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The Blockheads

The Blockheads. PowerBlocks. Ben. Ale. Nick. Max. Powerblocks = LEGOs + lighting. Modular lighting Build your own / customize Change / reconfigure at will Authentic to Max Home lacks great lighting Moving a lot Like building stuff. Lighting head(s). Neck pieces. Base(s).

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The Blockheads

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  1. The Blockheads PowerBlocks Ben Ale Nick Max

  2. Powerblocks = LEGOs + lighting • Modular lighting • Build your own / customize • Change / reconfigure at will • Authentic to Max • Home lacks great lighting • Moving a lot • Like building stuff Lighting head(s) Neck pieces Base(s)

  3. The Blockheads Max Ben Nick Ale

  4. Version 1 -- 1/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience 1. High-end (wealthy) home owners 2. Office build-outs3. Low-end (IKEA mkt), dorm students Acquisition / RetentionSelf-Service Modular lighting/power:CustomizationFlexibilityRe-usabilityConvenienceSmart-home integrationPrice Outsourced: mfg, fulfillment, supportDistributors: Int. DesignerRetailers Key Resources Channels Design IPBrandInt. designers Wholesale to Interior designers Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  5. Version 1 -- 1/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience 1. High-end (wealthy) home owners 2. Office build-outs3. Low-end (IKEA mkt), dorm students Acquisition / RetentionSelf-Service Modular lighting/power:CustomizationFlexibilityRe-usabilityConvenienceSmart-home integrationPrice ? Outsourced: mfg, fulfillment, supportDistributors: Int. DesignerRetailers Key Resources Channels Design IPBrandInt. designers Wholesale to Interior designers Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  6. Sneaking Into Dorms

  7. Version 1 -- 1/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience 1. High-end (wealthy) home owners 2. Office build-outs3. Low-end (IKEA mkt), dorm students Acquisition / RetentionSelf-Service Modular lighting/power:CustomizationFlexibilityRe-usabilityConvenienceSmart-home integrationPrice ? Outsourced: mfg, fulfillment, supportDistributors: Int. DesignerRetailers Key Resources Channels Design IPBrandInt. designers Wholesale to Interior designers 4. Mid-range home owners Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  8. Version 2 -- 1/18 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience Acquisition / RetentionSelf-Service ? 1. Mid-range home owners Outsourced: mfg, fulfillment, supportDistributors: Int. DesignerRetailers CustomizationFlexibility Key Resources Channels 2. Office build-outs Design IPBrandInt. designers Wholesale to Interior designers Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  9. Hitting the Phones

  10. Version 2 -- 1/18 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience Acquisition / RetentionSelf-Service ? 1. Mid-range home owners Outsourced: mfg, fulfillment, supportDistributors: Int. DesignerRetailers Customization Flexibility Key Resources Channels 2. Office build-outs Design IPBrandInt. designers Wholesale to Interior designers Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  11. Version 2 -- 1/18 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience Acquisition / RetentionSelf-Service 1. Mid-range home owners Outsourced: mfg, fulfillment, supportDistributors: Int. DesignerRetailers Customization Flexibility Key Resources Channels 2. Office build-outs Design IPBrandInt. designers Wholesale to Interior designers Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  12. Version 2 -- 1/18 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience Acquisition / RetentionSelf-Service ? 1. Mid-range home owners Outsourced: mfg, fulfillment, supportDistributors: Retailers Customization Flexibility Key Resources Channels More/less light 2. Office build-outs Directed light Design IPBrand Retail Direct online 3. Young professionals Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  13. Version 3 -- 1/25 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience Acquisition / RetentionSelf-Service ? Outsourced: mfg, fulfillment, supportDistributors: Retailers Young professionals (20-40 yr old) Flexibility:More/less light Directed light Key Resources Channels Design IPBrand Retail Direct online Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  14. Stalking customers at C&B

  15. Other progress . . .

  16. Version 5 -- 2/8 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience Acquisition / RetentionSelf-Service ? Outsourced: mfg, fulfillment, supportDistributors: Retailers Young professionals (20-40 yr old) Flexibility:More/less light Directed light Key Resources Channels Design IPBrand Retail Direct online Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  17. Lighting idea

  18. Back To The Drawing Board . . .

  19. Maximum Pain. Period.

  20. Kids Asleep. Parents Happy.

  21. The Product

  22. The Product

  23. Version 5 -- 2/8 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -Online ads -Prod. reviews Outsourced: mfg, fulfillment, supportDistributors: Retailers Better lighting thru flexibility: -More/less light -Directed light Young professionals (20-40 yrs) Key Resources Channels Design IPBrand -Online – direct and mass market Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  24. Version 6 -- 2/15 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -PR, blogs, WOM Outsourced: mfg, fulfillment, supportDistributors: Retailers -New parents (baby <1 yr) -Influence: parents, friends -Baby stops crying -Baby goesto sleep Key Resources Channels Design IPBrand -Online retail Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  25. Version 6 -- 2/15 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -PR, blogs, WOM Outsourced: mfg, fulfillment, supportDistributors: Retailers -New parents (baby <1 yr) -Influence: parents, friends -Baby stops crying -Baby goesto sleep Key Resources Channels Design IPBrand -Online retail Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  26. Version 6 -- 2/15 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -PR, blogs, WOM ? Outsourced: mfg, fulfillment, supportDistributors: Retailers -New parents (baby <1 yr) -Influence: parents, friends -Baby stops crying -Baby goesto sleep Key Resources Channels Design IPBrand -Online retail Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  27. Version 6 -- 2/15 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments ? DesignMarketingCust. Experience -PR, blogs, WOM Outsourced: mfg, fulfillment, supportDistributors: Retailers -New parents (baby <1 yr) -Influence: parents, friends -Baby stops crying -Baby goesto sleep Key Resources Channels ? ? ? Design IPBrand -Onlineretail Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  28. Talking to More Parents

  29. Version 6 -- 2/15 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -PR, blogs, WOM ?  Outsourced: mfg, fulfillment, supportDistributors: Retailers -New parents (baby <1 yr) -Influence: parents, friends -Baby stops crying -Baby goesto sleep Key Resources Channels Design IPBrand -Online retail Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  30. Version 6 -- 2/15 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience  -PR, blogs, WOM Outsourced: mfg, fulfillment, supportDistributors: Retailers -New parents (baby <1 yr) -Influence: parents, friends -Baby stops crying -Baby goesto sleep  Key Resources Channels Design IPBrand blogs -Online retail Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  31. Version 6 -- 2/15 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -PR, blogs, WOM  Outsourced: mfg, fulfillment, supportDistributors: Retailers -New parents (baby <1 yr) -Influence: friends, blogs -Baby stops crying -Baby goesto sleep -1st baby Key Resources Channels  Design IPBrand -Online retail Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  32. Babies Outgrow Stuff… Fast

  33. Version 6 -- 2/15 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -Blogs,WOM Outsourced: mfg, fulfillment, supportDistributors: Retailers -New parents (1st baby, baby <1 yr) -Influence: friends, blogs -Baby stops crying -Baby goesto sleep Key Resources Channels Design IPBrand -Online retail Cost Structure Revenue Streams Asset Sale Value-Driven( = high end) Renting

  34. Babies Outgrow Stuff… Fast

  35. To The Future? • Online product rental? • Netflix for baby stuff • Car simulator Now 2 years 5 years

  36. Version 8 -- 3/1 So here’s where we ended up Key Partners Key Activities Value Propositions Demand Creation Customer Segments -Blogs,WOM DesignMarketingCust. Experience Outsourced: mfg, fulfillment -New parents (1st baby, baby <1 yr) -Influence: friends, blogs -Baby stops crying -Baby goesto sleep Key Resources Channels -Online retail Design IPBrand Cost Structure Revenue Streams Asset SaleRenting Value-Driven( = high end)

  37. Version 8 -- 3/1 Question 1: Can we build it? Key Partners Key Activities Value Propositions Demand Creation Customer Segments ? -Blogs,WOM DesignMarketingCust. Experience Outsourced: mfg, fulfillment -New parents (1st baby, baby <1 yr) -Influence: friends, blogs -Baby stops crying -Baby goesto sleep Key Resources Channels -Online retail Design IPBrand Cost Structure Revenue Streams Asset SaleRenting Value-Driven( = high end)

  38. Version 8 -- 3/1 Question 2: Do the costs work? Key Partners Key Activities Value Propositions Demand Creation Customer Segments ? -Blogs,WOM DesignMarketingCust. Experience Outsourced: mfg, fulfillment -New parents (1st baby, baby <1 yr) -Influence: friends, blogs -Baby stops crying -Baby goesto sleep Key Resources Channels -Online retail Design IPBrand Cost Structure Revenue Streams Asset SaleRenting Value-Driven( = high end)

  39. So . . . what have we learned?

  40. Max

  41. Ben

  42. Ale

  43. Nick

  44. Business Model Canvasses

  45. Version 11/11/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience 1. High-end (wealthy) home owners 2. Office build-outs3. Low-end (IKEA mkt), dorm students Acquisition / RetentionSelf-Service Modular lighting/power:CustomizationFlexibilityRe-usabilityConvenienceSmart-home integrationPrice Outsourced: mfg, fulfillment, supportDistributors: Int. DesignerRetailers Key Resources Channels Design IPBrandInt. designers Wholesale to Interior designers Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  46. Version 21/18/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience High-end residents Acquisition / RetentionSelf-Service Outsourced: mfg, fulfillment, supportDistributors: Int. DesignerRetailers CustomizationFlexibility Key Resources Channels Also looking at commercial lighting Mid-end Interior designers Design IPBrandInt. designers Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  47. Version 31/25/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience Young professionals Acquisition / RetentionSelf-Service Outsourced: mfg, fulfillment, supportDistributors: Retailers More/less light Directed light Key Resources Channels Design IPBrand -Retail -Direct online Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  48. Version 42/1/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -Trade show-Online ads -Design mag. Outsourced: mfg, fulfillment, supportDistributors: Retailers Flexibility: -More/less light -Directed light Young professionals (20-40 yrs) Key Resources Channels Design IPBrand -Retail -Direct online Cost Structure Revenue Streams Value-Driven( = high end) Asset Sale

  49. Version 52/8/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -Online ads -Prod. reviews Outsourced: mfg, fulfillment, supportDistributors: Retailers Better lighting thru flexibility: -More/less light -Directed light Young professionals (20-40 yrs) Key Resources Channels Design IPBrand -Online – direct and mass market Cost Structure Revenue Streams Value-driven Asset Sale

  50. Version 62/15/11 Powerblocks Business Model Key Partners Key Activities Value Propositions Demand Creation Customer Segments DesignMarketingCust. Experience -PR, blogs, WOM Outsourced: mfg, fulfillment -New parents (baby <1 yr) -Influence: relatives, friends -Baby stops crying -Baby goesto sleep Key Resources Channels Design IPBrand -Online retail Cost Structure Revenue Streams Value-driven Asset Sale

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