Five Easy Steps to the Success of a Business Model
Developing a business model isn’t about determining which products to pursue or just for the sake of completing the business plan. But it is about figuring out how to develop ongoing value for your potential customers. If you are entirely new to the business then some questions that may linger in your mind such as-
Where will your business idea start?
When will you know you’ve been successful?
Here are the five easy steps to the success of a business model-
- Establish business processes
You have to understand various activities that are required for your business model to work and before it can go live. By identifying the core aspect of your business offering, you can determine the pivotal business activities.
- Develop a robust value proposition
A robust value proportion can be achieved by establishing what your business offers and why is it better than your competitors. For instance, how will your organization stand out from the competition? Do you provide innovative service or a revolutionary product? Once you define a few value propositions, you can link each one to a product or service delivery system to know how you will remain valuable to your potential customers.
- Identify your audience
Targeting a wide array of the audience won’t allow your business to hone in on those customers who are genuinely in need of your services or product. The wise thing will be to narrow down your audience to 2 or 3 buyer personas. You should outline the common challenges, each & every persona’s demographics, as well as the solutions that your organization will provide.
- Create a DGS (Demand Generation Strategy)
You will need a strategy that generates leads, is specially designed to close sales, and builds great interest in your venture, unless and until you are taking a radical approach to launch your enterprise. Moreover, what should the customers do when they become aware of your brand? Therefore developing a DGS (Demand Generation Strategy) will make a blueprint of the customer’s journey. It can do this while documenting the key motivators for taking action.
- Include Your Motivation
Your ‘motivation’ and ‘ambition’ is the most important piece in a successful business model.
Why are going through all this effort, sweat, and hard work? In order to convince the people that the business will succeed through thick & thin, your motivation needs to be the reason. It is a fact that not just by selling to make money, an enterprise needs a mission that drives it and your motivation defined in the business model is that mission.
By utilizing the steps mentioned above will undoubtedly ensure the success of your business model. If you fully understand the basic structure of a business model, in order to create a successful one.
Varun Datta is the Founder & the chairman of one of the top-notch firms, 4New Ltd. He is also a highly successful entrepreneur and is fully dedicated to making this an economic reality.
Serial Entrepreneur - International Business Planning and Development Consultant - Speaker - Trainer - Author - Blogger - Network Marketing professional.
- 2018 SME Business Trainer and Coaching Advisor at GIZ (Deutsche Gesellschaft für Internationale Zusammenarbeit) for SME Loop.
- 2018 Executive Director/ Project Manager, Dayo Adetiloye Empowerment and Development Initiative
- 2018 YALI RLC Online Cohort 9
- 2017 Fellow, Inspire Africa Train-the-Trainer Entrepreneurship programme sponsored by US Consulate Lagos and the Dickey Center, U.S.A.
- 2016 Fellow, Tony Elumelu Foundation Entrepreneurship Programme
- 2016 CEO, Dayo Adetiloye Business Hub
- 2015 Top 50 Innovative Entrepreneurs, BET5 by Diamond Bank and EDC, PAU.
He is an alumnus of Enterprise Development Centre (EDC) of the Lagos Business School (LBS), Pan-Atlantic University (PAU). And Obafemi Awolowo University (OAU) Ile-Ife, Nigeria.
Through his training, mentoring, speaking and coaching programmes, he has empowered many young people over the years to start and grow their own business, build wealth, create multiple streams of income and achieve financial independence.
- He is a Certified Trainer in Design Thinking by the U.S Consulate, Lagos and the inspire Africa Entrepreneurship Institute.