7 Business Models That Changed the Market Forever

We talk about the most groundbreaking ideas and their execution.

 

According to research by Swiss economist Oliver Gassmann, there are 55 business models that have manag to change the market. After analyzing over 100 organizations in the United States and Europe, Gassmann came to the conclusion that the success of a company depends mainly on a well-chosen concept. We talk about the business models that Netflix, Amazon, Uber and many other businesses are based on.

#1. Sharing

The sharing economy is a concept of collaborative consumption in which people give up private property in favor of the right to use something that is collectively own. The simplest examples of this are a library or a bike rental. The main goal of this approach is the efficient sharing of resources.

Canadian company UmbraCity, found in 2013 bahrain mobile phone numbers database offers umbrella rentals for up to 48 hours. This can be done at special locations located in various parts of Vancouver and at the University of British Columbia.

To do this, you ne to install the service’s application and receive a QR code with which you can rent an umbrella. The amount due for using the umbrella is debit from your

bank account when it is return

bahrain mobile phone numbers database

One of the most well-known companies operating on the principle of sharing is Uber. Uber offers drivers several options for cooperation – driving in their own car or renting a means of transport from the company’s partners. Among other companies that operate on this principle, we can distinguish:

  • Bird – a company that offers scooter rentals by the minute (kicksharing). The startup was founded in 2017 in the United States, and in the first four months it attract over $40 million in investments.
  • Blablacar – an international travel companion search service found in 2006. In 2021, the company’s estimated value was $2 billion.

#2. Subscription

The subscription model involves the google partner premier user entering into a contract with a company, according to which the company provides specific services for the user over a specified period of time. Each company has its own terms regarding the frequency of payment by the user – it can be monthly, quarterly, semi-annual or annual.

American grocery chain Wallmart has been offering a home delivery subscription since 2019. For $98 per year, customers can use the service an unlimited number of times, while the regular price for a single delivery without a subscription is $9.99.

Netflix has been operating on a subscription model since 1999. At that time, for $20, customers could rent four DVDs, and in 2007, they were already buying a specific number of hours of watching movies and series. A few years later, the company introduced new subscription terms that are still relevant today – for a monthly fee, the user receives an unlimited number of hours of watching content, and the amount of the fee varies depending on the quality of

streaming and the number of connected devices.

The subscription model gained its greatest popularity in the years 2010-2013. The most successful was the American startup Dollar Shave Club benin lists which offered customers regular home delivery of shaving accessories. In 2016, the company was sold for a billion dollars.

According to research by McKinsey in 2013, the subscription market is growing by over 100% annually , and 70% of companies operating in this model are in the United States.

 

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