Business Model Canvas (BMC)

Business Model Canvas (BMC)

Created by Alexander Osterwalder and Yves Pigneur, published in "Business Model Generation" (2010).

The Nine Building Blocks

┌─────────────┬────────────┬────────────┬────────────┬─────────────┐
│      8      │      7     │      2     │      4     │      1      │
│    Key      │    Key     │   Value    │  Customer  │   Customer  │
│  Partners   │ Activities │Proposition │Relationships│  Segments   │
│             │            │            │            │             │
│             ├────────────┤            ├────────────┤             │
│             │      6     │            │      3     │             │
│             │    Key     │            │  Channels  │             │
│             │ Resources  │            │            │             │
│             │            │            │            │             │
├─────────────┴────────────┴────────────┴────────────┴─────────────┤
│            9             │              5                         │
│       Cost Structure     │         Revenue Streams                │
│                          │                                        │
└──────────────────────────┴────────────────────────────────────────┘

Fill Order

Start from the right side (customers) and work left:

1. Customer Segments → 2. Value Propositions → 3. Channels → 4. Customer Relationships → 5. Revenue Streams → 6. Key Resources → 7. Key Activities → 8. Key Partners → 9. Cost Structure

Block Definitions

1. Customer Segments

Who are you creating value for?

Questions:

• Who are our most important customers?
• What are their common characteristics?
• What are their distinct needs?

2. Value Propositions

What value do you deliver to the customer?

Questions:

• What bundle of products/services do we offer?
• Which customer needs are we satisfying?
• What problems are we helping solve?

3. Channels

How do you reach customers and deliver value?

Questions:

• How do customers want to be reached?
• Which channels work best?
• Which are most cost-efficient?

4. Customer Relationships

What type of relationship does each segment expect?

Questions:

• What relationship does each segment expect?
• How do we acquire, retain, grow customers?
• How costly is each relationship type?

5. Revenue Streams

How do you capture value?

Pricing Mechanisms:

• Fixed: List price, feature-dependent, volume-dependent
• Dynamic: Negotiation, yield management, real-time market

Questions:

• What are customers willing to pay for?
• How do they prefer to pay?
• What's each stream's contribution?

6. Key Resources

What assets are required?

Questions:

• What resources does our value proposition require?
• Our channels? Relationships? Revenue streams?

7. Key Activities

What must you do to make the model work?

Questions:

• What activities does our value proposition require?
• Our channels? Relationships? Revenue streams?

8. Key Partners

Who helps you operate?

Questions:

• Who are key partners and suppliers?
• What activities do partners perform?
• What resources come from partners?

9. Cost Structure

What are the most important costs?

Example: ThepExcel BMC

### Customer Segments
- Thai office workers wanting Excel/data skills
- Managers needing team training
- Corporate HR for employee development

### Value Proposition
- Practical Thai-language Excel/Power BI training
- Job-focused, immediately applicable
- Self-paced with expert support

### Channels
- Website (thepexcel.com)
- YouTube (awareness)
- Facebook/Line (community)
- Corporate sales

### Customer Relationships
- Self-service courses
- Community support (Facebook group)
- Dedicated support for corporate

### Revenue Streams
- Course sales (one-time)
- Subscription (potential)
- Corporate training (contracts)

### Key Resources
- Course content library
- ThepExcel brand
- Instructor expertise

### Key Activities
- Content creation
- Platform maintenance
- Marketing/sales
- Customer support

### Key Partners
- Payment processors
- Hosting providers
- Corporate HR networks

### Cost Structure
- Content production
- Platform costs
- Marketing spend
- Support team

Tips for Filling

1. Use sticky notes - One idea per note, easy to move
2. Be specific - Avoid vague statements
3. Customer language - Use words they would use
4. Multiple canvases - One per segment if needed
5. Iterate - First draft won't be perfect
6. Test assumptions - Validate with customers