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10WEBBASED
BUSINESSMODELS
CHERRY
MALHOTRA
PGDM2/1511
SUBSCRIPTION
MODEL
A business model where a
customer must pay
a subscription price to have
access to the product/service.
...
MARKETPLACE
MODEL
A platform that enable a
large, fragmented base of
buyers and sellers to discover
price and transact wit...
RENT INSTEAD OF
BUYING MODEL
This model lets you rent the
high end products instead
of buying them. This is
helpful as the...
FREEMIUM
MODEL
A business model, whereby
basic services are provided
free of charge while more
advanced or premium feature...
DIGITAL MONEY
MODEL
• Founded: December 1998
• Founders: Peter Thiel, Max
Levchin and Elon Musk.
• Acquired by eBay Inc. i...
CROWDFUNDING
MODEL
• Founded: 2000
• Founder: Charles Best
• Non-Profit Organisation
• Revenue Streams:
- Minimum fee for
...
DEAL OF THE DAY
MODEL
• Founded: 2004
• Founder: Matt Rutledge
• Parent Co.: Amazon.com
• Revenue Streams:
- Commission pe...
COMMUNITY
BASED MODEL
• Founded: 2000
• Founders: Jake Nickell,
Jacob DeHart
• Revenue Streams:
- Sale Proceeds
• Estimate...
PEER-TO-PEER
MODEL
PLATFORM
MODEL
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10 Web based Business Models

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eBook on 10 web based business models with examples. Analyzing their business models as well as their revenue generating streams.

10 Web based Business Models

  1. 1. 10WEBBASED BUSINESSMODELS CHERRY MALHOTRA PGDM2/1511
  2. 2. SUBSCRIPTION MODEL A business model where a customer must pay a subscription price to have access to the product/service. The model was pioneered by magazines and newspapers, • Founded: 1997 • Founders: Reed Hastings, Marc Randolph • Revenue Streams: - Monthly Subscriptions - DVD Envelope Advertising • Annual Revenue (2014): $5.50 Billion • An international provider of on-demand Internet streaming media • Founded: 2007 • Founders: Jared Friedman, Tikhon Bernstam, Trip Adler • Revenue Streams: - Monthly Subscription • A digital library and e- book, audiobook and comic book subscription service that includes one million titles.
  3. 3. MARKETPLACE MODEL A platform that enable a large, fragmented base of buyers and sellers to discover price and transact with one another in an environment that is efficient, transparent and trusted. • Founded: 2008 • Founders: Brian Chesky, Nathan Blecharczyk and Joe Gebbia • Revenue Streams: - 6-12% of booking fee - 3% of each successful booking • Annual Revenue (2013): $250 million • It let’s people list, find, and rent lodging. Over 1,500,000 listings in 190 countries. • Founded: 2007 • Founders: Oliver Kharraz, Cyrus Massoumi • Revenue Streams: - Monthly subscription fees paid by doctors. • Estimated Revenue: $118.8 million • Online medical care scheduling service, information about medical practices and doctors' individual schedules
  4. 4. RENT INSTEAD OF BUYING MODEL This model lets you rent the high end products instead of buying them. This is helpful as the rental cost is a fraction of the actual cost of buying the high end product. • Founded: 2005 • Founders: Osman Rashid, Aayush Phumbhra • Revenue Streams: - Rental fees - Subscription fees • Annual Revenue (2014): $304.8 million • Specializes in online textbook rentals, homework help, online tutoring, scholarships and internship matching • Founded: 2009 • Founders: Jennifer Fleiss, Jennifer Hyman • Revenue Streams: - Rental fees • Estimated Revenue (2014): $50 million • An online service that provides designer dress and accessory rentals.
  5. 5. FREEMIUM MODEL A business model, whereby basic services are provided free of charge while more advanced or premium features must be paid for. • Founded: 2003 • Founders: Matt Mullenweg and Mike Little • Revenue Streams: - Web Hosting - Google AdSense - Themes & Premium Accounts • an online, open source website creation tool blogging and website content management system • Founded: 2006 • Founders: Daniel Ek, Martin Lorentzon • Revenue Streams: - Advertising - Subscription fees • Estimated Revenue (2014): $1.2 billion • Commercial music streaming, podcast and video service that provides content from record labels and media companies
  6. 6. DIGITAL MONEY MODEL • Founded: December 1998 • Founders: Peter Thiel, Max Levchin and Elon Musk. • Acquired by eBay Inc. in 2002. • Revenue Streams: - 1.9-2.9% Transaction Commission - Interest income on escrow transactions • Annual Revenue (2014): $8.03 billion • Global Leader in online payments • Founded: 2010 • Founder: Vijay Shekhar Sharma • Owner: One97 Communications • Revenue streams: - Advertising - Subscription - Transaction - Commission • Virtual wallet that deals with Online bill payments A digital or online way of a holding money which lets you spend your money online by shopping in a online marketplace, transferring money, or making payments and transactions
  7. 7. CROWDFUNDING MODEL • Founded: 2000 • Founder: Charles Best • Non-Profit Organisation • Revenue Streams: - Minimum fee for funded projects • Annual Revenue (2011): $36.76 million • connects teachers in high-need communities with donors who want to help. • Founded: 2009 • Founders: Yancey Strickler, Charles Adler, Perry Chen • Revenue Streams: - 5% fees for successfully funded projects • Revenue (till 2011): $2 million • A public-benefit corporation which is a a global crowdfunding platform The practice of funding a project or venture by raising many small amounts of money from a large number of people
  8. 8. DEAL OF THE DAY MODEL • Founded: 2004 • Founder: Matt Rutledge • Parent Co.: Amazon.com • Revenue Streams: - Commission per sale • Annual Revenue (2008): $164 million • Internet retailer with limited-time offers to sell Products • Founded: 2008 • Founder: Eric Lefkofsky, Brad Keywell, Andrew Mason • Revenue Streams: - 50% of coupon sales • Estimates Revenue (2010): $713.4 million • Global marketplace connecting millions with local merchants to sell limited-time offers The model in which a website offers different products for sale at a low cost for a specific period
  9. 9. COMMUNITY BASED MODEL • Founded: 2000 • Founders: Jake Nickell, Jacob DeHart • Revenue Streams: - Sale Proceeds • Estimated Revenue: $30 million • An online community of artists and an e- commerce website • Founded: 2009 • Founders: Matt Barrie • Revenue Streams: - Membership fees - Subscription fees • Annual Revenue (2013): $18.8 million • a global outsourcing community, where employers and employees are able to find each other Where a community comes together for business for the betterment of the community as a whole
  10. 10. PEER-TO-PEER MODEL PLATFORM MODEL
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eBook on 10 web based business models with examples. Analyzing their business models as well as their revenue generating streams.

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