Steve Blank

NOVEMBER 18, 2013

This post is an update of what we learned about life science revenue models. Life Science/Health Care revenue streams differ by Category. For commercialization, the business model (Customers, Channel, Revenue Model, etc.) This weeks topic was revenue streams – how much cash the company can generate from each customer segment.

Revenue 230

Revenue Lean Channel Distribution 230

Steve Blank

MAY 21, 2012

This intersection of a customer base of billions of people with applications that are used/needed 24/7 never existed before.The potential revenue and profits from these users (or advertisers who want to reach them) and the speed of scale of the winning companies can be breathtaking.

Silicon Valley 336

Silicon Valley Venture Capital Social Media Media 336

Steve Blank

NOVEMBER 8, 2010

New Market Revenue Curve. TiVo had plenty of other battles to fight: competition, issues with channel partners, patent battles, as well as the movie studios, cable companies, broadcast networks and advertisers who all wanted TiVo dead. This results in a much slower adoption curve – the classic hockey stick.

Hockey Stick 271

Hockey Stick Customer Development Silicon Valley Networking 271

Steve Blank

SEPTEMBER 3, 2009

Once the product begins to ship, startup sales execs use orders and revenue as its marker of progress in understanding customers. Well, because the revenue plan we promised the investors shows us generating customer revenue from the day of first customer ship.” Freemium models have their own scorekeeping.)

Customer Development 215

Customer Development Developer Customer Silicon Valley 215

Steve Blank

JULY 30, 2009

A year goes by, you miss your revenue plan, and you’ve burned through your first VP of Sales. As another example, I could see which magazines are on people desks, and that tells me where to advertise. Your board nods sagely at your target customer list. What happened?

Silicon Valley 131

Silicon Valley RSS California Customer Development 131

Steve Blank

SEPTEMBER 10, 2009

Most startups following the Product Development Model never achieve their revenue plan and burn through a ton of cash not knowing what hit them. After twelve months Handspring’s revenue was $170 million. Prodigy spent $50 million on advertising and in-store displays. They never understood Market Type. End result?

Customer Development 196

Customer Development Developer Customer Silicon Valley 196

Steve Blank

NOVEMBER 2, 2009

Sales people cost money, and when they’re not bringing in revenue, their wandering in the woods is time consuming, cash-draining and demoralizing. Marketing demand creation programs (Search Engine Marketing, Public Relations, Advertising, Lead Generation, Trade Shows, etc.) Lets see why. Something else? Who’s the customer?

Lean 244

Lean Silicon Valley Startup RSS 244

Steve Blank

DECEMBER 17, 2015

Disruptive solutions with new business models ( Horizon 3 ) require an a priori agreement on the criteria for creating a new business unit (revenue, profits, value-added, etc.). Do we have buy-in from existing business units for products that fit existing business models ( Horizon 1 ) or extended business models ( Horizon 2).

Silicon Valley 120

Silicon Valley Incubator Acquisition Business Model 120

Steve Blank

AUGUST 27, 2009

Yet we used the product development model not only to manage product development, but as a road map for finding customers and to time our marketing launch and sales revenue plan. The company has a large press event, and Marketing launches a series of programs to create end-user demand (trade shows, seminars, advertising, email, and so on).

Silicon Valley 260

Silicon Valley Product Startup Product Development 260

Steve Blank

FEBRUARY 27, 2012

Then I thought I could charge them for something later and sell advertising based on the users I had.”. He really needed to think through his Revenue Model (the strategy his company uses to generate cash from each customer segment). “Business model? I pushed a bit harder. Freemium was just one of many tactics.

Customer 325

Customer Business Model Customer Development Startup 325

Steve Blank

AUGUST 19, 2016

Someone is advertising electronics jobs on the radio? What kind of place were we in that advertised for engineers on the radio? Technologists were running companies, as no serious MBAs would go near these places, and investors were company builders, teaching founders how to grow revenue and profit. Did we just hear this right?

San Jose 173

San Jose Silicon Valley Michigan Miami 173

Steve Blank

AUGUST 19, 2016

Someone is advertising electronics jobs on the radio? What kind of place were we in that advertised for engineers on the radio? Technologists were running companies, as no serious MBAs would go near these places, and investors were company builders, teaching founders how to grow revenue and profit. Did we just hear this right?

San Jose 120

San Jose Silicon Valley Michigan Miami 120