Vincent Pirenne – Innovation Consultant, Board of Innovation

1. July 13, 2015 - Nice
“Business model design
with Lean canvas”

2. Hello,

3. Vincent Pirenne - @vincentpirenne
Innovation Consultant
3

4. Board of innovation?

5. International office specialised in
Business Model Innovation

6. Our approach

7. eg O-I - innovation strategy

8. eg Mölnlycke Innovation bootcamp

9. eg Sappi - intrapreneurship

10. “It’s our goal to make corporates innovate
like startups to challenge the status quo.”
We’ve had the pleasure to innovate with...

11. Topics of today
1. BM innovation: what - why - how
2. Introduction to the Lean Canvas
3. Channels
4. Costs
5. Revenue model(pricing)
6. Key metrics
Business model
innovation

12. Business Model in a nutshell
An organization’s logic of creating,
delivering and capturing value.
just to make sure we’re all on the same page…

13. Why should I have an innovative business
model?
Why

14. Let’s warm up with some exercises
Let’s warm up!

16. The Opposite can also be true
you need to break your default and assumptions
if you want new ideas

17. Can the opposite
also be true?

18. Assumptions - Cars
Everyone loves to own a sports car

19. Solution - Cars
Nobody wants to own a car

20. Assumption - Organisation structure
My boss can fire me when he wants

21. Opposite - Organisation structure
I can fire my boss when I want

22. Assumption - Start-ups
Source: Graydon
Amount of start-ups in Belgium is decreasing.

23. Opposite - Start-ups
increase the amount of start-ups

24. Opposite - Start-ups
Amount of investments in silicon valley startups is increasing
Source: CB Insights

25. Now it is up to you!

26. Now it is up to you!
Step 1: Take a pen and a piece of paper

27. Now it is up to you!
Step 2:
Write down
3 assumptions
regarding your
business idea
Step 1: Take a pen and a piece of paper
Students
will pay to
use my
idea

28. Learn from other industries!
Criminals
Dating
Gaming

29. Now it is up to you!
Step 2:
Write down
3 assumptions
regarding your
business idea
Step 1: Take a pen and a piece of paper
Students
will pay to
use my
idea
Step 3:
Write down
the opposite of these
assumptions
Students
get paid to
use my
idea
Nobody
will pay to
use my
idea

30. Peter, Angry Frenchman

32. Sandra, Angry German

34. Carl, Angry Polish guy

36. Banking business is changing?
Sam, Angry Belgian

39. 15 years ago - 1 dominant business model

40. Today, battle of concepts!

41. Itunes, pay per song

42. Spotify, subscription on music

43. This guy…

44. Tidal, artist streaming service!

45. Startups are changing industries

46. Why is this happening?

47. Volume of innovation efforts
last 10 years
source: Doblin Group, Inno 15
10 types of innovation
Configuration Offering Experience
Business
model
Network
Company
Structure
Process
Product
performance
Product
system
Service Channel Brand
Customer
Engagement

48. 10 types of innovation
Configuration Offering Experience
Business
model
Network
Company
Structure
Process
Product
performance
Product
system
Service Channel Brand
Customer
Engagement
Cumulative Value Creation
last 10 years
source: Doblin Group, Inno 15
less than 2% of projects,
produce more than 90% of value

49. Top Innovators
source: Doblin Group, Inno 15

50. 10 types of innovation
Configuration Offering Experience
Business
model
Network
Company
Structure
Process
Product
performance
Product
system
Service Channel Brand
Customer
Engagement
Cumulative Value Creation
last 10 years
source: Doblin Group, Inno 15

51. The same stuff happens in
most business schools…

52. The traditional approach

53. Businessplans are
Good for
Certain projects
Bad for
Uncertain projects

54. Startups = Uncertain
A startup is a human
institution designed to create a
new product or service under
conditions of extreme
uncertainty
Eric Ries

55. Business plans
More assumptions
than validations
Optimism bias
Lack of historical
performance
Strategic
misrepresentation

56. “If you can show me the business
case, it’s already too late!”
- Bill Gates

57. Fine, but how to do it?

58. Think like a designer!

59. 1. Idea generation (visual)

60. 2. Make a prototype (tangible)

61. 3. Verify/simulate the ideas (engineering)

62. Product vs Business innovation
Product innovation Business innovation

63. Product vs Business innovation
Product innovation Business innovation
PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3

64. Product vs Business innovation
Product innovation Business innovation
PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3

65. Product vs Business innovation
Product innovation Business innovation
PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
1.
2.

66. Tool: Lean canvas

67. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Lean canvas

68. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Lean canvas
Product Market

69. Why the lean canvas?
© Ash Maurya - Running lean

70. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
9 building blocks
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution

71. Let’s use an example

72. Sleep!

73. Think about some problems regarding sleep…
Problems?
Snoring
Falling asleep
Sleep efficiency
Waking up at night
Waking up
…
less daytime energy

74. Sleep.io - Counter behaviour therapy

75. Sleep.io - Counter behaviour therapy

76. What is Sleepio

77. Lean Canvas : Problem
List the top one to three
problems!
e.g “Problems falling asleep”
Focus on customer segment!
The Problem
List existing alternatives
e.g “SleepClinic”
Many times NOT from an
obvious competitor
The problem

78. B2B VS B2C
Lean Canvas : Customer Segments
Define your Customer(s)
People who will buy your
product
Narrow down!
Your prototypical customer
Define other users on the
stakeholder map (exercise)
Customer Segments

79. Lean Canvas : Unique Value Proposition
Unique Value Proposition
Why you are different and
worth getting attention
Answer the what, who and
why.
UVP
8 seconds rule
First-time customers spend eight
seconds on average on a landing
page! Your UVP is the first
interaction with your product!
Your message

80. Unique value proposition

81. UVP Sleepio

82. Lean Canvas : Channels
How will you get customers?
Communication VS Distribution
Retention before referral
You have to first sell your product
yourself, before letting others do it.
Channels
Reaching customers

83. Lean Canvas : Revenue Streams & Cost Structure
Revenue out of demos?
First DEMO should address
the TOP problems
If you intend to charge for
your product, charge from
day one!
You don’t need a lot users to
support learning, just a few
good customers
Revenue & Costs
Cost VS price

84. Lean Canvas : Key Metrics
Key Metrics
Key numbers that tell you
how your business is doing
Real time
Before you get the sales
report
Key Metrics
Downloads
Dig deeper

85. Lean Canvas : Unfair Advantage
Unfair Advantage
Passion, features, ... are not
unfair advantages
A real unfair advantage
cannot easily be copied
Anything worth copying will be
copied, especially once you start
to show a viable business model.
Unfair Advantage
The team
Prizes

86. Lean Canvas - Brainstorm tips
Some Lean Canvas Rules
It’s a sketch!
It’s a working document!
Use post-its!
Think in the present!
Use a customer-centric approach

87. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
9 building blocks
Unfair
advantage
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution

88. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
Focus for today
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution

89. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
Write down your key answers for these 4 blocks
UVP
Customer
segments
Problem
Solution

90. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
Focus for today
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution

91. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
Starting point
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution

92. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
Starting point
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution
Product/
Service
Buyers

93. Communication VS Distribution
Channels

94. Eco-system surrounding your product
@Value stream

95. … Using start-up tools
@Waik

96. Tool: Business model blocks

97. A visual prototype of a ecosystem

98. Business Model Blocks
BUSINESS MODEL KIT

99. Transactions

100. 6 stakeholders
Consumer

101. 10 objects that these parties can transfer
Product Service Experience Exposure Reputation
Money Less Money Credits Data Right

102. Indiegogo & KickStarter
Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure

103. Indiegogo & KickStarter - Crowdfunding
Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure

104. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Indiegogo & KickStarter - Crowdfunding

105. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Indiegogo & KickStarter - Crowdfunding

106. TunaDJGear: Attachable buttons
Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure

107. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Navdy - Google Glass for cars

108. Your turn!

109. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Cardrops - Delivery service

110. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Digipill - Audiofiles to change your mind

111. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Runkeeper

112. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
ZombiesRun - Running as a game

113. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Upstart - Students sell the right on their future income

114. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Franchising Models

115. Your turn!

116. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Datacoup - sell your data

117. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Addapp - personalised data insights

118. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Klout - Online influence as reputation

119. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Carrot > To-do list with a personality

120. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Thanx

121. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Moskou - Pay with Exercises

122. Xaxis Sync
Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure

123. Product
5
Money
5
Less Money
Experience
Right
Data
1
Reputation
Credits
Service
Exposure
Pay with a Tweet

124. Your turn!

125. Let’s try it out!

126. Denvy, Has an idea!
“How could he realise
his idea?”

127. Quirky.com
Example case: “Quirky raised the bar for co-creation
platforms by paying out influencers. Every week 2 new
products are being launched.”
+500 people co-designed 1 new iPad stand*
*quirky.com/products/30-Cloak-iPad-Case

128. Quirky.com - co-creation product development
Developed 38 products in 3 years

129. Type of products developed via this business model

130. Idea creator can share his idea

131. Interested buyers can pre-order

132. One minimum threshold is reached, production starts

133. Everyone gets a part of the share

134. One level higher: Ecosystem & value networks

135. Channels
Acquisition
How to acquire new (or first)
customers?

136. How do we acquire new customers?

137. Channels
Distribution
How to get the product to the
customer?

138. How do we get the product to the customer?

139. Focus on Acquisition channels
Acquisition

140. Customer decision journey
Start
@mckinsey

141. Acquisition = traction
“Many entrepreneurs who
build great products simply
don’t have a good distribution
strategy”
- Marc Andreesen -
by Gabriel Weinberg and Justin Mares
@Traction: The Book

142. Focus on Acquisition channels
Selection of
6 proven channels
for start-ups to get
traction
by Gabriel Weinberg and Justin Mares
@Traction: The Book

143. 6 interesting channels
Unconventional PR
Targeting blogs
Social & display ads
Viral Marketing
Search engine marketing
Speaking engagements

144. Viral marketing
Viral marketing consists of growing your
user base by encouraging your users to
refer other users.

145. Viral marketing

146. Viral marketing

147. Unconventional PR
Unconventional PR involves doing
something exceptional (like publicity
stunts) to draw media attention.

148. Unconventional PR
Unconventional PR involves doing
something exceptional (like publicity
stunts) to draw media attention.

149. Social and display ads
Ads on popular sites Facebook and hundreds
of other niche sites can be a powerful and
scalable way to reach new customers.

150. Social and display ads
Ads on popular sites Facebook and hundreds
of other niche sites can be a powerful and
scalable way to reach new customers.

151. Search engine marketing
Search engine marketing (SEM) allows
companies to advertise to consumers
searching on Google and other search engines.

152. Search engine marketing
Search engine marketing (SEM) allows
companies to advertise to consumers
searching on Google and other search engines.

153. Speaking engagements
Leverage a speaking event, give an awesome
talk and grow your startup’s profile at such
speaking gigs.

154. Speaking engagements
Leverage a speaking event, give an awesome
talk and grow your startup’s profile at such
speaking gigs.

155. Target blogs
Target niche blogs early one, to find early
adopters and turn them into ambassadors.

156. Target blogs
Target niche blogs early one, to find early
adopters and turn them into ambassadors.

157. Your turn - How can you use one of these channels
Unconventional PR
Targeting blogs
Social & display ads
Viral Marketing
Search engine marketing
Speaking engagements

158. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
Costs
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution

159. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Costs
Costs Price

160. How to manage your costs…
Costs

161. When was the electric vehicle born?

162. Detroit Electric Car
1917

163. One dominant business model
@investopedia

164. One dominant business model
A pricing method in which the selling price
is established by adding a markup to total
variable costs.
Cost Plus Pricing
@investopedia

165. What is the production cost of an Ipad Air 2?
@techcrunch
COST
Ipad-air 16Gb Wifi
?

166. Avg. of € 248!
@techcrunch
COST
Ipad-air 16Gb Wifi
€ 248
$245 - $323
Ipad-air 16Gb Wifi

167. + Markup
@techcrunch
COST + 50% Markup
+ € 142€ 248
% fixed cost
+ margin

168. Cost Plus Pricing
€390
@techcrunch
COST + 50% Markup PRICE
+ € 142€ 248
% fixed cost
+ margin
Cost Plus Pricing

169. Damn! I paid more…

170. Percieved value
Price is not what you think you can charge,
but what your customers are willing to pay
based on the perceived value.

171. Percieved value
Price is not what you think you can charge,
but what your customers are willing to pay
based on the perceived value.
€1500 €500
€700

172. Cost plus pricing
@Pete Abilla
Profit = (Sales Price – Cost)xVolume

173. I ‘ll talk more about pricing later.. but first things first!

174. Starting your business!
Time
Traction
Product/market fit
YOU

175. Bootstrapping?
@Startup institute

176. Bootstrapping?
@Startup institute

177. Bootstrap your business
Spend your savings
Do an additional job
Sell your car
Work from your garage
Find friends & family to support you
…

178. 4 tips on
how to bootstrap
your business!

179. Some tips on how to bootstrap your business!
Short cycles
Outsourcing is key
Eliminate features
Fake it,…

180. 1. Short cycles
Waterfall
=
Risky!

181. 1. Short cycles
Waterfall = risky
Release!
Risk
Time
build
build
build
build
CC @lfittl

182. 1. Short cycles
Waterfall = risky
Release!
Risk
Time
build
build
build
build
CC @lfittl
80% of
startups
fail!

183. 1. Short cycles
Lean = shorter cycles!
Release!
Risk
Time
Release! Release! Release!
build
build
build
build
CC @lfittl

184. 1. Short cycles
Lean = shorter cycles!
Release!
Risk
Time
Release! Release! Release!
build
build
build
build
CC @lfittl
Fail & learn
fast

185. 2. Eliminate unnecessary features

186. STEP 1
f. x
f. y f. z
f. a
f. b
f. c
features/characteristics of your concept

187. features/characteristics of your concept
STEP 1
Rank the features from the perspective
of your early adopters
STEP 2
f. x
f. y
f. z
f. a
f. b
f. c

188. Structured process: The Innovation Battlefied
Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
f. x f. y
f. z
f. a
f. b
f. c

189. How to rank the features of your concept?
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
f. x

190. Let’s look at “service” we all know:

191. What are the features or characteristics of this concept?
f. x
Handle with care
Able to track
Within 3 days
…

192. Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Handle with care
Able to track
Within 3 days

193. Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Handle with care
Able to track
Within 3 days

194. What are the features or characteristics of this concept?
f. x
SMS alert
Free recall
Real-time tracking
…

195. Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
SMS alert
Free recall
Real-time tracking

196. Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Handle with care
Able to track
Within 3 days
SMS alert
Free recall
Real-time tracking

197. What are the features or characteristics of this concept?
f. x
Cardboard box
FedEx logo
Vans
…

198. Handle with care
Able to track
Within 3 days
SMS alert
Free recall
Real-time tracking
Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Cardboard
Vans
FedEx Logo

199. Handle with care
Able to track
Within 3 days
SMS alert
Free recall
Real-time tracking
Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Cardboard
Vans
FedEx Logo

200. What are the features or characteristics of this concept?
f. x
€15/parcel
Be at home
Sign-off
…

201. Handle with care
Able to track
Within 3 days
SMS alert
Free recall
Real-time tracking
Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Cardboard
Vans
FedEx Logo
Be home
€15/p
Sign-off

202. Handle with care
Able to track
Within 3 days
SMS alert
Free recall
Real-time tracking
Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Cardboard
Vans
FedEx Logo
Be home
€15/p
Sign-off

204. Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Handle with care
Able to track
Within 3 days
SMS alert
Free recall
Real-time tracking
Cardboard
Vans
FedEx Logo
Be home
€15/p
Sign-off
<15 min

205. Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Handle with care
Able to track
Within 3 days
SMS alert
Free recall
Real-time tracking
Cardboard
Vans
FedEx Logo
Be home
€15/p
Sign-off
<15 min

206. New features?

207. Pleasure level
“unexpected awesomeness” “harder,better, faster, stronger.”
“Expected essentials”
How hard will a feature be missed if left out?
How much pleasure does
this feature bring?
“I don’t care...”
“It hurts, take it away.”
H
L
L H
Indispensability Level
How much happiness
does this feature
bring to our customer?
Would this feature be missed
by our customer if left out?
Handle with care
Able to track
Within 3 days
SMS alert
Free recall
Real-time tracking
Cardboard
Vans
FedEx Logo
Be home
€15/p
Sign-off
Drone

208. 3. Fake it, until you make it!

209. 4. Outsource as much as possible

210. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
1. Revenue streams
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution

211. Key question:
What is the right price for my product?

212. Price VS Profit
1%
11%
Price is a dominant factor for your
profitability!

213. Percieved value - Lean pricing
Price is not what you think you can charge,
but what your customers are willing to pay
based on the perceived value.

214. Percieved value - Lean pricing
Price is not what you think you can charge,
but what your customers are willing to pay
based on the perceived value.
€1500 €500
€700

215. Optimal Price

216. Optimal Price
The optimal price provides the maximum
revenue not the highest margin or the
largest number of customers.

217. Optimal Price
< #customers
< €€€
The optimal price provides the maximum
revenue not the highest margin or the
largest number of customers.

218. Optimal Price
The optimal price provides the maximum
revenue not the highest margin or the
largest number of customers.
Optimal

219. How people set their perceptions
Some insights on
Lean pricing

220. Percieved value - Lean Pricing
Product lifecycle
5’s & 9’s
Knowledge
Reference point
Freedom
Loss aversion
@Andreas Klinger

221. 1. Reference Point
€1500 €500
€700

222. 1. Reference Point

223. 2. Product lifecycle

224. 2. Product lifecycle

225. 3. Knowledge

226. 3. Knowledge
€500 €719
iPad mini 3,
Wi-Fi + Cellular, 128 GB
iPad 2,
Wi-Fi, 16 GB

227. 4. Choice & freedom

228. 4. Choice & freedom

229. 5. Loss aversion

230. 5. Loss aversion

231. 6. 5’s & 9’s

232. 6. 5’s & 9’s

233. Product lifecycle
5’s & 9’s
Knowledge
Reference point
Freedom
Loss aversion

234. #caution
Some Pitfalls when defining
your price

235. Competitors

236. Fairness
€ 20 € 20

237. Pirates

238. Product lifecycle
5’s & 9’s
Knowledge
Reference point
Freedom
Loss aversion
Competitors
Fairness
Pirates

239. To understand your if your succes
Key metrics

240. Key metrics for succes?

241. Key metrics for succes? - Lean analytics
+ Slideshare by Andreas Klinger
Source: Lean analytics
Lean Analytics:
Use Data to Build a Better Startup Faster
by Alistair Croll , Benjamin Yoskovitz

242. Successful?
In a startup, the purpose of analytics is to
iterate to product/market fit before the
money runs out.

243. Product market fit
Time
Traction
Product/market fit
@andreasklinger

244. Product market fit
Time
Traction
Product/market fit
Empathy Stickness Virality Revenue Scale
@andreasklinger

245. Product market fit
Time
Traction
Product/market fit
Empathy Stickness Virality Revenue Scale
Find a product
the market wants
Optimise the product
for the market
@andreasklinger

246. Product market fit
Time
Traction
Product/market fit
Empathy Stickness Virality Revenue Scale
Find a product
the market wants
Optimise the product
for the market
@andreasklinger
Clones start here
Product & customer
development
Scale marketing
& operations

247. Key metrics for START-UP succes? - Lean Analytics

248. Key metrics for START-UP succes? - Lean Analytics
+ Slideshare by Andreas Klinger
Source: Lean analytics
No Vanity metrics
Metrics need to hurt
Use Cohords
Early stage metrics
Use a framework (AARRR)
Meaningful KPIs

249. 1. Early stage metrics

250. 1. Early stage metrics

251. 2. Vanity metrics

252. 2. Segment users into cohorts

253. 2. Segment users into cohorts
Groups of people that share attributes
Cohorts

254. 2. Segment users into cohorts

255. 2. Segment users into cohorts

256. 2. Segment users into cohorts

257. 2. Segment users into cohorts

258. 4. Use a framework (AARRR)

259. 4. Use a framework (AARRR)
Acquisition
Activation
Retention
Referral
Revenue

260. 4. Use a framework (AARRR) - Example

261. 4. Use a framework (AARRR) - Example
Acquisition: login
Activation: picture
Retention: reuse
Referral: share
Revenue: €

262. 4. Use a framework (AARRR) - Example

263. 5. Find meaningful KPI’s
Acquisition
Activation
Retention
Referral
Revenue

264. 5. Find meaningful KPI’s
1. Linked to assumptions of your product
2. Rate or ratio
3. Comparable to your history
(market = reality check)
4. Explainable

265. 6. Metrics need to hurt

266. 6. Metrics need to hurt
If yo are not ashamed about the KPIs in
your product dashboard than something is
wrong.
Either you focus on the wrong KPIs or you
do not drill deep enough.

267. 6. Metrics need to hurt: Example
90 % activation rate
Only vote for friends - No usage
Activation = vote for more than 1

268. Key metrics for succes? - Lean analytics
+ Slideshare by Andreas Klinger
Source: Lean analytics
No Vanity metrics
Metrics need to hurt
Use Cohords
Early stage metrics
Use a framework (AARRR)
Meaningful KPIs

269. PROBLEM
List your top 1-3 problems
Designed by:Designed for:
On:
Day Month Year
Iteration:
No.
REVENUE STREAMS
List your sources of revenue
CHANNELS
List your path to customers
(inbound or outbound)
Unfair Advantage
Something that cannot easily be
bought or copied
CUSTOMER SEGMENTS
List your target customers and
users
Unique Value Proposition
Single, clear compelling messages
that states why you are different
and worth paying attention
Solution
Outline a possible solution for each
problem
KEY METRICS
List the key numbers that tell you
how your business is doing
COST STRUCTURE
List your fixed and variable costs
This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
The Lean Canvas
www.leancanvas.com
HIGH-LEVEL CONCEPT
List your X for Y analogy e.g.
YouTube = Flickr for videos
EXISTING ALTERNATIVES
List how these problems are solved
today
EARLY ADOPTERS
List the characteristics of your
ideas customers
9 2
5
1 4
8
7 6
3
Unfair
advantage
A quick overview
Channels
Revenue
streams
UVP
Customer
segments
Costs
Key
metrics
Problem
Solution

270. @VincentPirenne
vincent@boardofinnovation.com
Many thanks!
Questions, just ask.