Skip to content
APDD
See my library

Method

Business Model Canvas

A nine-block template that describes how an organization creates, delivers and captures value, from customers to costs.

In Spanish
Lienzo del modelo de negocio
Origin
Osterwalder (2004); Osterwalder and Pigneur (2010)
Output
The business model on one page, ready to discuss and to test alternatives

What it’s for

It helps design and business talk about the same thing and see whether an idea, besides being desirable, can sustain itself.

Key elements

  • Nine blocks

    Customers, value proposition, channels, relationships, revenue, resources, activities, partners and costs.

  • On one page

    Everything visible at once, to see how one change affects the rest.

  • Hypotheses, not certainties

    Each note is an assumption to be tested.

How it’s done

  1. Start with the people you serve and what you offer them.

  2. Fill in the blocks on how the offer reaches them, how you charge for it and what it takes to deliver it.

  3. Mark the doubts and test the riskiest ones first.

Applications in design

  • When to use it

    When you need to see whether an idea can sustain itself, or compare several ways of taking it forward.

  • Avoid

    Filling it in once and filing it away as if it were a finished plan.

  • Don’t fall for it

    The canvas doesn’t tell you whether people care; combine it with research.

Authors and works

  1. 2004

    Alexander Osterwalder

    In his doctoral thesis in Lausanne he proposed an orderly way to describe business models, the basis of the canvas.

  2. 2010

    Alexander Osterwalder and Yves Pigneur

    Published the canvas with its nine blocks, designed to be worked on as a team, large and with sticky notes.

Sources

Original sources

  • Osterwalder, A. (2004). The business model ontology: A proposition in a design science approach [Doctoral dissertation, Université de Lausanne]. View source: Osterwalder, A. (2004)
  • Osterwalder, A., & Pigneur, Y. (2010). Business model generation. Wiley.

Last reviewed: