Description
Using your expertise to perform tasks that deliver a service for others (e.g. building web sites)
Major variations
Offering services in person versus online. Standardised versus personalised services. One-off delivery of a service versus ongoing provision.
Potential impacts
- Support businesses in your community by making it easier for them to focus on their core operations
- Introduce technical or business skills not readily available locally to make local industry more competitive
- Providing employment and livelihoods to the people performing the services
Advantages
- This can allow you to use technical or business skills you have available in your team or community to earn additional revenue
Challenges
- Managing customer relationships, understanding their requirements, and project management for on-time delivery and profitability are all important aspects of this as well as being good at delivering the service itself.
- The market can be very competitive, particularly for services offered online for the global market.
Business model canvas
Key partners
- Other organisations providing services to your target market
- Others providing similar services – you may be able to join forces or sub-contract each other
- Technical colleges or other educational institutes who provide training in the type of services you offer
Key activities
- Attracting customers
- Understanding customer requirements
- Performing the service
Key resources
- Expertise or skills
- Any equipment necessary e.g. computers
- Good internet connection essential for performing services remotely
Value propositions
- Good quality outcomes
- For local clients – offering understanding of the local context
- For remote clients – the ratio of quality to price will be important as you will be competing globally
- Offer a personal touch for services not readily available locally
Customer relationships
- Mainly personal service
- Some co-creation with clients
Channels
- Sell to users of your space
- Social media & local advertising
- Online channels for services that can be performed remotely
Customer segments
- Those in your community who need the service in question (it may not only be businesses)
- Those elsewhere in the world who want remote services
- Government or donor organisations who may subsidise provision of services to certain groups
Cost structure
- Time spent and materials used in performing the service
- Advertising & marketing costs
- Cost of any machinery or equipment used in performing the service, e.g. computers, printers
Revenue streams
- Charge for time and materials (any direct costs) in performing the service
- Fixed fee for the project or service outcome
- Ongoing charges for repeat services or maintenance
- Funding from government or charities for marginalised groups to get access to services, e.g. marketing services for informal sector artisans
Complementary models
Creating shared access to a community and/or other assets (space and equipment)