One of the really interesting developments about this class is this whole customer development process.

I mean how do they hear of our products, how do they know about you, and as we'll see later one of the interesting things is there are some customers that are users like in Google

Some of the revenue model questions

And so they figure out how to sell existing customers more products.

And for web, mobile or cloud, we were getting you into the funnel on the bottom.

You cater an event where the cost to you was 200

By now, you're intimately familiar with the business model canvass.

And in value proposition, the goal of this is to find out that minimum viable product.

So on day one, these were their initial hypothesis coming into the class.

In customer relationships all the get keep grow metrics, some of which we talked about, some of which you'll discover, what were the customer acquistion costs?

Now if you remember we started here on the left. We didn't earn and paid media.

Let's take a look at a customer acquisition process that reaches 100 people a day and activates 10 .

So in month 1 you cater an even where the cost to you was 100

So what we could do if we wanted to make this a little bit fancier, we could say that a new customer would pay and then we can say that's y, so y is equal to 0.29x minus 3 if x is greater than 10, if the guy or the gal orders more than 10 photos.

We don't want any more visitors, wellwishers or distant relations!

Now we finally come to the last part of the business model canvas.

Coding help

We can call for help?

That some kind of support group thing?

If you have world's most perfect business model, investors would love to see this number much bigger than this number and so what you want to look for is a well balanced model that takes into account how much you need to acquire customers but how much ultimately you'll extract from them over the lifetime.

Instead of pricing based on cost,

Many companies have huge databases of customer information.

So in the last lecture, you remember the business model canvas, all the 9 components of a startup.

They could tell you that I want bigger, faster, cheaper status quo.

You cater an event where the cost to you was 200

I have no idea where my husband is.

So in our last lectures we talked about value proposition, customer segments, distribution channels, customer relationships get, keeping and growing customers.

Why are you saving them a ton of money?

But I'm here to tell you today, you are powerful.

You can stop this bill if you don't stop fighting.

Stop SOPA.

Supporting KDE

So, doctors prescribe medication.

Homeless.

As was simulated, the value proposition includes all the features of your product but also the pains and gains you're solving for the customer segment and that's where the market goes.

I want to know who you're selling to in terms of customers and if you have any special relationships that will help you, whether it's a distribution relationship or a producing partner.

Because no one, and that was a constant problem...

It's a big idea.

Apple is one of the few, truly cares.

That's your job as the facilitator and coach.

We've got customers.

Who do you do that for?

Defense department's largest contractor.

He's not the client.

And this is a common mistake.