1. Business Models
Miller / Okumoto, Inc.

2. Discussion Points What is a Business Model? Examples
Miller / Okumoto, Inc.

3. What is a Business Model?
“The business model is simply a working description that includes the general details about the operations of a business.”
AND
“How will the Business make Money”
Miller / Okumoto, Inc.

4. What is a Business Model?
The components that are contained within a business model will address all functions of a business, including:
Corporate Structure
Marketing Process
Distribution Process
Operating Process
Value Offering
Finances: Revenue & Costs
Miller / Okumoto, Inc.

5. Example – Business Model
Miller / Okumoto, Inc.

6. Example – Business Model
Miller / Okumoto, Inc.

7. Business Model – Retail
dunnhumby
(Vendor)
Retail Client
(Level - Pilot)
Client / Vendor Value Proposition
What is Client economic benefit?
What is Client strategic benefit?
What is Vendor benefit?
Client Interface Team
Who are the members?
What skills should they possess?
What level of experience?
Vendor Interface Team
Are all levels represented?
Contact points, times, & events?
Expectations understood?
Level of satisfaction understood?
Solutions Team
Is this a dedicated group?
What skills should they possess?
Key Processes – Activities
Account status reporting
Detailed SOW
Development of Mfg relationship
Relationship at every Client level?
Vertical development process
Other primary processes?
Vendor Supporters
Internal support points covered?
Inside “sales team”
Unofficial communication channel
Outside Partners
3rd Party data sources?
3rd Party software products?
Cost Elements
Client Team (labor + Overhead costs)
Solutions Team (labor + Overhead costs)
Outside partner(s) cost
Product cost
Product development cost
Revenue Streams
Data base access fee?
Incremental Inquiry fee?
Aid in acquiring Mfg fees
Contribution Margin: 1. Present in a P&L format Contribution rate Objective: e.g. (break-even / slight profit / slight loss) ?
Miller / Okumoto, Inc.

8. Example – Business Model
Miller / Okumoto, Inc.

9. Example – Business Model
Miller / Okumoto, Inc.

10. Example – Business Model
Miller / Okumoto, Inc.

11. Business Model – Retail
dunnhumby
(Vendor)
Retail Client
(Level - Associate)
Client / Vendor Value Proposition
What is Client economic benefit?
What is Client strategic benefit?
What is Vendor benefit?
Client Interface Team
Who are the members?
What skills should they possess?
What level of experience?
Vendor Interface Team
Are all levels represented?
Contact points, times, & events?
Expectations understood?
Level of satisfaction understood?
Solutions Team
Is this a dedicated group?
What skills should they possess?
Key Processes – Activities
Account status reporting
Detailed SOW
Development of Mfg relationship
Relationship at every Client level?
Vertical development process
Other primary processes?
Vendor Supporters
Internal support points covered?
Inside “sales team”
Unofficial communication channel
Outside Partners
3rd Party data sources?
3rd Party software products?
Cost Elements
Client Team (labor + Overhead costs)
Solutions Team (labor + Overhead costs)
Outside partner(s) cost
Product cost
Product development cost
Revenue Streams
Data base access fee?
Incremental Inquiry fee?
Aid in acquiring Mfg fees
Contribution Margin: 1. Present in a P&L format Contribution rate Objective: e.g. (break-even / slight profit / slight loss) ?
Miller / Okumoto, Inc.

12. Business Model – Retail
dunnhumby
(Vendor)
Retail Client
(Level - Partner)
Client / Vendor Value Proposition
What is Client economic benefit?
What is Client strategic benefit?
What is Vendor benefit?
Client Interface Team
Who are the members?
What skills should they possess?
What level of experience?
Vendor Interface Team
Are all levels represented?
Contact points, times, & events?
Expectations understood?
Level of satisfaction understood?
Solutions Team
Is this a dedicated group?
What skills should they possess?
Key Processes – Activities
Account status reporting
Detailed SOW
Development of Mfg relationship
Relationship at every Client level?
Vertical development process
Other primary processes?
Vendor Supporters
Internal support points covered?
Inside “sales team”
Unofficial communication channel
Outside Partners
3rd Party data sources?
3rd Party software products?
Cost Elements
Client Team (labor + Overhead costs)
Solutions Team (labor + Overhead costs)
Outside partner(s) cost
Product cost
Product development cost
Revenue Streams
Data base access fee?
Incremental Inquiry fee?
Aid in acquiring Mfg fees
Contribution Margin: 1. Present in a P&L format Contribution rate Objective: e.g. (break-even / slight profit / slight loss) ?
Miller / Okumoto, Inc.

13. Client / Vendor Value Proposition Key Processes – Activities
Business Model – Mfg
dunnhumby
(Vendor)
Mfg Client
Client / Vendor Value Proposition
What is Client economic benefit?
What is Client strategic benefit?
What is Vendor benefit?
Client Interface Team
Who are the members?
What skills should they possess?
What level of experience?
Vendor Interface Team
Are all levels represented?
Contact points, times, & events?
Expectations understood?
Level of satisfaction understood?
Solutions Team
Is this a dedicated group?
What skills should they possess?
Key Processes – Activities
Account status reporting
Detailed SOW
Development of Mfg relationship
Relationship at every Client level?
Vertical development process
Other primary processes?
Vendor Supporters
Internal support points covered?
Inside “sales team”
Unofficial communication channel
Outside Partners
3rd Party data sources?
3rd Party software products?
Cost Elements
Client Team (labor + Overhead costs)
Solutions Team (labor + Overhead costs)
Outside partner(s) cost
Product cost
Product development cost
Revenue Streams
Data base access fee?
Incremental Inquiry fee?
Aid in acquiring Mfg fees
Contribution Margin: 1. Present in a P&L format Contribution rate Objective: e.g. (break-even / large profit / slight loss) ?
Miller / Okumoto, Inc.