renatocaliari/cali-product-business-models

Business Models

Creativity triggers from Strategyn (Outcome-Driven Innovation / Jobs to Be Done) to adapt and experiment with new business models.

To Reduce Variable Costs

1. Pass a cost entirely to the customer (self-serve, assemble, install, maintain the product, etc.)
2. Pass an expense to suppliers (inventory tracking sensors, customization of supplies/packaging, etc.)
3. Pass an expense to distributors (acquire and install optional features, maintain the product, store inventory, etc.)
4. Turn a cost into revenue (charge for a sales call, etc.)
5. Turn waste into revenue (sell as byproduct, repurpose, reuse, etc.)
6. Get free supplies and materials (use someone else's waste as raw material, etc.)
7. Use free labor (volunteers, interns, non-profit organizations, academics, etc.)
8. Eliminate an essential business activity or process and reinvest the savings to gain competitive advantage.
9. Incorporate costs when they are at their lowest level (specific period of the year, surplus or liquidation sale, etc.)
10. Decrease a variable cost that forces a reduction in other variable costs.
11. Make costs more variable (hiring methods to suit costs to market conditions, etc.)
12. Reduce costs using existing infrastructure for multiple purposes.
13. Outsource non-essential activities performed inefficiently.
14. Acquire essential activities performed efficiently.
15. Own the infrastructure, not the content.
16. Incorporate more expenses in one area to cut even more expenses in another (bundles instead of tracking multiple packages, etc.)
17. Eliminate a cost through barter.
18. Make a charity contribution in exchange for necessary services.
19. Make a variable cost fixed.

To Reduce Fixed Costs

1. Use existing resources wisely to eliminate capital investments (facilities, equipment, tools, etc.)
2. Reduce fixed costs by incurring them when they are lowest (when subsidized, when financial incentives are in place, etc.)
3. Use other people's money to pay for capital investments.
4. Own the content, not the infrastructure.
5. Leverage a capital investment made by someone else (intermediary, third party, etc.)
6. Pass a fixed cost to the community (regulatory fees, taxes, etc.)
7. Make a fixed cost variable.

For Revenue Generation

1. Divert a revenue source from someone elsewhere in the value chain (supplier, distributor, installer, maintainer, etc.)
2. Identify resources inherent to the value delivery platform and sell/use them (information, energy, etc.)
3. Collect revenue that will coerce future revenue generation.
4. Accept a non-cash form of payment (credit card, subscription, royalties, etc.)
5. Accept a non-traditional form of ownership (share, earn, repeat, etc.)
6. Add a revenue source related to the product (optional features, different product line, replacement parts, etc.)
7. Add a revenue source related to the time of purchase (help the customer make the purchase, finance the product, etc.)
8. Add a revenue source related to support (maintenance, installation, training, storage, after-sales service, disposal, etc.)
9. Collect revenue from a different payer (insurer, distributor, advertiser, government, etc.)
10. Generate revenue from operational operations (charge admission for facilities/tours, sell training content to third parties, etc.)
11. Sell a consumable to collect revenue.
12. Increase revenue from charity sources (fundraising organization, non-profit organization.)
13. Collect revenue at a different point in time or at a different frequency.
14. Collect revenue during downtime.
15. Own the content and the infrastructure.