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hey there,
gotta write just 1 page… of the business model canvas poster which is enclosed in the attachments.
1. Using the Business Model Canvas,drawand describe the businessmodelforone of the businesses listed below. You will be required to submit the canvas as
well as a detailed description of each of the items on your canvas
a. Exxon b. Delta Airlines c. Bell Canada d. Hyundia e. The Gap Inc. f. Nintendo g. Google h. Lululemon Athletic i. Bombardier j. Lenovo we have chosen lululemon athletic… all you need to do is write 1 page.. about ageing baby boomers .. When you open the pdf file, you will see customer segments… under that you have to write about ageing baby boomers…. Thats it.. the others will cover the rest. You gotta fill the canvas regarding ageing baby boomers…. thats it.. 1 page.. this video below should explain a bit about the model… also attaching 1 more pdf file that explains the business canvas poster. You just have to write about ageing baby boomers… in Lululemon athletics. http://www.youtube.com/watch?v=QoAOzMTLP5s&feature=youtu.be
What are the most important costs inherent in our business model?
Which Key Resources are most expensive?
Which Key Activities are most expensive?
Revenue Streams
Through which Channels do our Customer Segments
want to be reached?
How are we reaching them now?
How are our Channels integrated?
Which ones work best?
Which ones are most cost-efficient?
How are we integrating them with customer routines?
For what value are our customers really willing to pay?
For what do they currently pay?
How are they currently paying?
How would they prefer to pay?
How much does each Revenue Stream contribute to overall revenues?
Channels
Customer Relationships Customer Segments
channel phases:
1. Awareness
How do we raise awareness about our company’s products and services?
2. Evaluation
How do we help customers evaluate our organization’s Value Proposition?
3. Purchase
How do we allow customers to purchase specific products and services?
4. Delivery
How do we deliver a Value Proposition to customers?
5. After sales
How do we provide post-purchase customer support?
Mass Market
Niche Market
Segmented
Diversified
Multi-sided Platform
examples
Personal assistance
Dedicated Personal Assistance
Self-Service
Automated Services
Communities
Co-creation
For whom are we creating value?
Who are our most important customers?
What type of relationship does each of our Customer
Segments expect us to establish and maintain with them?
Which ones have we established?
How are they integrated with the rest of our business model?
How costly are they?
Value PropositionsKey ActivitiesKey Partners
Key Resources
Cost Structure
What value do we deliver to the customer?
Which one of our customer’s problems are we helping to solve?
What bundles of products and services are we offering to each Customer Segment?
Which customer needs are we satisfying?
What Key Activities do our Value Propositions require?
Our Distribution Channels?
Customer Relationships?
Revenue streams?
Who are our Key Partners?
Who are our key suppliers?
Which Key Resources are we acquiring from partners?
Which Key Activities do partners perform?
What Key Resources do our Value Propositions require?
Our Distribution Channels? Customer Relationships?
Revenue Streams?
characteristics
Newness
Performance
Customization
“Getting the Job Done”
Design
Brand/Status
Price
Cost Reduction
Risk Reduction
Accessibility
Convenience/Usability
categories
Production
Problem Solving
Platform/Network
types of resources
Physical
Intellectual (brand patents, copyrights, data)
Human
Financial
motivations for partnerships:
Optimization and economy
Reduction of risk and uncertainty
Acquisition of particular resources and activities
is your business more:
Cost Driven (leanest cost structure, low price value proposition, maximum automation, extensive outsourcing)
Value Driven ( focused on value creation, premium value proposition)
sample characteristics:
Fixed Costs (salaries, rents, utilities)
Variable costs
Economies of scale
Economies of scope
www.businessmodelgeneration.com
The Business Model Canvas
On:
Iteration:
Designed by:Designed for:
Day Month Year
No.
types:
Asset sale
Usage fee
Subscription Fees
Lending/Renting/Leasing
Licensing
Brokerage fees
Advertising
fixed pricing
List Price
Product feature dependent
Customer segment dependent
Volume dependent
dynamic pricing
Negotiation( bargaining)
Yield Management
Real-time-Market
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
1.
customers
2. value
proposi
tion
3. channels 4. customer
relationships
5. revenues 6. key
resources
7. key
activities
8.
partnerships
9.
costi Business
Model
Canvas
The
Business M
odel
explained
to my
Grandmot
h
er
info@hugowiz.it
Anche in Italiano http://slidesha.re/eGZRLO
8%
Can you tell the
difference between
a Business Plan and
a
Business Model
?
Question
12%
Can you tell the
difference between
a Business Plan and
a Business Model?
You will, in a short time.
You will also be able to
sketch a Business Model
in few minutes.
Follow the presentation!
Question
16%
Definition
Business Model
Definition
A Business Model shows
how an organization:
creates, delivers and
captures value
21%
1.
custo
mers
4. relation
2. value
5.
revenues
9.
costs
6. resources
7. activities
3.
channels
8. partners
9
building blocks
The 9 building
blocks of a
Business Model
25%
9 building blocks > customers
1. customers
To do:
– describe customers
– classify them
– understand needs
– for what they
pay
– profitability
What:
customers grouped by
needs, relationship,
interests, profit and
distribution channels
29%
9 building blocks >
value proposition
2. value proposition
To do:
– describe the values
– classifiy them
– relate with customers
What:
something useful for the
customers, that the
organization can deliver
32%
9 building blocks > channels
3. channels
To do:
– classify the channels
– buying life cycle
– buying experience
What:
how the organization’s
value proposition reaches
the customer
37%
9 building blocks > customer relationships
4. customer
relationships
To do:
– customer experience
– organization’s image
– effectiveness
What:
how the organization
earns and retains
customers
42%
9 building blocks > revenues
5. revenues
To do:
– how do customers pay
– for what do they pay
– price definitions
What:
revenues generated by
different groups of
customers;
classified by value
proposition type
46%
9 building blocks >
key resources
6. key resources
To do:
– resource list
– relate to value
proposition
What:
what’s needed to create
the value that the
organization offers to
customers: machines,
ideas, people, money …
50%
9 building blocks >
key activities
7. key activities
To do:
– activity list
– relate with value
proposition
What:
what the organization
must do to create value
for the customers
54%
9 building blocks > partnerships
8. partnerships
To do:
– cost reductions
– risk reductions
– special suppliers
– allies
What:
who works with the
organization for creating
value for the customers:
strategic allies, suppliers,
cooperators
58%
9 building blocks > costs
9. costs
To do:
– cost list
– fixed costs
– variable costs
What:
money spent by the
organization for key
resources, key activities
and partners
62%
9 building blocks > summary
9
Business Model
building blocks
customers
value proposition
channels
customer relationship
revenues
key resources
key activities
partnerships
costs
1.
2.
3.
4.
5.
6.
7.
8.
9.
66%
Business Model Canvas > intro
Let’s organize the 9
building blocks: the
Business Model Canvas
Who:
the Business Model
Canvas was invented by
Alexander Osterwalder
and published in his book:
Business Model Generation
What:
a framework showing
the building blocks’
relationships
71%
Business Model Canvas
Business Model Canvas
1. customers
4. relation
3. channels
2. value
5. revenues9. costs
6. resources
7. activities
8. partners
http://www.businessmodelgeneration.com
75%
Business Model Canvas
Business Model Canvas > value and customers
1. customers
4. relation
3. channels
2. value
http://www.businessmodelgeneration.com
the v
alue
rea
ches
the c
usto
mers
thro
ugh
chan
nels
valu
e – c
usto
mer
comm
unica
tion
79%
Business Model Canvas
Business Model Canvas > value
2. value
6. resources
7. activities
8. partners
Those co
ntribute
creating
value
http://www.businessmodelgeneration.com
83%
Business Model Canvas
earnings = revenues – costs
Business Model Canvas > costs and revenues
1. customers
5. revenues9. costs
6. resources
7. activities
8. partners
Custom
ers
pay
Creating valu
e
costs money
Earnings
should be
greater th
an
zero
http://www.businessmodelgeneration.com
87%
Business Model Canvas
earnings = revenues – costs
Business Model Canvas > relationships
1. customers
4. relation
3. channels
2. value
5. revenues9. costs
6. resources
7. activities
8. partner
http://www.businessmodelgeneration.com
91%
Business Model > book
And now?
To infinity and
beyond!
Buy Alexander
Osterwalder’s book.
Download a 70 page
preview from the
website:
businessmodelgeneration.com
Copyr
ight:
Alex
ander
Oste
rwald
er
used
with
permi
ssion
96%
Business Model > innovation in
Italy
So what?
Innovate YOUR
Business Model
and beat the
competition!
We are spreading the
word about Business
Model Innovation in
Italy
info@hugowiz.it
100%
Business Model vs. Business Plan
Ah,
I was forgetting:
Business Model and
Business Plan
difference
A Business Plan
tells how much stuff,
how much time and
how much money you
need to put your
Business Model into
effect
Lululemon for Men
One segment that Lululemon now targets is the male market.
Key Activities related to this are the setting and public communication of the goal to achieve twenty-percent of their total revenue from men by 2016. They appear well on their way to this as they recently reported that they achieved twelve-percent of total revenue from men in 2012.
The value proposition delivered for men contains several elements based around well designed and considered sports clothes. Their clothing has quick dry capabilities, a head phone guide within the clothing, a media pocket for MP3 players, and well thought out attributes such as continuous draw cords, and sniffle catchers for runny noses. The company indicates they have premium quality and technical rigor.
Lululemon uses promotional events and stagings to assess opportunity for expansion and to promote and educate. Education is a key component of the value proposition and the company refers to its sales associates as ‘educators.’
For channels the company relies on its corporate stores, its ecommerce site, and local suppliers which they call ‘ambassadors.’ Revenue streams consist clothing, and accessories such as yoga mats. Cost model is consistent with all lines of business with corporate stores, and factories located around the world.
Lululemon promotes their community giving programs from a corporate, local community, and ambassador levels.
Segment – Men
Value Proposition
Well designed sports clothes with quick dry capabilities, head phone guide, media pocket, continuous draw cords, sniffle catchers,
Relationships
Technical product, stores, community (classes), people “educators”
Channels
20% of retail space (np);
211 stores in the U.S., Canada and Australia(np)
Key Resources
Key Activities
Set target for 20% of revenue by 2016; (and got 12% in 2012) (nw);
Showrooms and Stagings for expansion (ST)
Key Partners
Amazing Race (??);
Ambassadors ($1,000 of product WSJ)
Cost Structure
Leased stores – low capital costs
Diverse manufacturing (factories in Canada, the United States, Peru, China, Taiwan, South Korea, Israel, India, Bangladesh, Indonesia, Malaysia, Cambodia, Sri Lanka, Vietnam and Switzerland.
Revenue Streams
Retail;
e-commerce;
International;
Mens
Lululemon expands and finds balance with menswear,
http://news.medill.northwestern.edu/chicago/news.aspx?id=219239
, Retrieved March 22 2013
Lululemon plans ‘substantial investment’ in menswear,
http://business.financialpost.com/2013/01/16/lululemon-plans-substantial-investment-in-menswear/
, Retrieved March 22 2013
Lululemon Grows Fast on a Slim Budget,
http://online.wsj.com/article/SB10001424052748703960004575481890366935552.html
, Retrieved March 23 2013
Lululemon to expand internationally,
http://www.thestar.com/business/2012/12/06/lululemon_to_expand_internationally.htm
, Retrieved March 23 2013
Lululemon is an apparel company that specializes in the sale of clothing specifically for Yoga, martial arts, dance and other comfort customized needs that require flexibility. It was established in 1998 by its chairman a Dennis “Chip” Wilson. Some of its brands are lululemon athletica and Ivivva athletic brands for those who are malleable and “with it’’. It has stores in America Canada and Australia but is headquartered in Vancouver Canada (Lululemon.com, 2013)
The market segment for baby boomers at lululemon has grown this are those customers who were born in the mid 40’s, 5o’s and 60’S and are now in their late forties and fifties this segments business has grown tremendously over the past quarter as a result of them being alive to the fact that exercise will go far in ensuring their longevity. With health, statistics seemingly staking up against their favor, with research stating that because of their sedentary leaving or inactive existence, Baby boomers are more prone to disabilities. It’s been stated that of the 78 million baby boomers born between 1946 and 1964 only a small percentage engage in physical exercise and they suffer high cholesterol as well as unhealthy weight levels because of the lack of movement,. (www.bloomberg.com, 2013) So to enable this segment keep fit, lulu lemon has custom made products like the Ivivva line for dancing, presta pants rejuvenate hoodies, and the free fall crop pants which are comfortable for a multitude of tasks such as walking and dancing since this people cannot engage in overly strenuous forms of exercise. (Lululemon.com, 2013)
As well lululemon has grabbed a large percentage of this segment by offering their products online this is because most of them prefer to buy things in the convenience of their homes as they are a bit more advanced in years and prefer to avoid the hassle of going to a brick and mortar establishment. Lululemon however ensures that the client who buys online gets the same treatment as the one who buys from one of their stores. (Lululemon.com, 2013)
Reference
“Baby boomers Customer segment” retrieved from
www.lululemon.com/search?region=us&asug=&w=baby%20boomers%20customer%20segment
“Baby Boomers sicker than parents’ generation” (2013). Retrieved from http://www.bloomberg.com/newS/baby-boomers-sicker-than-parents-generation-study-finds.html
