Zippyway

Business Modelling

We can help you set up your Private Limited Company Registration business in the least time while you focus fully on your core business

    Request a Call back

    200+

    Happy Customers

    300+

    Project Done

    9+

    Experience

    Overview

    A business model is a conceptual structure that supports the viability of the business and explains how it operates, makes money, and how it intends to achieve its goals. All the business processes and policies that a company adopts and follows are part of the business model.

    Competitive Analysis in Marketing

    Every brand can benefit from regular competitor analysis. By performing a competitor analysis, you’ll be able to:

    Components Of A Business Model

    An ideal business model usually conveys four key aspects of the business –

    The Importance Of Business Model

    Purpose Of Business Modelling

    Business modelling is used to design current and future state of an enterprise. This model is used by the Business Analyst and the stakeholders to ensure that they have an accurate understanding of the current “As-Is” model of the enterprise.
    It is used to verify if, stakeholders have a shared understanding of the proposed “To-be of the solution.

    Analyzing requirements is a part of business modelling process and it forms the core focus area. Functional Requirements are gathered during the “Current state”. These requirements are provided by the stakeholders regarding the business processes, data, and business rules that describe the desired functionality which will be designed in the Future State.

    Guiding Principles for Business Modelling

    The 30 Types Of Business Models

    Manufacturer

    A manufacturer makes finished products from raw materials. It may sell directly to the customers or sell it to a middleman

    Distributor

    A distributor buys products from manufacturers and resells them to the retailers or the public.

    Retailer

    A retailer sells directly to the public after purchasing the products from a distributor or wholesaler.

    Franchise

    A franchise can be a manufacturer, distributor or retailer. Instead of creating a new product, the franchisee uses the parent business’s model and brand while paying royalties to it.

    Brick-And-Mortar

    Brick-and-mortar is a traditional business model where the retailers, wholesalers, and manufacturers deal with the customers face-to-face

    Ecommerce

    E-Commerce business model is an upgradation of the traditional brick-and-mortar business model. It focuses on selling products by creating a web-store on the internet.

    Bricks-And-Clicks

    A company that has both an online and offline presence allows customers to pick up products from the physical stores while they can place the order online.

    Freemium

    This is one of the most common business models on the Internet. Companies offer basic services to the customers for free while charging a certain premium for extra add-ons. So there will be multiple plans with various benefits for different customers. Generally, the basic service comes with certain restrictions or limitations, such as in-app advertisements, storage restrictions etc., which the premium plans shall not have.

    Subscription

    If customer acquisition costs are high, this business model might be the most suitable option. The subscription business model lets you keep customers over a long-term contract and get recurring revenues from them through repeat purchases.

    Aggregator

    Aggregator business model is a recently developed model where the company various service providers of a niche and sell their services under its own brand. The money is earned as commissions.

    Online Marketplace

    Online marketplaces aggregate different sellers into one platform who then compete with each other to provide the same product/service at competitive prices. The marketplace builds its brand over different factors like trust, free and/or on-time home delivery, quality sellers, etc. and earns commission on every sale carried on its platform.

    Advertisement

    Advertisement business models are evolving even more with the rise of the demand for free products and services on the internet. Just like the earlier times, these business models are popular with media publishers like Youtube, Forbes, etc.

    Data Licencing / Data Selling

    With the advent of the internet, there has been an increase in the amount of data generated upon the users’ activities over the internet. This has led to the advent of a new business model – the data licencing business model.

    Agency-Based

    An agency can be considered as a partner company which specialises in handling the non-core business activities like advertising, digital marketing, PR, ORM, etc.

    Affiliate Marketing

    Affiliate marketing business model is a commission-based model where the affiliate builds its business around promoting a partner’s product and directs all its efforts to convince its followers and users to buy the same. In return, the affiliate gets a commission for every sale referred.

    Dropshipping

    Dropshipping is a type of e-commerce business model where the business owns no product or inventory but just a store. The actual product is sold by partner sellers who receive the order as soon as the store receives an order from the ultimate customer. These partner sellers then deliver the products directly to the customer.

    Network Marketing

    Network marketing or multi-level marketing involves a pyramid structured network of people who sell a company’s products. The model runs on a commission basis where the participants are remunerated when –

    Crowdsourcing

    Crowdsourcing business model involves the users to contribute to the value provided. This business model is often combined with other business and revenue models to create an ultimate solution for the user and to earn money. Examples of businesses using the crowdsourcing business model are Wikipedia, reCAPTCHA, Duolingo, etc.

    Peer 2 Peer Catalyst/Platform

    A P2P economy is a decentralized internet-based economy where two parties interact directly with each other to buy or sell goods or to conduct a transaction without the intervention of any third party.

    Blockchain

    The Blockchain is an immutable, decentralized, digital ledger. It is a digital database that no one owns but anyone can contribute to. Many businesses are taking this decentralised route to develop their business models. Models based on blockchain are not owned or monitored by a single entity.

    SAAS, IAAS, PAAS

    Many companies have started offering their software, platform, and infrastructure as a service. The ‘as a service’ business model works on the principle of pay as you go where the customer pays for his usage of such software, platform, and infrastructure; he pays for what and how many features he has used and not for what he hasn’t.

    High Touch

    The High Touch model is one which requires lots of human interaction. The relationship between the salesperson and the customer has a huge impact on the overall revenues of the company. The companies with this business model operate on trust and credibility. Examples – Hair salons, consulting firms.

    Low Touch

    The opposite of the High Touch model, the low touch model requires minimal human assistance or intervention in selling a product or service.

    Auction-Based

    This business model involves the listing of an offering by the seller and the buyers making repeated bids to buy that offering while fully aware of other bids by other buyers. The offering is sold to the highest buyer with the auction broker charging a listing fee and/or commission based on the transaction value.

    Reverse-Auction-Based

    The reverse-auction-based business model is often used when there are several sellers selling a similar offering to a single buyer. These sellers lower their price with every bid and generally the bidder with the lowest bid wins the auction. However, there are cases when the bidder with a price higher than the lowest bid wins the auction as the buyer likes his offer

    Razor And Blades

    Razor and blade model is used by companies which deal in complementary or companion products like razors and blades. It involves selling the high-margin root product at a low price to increase the volume sales of the complementary or related low-margin product. By using this model, businesses create a stream of recurring income over the life of the root product.

    Reverse Razor And Blades

    A business employing a reverse razor and blades model offers the low margin item at a very less price or below the cost to encourage the sale of the high margin product.

    On-Demand

    An on-demand model is a model where a customer’s demand is fulfilled by delivering goods and services on demand (usually immediately).

    User Community

    Driven by the network effect, this business model involves granting access to a community or a network in return for a membership fee.

    Frequently Asked Questions

    Most frequent Questions and Answers

    Yes, Zippyway is an Online Platform serving all over India. Thus, No matter where you doing your business, all you need is Internet Connection on your mobile or desktop and we are ready to get your job done.

    No, You don’t need to be physically present for the process. Zippyway is an Online Catering Platform, all you need is Internet Connection in your device and the required documents with you. We will get the job done even if you are present at the remotest location of India.

    In most of the cases, you will receive the final soft copy of Certificates (or the requisite document) over e-mail and in relevant cases, you will receive the hard copy through the post.

    Valuable Words by Customers

    Blog Post

    Our Regular Blogs