Which Is The Best Business Model For Your Startup – B2B Or B2C?

Entrepreneurs-Journey.com by Yaro Starak

Choosing the right business to start is something that nobody can tell you except yourself. Ask ten business owners what they think as to which business to start and you’ll probably end up with fifteen different ideas because answering the Golden Question of Entrepreneurship often proves difficult to even the most seasoned business professional. What may be a cost-effective business now could be a nightmare waiting to happen.

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What Is B2B And Why Choose This Business Model For Your Startup?

Entrepreneurs-Journey.com by Yaro Starak

Last week, in part one of the B2B versus B2C series, I explained there are several reasons as to why entrepreneurs should venture into “B2B” (“Business to Business”) service based companies as opposed to any form of “B2C” (“Business to Consumer”) company, “B2B” product-oriented company or strictly a web-based B2B firm. You can check out part one of this series here: Part 1: Which Is The Best Business Model For Your Startup – B2B Or B2C?

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Trending Sources

How to Road-Test Your Business Model

Inc Startups

Read on to find out what they are—and how they can save you time and resources as you test your business model. During this step, you develop a roadmap for the sales and marketing teams (to be hired later) or validate the online demand creation plan.

Hardware-as-a-Service (HaaS)

K9 Ventures

” If the company adopted this model, not only would they have more revenue ($24K/year vs. $20K one-time) from the sale of the robot, but they would end up with a recurring revenue model, which would make for a much better business model for the company rather than selling complex widgets. More and more as I’ve met with and invested in different hardware companies, I keep coming back to this Hardware-as-a-Service model.

Discovery: How Sales Sets Customer Success Up To Succeed

YoungUpstarts

When a customer is willing to share their business model, their pain points, and their needs with you, they are demonstrating trust that you will be able to help them ease their pain and reach their desired outcomes. by Tim Conder, VP of Customer Success at Bolstra.

4 Ways that help a business standout

Taffy Williams

Attend any major business conference and chances are you will find competitors to your business. Observing show rooms or speaking with other entrepreneurs helps one learn about how other businesses market their offerings. Diversity is important in business for many reasons.

3 Ways To Ensure Your Startup Has A Top-Notch Team

YoungUpstarts

Then come the marketing, sales, and accounting considerations. Your business plan needs to set the course for how you invest in your team. His investment in human capital was as much a part of his business plan as market opportunity and fundraising.

SaaS + Marketplace

A Crowded Space

Some marketplace businesses have started monetizing at least in part through higher-margin software fees. . There is a new trend emerging which combines two of the most beloved business models in tech. . SaaS (software as a service) models are very well understood and straightforward. Marketplaces are also very common business models. Sales cycle decreases . Sales conversion increases.

5 Indicators of Future Business Success

Inc Startups

Arguably the most important element in building a business is setting clear goals and targets. Successful companies set stretch goals and build a solid business model and strategic path to reach those goals, which usually are results-oriented: revenue, growth, and profit.

The Model That Really Makes Money

Inc Startups

You may have a business model, but you''ve got to nail your sales model before you go to market. Your company has a business model and a sales model. The business model explains what your company does and how the parts fit together.

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A new field guide for entrepreneurs of all stripes

Startup Lessons Learned

In this excerpt from The Lean Entrepreneur , by using fishing as an analogy, Brant and Patrick reveal how market segmentation influences your business model and why “For Whom” is as important as “What” to build. Market segments drive your business model.

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How Pertino is reinventing the future of business networking

Lightspeed Venture Partners

We believe that a large amount of legacy enterprise infrastructure, which has traditionally been delivered as proprietary, complex hardware is being disrupted on two dimensions: first, on a technical basis with software that is more programmable, flexible and easier to manage and configure; and second, on a business model basis that replaces the traditional perpetual software or hardware license process with a more granular buy “by the drip” service model.

Top 10 'How to Sell' Books of All Time

Inc Startups

These classic sales books should be in every business library. Amazon contains 340,737 book titles containing the word "sales" and 48,427 containing the word "selling." The Little Red Book of Selling I like to think of Jeff Gitomer as the "Seth Godin" of the sales world.

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Startup Killer: the Cost of Customer Acquisition | For Entrepreneurs

www.forentrepreneurs.com

Business Model I would like to propose that in addition to team, product, and market, there is actually a fourth, equally important, core element of startups, which is the need for a viable business model. In the model above, this was set to 10 deals per year per team.

It’s not easy to sell into an industry being disrupted

Version One Ventures

Whenever there’s a complete disruption of the business model, it means that the underlying rules for that vertical have dramatically changed. Just adding a website to now offer books for sale will not suddenly make an offline bookstore a serious competitor to Amazon. A company that’s being disrupted certainly feels the pain that their business model is under attack. News AbeBooks Amazon Bookselling Business model disruption twitter

How to Build a Business That Cannot Fail

Duct Tape Marketing

How to Build a Business That Cannot Fail This content from: Duct Tape Marketing. There are many reasons why businesses don’t make it, but undoubtedly, the primary culprit is a lack of profitable clients. In other words, most businesses are started with the business in mind.

Entrepreneurs are Everywhere Show No. 39: Jeremy Johnson and Michael Eidsaune

Steve Blank

But to do it, you need to actually have a sustainable business model. Starting a business is too risky. Identifying a problem doesn’t mean you’ve automatically created a business. We couldn’t charge the low-income students we were looking to help enough to keep the business going. But to be able to do it, you need to actually have a model that sustains it. Starting a business is too risky. Our revenue model was wrong.

The Proof was not in the Pudding: Pudding Media is Shutting Down

VC Cafe

The company’s assets will be put on sale as the company only retained five employees for maintenance reasons. The partnerships enabled reach to over 100 million mobile users, but the local advertisers were not technology-inclined which made sales cycles longer and more complicated. A friend of mine who worked with Pudding had only nice things to say about the team and their ability to adapt the business models to the market conditions, long after he left.

How to Fix 8 Sales Strategy Errors

Inc Startups

I''ve written in the past about tactical sales errors but not so much about the larger issues of sales strategy. The greatest business thinker of the 20th century, W. With that in mind, here''s how to avoid or fix the 10 most common sales strategy errors: 1.

How to Use Facebook Ads to Drive Sustainable Traffic & Boost Sales

Duct Tape Marketing

How to Use Facebook Ads to Drive Sustainable Traffic & Boost Sales written by Guest Post read more at Duct Tape Marketing. a lead or sale) is the eventual goal, the runners up are “soft conversions”, like the following: 1.

Quantum of Social

This is going to be BIG.

It's really questionable whether this constant capturing, slicing and sharing of my life has any viable business model whatsoever. The sites that have figured out business models are the ones that built in commercial presences from the beginning, or made the sites more optimal for commercial usage. "This is the world's most precious resource, we need to control as much of it as we can.". Dominic Greene, Quantum of Solace. Fine, so I'm a Bond geek.

Learn to code? How about learn to sell!

This is going to be BIG.

Slow sales cycles. Business Insider wrote about our investment in the company yesterday. I'd bet that anyone who looked at this company's early sales traction would have asked her, "Wait. It was enough to make anyone who didn't love the space realize that she had cracked the code of breaking into government sales--and once you're in, you're in forever. Tweet. There are a lot of reasons not to like the space that Publicstuff is in.

It’s Not a Conversion Problem, It’s a Customer Development Problem

conversionxl.com

Steve Blank, a serial entrepreneur in Silicon Valley, developed a methodology for creating businesses that runs in parallel with the traditional product development process. sustainable business. million in sales and selling an average of 1,000 items per day.

Why Linear Funnels Are a Simplified Reality (and What to Do About It)

ConversionXL

Both Harvard Business Review and Practical Ecommerce have reported the death of the linear funnel. Like any model it has its pros and cons. Box, “All models are wrong, but some are useful.” sales page, cart, purchase, etc.)

The Secret Sauce Of Start-Up Success

YoungUpstarts

I grew the business that I currently lead as CEO from a start-up to more than 60 million dollars in revenue in less than six years. My simple process has worked to spur growth and revenue for every business I have headed. Build a business model that scales.

Freemium Summit Recap

StartupCFO

Attendance was smaller than expected given how widespread this business model is, but it was high quality. Freemium = large customer base = Small Business Market. User reviews are the new sales cycle. Businesses are wary of unpublished business models. Tags: Business Model Strategy freemium Last Monday I was in NYC for the Freemium Summit.

Maverick Sales Strategy

StartupCFO

Chris Dixon posted recently about the trials and tribulations of enterprise sales. Still, there are alternatives to building up a direct sales force and trying to penetrate the Fortune 1000 buying cycle, particularly for web services companies. One of the beauties of this distribution model is the way that it circumvents the enterprise purchasing cycle. Many of the startups I work with offer freemium services to business users.

Entrepreneurs are Everywhere Show No. 39: Jeremy Johnson and Michael Eidsaune

Steve Blank

But to do it, you need to actually have a sustainable business model. Starting a business is too risky. Identifying a problem doesn’t mean you’ve automatically created a business. We couldn’t charge the low-income students we were looking to help enough to keep the business going. But to be able to do it, you need to actually have a model that sustains it. Starting a business is too risky. Our revenue model was wrong.

Strategy Roundtable For Entrepreneurs: High-Octane Energy In Pune

ReadWriteStart

Manoj is experiencing a long sales cycle of close to 12 months, but he has already created a sustainable company that has revenues and profits. On the other hand, it can be a perfectly fine owner-owned-and-operated business. On April 17, I was in Pune for a 1M/1M live event.

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Change Reaction: What Leaders Need to Know

Inc Startups

When Fisher joined the family business in 1996, Data Distributing was selling optical disks and making less than $1 million in sales. They were used to making quick sales over the phone. As you take your company to the next stage, change management becomes a major challenge.

From $0-100million with no sales people. The Atlassian 10 commandments for startups.

Business of Software Blog

Atlassian produces tools that help technical and business teams collaborate, plan projects and build software. Subsequent to this talk, Scott's company, Atlassian, has achieved the remarkable accomplishment of reaching $100 million in sales despite employing no sales people. Scott was talking at Business of Software 2010. Business of Software 2011 takes place in Boston - 24-26th October.  Second thing is you need a business model.

Strategy Roundtable For Entrepreneurs: Exciting Companies Lined Up For Microsoft Startup Grant Finals

ReadWriteStart

Freshdesk First, Girish Mathrubootham from Chennai, India, pitched Freshdesk , a SaaS company that provides small and medium businesses with on-demand customer support software that offers multi-channel social support. The company already has paying customers and a validated business model.

Why Free Consulting Is a Bad Idea

Inc Startups

If you can't draw a hard line, you may end up losing both the sale--and your shirt. To clarify: It is perfectly reasonable to provide the benefit of your expertise and opinions during sales conversations in order to generate credibility.

Exciting Companies Lined Up For Microsoft Startup Grant Finals

VentureWoods

First, Girish Mathrubootham from Chennai, India, pitched Freshdesk , a SaaS company that provides small and medium businesses with on-demand customer support software that offers multi-channel social support. Small and medium size business owners can set up online customer support platforms that combine the backend help desk system used by agents (ticketing, knowledge management) with an online customer portal (self service, forums, idea management, voting, etc) on the front end.

Designing startup metrics to drive successful behavior | For Entrepreneurs

www.forentrepreneurs.com

This post is applicable to any kind of business. Since SaaS businesses (or any other subscription-based business) are different from standard software businesses, there are some interesting elements that we will uncover.

Healo: Searching for Product-Market Fit in Home Health

Launching Tech Ventures

These problems are only exacerbated by long sales cycles, tight budgets and unclear purchasing authority. A seemingly endless set of sales channels (from clinics to hospitals to payers) puts these entrepreneurs at a high risk of muddling their target customers and users.

Managing Startups: Best Blog Posts of 2013

Platforms and Networks

Models That Leverage Dominant Platforms Sangeet Choudary discusses how to manage startup growth strategies that piggyback upon an existing dominant platform, used by AirBnB, PayPal, etc. Here''s my compilation of 2013''s best posts and books about managing startups. I assembled similar lists at the end of 2012 , 2011 , 2010 and 2009. Many thanks to all of the authors!

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Another Financing Risk

David Lee

In the large VC case, they don’t have the motivation - it was a small bet and they don’t have the incentive to finance a “B+” investment (this doesn’t make them evil; this is just their business model). Thus they were acquired or went out-of-business. No matter how good the founders, their fate is tied in some entity’s hands - mainly, the sales cycle.

5 Tips for Getting to Product-Market Fit

Inc Startups

Business Hypotheses Make sure you’re asking the right questions. Every great business starts with a business need or a solution to a problem. For many start-ups, finally getting to product-market fit seems like the holy grail.

Lessons Learned: Validated learning about customers

Startup Lessons Learned

What matters is proving the viability of the company’s business model, what investors call “traction.&# Of course this is not at all true of many profitable small businesses, but they are not what I mean by startups.) It should be even more important to the founders themselves, because it demonstrates that their business hypothesis is grounded in reality. For a startup, having great sales DNA is a wonderful asset. for Harvard Business Revie.