Business Model Shifts - Deepstash
Business Model Shifts

Business Model Shifts

Patrick van der Pijl

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Business model shifts start as small moves inside an existing business model

A business model shift is a deliberate and systematic move toward more relevance and value for customers, and as a result growth of your organization. Business model shift can reflect bold moves into wholly new business models. 

But more often, shifts start as small moves inside an existing business model that evolve into entirely new ways of creating value and relevance.

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Six ways to create new value for customers

1. The Services Shift

The move from a product-oriented business model to a service-oriented model focused on getting some job done for the customer.

2. The Stakeholder Shift

The move from a shareholder orientation to creating value for all stakeholders in the greater ecosystem and business model context.

3. The Digital Shift

The move from fragmented online and of f l ine business operations to an always-on business model that is connected to customers and their needs.

4. The Platform Shift

The move from a disintegrated ecosystem of businesses and uneven value exchange to directly connecting people and businesses facilitating value exchange in an orderly way.

5. The Exponential Shift

The move from improving businesses and revenue streams in terms of single- or double-digit percentage growth to exponential thinking and 10x growth and impact.

6. The Circular Shift

The move from take-make-dispose to restorative, regenerative, and circular value creation.

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Access, not ownership

Access, not ownership

Whatever you’re producing, at the end of the day, your customers only care about getting a job done. While your product may satisfy some of that need, you’re just as likely to be in a constant arms race to sell more and more product. Not every shift starts with an outdated business model, however. Many start by satisfying a need.

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From products to services

From products to services

The product business model is specif i cally designed to develop and manufacture products in an ef f i cient way. It’s the job of the marketing and sales team to put those products out into the market and ensure there’s demand from customers.

The services business model is specif i cally designed to get a job done for customers. A service business model is about understanding the lives of your customers and meeting their ongoing needs throughout time.

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Short-termism

Most public companies cater to their shareholders to the exclusion of almost any other goals. Most shareholders want to see results and return on their investment today or at least next quarter. These narrowly defined financial demands are not supportive of growing your business in a value-driven way.

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