvas representing all the key details.
A business model canvas (BMC) is a one-page model that provides a clear and concise overview of a company's value proposition, target customer segments, revenue streams, cost structure, key activities, resources, partnerships, and channels.
By filling out each section of the canvas, business owners and entrepreneurs can gain a deeper understanding of different business models, identify areas for improvement, and develop strategies to achieve their goals.
Use the following building blocks to build a cohesive business strategy:
Who are the people or organizations that will be using your product or service? Try to be as specific as possible — build a customer persona to consider factors such as demographics, psychographics, and behaviors.
For an added level of detail, map out the customer journey to identify key touchpoints.
What is the unique value that your product or service offers to your customers? This should be a clear and concise statement that summarizes the benefits of your product or service, and how they address customer needs.
Which methods of communication do you plan to use to spread the word about your business to your customers and your key partners? Will you be using online marketing, social media, direct mail, or some other method? List all the channels you plan to use.
How will you interact with your customer base? Will you be providing customer support, offering loyalty programs, or engaging in other ways? Be specific about the types of relationships you will be building with your customers.
How will you generate revenue from your product or service? Will you be charging for subscriptions, selling products, or using advertising? List all the revenue streams and pricing models you plan to use.
What are the resources you need to deliver your value proposition? This could include things like technology, equipment, human resources, intellectual property, or physical assets.
What are the core activities required to operate your business? This could include things like product development, manufacturing, distribution channels, marketing, sales, or customer service.
What external parties will you need to collaborate with to achieve your goals? This could include suppliers, distributors, or other businesses that complement your product or service. Understanding key partnerships can help give you a leg-up against potential competitors.
What are the costs associated with operating your business? This could include things like salaries, rent, utilities, marketing expenses, or product development costs.
Once you have filled out all the sections, review your canvas and make any necessary adjustments. You may want to consider whether there are any areas that need further refinement, or if there are any inconsistencies that need to be resolved.
Use the canvas to guide your decision-making and strategy development. You may want to share it with your team, investors, or other stakeholders to get their feedback and input. Update it regularly as your business evolves and grows to inform your roadmap.
Invite more team members into the workflow to help with building out each section of the canvas. Team members can provide valuable feedback and unique insights that will strengthen the quality of your business model canvas
A business model canvas can be used for more than new business models or an existing business strategy. For example, try gathering insights across an organization to build a more inclusive environment.
The canvas is meant to provide a high-level overview of your idea on a single page. Avoid getting bogged down in details and keep your descriptions concise and to the point.