AI Content Chat (Beta) logo

156 VIsuaL thInKIng desIgn Different Types of Visualization for Different needs • From day one, Skype was a global voice carrier because its service is deliv- ered through the Internet, unrestricted by traditional telecommunications net- works. Its business is highly scalable. Visual representations of business models call for differ- ent levels of detail depending on one's goal. The sketch of Skype’s business model on the right drives home the key differences between its business model and that of a traditional telecommunications carrier. The goal is to point out the striking differences between Skype’s business model building blocks and those of a traditional carrier, even though both offer similar services. The right-hand page sketch depicting the young Dutch company Sellaband has a different goal and is there- fore more detailed. It aims to paint the big picture of a completely new music industry business model: that of a platform enabling crowd-funding of independent musical artists. Sellaband uses the drawing to explain its innovative business model to investors, partners, and employees. Sellaband’s combination of images and text has proven to be far more effective than words alone at accomplishing this task. • Though it provides a telecommunications service, Skype's business model features the economics of a software company rather than a telecommunications network operator. • Ninety percent of Skype users never pay. Only an estimated 10 percent of users are paying customers. Unlike traditional telecommunication carriers, Skype's Channels and Relationships are highly automated. They require almost no human intervention and are therefore relatively inexpensive. • Skype’s Key Resources and Activities resemble those of a software company, because its service is based on software that uses the Internet to carry calls. Given its 400 million+ user base, the company enjoys very low infrastructure costs. In fact, it does not own or operate a telecommunications network at all. 156 bmgen_final.indd 156 6/15/10 5:42 PM

Business Model Generation Flipbook - Page 162 Business Model Generation Flipbook Page 161 Page 163