Business Model Innovation
Our BMI credo
We believe that the traditional product model (that basically consists in minimizing the cost and maximizing the quantity produced) is being complemented / replaced by a customer centric model where the customer expected outcomes are driving.
Welcome in the subscription economy to the companies that are willing to grow and survive ! (XaaS = « everything is transforming to a Service »).
Enter efficiently in the SUBSCRIPTION ECONOMY by subscribing to the BMI SERVICES proposed at Clémence Consulting!
« Anything as a Service »
We propose to engage together with you in your digital offer strategy and design of new business models moving from a product centered offering to a recurring service offering with end customer expected outcomes at the center like: “optimize the performance of my assets”, “reduce my carbon footprint”, “better control my usage and derived costs”.
Together with providing our Clémence Consulting’ BMI SERVICES, a proven MVP methodology, a pre-customized MVP platform and expert resources, all together packaged as a Custom Managed Service, we engage to enable a fast and agile go to market of your subscription-based offer in no more than 3 months!
Our value proposal
Get Quickly the feedback from the market with a Custom Managed Service approach.
1 – A MVP approach to test an offer quickly in the real life
- 3 months max to BUILD the MVP and go to market with such principles as
- Start with Essentials and iterate fast
- Get measurement ready to track the business plan and the end customer engagement data from day 1
2 – High Experienced business consultants to
- Incubate your digital offers go to market and operating model and maximize the chances to succeed
- Provide the optimal end customer experience from Discover to Renew
3 – A “Subscription Model in a Box” (SMiB) platform
- A Zuora core and Zuora partnership
- A set of Pre-customized offer templates
- A toolbox of business components and connectors to accelerate the integration of master data and tier 1 applications: catalog and pricing, digital supply chain, front-end widgets, accounting…
- A Build and Operate dedicated team
Our BMI services catalog
Discover, Define, Ideate
A fixed price one-day DISCOVERY phase with your Digital Offer Owner.
A fixed price for the DEFINE and IDEATE phases, 4 to 6 weeks to deliver the Go to Market roadmap (MVP)
- A plenary one-day session
- A list of around 10 x ½ day workshops with your major business owners to assess the readiness and priorities in details
A Custom Managed Service
A subscription to a 9 months Custom Managed Service with all included, renewable per quarter.
BUILD (3 months)
Define the detailed specifications of your MVP scope, customize and go live with a dedicated SMiB (Subscription Model in a Box) platform, in no more than 3 months
Operate the SMiB platform for 6 months minimum, with a given SLA, renewable per quarter
- Daily Operations
- Weeks iteration cycle that includes change requests of which the planning is managed based on fixed allocated resources principle, by leveraging priorities and schedule
A team of experimented consultants to maintain and set up new subscription-based offers
To match your challenges of innovating and transforming your offer models into recurring, enabled by digital capabilities, our solutions and services include:
- A go to market strategy fast by design following a Minimum Viable Product methodology. Around 3 months’ timeframe to get your initial offer live, thus enabling a fast and iterative validation of the offer by the market
- An architecture based of scalable business components to enable a lean, agile and iterative integration with your business processes and core business applications (i.e. your ERP or CRM applications)
- The supply of specific applications for the monetization of your new recurring business models i.e. usage based billing
- A detailed performance reporting and the setup of cloud technologies (i.e. microservices) to fit your scale in terms of revenue and associated volume of transactions
- A knowledge transfer of this business and technical know-how to your teams for you to optionally build your own components if relevant
The technical solution relies on a set of Clémence Consulting’ business components and API (accelerators) that are built according to predefined offer models i.e., a model built on usage dimensions
Thanks to those components to match your offer and business rules by simple customizing, we are building your own app and are proposing a tailored managed service to run it. We are aligned with your perspective to be fast on the market for a panel of selected customers and then proceed by short iterations to adjust the offer structure, the pricing, the customer journey…
For you as a client, this remains a lean (“just enough”) integration phase to customize and make live a V1 of your offer in no more than 3 months, using MVP methodology at minimum risk and investment
As illustrated in the related diagram, the end-user order path to subscribe to your offer will be built by assembling our business components (catalog, add cart, purchase funnel, etc.) which are then customized to encapsulate your logic (workflow, etc.) and your business rules (inclusion, exclusion, discount, etc.) To be noticed that these business components:
- Have a user interface model that you can customize according to your front end rules and customer journey: how to discover my offer, how to try it, how to subscribe to it, how to follow up my usage,…
- Are orchestrated and monitored to fit for example a time constraint in the delivery of the service to the client
- Can be exported towards business partners to, for example, apply a partner “branding”
Take the example of the “provisioning” business component presented here and in the attached video. It enables to synchronize any creation / change in a subscription with the corresponding commissioning / change of the components required to run the digital service associated with the subscription. You will get your own tailor-made provisioning component as part of your MVP, customized to match your own digital components and services.
- the various referents to be informed (subscriber, support, etc.) in the delivery of the service
- the components of the service to be setup (for example the delivery of a software activation code)
- the method of integrating your service platforms and components
- the contractual deadline for delivering the service corresponding to the subscription
- the setting up your exception handling workflow
Demonstration of the provisioning component
Thanks to Renato Cardoso and Arnaud Lemaire for their active contribution in building this demonstration.
Why an offer template?
In order to engage with you, our client, on an efficient and fast go to market of your offer, we propose the setup and run of a tailor-made managed SERVICE. This SERVICE is built on three pillars:
- A set of predefined business and offer templates. The advantage of these models is to allow an 80/20 of standard versus tenant-specific customizing required for your specific offer. In the MVP methodology of a minimum viable product we identify and fine tune together the specific 20% to prioritize what is vital for a first go to market and at the same time can be achieved in 3 months
- An architecture based on business components and APIs for a just enough integration of the stages of the life cycle of your offer, from its discovery by the consumer to its renewal. These components are built in accordance to the offer models mentioned in point 1 for an integrated and safe implementation
- CMS-type interface components for your functional people to control and master the quality of your "catalogue", “account”,… master data and the proper handling of exceptions such as "incorrect VAT code"
Let’s take the example of the “Clémence Santé”’ business model.
The business model “Clémence Santé”
The following demonstration is about the business model “Clémence Santé” that is applicable to recurring offers of services (example here of a medical diagnostic assistance) based on the use of a high-tech device (example of a medical probe) and associated expert software :
- This offer model is B2B direct
- This offer model fits with both a small customer like independent doctor and a as well a large customer like an hospital
- The customizable options of this offer model are integrated according to business rules that can be adapted to the context of the offer and its life cycle, for example the logic for enabling the end-customer to upgrade his subscription
The model “Clémence Santé” is made of the following 3 subscription offers
For example, the Premium offer includes the probe, which is provided with a minimum commitment of 25 diagnoses, i.e. 175 euros / month (7 euros / diagnosis) and an exit penalty in the first 6 months to amortize probe costs
This model is preconfigured in the Zuora subscription platform with, for example, the Pricing structure below.
SKU identifiers, sale price, … are basic data from your catalog that are mapped to this template structure
Below is an example of a simple calculation of the cost per diagnosis, depending on the offer chosen, incorporating the various price components and related to examples of more or less intensive diagnostics made
The following video is in two parts
This interface, mobile in this example, is built by assembling and configuring functional "widgets" such as the right-left browsing of the catalog and its add to basket button. We offer a “UI as a Service” configurable interface components approach for your MVP that makes it easy to brand and map with your specific Customer Journey.
The script of the scenario presented is a standard flow from the initial subscription to the Premium offer to the upgrade to unlimited use of the Enterprise offer.