CHRISLEMA
BUSINESSMODELS
CHRISLEMA
Click & Mortar (Best Buy) Direct (Kirby Vacuums)
Freemium (DropBox) Low Cost Leader (Ikea)
Auction (eBay) System Integrator (IBM)
Network Effect (Twitter) Razors & Blades (Gillette)
Multi-Level (Avon) Subscription (Comcast)
We experience all kinds of business models
CHRISLEMA
What is a business model?
It’s how you make money.(or plan to)
OFFER($$)
CLIENT YOU
CHRISLEMA
A model makes assumptions about the
market
CLIENT
High-End Market
Mid-Market
Low-End Market
CHRISLEMA
A model makes assumptions about the
offer
TRADE
SERVICEPRODUCT
CHRISLEMA
A model makes assumptions about
you
YOU• Your skills
• Your team
• Your finances
CHRISLEMA
FIVETRUTHS
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MOST PEOPLE PREFER DOING TO PLANNING
CHRISLEMA
MOST PEOPLE DO TOO LITTLE
RESEARCH
CHRISLEMA
MOST PEOPLE GET ANCHORED
TOO EASILY
CHRISLEMA
MOST PEOPLE JUST COPY
OTHERS
CHRISLEMA
YOU DON’T HAVE TO BE
MOST PEOPLE
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PARTS OFTHE MODEL
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ModelCustomer Segment
Offer & Price
Distribution
Costs
Staffing
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CHANGE ANY PART OF THESE
DYNAMICS & YOU MAY HAVE A NEW MODEL
CHRISLEMA
SCOREEVERYMODEL
CHRISLEMA
TRADE
SERVICEPRODUCT
MARKETPLACE BROKERAGE
ECOSYSTEM
SUBSCRIPTION http://smarterstartup.org/
CHRISLEMA
eCommerce Plugin
eCommerce SaaS
eComm Sites
eComm Market
AN EXAMPLE
CHRISLEMA
CUSTOMER• Unmet need? • Untapped segment?• Can you reach them?
CHRISLEMA
eCommerce Plugin
eCommerce SaaS
eComm Sites
eComm Market
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AN EXAMPLE
CHRISLEMA
COMPETITION• Already commoditized?• Any barriers to entry?• Can you differentiate?
CHRISLEMA
eCommerce Plugin
eCommerce SaaS
eComm Sites
eComm Market
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AN EXAMPLE
CHRISLEMA
TIMING• Validated market?• Any new innovations?• Race to zero?
CHRISLEMA
eCommerce Plugin
eCommerce SaaS
eComm Sites
eComm Market
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AN EXAMPLE
CHRISLEMA
TEAM• Subject matter experts?• Core competency?• Supplier relationships?
CHRISLEMA
eCommerce Plugin
eCommerce SaaS
eComm Sites
eComm Market
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AN EXAMPLE
CHRISLEMA
FINANCE• Any upfront costs?• How much capital float?• Any economies of scale?
CHRISLEMA
eCommerce Plugin
eCommerce SaaS
eComm Sites
eComm Market
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AN EXAMPLE
CHRISLEMA
eCommerce Plugin
eCommerce SaaS
eComm Sites
eComm Market
6
8
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1
5
3
8
2
7
9
8
2
7
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AN EXAMPLE
CHRISLEMA
YOUR SCORINGIS UNIQUE TO
HOW YOU SEE THE WORLD AND YOUR OWN STRENGTHS
CHRISLEMA
YOUR SCORING IS STILL FILLED WITH
ASSUMPTIONS THAT NEED TO BE TESTED
CHRISLEMA
RESOURCES• The Smarter Startup • Business Model Canvas• Clarity.fm
CHRISLEMA
CHRIS LEMACROWD FAVORITECHRISLEMA.COM@CHRISLEMA