Business Model Canvas: a practical guide to structuring your project

What is the Business Model Canvas?

The Business Model Canvas (BMC) is a visual tool that provides a synthetic representation of a company's business model. It was designed by Alexander Osterwalder and Yves Pigneur in their book Business Model Generation to help entrepreneurs and managers structure their projects intuitively and effectively.

Unlike a business plan, which is often long and detailed, the BMC provides a quick overview of the main elements that make up a business. It is based on nine fundamental blocks, each representing a key aspect of the business model:

• Customers
• Value proposition
• Revenue streams
• Resources
• Activities
• Costs, etc.

Its main advantage lies in its simplicity and flexibility. It can be used right from the design phase of a project, or to adjust an existing model. This tool is equally suited to start-ups and large corporations, encouraginginnovation and rapid decision-making.

With its clear visual structure, it facilitates collaboration between teams and enables different scenarios to be tested without losing clarity. It's a strategic framework that helps companies better understand their environment and optimize their value proposition.

The 9 blocks of the Business Model Canvas

The Business Model Canvas is made up of nine essential blocks, which enable us to analyze and structure a business model in a coherent way. Each block represents a key element of the company's operation.

1. Value proposition

The value proposition is at the heart of the business model. It defines what differentiates your offering from that of your competitors. It could be an innovative product, an exclusive service or a unique customer experience.

2. Customer segments

Identifying customer segments enables us to adapt our offer to the specific needs of different types of customer. It's essential to understand their profile, expectations and buying behavior.

3. Distribution channels

Distribution channels represent the means by which a company reaches and delivers its value proposition to customers. These may include physical stores, online platforms or partner distribution networks.

4. Customer relations

Customer relations define how a company interacts with its customers. An effective strategy can include personalized customer service, loyalty programs or even automated exchanges via chatbots.

5. Revenue streams

Revenue streams correspond to the different sources of income generated by the company. These may include product sales, subscriptions, advertising or commissions on transactions.

6. Key resources

Key resources are the elements essential to creating and delivering the value proposition. They can be :

• Material (premises, machines) ;
• Immaterial (patent, trademark) ;
• Human resources (skills, expertise) ;
• Financial (capital, financing).

7. Key activities

Key activities are those actions essential to value creation. They vary according to the type of company: technological development for a start-up, logistics for an e-commerce business, consulting for a law firm.

8. Key partners

Key partners are strategic alliances that optimize the business model. They may be suppliers, subcontractors or technological partners who bring added value.

9. Cost structure

The cost structure groups together all expenses linked to key activities and resources. It helps identify fixed and variable costs, and optimize the profitability of the model.

A well-filled Business Model Canvas provides a complete vision of thecompany, and helps refine its strategy to ensure its viability.

Why use the Business Model Canvas?

The Business Model Canvas has become an essential tool for entrepreneurs and managers wishing to structure their project clearly and effectively. It offers a number of major advantages, making it an invaluable ally in the creation or development of a business.

1. A global and synthetic vision

Unlike a traditional business plan, which is often long and detailed, the BMC provides a quick overview of a company's business model. At a glance, it allows you to understand the interactions between the different elements of the project, and to identify strengths and areas for improvement.

2. A simple, accessible tool

The Business Model Canvas is designed to be intuitive and easy to use. Its visual format facilitates understanding and communication between stakeholders, whether entrepreneurs, investors or employees.

3. An agile, scalable approach

The market is constantly evolving, and companies need to adapt quickly. The BMC makes it easy to adjust one's business model by testing different scenarios and modifying certain blocks without calling the whole strategy into question.

4. A valuable decision-making aid

By highlighting key activities, essential resources and sources of revenue, the Business Model Canvas helps managers make informed strategic decisions. It helps identify growth opportunities and anticipate financial risks.

5. A tool for every company

The BMC is suitable for all business sectors and all company sizes. Whether you're a start-up, SME or large corporation, this tool enables you to structure your business model in an efficient, scalable way.

In short, the Business Model Canvas is a powerful strategic tool that facilitates the design, analysis and optimization of a business model. Its use enables entrepreneurs to be more responsive, better structure their projects and increase their chances of success.

How to fill in a Business Model Canvas?

The Business Model Canvas is a practical tool for effectively structuring and analyzing a business model. To get the most out of it, it's essential to follow a precise methodology.

1. Ask the right questions before you start

Before completing your CMB, identify the key points of your project:

• What is your value proposition?
• Which customer segments are you targeting?
• What are the most appropriate distribution channels?

A good understanding of these elements ensures consistency between each block of the canvas.

2. Complete the blocks in a logical order

Although each company can adapt its approach, it is recommended to follow this order:

• Customer segments: Who are your target customers? What are their specific needs?
• Value proposition: What is your offer and how is it different from the competition?
• Distribution channels: How are your products or services delivered to customers?
• Customer relations: What strategy should you implement to build customer loyalty?
• Revenue streams: How can you monetize your business?
• Key resources: What assets do you need to run your business?
• Key activities: What are the essential tasks for creating and delivering your value?
• Key partners: Which partners are essential to your success?
• Cost structure: What are the main expense items to anticipate?

3. Use visual and collaborative support

One of the advantages of the Business Model Canvas is its ease of editing and adaptation. We recommend using :

• A whiteboard or a wall of Post-it notes to test different ideas.
• Digital tools such as Canva, Miro or Bpifrance Création to digitalize the model.
• A collaborative approach involving stakeholders (associates, investors, customers).

4. Test and adjust your business model

A BMC is not set in stone: it must evolve in line with customer feedback and market opportunities. It is essential to regularly re-evaluate each block to ensure the viability of the business model and its relevance to market reality.

To guarantee a solid foundation for your project, it's essential to master the main steps involved in setting up a business.

By following these steps, you'll be able to build a clear and relevant Business Model Canvas, capable of guiding your company 's development towards success.

Examples of Business Model Canvas applications

The Business Model Canvas is a versatile tool that can be adapted to all types of business, whether digital, service or commercial. Here are three concrete examples of its use.

1. A digital startup

A Software as a Service (SaaS) company can use the BMC to structure its offering.

• Value proposition: innovative software based on artificial intelligence.
• Customer segments: companies wishing to automate their administrative tasks.
• Distribution channels: online sales via a website and digital marketing campaigns.
• Revenue stream: monthly subscriptions.

2. A service company

A strategy consulting firm can adapt its Business Model Canvas to optimize profitability.

• Value proposition: personalized support for companies in their digital transformation.
• Customers: large corporations and SMEs undergoing digital transformation.
• Revenue streams: hourly or flat-rate billing.

3. A physical store

An organic food store can use the BMC to organize its business.

• Distribution channels: in-store sales and online ordering.
• Key partners: local producers and eco-responsible suppliers.
• Cost structure: purchase of raw materials, stock management and commercial rents. Opting for a business address often reduces fixed costs compared to renting office space.

These concrete examples show how the Business Model Canvas can be used to better structure a business model, adapting it to the specific needs of each company.

Business Model Canvas and company domiciliation

Company domiciliation plays a key role in building a coherent business model. Although it is not one of the 9 blocks of the Business Model Canvas, it influences several strategic aspects of the project.

1. The impact of domiciliation on the business model

The choice of address can affect several elements of the CMB:

Value proposition
A prestigious address reinforces your brand image. If you're a micro-business, choosing the right domiciliation address can be a strategic lever for developing your business. It can enhance your professional image while simplifying administrative management.

Customer segments
Some customers or partners may be sensitive to a company's location.

Revenue stream
A professional address inspires confidence and can help drive sales.

Cost structure
Commercial domiciliation is often a more economical alternative to office rental.

2. SeDomicilier, a service for entrepreneurs

SeDomicilier 's online domiciliation solution enables entrepreneurs to obtain a business address quickly and cost-effectively. This facilitates administrative management and reinforces the company's credibility.

3. Further resources

To find out more about the importance of direct debit, consult these guides:

• Company domiciliation: the complete guide?
• Domiciliation for auto-entrepreneurs: what are the options?

By integrating domiciliation into your Business Model Canvas, you can optimize your company's management and image.

Conclusion

The Business Model Canvas is an essential strategic tool for structuring and optimizing a business model. By providing a clear, synthetic overview, it enables entrepreneurs to better understand the interactions between the various elements of their business.

With its nine blocks, the BMC helps define a strong value proposition, identify customer segments and organize key resources. Its flexibility makes it an ideal ally for start-ups, SMEs and large corporations seeking to innovate and adapt to market changes.

By using it regularly and adapting it to the realities on the ground, managers can improve the viability of their business and make informed decisions.

Whether you're just starting out or looking to optimize your business, the Business Model Canvas offers you a framework for building a solid, sustainable project.