HOW TO DESIGN

EXPONENTIAL (10X)
BUSINESS MODELS?

Patrick van der Pijl

YOUR HOST

Patrick  
Van  der  
Pijl
CEO  Business  
Models Inc.
WHAT DO WE LEARN
FROM COMPANIES
THAT GROW?
WHAT IS YOUR
GROWTH
AMBITION?
WHERE IS YOUR
BUSINESS IN 3-5
YEARS TIME?
 5 minutes

WHERE IS YOUR COMPANY IN X YEARS?

EXPONENTIAL
BUSINESS MODELS
HOW TO DESIGN
THEM?
LET US DEFINE
EXPONENTIAL
FIRST…
WHAT IS
AN EXPONENTIAL
BUSINESS MODEL?
exponential
ˌɛkspəәˈnɛnʃ(əә)l/
Adjective
.
1. (of  an  increase)  becoming  more  and  more  rapid
2. of  or  expressed  by  a  mathematical  exponent.
"an  exponential  curve"
Peter Diamandis: from 10% to 10X
The Business Model Canvas

X XX
Key Key Value Customer Customer
partners activities proposition relationship segments

X
X X
Key Channels
resources

X X
Cost Revenue
structure streams

© www.businessmodelgeneration.com
 X
10 BUSINESS
MODELS
DEFINITION:
“HOW WE CREATE
EXPONENTIAL VALUE”
The Business Model Canvas
Key Key Value Customer Customer
partners activities proposition relationship segments

Key Channels
resources

Cost Revenue
structure streams

© www.businessmodelgeneration.com
WHY?
EXPONENTIALITY CAN CLOSE THE GAP
SOME EXAMPLES OF
10X BUSINESS
MODELS
 This image cannot currently be
displayed.

EXAMPLES OF 10X BUSINESS MODELS

LET’S LOOK
AT NETFLIX
WHAT IS 10X?
10X Business Model Netflix*
Key Key Value Customer Customer
partners activities proposition relationship segments

Price Self   Mass  

service Market
Acces-­‐
ibility
Key Channels
resources Unique  
content
Content Netflix.com

Algorithm Multiple
devices
Cost Revenue
structure streams
Sub-­‐
scription

© www.businessmodelgeneration.com
*Business  Model  is  not  complete
10X – NETFLIX ALGORITHM + CONTENT
LET’S LOOK
AT ZAPPOS
WHAT IS 10X?
DELIVER THE WOW!
10X Business Model Zappos*
Key Key Value Customer Customer
partners activities proposition relationship segments

Amazon Selection LOVE   Mass  

Insights brand Market
Customer  
Brands JOY!
Key Channels
resources
UPS
Zappos.com
Culture!

Cost Revenue
structure streams

© www.businessmodelgeneration.com
*Business  Model  is  not  complete
10X – ZAPPOS’ HOLOCRACY CULTURE
MAKE A CHOICE ON
BUSINESS MODEL
FOR EACH COUNTRY
X
LET’S LOOK
AT Foodout
WHAT IS 10X?
10X Business Model Foodout*
Key Key Value Customer Customer
partners activities proposition relationship segments

Key Channels
resources

Cost Revenue
structure streams

© www.businessmodelgeneration.com
*Business  Model  is  not  complete
LET’S LOOK
AT Taxify
WHAT IS 10X?
10X Business Model Taxify*
Key Key Value Customer Customer
partners activities proposition relationship segments

Key Channels
resources

Cost Revenue
structure streams

© www.businessmodelgeneration.com
*Business  Model  is  not  complete
LET’S LOOK
AT Madara Cosmetics
WHAT IS 10X?
10X Business Model Madara*
Key Key Value Customer Customer
partners activities proposition relationship segments

Key Channels
resources

Cost Revenue
structure streams

© www.businessmodelgeneration.com
*Business  Model  is  not  complete
BEFORE WE START, WE
NEED TO HAVE YOUR
CURRENT BUSINESS
MODEL FIRST
WHAT DOES YOUR
CURRENT BUSINESS
MODEL LOOK LIKE?
 15 minutes

YOUR CURRENT BUSINESS MODEL HERE!

10 DESIGN
PRINCIPLES FOR
10X
10
BUSINESS MODELS
 10
RATE YOUR BUSINESS
MODEL FROM 1 to 10.
1- SOLVE PROBLEM FOR MANY?
UBER CONNECTS DRIVERS & CLIENTS
EDISON CONNECTS CLIENTS & INVESTORS
 RATE YOUR MODEL:
“Do you solve problems for many
customers and more segments?”
few customers, many customers,
1 segment >1 segments

0 5 10
2- COMMUNITY OF FANS?
2- TESLA – COMMUNITY OF FANS
 RATE YOUR MODEL:
“Do you have a community of fans?”
large community
no community of fans

0 5 10
3- ARE YOUR CHANNELS DIGITAL?
3- AUTODESK DIGITAL CHANNELS
 RATE YOUR MODEL:
“Are your channels digital?”
physical and
physical only digital digital only

0 5 10
4- INFORMATION BASED SERVICES
4- SPOTIFY
 RATE YOUR MODEL:
“Do you have information based
services?”
Information
physical and based
physical only information based only

0 5 10
5- MULTIPLE REVENUE STREAMS
5- AIRBNB – HOSTS AND GUESTS
 RATE YOUR MODEL:
“Do you have multiple revenu streams”

single stream multiple streams

0 5 10
6- SCALABLE PROCESSES
6- SCALABLE PROCESSES
 RATE YOUR MODEL:
“Are your processes scalable?”
somewhat fully
not scalable scalable scalable

0 5 10
7- ALGORITHM TO THE CORE
7- FACEBOOK READS OUR MIND
7- AMAZON KNOWS WHAT’S NEXT
 RATE YOUR MODEL:
“Do you use algorithm to the core?”
Don’t have data, Setting up first Algorithm
nor algorithm experiments to the core

0 5 10
8- “HOLOCRACY” CULTURE
8- “HOLOCRACY” CULTURE
 RATE YOUR MODEL:
“Do you have a holocracy culture?”
We manage by
hierarchy & Some hierarchy,
procedures some freedom Holocracy

0 5 10
9- LEVERAGE PARTNERS
9- NETFLIX AND AMAZON CLOUD
 RATE YOUR MODEL:
“Do you leverage assets through
partners?”
No Some Full
leverage leverage leverage

0 5 10
10- APPLY LEAN WAY OF WORKING
10- GE & LEAN
 RATE YOUR MODEL:
“Do you apply LEAN way of working?”
Some
No notion of Fully
LEAN LEAN LEAN

0 5 10
 Scalable Info  based   Community  
processes offering of  fans

Key Key Value Customer Customer

partners activities proposition relationship segments

6 4 2
Algorithm Solve  
7 1 problems  
to  the  core Key Channels
resources for  many
Leverage 9 8 3
Partners
Cost Revenue
structure streams
10 5

Lean © www.businessmodelgeneration.com
Multiple
approach Streams
Holacracy Digital  
Culture channels
 Exponential Business Model Checklist (score 1 to 10)
KEY PARTNERS KEY ACTIVITIES VALUE PROPOSITION CUSTOMER RELATIONSHIP CUSTOMER SEGMENTS
6.  Are  your  
processes  scalable? 2.  Do  you  have  
a  community  of  
7.  Do  you  apply   fans?
algorithm  to  the  
9.  Do  you   4.  To  what  extent  is  your   1.  Do  you  solve  
core?
leverage   offering  information   problems  
activities  to   KEY RESOURCES based? CHANNELS for  many?
partners?
3.  Are  your  
8.  Do  you  have  a   channels  
holocracy culture? digital?

COST STRUCTURE REVENUE STREAMS

10.  Do  you  apply   5.  Do  you  have  a  multiple  
LEAN  working? revenue  stream?
 ?
WHAT IS YOUR TOTAL
SCORE?
 ?
WHAT IS YOUR TOP 3
PRIORITY YOU WANT
TO WORK ON?
WHAT ABOUT
THE FUTURE?
?
KEEP AN EYE ON PLATFORM BUSINESS
A.I. WILL CHANGE THE GAME
ROBOTICS
BUSINESS
DESIGNERS
UNITE!
DESIGNABETTERBUSINESS.COM
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