40 succesful online business models

40 Online Business Models Morten Gade, February 2011

40 succesful online business models

DISCLAIMER This presentation is a collection of approximately 40 different online business models, all in operation and apparently thriving here in early 2011. The presentation was originally made for my students at the IT-University of Copenhagen for the class Concept Development with Industry. I hope it can inspire you too – it was inspiring to collect it!

Remember, don’t just do what everyone else is doing!

Sales Finding new customer segments or value propositions online.

Direct sale A clear value proposition is needed.

Combined Model Both online sale and marketing of traditional stores.

Re-selling Being the middle man for other agents, who handle logistics.

Sales of services Selling memberships, subscriptions and other services online.

Broker Where the platform is the key activity of the business.

Auction One of the most common examples.

Used goods As old as time itself, but now with larger customer segments.

Virtual marketplaces Niche oriented platforms with both buyer and seller as customer

Price comparison Both buyer and seller as customer, price is value proposition.

Contact broker/mass market Connecting the world and taking your share of the profit.

Contact broker/specialists Connecting specialist users and acting as platform.

Groups buying/brokerage Clear value proposition to both end user and business.

App Store Reducing transaction costs for the developer and the end user.

Advertising Display advertising and other models.

Content rich, heavy traffic Low pricing, huge supply.

Niche-sites Relatively high pricing, lower supply.

Heavy on page views Focused purely on display advertising.

Online tools Software as a service – fulfilling a need with huge economies of scale.

Subscription based Subscriptions make for a long term revenue stream.

Freemium Letting the user become the marketer – to themselves and others.

Adbased Product as medium for advertising.

Consumption based Pay as you go , usage fee revenue stream.

Reselling data Servicing one group in order to generate a product to another.

Subscription Subscriptions for information, services or entertainment.

Community-sites & dating Subscribing for other people.

Games Subscribing for entertainment and immersion.

Niche-oriented specialist knowledge Subscribing for low transaction costs, making your job easier

Affiliate Yet another way making money making people meet.

Revenue sharing Tight economical connection to the producer of content.

Pay per click Great economies of scale, where business is platform.

Stakeholder management Addressing other stakeholder needs.

E.g. employer branding Attracting key resources online

Or investor relations Attracting key resources online

Knowledge sharing Making internal and external processes easier.

E.g. intranet, wiki, e-learning, EDRMS… Supporting key processes in the organization

Digital processes Optimizing processes with customers, partners and other stakeholders.

Upselling Making lifetime value of customer higher.

Better service Making customer acquisition and retention easier

Reduced cost Making key processes easier, creating economies of scale

Co-creation Development of ideas, products or businesses

Of ideas Creating new value propositions, strengthening relationship to customers and partners.

Of products Creating new value propositions, strengthening relationship to customers and partners.

Of relationships Creating new value propositions, as well as creating a new kind of open partner strategy enabling easier handling of many partners.

Or even businesses Being the platform for key processes of other businesses.

Thank you for your time! I want to be smarter! So I’d love your input for models, I’ve missed, things I totally misunderstood or just about anything else, you feel like.

PS: See you on that twier-thing, maybe? If so, I’m @mortengade.

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MORTEN GADE

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m@mortengade.dk

tel. +45 30 91 92 18

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