Business Model Canvas Framework · CHAPTER 3 OF 6
Value propositions and customers
Understanding the value proposition
Start With the Value the Product Must Deliver
The value proposition explains why customers choose the product.
Do not document only what the software does.
Understand what problem it solves, what outcome it creates, and why that outcome matters to the customer.
Start With the Value the Product Must Deliver
The value proposition explains why customers choose the product.
Do not document only what the software does.
Understand what problem it solves, what outcome it creates, and why that outcome matters to the customer.
Features Are Not Value Propositions
Features Are Not Value Propositions
Feature
Feature
Ask
Ask
Example: Telangana Electricity Bill App
Example: Telangana Electricity Bill App
Paperwork
Costs
Paperwork Costs
Why You Need to Understand the Value Proposition
During a redesign, the value proposition helps designers understand what the product must ultimately deliver.
It guides which workflows to improve, which features to prioritise, and whether each design decision strengthens the value promised to users and the business.
Value
Proposition
Why You Need to Understand the Value Proposition
During a redesign, the value proposition helps designers understand what the product must ultimately deliver.
It guides which workflows to improve, which features to prioritise, and whether each design decision strengthens the value promised to users and the business.
Value
Proposition
Identify Customer Segments
Identify the Target Audiences the Software Serves
Identify the Target Audiences the Software Serves
For the Telangana Electricity Bill App, the customer segments include
For the Telangana Electricity Bill App, the customer segments include
Understanding the Needs of Different Users Is Important
Each customer segment has different needs and behaviours.
Understanding these differences helps the redesign provide the right workflows, content, guidance, and accessibility for each segment.
A solution designed for one segment can also benefit other users in similar situations.
Understanding the Needs of Different Users Is Important
Each customer segment has different needs and behaviours.
Understanding these differences helps the redesign provide the right workflows, content, guidance, and accessibility for each segment. A solution designed for one segment can also benefit other users in similar situations.
Customer Segments Influence
Customer Segments Influence
Why Customer Segments Matter in Redesign
Knowing the specific customer segment helps designers understand who they are designing for.
This makes it easier to create workflows, features, content, and onboarding that match their needs, behaviours, and expectations.
Why Customer Segments Matter in Redesign
Knowing the specific customer segment helps designers understand who they are designing for.
This makes it easier to create workflows, features, content, and onboarding that match their needs, behaviours, and expectations.
Map the Channels
Understand How Customers Reach the Product
Channels explain how users get to know about the software, access it, and continue receiving information from it.
Mapping these entry points helps designers create a connected journey from first awareness to continued use.
Understand How Customers Reach the Product
Channels explain how users get to know about the software, access it, and continue receiving information from it.
Mapping these entry points helps designers create a connected journey from first awareness to continued use.
Channels May Include
Channels May Include
The channel list for the Telangana Electricity Bill App:
The channel list for the Telangana Electricity Bill App:
The Software Experience Starts Before Login
Users might discover the app through the Electricity Board website or their bill.
The app should feel familiar, while SMS and WhatsApp continue the journey through reminders and updates. Otherwise, the experience will feel disconnected.
The Software Experience Starts Before Login
Users might discover the app through the Electricity Board website or their bill.
The app should feel familiar, while SMS and WhatsApp continue the journey through reminders and updates. Otherwise, the experience will feel disconnected.
Understand Customer Relationships
Define How the Software Supports Its Users
Define How the Software Supports Its Users
For the Telangana Electricity Bill App, this may include
For the Telangana Electricity Bill App, this may include
Turn the Relationship Into Product Requirements
Turn the Relationship Into Product Requirements
A Mismatch Creates Operational Cost
A company may want a scalable self-service model.
But if the product requires repeated training and support, the actual customer relationship remains high-touch.
This mismatch increases onboarding time, support dependency, and cost.
A Mismatch Creates Operational Cost
A company may want a scalable self-service model.
But if the product requires repeated training and support, the actual customer relationship remains high-touch.
This mismatch increases onboarding time, support dependency, and cost.