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Agenda: 1.Clarify your Vision, Mission and Goals. 2.Explore the elements of a Business Model Canvas. 3. Create a canvas to explore your business idea.

Def_Vision & Mission Vision: what’s the big picture, what do you want to do, change or effect? Mission: how will you do this. What will drive you?

Vision To supercharge investment performance for non- investors. Mission Our mission is to build a reputation as the No 1. reliable knowledgebase for investment in non- traditional products. We will achieve this by offering top-notch customer service and detailed information covering a broad range of sectors in an accessible way.

Vision To supercharge investment performance for non- investors. Mission Our mission is to build a reputation as the No 1. reliable knowledgebase for investment in non- traditional products. We will achieve this by offering top-notch customer service and detailed information covering a broad range of sectors in an accessible way. Goal Goal Goal Increase Brand Awareness Improve Customer Experience Develop Staff Experience Objective(s) Objective(s) Objective(s) 1. Design Newsletter 2. Create Referral Programme 1. Hire 2 new employees 2. Install CRM tracking system 1. Schedule staff training 2. Fund staff courses

Def_Business Model This describes how an organisation creates, delivers and captures value for its consumers.

9 Building Blocks: Business Model Canvas Customer Segments Value Proposition s Channels Customer Relationships Revenue Streams Key Resources Key Activities Key Partnerships Cost Structure

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Def_Customer Segments All the people and organisations for which your creating value, this includes all consumers.

Detail: • 2/3 Segments is ideal for MOST canvases. • Segments should take the form of pre- personas. These should include a short overview of the segment and some basic demographic, sociographic and/or psychographic information. • The selection of the segment should be justified with data. • The segment should be connected to the Value Proposition, Channels and Relationships as a minimum.

E.G.: “Tom is a 55-year-old farmer who grows combinable crops (cereals, oilseed and fodder) on his large 200- hectare family farm. Tom has lots of hi-tech precision farming equipment and collects data from various sensors and analysts but really struggles to get value from the data…” Demographics (Department for Environment, n.d.) “Dr Weller is a 63 year old GP who examines patients that are insured in public and private health insurance programmes in Germany. Dr Weller has an issue with privately insured individuals paying their invoices over long periods of time which impacts his cashflow.” (appendices 2-8)

Extended Info: Segments are a separate segment if: • Their wants / needs justify a different offer; • They are reached through different channels; • They require different types of relationship; • They have substantially different profit abilities; and • They are willing to pay for different aspects of the offer. Remember, Not Everyone is Your Consumer…

Def_Value Propositions For each segment there are specific value propositions; the bundles of goods and/or services that create value for your consumers.

Detail: • Value propositions need to be linked to specific segments. • You can have more than 1 but I wouldn’t advise more than 4, after this they tend to become too generic. • The proposition(s) need to be unique and should focus on communicating the benefits of your idea along with how any barriers will be overcome. • Propositions need to be supported by data.

E.G.: “Enabling farmers to increase yields and cut costs by combining their data from their existing disparate systems and generating insightful analytics and a holistic farm view in a user-friendly reporting platform. The frustration of farmers to not be able to get good use of their data in the disconnected and complicated systems was highlighted in the recent conference. (Agri-EPI Centre, 2020)” The proposition is being able to provide a clean way of creating flavourful food, using sustainable sources. Within that: (colours representing customer segments and whether they find that VP particularly important) - Helping to retain valuable nutrients in the food (Ruby, Rosie/Ryan, James). - High quality products with controlled moisture levels to prevent mould and other impurities that would affect food quality (Ruby, Dan, Rosie/Ryan, James, Peter) - Helps to enhance food flavours (Slater,2017) (Ruby, James). - Enhances customer experience (Dan, Peter, Rosie/Ryan). - Uses sustainable, FSC approved suppliers from within the UK (Forest Stewardship Council, 2020) (Dan, Peter, Ryan).

Def_Channels These describe the touch points through which you interact with consumers to deliver value.

How do we Reach People? Channels have distinct phases and can be direct, or indirect.

Detail: • Channels must be specific, and clearly linked to a segment. • You will likely need a range of channels to address your segments and the differing stages of the purchase process. • Your choice of channel and linkages should be supported by data.

E.G.: • Media – coverage in press • Farming Networks – NFU , Agri-EPI Centre, RAU Alumni, Farm 491 • Advertising – Farmers Weekly advertorials & ads (web & print) (Mark Allen Group, n.d.) • Events –stand at farming events • Website …a website for booking, social media and targeted advertising. Mainly through Facebook as this is the key site for this target age group (Statista, 2020) but also Instagram as this is also used by the majority of the target group (Needles, n.d.). This will be done through posts as well as ads which need to be pictorial in mobile/tablet device driven formats (n.a., 2016).

Def_Customer Relationships These outline the types of relationship you’re establishing with your consumers.

Detail: • Relationships need to describe how you will deal with the consumer. • These need to be in-sync with you channels and the general business model. • This is the element most people often get wrong!

E.G.: - Predominately transactional, through the sale of the product, - Heavy elements of personal service as it is B2B, and provision of pre-sale advice and after-sales service will be important. Potential for development of long term B2B relationships. - Elements of co-creation through opportunity to leave reviews on the website to enhance future business decisions (e.g. type of wood stocked) (Athuraliya, 2019). These customer interactions fit in well with the communication channels adopted (Hahn, 2019).

Terminology: • Personal Assistance; • Dedicated Personal Assistance; • Self-Service; • Automated Services; • Communities; and • Co-Creation.

Def_Revenue Streams You need to make clear how and through which pricing mechanisms your business model is capturing value.

Detail: • This section should detail: – The revenue model – It’s methodology – Your Pricing Strategy – Key Figures – Relevant Projections • All of this must be supported by data, references to competitors/other models and/or examples drawn from research.

Type of Revenue Stream: • Product (Asset) Sale; • Usage Fee; • Subscription Fee; • Lending / Renting / Letting; • Licensing; • Brokerage Fees; and • Advertising.

Types of Pricing Strategy: • Cost Plus; • Skimming; • Penetration Pricing; • Premium Pricing; and • Psychological Pricing.

Def_Key Resources These show what assets are indispensable to your business model.

Detail: This section should not contain a list of all the resources the business needs. Instead, you should take this opportunity to present an overview of the key resources that contribute to your competitive advantage. In doing so you should detail why they are unique and the position that this offers you in the market. Again, this should be supported by relevant data.

Examples: • Physical; • Intellectual; • Human; and • Financial.

Def_Key Activities These show which things (the central actions relevant to the model) you need to do to perform well.

Detail: The advice for this section is very similar to resources. I normally use this piece of the canvas to provide a quick overview of the idea and then detail the key activities that will provide my competitive advantage. Again, I use data throughout to support my points.

Examples: • Production; • Service Provision; • Problem Solving (Individual Consumers); and • Platform / Network.

Def_Partnerships The relationships you need to leverage to make your business work.

Detail: • This section should detail: – The partner – Their contribution – Your reason for selecting them – A link to their website • This doesn’t have to be an exhaustive list, again, focus on those that are central to your competitive advantage.

Def_Cost Structure When you understand all the model and its infrastructure you should have an idea of how much it will cost.

Detail: • This section should detail: – The cost model – Key Figures – Relevant Projections • All of this must be supported by data, references to competitors/other models and/or examples drawn from research.

Examples of Models: • Cost Driven (Minimise Costs); and • Value Driven (Premium Products). Features to Discuss: • Fixed Costs; • Variable Costs; • Economies of Scale; and • Economies of Scope.

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