Business model summary
KP: Key partners
•
KA: Key activities
•
KR: Key resources
•
C€: Cost structure
•
1
Created for:
By:
VP: Value proposition
•
Date:
Version: 1.0
CR: Customer
relationships
•
CS: Customer
segments
•
C: Channels
•
R€: Revenue stream
•
1
Business model example
KP: Key partners
• Franchises
• Publishing partners
• Affiliates
KA: Key activities
• Procuring and distribution
of lawn treatments
• National brand marketing
• Generating quotations for
new lawns from national
site
• Following up on leads
• Managing and growing
franchises
KR: Key resources
• Strength of national brand
• Franchises
Created for: Perfect Lawn
By: Consultant
VP: Value proposition
• Save time and anxst of
lawn care for house owners
• Reduce cost of treatments
(cheaper than purchasing
raw treatment materials).
Lower price than gardener
• 4 pre-arranged lawn
treatments during growing
season
• “Unique formulation” to
remove weeds and moss
from lawns
Date:
Version: 1.0
CR: Customer
relationships
• Indirect – relationship through
franchisee
• Website and email
programme are direct to
consumer touchpoints
CS: Customer
segments
• Targeting 3/6 personas
based on Royal Horticulture
Association personas of
gardening engagement:
Quite keen gardeners,
marginal gardeners, not
keen gardeners
• Customers grouped in 6
regions
C: Channels
• Lead follow-up (phone and
face-to-face) and service
delivery through regional /
local franchises
Key online channels:
• Search engines – researching
lawn problems and solutions
• Gardening publishers and
forums
• National web site for initial
engagement
• Email marketing (central) for
lead maturation
C€: Cost structure
• Central brand marketing
• Local marketing support
• Setup and management costs for franchisees
• Procurement and logistics for treatments
2
R€: Revenue stream
• Franchise model – new franchisee income and annual licence fees
• Quarterly fees from franchisees (customer dependent)
• Potential ad revenue model from site and list
2
About the business model summary
The business model template is based on those available through an app and a book on the Business Model Generation site
(). We’ve made this template available to Expert members since we think it’s a great
approach, but since it was produced by a mainly European team, it isn’t so well known elsewhere.
It was published in 2009 as part of an interesting co-creation project involving 470 practitioners from 45 countries Rather than “reinventing the wheel”, we thought we would share links to resources here for Expert members.
The Perfect Lawn example is fictitious company, based broadly on the Greenthumb (www.greenthumb.co.uk) model which features
in our SOSTAC® example strategy template.
For learning more about the approach, we recommend these PDFs which aren’t so obviously linked to from their main site:
• Blank canvas with the questions to ask about the business model in each rectangle
• 72 page handbook preview – examples from this are shown below. The first is for the book itself, the second is for a product
you’ll recognize.
If you’re a consultant or agency working with online startups, or you are at the early stage of a startup yourself I do recommend
buying the book – I’ve got a copy.
Related resources on Smart Insights to help with business model planning are:
• The digital strategy toolkit including SOSTAC® one page strategy summary featuring the same company (Perfect Lawn)
• Online revenue model spreadsheets
• This blog post outline 8 revenue models
Dave Chaffey
3
3
4
4
5
5
6
6