Business models
a business model Pretty much is a collection of a company's objectives. such as goals, strategies, processes, technology, and structure. all these elements are used in a working force to entice consumers to buy services
or products. the link below describes how a business model works.
http://www.youtube.com/watch?v=QoAOzMTLP5s
a business model Pretty much is a collection of a company's objectives. such as goals, strategies, processes, technology, and structure. all these elements are used in a working force to entice consumers to buy services
or products. the link below describes how a business model works.
http://www.youtube.com/watch?v=QoAOzMTLP5s
to a company this is how to make money and gain customers/clients.
for a NPO(non-profit organization) its the way they raise money for the cause they represent.
I will be talking about several business models in this blog.
the first one is the advertising model.
this is the way the company advertises through TV, internet, radio, and even print.
the most commonly used medium is internet. this is because, it generates the most traffic over the others media style. To name a few sites that use the medium the best they are: Google, Facebook, Microsoft, and Yahoo. ads can target specific target audiences. so us marketers can figure out our markets and put ads on sites they are most likely on. with the other types of media its is less effective to generate lots of traffic.
the next one is the merchant model.
Is the way company's sell to their target market. their are many different types of merchant models.
there is virtual. catalog, bit vendor, click and mortar, and aggretator.
a virtual merchant solely sells on the web while still operating as a merchant. so the best examples are amazon and eBay. some others i can name would be marvel.com, 6dollarshirts.com, and mightywallets.com.
bit vendors deal with only digital products/services. they conducts both sales and distribution over the world wide web. a good example would be iTunes.
click and mortar merchants use websites as fronts to their physical buildings. so like best buy or future shop.
catalog merchants use web catalogs, mail, telephone, and online ordering. the benefits of this are products are cheaper, less overhead expenses. it also reduces the risk of merchandise theft.
the final one will be the community model.these "communities" utilize electronic medias like blogs, forums, chat rooms,message boards as well as any social websites like twitter, Facebook, or tumblr.the internet is based on a network of principles. meaning it can connect to potential individual customer. a community model creates the image of a organization through user loyalty and repeat purchases/uses. revenue is generated through premium services or subscriptions and even advertisements.
the next one is the merchant model.
Is the way company's sell to their target market. their are many different types of merchant models.
there is virtual. catalog, bit vendor, click and mortar, and aggretator.
a virtual merchant solely sells on the web while still operating as a merchant. so the best examples are amazon and eBay. some others i can name would be marvel.com, 6dollarshirts.com, and mightywallets.com.
bit vendors deal with only digital products/services. they conducts both sales and distribution over the world wide web. a good example would be iTunes.
click and mortar merchants use websites as fronts to their physical buildings. so like best buy or future shop.
catalog merchants use web catalogs, mail, telephone, and online ordering. the benefits of this are products are cheaper, less overhead expenses. it also reduces the risk of merchandise theft.
the final one will be the community model.these "communities" utilize electronic medias like blogs, forums, chat rooms,message boards as well as any social websites like twitter, Facebook, or tumblr.the internet is based on a network of principles. meaning it can connect to potential individual customer. a community model creates the image of a organization through user loyalty and repeat purchases/uses. revenue is generated through premium services or subscriptions and even advertisements.
website source: http://ecommerce.hostip.info/pages/231/Community-Model.html
Very well put together Tanner,
ReplyDeleteI believe between Janice Long and Deborah Weston I could almost write a book on business models. Reading through your blog I found myself almost hearing their voices echo through my mind reminding me of all of these facts. I'm not so sure I can completely trust 'Bit Vendors' but the clicks and mortar type I feel a lot more confident in. If I need to, I can actually go to the store and see a representative in person. What is your take on "bit vendors", have you ever tried a company that only exists online?
Thanks
Donald
honestly, i don't really like bit vendors. even with the convenience factor, id rather go to a store and buy products in person. i have tried a bit vendor, only because when blockbuster closed i had no where else to rent movies.
ReplyDeleteSo you were forced to try a bit vendor by default? How was your experience? I feel that we will see less brick and mortar and more of a transition to ONLY click and mortar/bit vendors in the coming years. Actual storefronts are expensive to run, staff, heat, etc - and the online community is growing at an alarming rate. Once the demographic shift begins and the baby boomers are all retired, I propose that there will be a huge shift in popularity.
ReplyDeleteYeah i kinda was. It was a good experience i guess. well i mean it was easy to navigate and i got to watch the movies instantly. I see the big companies not transitioning anytime soon, other than the big companies you're right. I believe the echo generation will start up some businesses and run them either completely online or online with a small property for bigger items.
ReplyDeleteGood blog.
ReplyDeleteIt was a good overview of different business models, and a great refresher to the business model information we have learned over the time in marketing.
Really Informative
ReplyDeleteYour blog is very educational towards the different business models that companies try to be succesfull in. I like how you put that diagram illustrating the different goals that companies try to reach as well as mentioning the community model since in todays society companys try to reach potential costumer through the web.
Well done,
ReplyDeleteYour blog provided a good overview of the different types of business models and was a good fresher for myself. The image that you used to show the different business models was an effective image which helped add to your blog on this topic.
Great blog!
ReplyDeleteYou did a great job at stating and describing the different business models and provided a lot of good information about what a business model means to companies.
Really good post!
It is very important for companies to set business models and stick to them! They can really effect the success of a company. You provided a good amunt of conent on the types of business models and what they are used for. Good Job
ReplyDelete-Tyson
Bit models are losing revenue due to online piracy. They might eventually reign again as Canadians will eventually be hit with a lawsuit to stop piracy. Merchant model is where it’s at as currently we currently can’t download physical items. Hopefully soon though!
ReplyDeleteInformative blog post Tanner!
ReplyDeleteUntil now I had never heard the term "bit vendor" even using them as frequently as I do. It's unfortunate for bit vendor models that online piracy is eliminating them more and more everyday, but I'm sure they'll find a way to combat this sooner or later.
Good post
ReplyDeleteBusiness models are very important and essential for any business to do well and be organized. Great back up and examples for the types of business models tanner
Jake
Great job Tanner, I liked that you were able to split up your ideas well with paragraphs, it made it a lot easier to read. You covered a lot of good content and the graph worked as a great example. Overall a great post on business models
ReplyDelete-Daniel
Great job in this post, it has really re-enforced what we have leaned in our program. Business models are key to all companies and your examples were also great.
ReplyDeleteGood job Tanner.
-Joe
Great job Tanner! You clearly conveyed your facts. Thank you for informing us on the different types of business models.
ReplyDeleteHuy