Revenue Models

The way you make money shapes the business you have to run.

A revenue model is simply how the business creates and captures value.

Service. Subscription. Product. Licensing.Education. Media. Data. Marketplace.

They can all make money.

They do not all create the same business.

That is why the model matters.

A calculator resting on a stack of folders and a clipboard on a desk.
The Revenue Model Canvas: nine revenue model families arranged around a founder. Service, Product, Subscription, Marketplace / Platform, Licensing, Education, Media, Ecosystem, and Data / Intelligence.

The Revenue Model Canvas™

Revenue Model Canvas™

Before you choose the revenue, look at what comes with it.

A service gets paid differently from a subscription.

A subscription behaves differently from a license.

A marketplace asks something entirely different of the business than a product.

The Revenue Model Canvas™ gives you the nine doors.

The question is not simply:

“Which one could make money?”

It is:

“Which kind of business am I willing to build?”

Passion says, “That sounds exciting.”

Strategy asks, “What will that require?”

Nine Revenue Model Families

Pick a door. See where it leads.

You do not need to study every possibility. Start with the kind of value you want the business to get paid for.

A hand placing a blank note on a wall of loosely arranged paper notes above a desk.

Not sure which door?

Then don’t start with a model. Start where you are with what you have.

Most businesses already have something valuable hiding in plain sight.

Start there.

You may not need another idea. You may need another way to monetize what is already working.

From possibility to decision

Finding a model you like is the easy part.

The harder question is what happens to the business if you build it.

  • What changes?
  • What has to be strengthened first?
  • What becomes easier?
  • What becomes heavier?
  • What depends on you?
  • What has to happen now, later, or not at all?
A woman at a desk holding a calculator, papers and folders stacked beside her.

That is what the Decision Room is for.

Bring the business you have today and the business you want next.

The Decision Room helps you evaluate the distance between the two, so the next revenue decision does not simply create a more profitable version of the problem you were trying to leave.