Revenue Streams and Cost Structures

Transcription

Revenue Streams and Cost Structures
www.pwc.co.nz
Revenue Streams
Agenda
What is a Revenue Stream?
Revenue Models
Types of Revenue Streams
Identifying Revenue Streams
Discussion Example
Revenue Streams and Cost Structures
PwC
April 2015
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What is a Revenue Stream?
• Revenue streams are the sources of cash a business generates from
each customer segment.
• Revenue is a key component of profit:
Profit = Revenue - Costs
• Any activity that generates income can be described as a revenue
stream.
• It is common for businesses to have multiple revenue streams.
Revenue Streams and Cost Structures
PwC
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Revenue Models
Revenue models describe the different ways a business generates
revenue streams from its products and services.
Category
Revenue Model
Paid
The user = client
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Third Party
• Advertising
• Franchise
• Referral
Broker/Matchmaking
• Commission
• Auction
Free
For the user
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Mixed Business
Subsidised
• Crowdfunding
• Razor and blade
• Open source
Revenue Streams and Cost Structures
PwC
Single purchase
Subscription
Usage
Add-ons
Licence
Renting/lending/leasing
Pay-what-you-want
Freemium
Donation
Barter/swapping
Early exit strategy
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Types of Revenue Streams
There are two types of revenue streams:
• Transaction revenues result from one-time customer payments.
Examples: one-time sale of product or service; commission
• Recurring revenues result from ongoing payments for either the
delivery of a value proposition to customers, or to provide postpurchase customer support.
Examples: subscriptions fees; usage fees; lending/renting/leasing
Revenue Streams and Cost Structures
PwC
April 2015
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Identifying Revenue Streams
When identifying revenue streams, consider:
 How can you generate income from your product or service?
 How much are your customers willing to pay?
 How do your customers want to pay?
 How do you maximise what your customers pay?
 What additional/supplementary revenue streams can you generate?
Revenue Streams and Cost Structures
PwC
April 2015
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Discussion Example
https://www.youtube.com/watch?v=yyjFkpIEW1c
What are the existing revenue streams for My Food Bag?
What other possible revenue streams could there be for My Food Bag?
Revenue Streams and Cost Structures
PwC
April 2015
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Any questions?
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