Startups must aware about the design for the successful operation of a business, identifying revenue sources, customer base, products, and details of financing.
When a startup is presented to investors, it is important to have a business model along with a business prototype. The business model helps you explore the value of the product or service quality and value creation for the customers and the company. If asked in simple words, the business model is a structure that explains how your company works, how they generate the revenue, and how to make plans for getting the goals. Here we are going to talk to you about some business models, it is very important to keep in mind the business model for any startup.
Hidden Revenue Business Model:
In this model of business, the company knows the subject of your interest, knowing your personal interest, gives you the services according to your needs. You may have seen on Facebook and Google that you see similar advertisements as if you are interested or you have done something similar. In this, the company does not disclose its method of generating revenues in front of everyone, just uses data advertising.
One for One Business Model:
A business model, in which the company promises to give the same item to a needy person when buying an item, is known as the One for One Business model. It is a mixed model in which the company does business as well as charity. The charity factor in this model proves to be good for business growth.
Razor and Blade Revenue Model:
When a company completely takes its customers into confidence, it starts giving them their other products at the right prices. In this model you buy expensive equipment for better use of less expensive items, this is why it is the Razor and Blade Revenue model.
Peer to Peer Business Model:
The best example of this kind of business is AirBnB, who takes some commission from the host and gives them a chance to rent their place. It also takes some fees from the guests. In this type of model, both Seller and Buyer are benefited and the company working like Middleman earns through both.
Multi Sided Platform Business Model:
Platforms like Linkedin, which serve as a bridge between recruiters and candidates, thus Linkedin works for both sides, gives them paid subscriptions and generates revenue.
Freemium Business Model:
Freemium is a model in which the company creates a basic model of its product or service, and for a trial it remains free for all users for a period of time. With the Upgraded Paid version of these products and services you can take advantage of the features for a long time.
These are some business models that can give you a right direction about your startups, Think carefully about your business startup model. Build a right business model based on Partners, Activities, Customer Relationships, Resources, Distribution Channel, Cost Structure, and Revenue Stream. To get More Consultation from Online Business Advisor for Startups, you can Contact us via Call or Whatsapp at: +91-8003400999, +91-9983599666