What we are about
You don't need to be a techie to understand (or benefit from) the business models of the most revered tech companies.
We share MBA-level innovation and business management knowledge with Entrepreneurs, Founder-CEOs, App Creators, Startups, Professionals, Executives, MBA Students/Graduates, Business School Professors and other smart people. Whether you are a techie or not, you will understand how these companies work on a biz model level!
We are focusing on the two most important business models of the last two decades. We also explain important innovation strategy & business management concepts by applying them to these leading-edge business models.
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Platform Business Model
The Platform Business Model is underpinning the most successful companies either fully or at least to a considerable part. It includes the biggest market caps and many of the most exciting startups. Check out the links below which cover the business models of these wonderfully innovative companies.
The Platform Business Model underpins the most successful startups of the last 2 decades. It is on its way to upending all industries. New entrants as well as incumbents are making it a centrepiece of their innovation endeavours.
Get started on strategy & fundamentals:
- Complete guide to the platform business model
- Develop a business model for your App
- Develop a sharing economy app business model
Search & Social
Search platforms and social networks have pioneered elements that many other platforms are using now. Learn from:
Similar platforms & use cases: user-generated content / multimedia sharing, messaging, chat, micro-blogging, search, discussion forums, social networks of all kinds centred around themes, hobbies, professions, activities, experiences, lifestyles and a lot more.
Demand-aggregating platforms establish themselves as middlemen between existing businesses and consumers, take:
Similar platforms & use cases: There are many different approaches, e.g. user-generated reviews, vertical search engines, location-based search, hobby magazines and portals, deals platforms, classifieds, vertical classifieds, etc. Other startups become the Groupon of their own country while others become the Yelp of their industry.
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Choose the premium product that's most suitable for you and get started on the details that make a real difference ...
Sharing economy platforms are monetising on physical assets & goods often owned by the users:
Similar platforms & use cases: Transportation platforms, urban mobility platforms, vehicle / ride sharing, mobility-as-a-service, food / goods delivery platforms, service sharing platforms, home sharing platforms, things-on-the-go sharing, goods sharing.
Online Travel Agencies are B2C ecommerce platforms specialised on one vertical / industry:
Similar platforms & use cases: travel apps specialising on certain geographies / activities / hobbies; travel planning apps, car rental, flight booking. Other vertical-specific ecommerce platforms, e.g. in retail, car sales, etc.
Ecommerce uses the platform business model for parts or all of their business:
Similar platforms & use cases: ecommerce apps / platforms not owning the inventory, payment apps, online marketplaces, classifieds, intermediary shopping apps, supply side aggregators, B2B marketplaces, ecommerce apps for digital / virtual goods.
Companies using the platform business model extensively:
... and tens of thousands more
No other website explains the details of the platform business model in the depth and practical aspects that we do. Our premium resources cover the secrets of this business model in ways that you can transfer it to many other industries. If the platform business model is not yet so widespread in your industry, it's just a matter of time. It might be the opportunity that you were looking for! I am deeply convinced that this business model will revolutionise every single industry there is - without exception. I firmly believe this is the business model that every entrepreneur and business manager must know in detail.
Subscription Business Model
The Subscription Business Model has found its way into many industries. In some industries, it is now the most common business model. This includes software products, media and most other digital goods. But it is also conquering real goods, cars, office space and even consumables. It is certain that businesses across many more industries will use this model. Note, that here we are talking about linear business models.
Instead of having to buy and own things, companies provide consumers access to goods and services through the subscription business model.
Get started on some fundamentals:
Sharing economy businesses use both of our featured business models the subscription business model as well.
All software is moving to the cloud and is becoming Software-as-a-Service. This type of software has its own business model covered in several articles:
- Categorising SaaS
- SaaS R&D biz model tactics
- SaaS Sales & Marketing tactics
- SaaS Key Customer Metrics
- Example Slack
The first article shows an overview of areas that SaaS has already entered. Not long until it will have entered all areas of software.
Many businesses create digital goods that they provide access to via the internet instead of selling them on physical media:
Similar use cases: The linear subscription business model has become an important biz model in media (books, magazines, news, music, video, etc) and other digital goods.
Real goods & services
Companies provide access to real goods (durable goods, assets), services and consumables/utilities:
Similar use cases: Access to goods: cars, vehicles, clothing, real estate (office space, co-living, storage space, parking space) and even consumables, staples, meal-kit delivery, utilities and others.
The Subscription Business Model has helped many startups to succeed. But it is also being widely adopted by many large incumbents. Microsoft Office is now fully under this model. It is the de-facto model for SaaS and an opportunity for new players as well as a great avenue for incumbents to innovate. Our key premium resources on this model are the Netflix premium resources for digital goods and WeWork for real/durable goods.
Strategy & Management
We are also covering important strategy and business management concepts. What makes Innovationtactics different is that we go the hard yards to apply these concepts to deep (I mean really deep) real-world examples.
Porter's Five Forces
We are explaining important financial concepts using deep, real-world examples. Below metrics are applied to Netflix:
We are explaining important unit economic concepts using deep, real-world examples. Below metrics are applied to Netflix:
Creating App biz models
How to develop a business model for your App. Our firm belief is that a huge amount of apps fail because there is no clear thought behind the business model. If you are developing an app, make sure to think about the business model in parallel. This is an epically long article on the topic using search / social media platforms as an example. This 10-step guide can be applied to most types of apps & their business models.
And find the answer to a common question:
What's a business model anyway?
Create a Sharing Economy App
Sharing economy apps need to solve a number of recurring types of business model problems. We strongly believe that your early decisions will set your startup and app on a trajectory that will decide where you will end up in 2, 5 or 10 years time (despite all experimentation). Are you equipped to make these decisions?
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