Key Questions
- What is the business model canvas?
- Why does it exist? What problem is it trying to solve?
- Should every startup use one or just certain kinds at certain stages?
- How do I fill out each section of the canvas?
- How many canvases should I complete?
- How do I use the canvas to guide experiments?
- How often should I update my canvas?
- At what point do I no longer need to use the canvas?
Worksheets
- Strategyzer: The Business Model Canvas (PDF)
Start Here
Steve Morris: Business Model Generation with the Business Model Canvas
(5 min video.) Steve provides an overview of the Business Model Canvas, a strategic tool for developing and documenting business models. He explains the nine key components: Customer Segments, Value Propositions, Channels, Customer Relationships, Revenue Streams, Key Resources, Key Activities, Key Partnerships, and Cost Structure. The video emphasizes the importance of testing hypotheses underlying the business model before fully developing a product. It also highlights the value of using the canvas as a visual and collaborative tool for brainstorming and refining business strategies.
Strategyzer: Mr. Beast Burger – Business Model Canvas Example
(3 min video.) Using Mr. Beast Burger as a case study, this video explains the nine key components of the canvas: Customer Segments, Value Propositions, Channels, Customer Relationships, Revenue Streams, Key Resources, Key Activities, Key Partnerships, and Cost Structure. The canvas provides a visual and collaborative approach to business planning, helping entrepreneurs and managers to identify and address critical aspects of their business strategy.
Alexander Osterwalder: The Business Model Canvas
(42 min video.) The inventor of the Business Model Canvas explains how it can be used to design, test, and build successful business models. He illustrates the application of the canvas by analyzing the Nespresso business model. And he discusses the importance of prototyping and testing multiple business model alternatives before settling on one. He emphasizes that falling in love with your first idea can be detrimental, as the most successful business models often arise from exploring and refining various possibilities.
Learn More
Steve Morris: How to Test Your Business Model Canvas Hypotheses and Test Your Business Model Canvas: The Customer Interview
(13 min & 17 min videos.) In the first video, Steve provides ideas on how to test and validate each section of the business model canvas. In the second video, Steve does a deep dive on how to run a customer interview.
Alexander Osterwalder: Competing on Business Models
(30 min segment of longer video.) Alex emphasizes that business models, like yogurt in the fridge, have expiration dates and require constant innovation to remain competitive. He challenges the common misconception that innovation is solely about technological advancements. He argues that successful innovation involves packaging new ideas into compelling value propositions that resonate with customers and creating superior business models. He presents Tesla as a case study, demonstrating how the company’s business model has evolved over time.
Alexander Osterwalder & Yves Pigneur: Business Models With a Purpose
(35 min video.) Alex Osterwalder and Yves Pigneur, co-creators of the Business Model Canvas, present key insights on building purposeful business models. They emphasized three main points: challenging fundamental assumptions to shift towards sustainability and societal impact, adopting a different leadership mindset, and leveraging innovation and iteration while balancing profit with purpose. The keynote aimed to guide businesses in creating models that generate profit while positively contributing to society and the environment, encouraging leaders to rethink traditional strategies and incorporate sustainability as a core element of their operations.
Marius Ursache: Building a Bulletproof Startup: Business Model Canvas vs Lean Startup vs Disciplined Entrepreneurship
(12 min read.) Marius compares three popular startup methodologies: Business Model Canvas, Lean Startup, and Disciplined Entrepreneurship. The Business Model Canvas provides a visual overview of a business, Lean Startup emphasizes iterative learning and customer feedback, and Disciplined Entrepreneurship offers a structured 24-step approach. The article suggests using these methodologies together to leverage their strengths and build a successful startup.
Marius Ursache: The Problem Statement Canvas
(21 min read.) The Problem Statement Canvas is a tool designed to help entrepreneurs and innovators clearly define and understand the problem they’re trying to solve. It consists of six key sections: Problem, Current Solutions, Stakeholders, Root Causes, Impact, and Metrics. By systematically exploring these areas, users can gain a comprehensive view of the issue, its context, and potential solutions. This structured approach helps teams align their understanding, avoid premature solution-focused thinking, and create a solid foundation for developing effective and innovative solutions.
Nick Himo: The Business Model Canvas: From Chaos to Clarity
(5 min video.) A nice short overview of the nine segments of the business model canvas.
Shawn Carolan: A Path to the Minimum Viable Product
(12 min read.) Shawn comes to the aid of startups struggling to select the right minimum viable product (MVP), offering them a tool to do it efficiently and effectively — an MVP tree. He describes its main components and goes through the steps of building an MVP tree, using Roku as an illustrative case study. A key point Shawn makes is that early-stage startups should resist building toward a “mission,” focusing instead on making one customer group excited by a mission-aligned product. He notes that an MVP tree enables a startup to break its mission into smaller components and formulate MVP candidates that could make it sustainable and scalable.
Steve Blank: Customer Development – Steve Blank
(19 min video.) In this video Steve discusses customer development. The video provides insights and strategies related to understanding and engaging with customers to develop successful products or services. He delves into various aspects such as market research, product iteration, and customer feedback. Steve shares his expertise on customer development, offering valuable advice for startups and businesses aiming to create products that resonate with their target audience.
Strategyzer: How to Get From Big Idea to a Validated Business Case: An Overview of the Testing Process
(56 min video.) This video follows Marisa, a startup founder, as she walks through her business model canvas for “Space Your Place”, a service that offers workshops to help employees improve productivity and well-being in their home offices. Alex Osterwalder, the inventor of the Business Model Canvas, leads Marisa through an exercise to identify and map key assumptions, categorized as desirability, feasibility, viability, and adaptability. He guides her through identifying assumptions that are already validated and those that still need testing. David Bland, co-author of “Testing Business Ideas”, then takes over and leads Marisa through assumptions mapping prioritization. Eventually the entire business model canvas is discussed.