The business model
The business model provides information on how the product will gain and deliver value to customers (Massa, Tucci, & Afuah, 2017). The model will provide information on the products and services the product will offer and the company’s income stream. The business idea is an application known as StudyPal, which aims to increase the satisfaction and productivity of students. The business model interaction in StudyPal takes the form of one-to-many. The interaction model involves provider solving customer problems. StudyPal is an application that will provide value to the consumers and various revenue streams that will fuel its success in the service market.
Key Activities
The value proposition will require an essential activity of source code licensing. After the creation of the software, it will be proprietary software. The product is free for use, but the code will ensure the users and third-parties cannot change (Mahmoud, Andrusiak, & Altaei, 2018). The software being proprietary will protect it from copying, modifying, or emulating, which will ensure the application’s safety.
The distribution approach is the most crucial business model characteristics which will ensure the product is readily available to the consumers. The application will provide services to the customers through a cloud-based distribution approach. The method is useful in allowing a standardized software application is offered to all the consumers. The feedback will be helpful in the customized process, and the continuous application updates will improve the customer experience. The distribution provides a fast implementation time frame for the clients, and the users can acquire the products and information remotely from anywhere at any given time.
Customer Relationship
Customer relations will be managed through interaction with customers on various online platforms. The customers can provide feedback concerning their experiences with the use of the app. The input will be used in the improvement of application to fit the needs and wants of the customers and exceed their expectations. Proper management of customer relations through the provision of immediate feedback to the questions and suggestions made will improve their satisfaction and consequently enhance the attractiveness of the product (Joyce & Paquin, 2016).
Value Proposition
The target audience for StudyPal is the students in the first year who sometimes experience difficulties while studying. However, the app can be used by students at all levels of education as it provides value for their work. Studypal is an electronic software application that improves the productivity and satisfaction of the students in the academic work through the reduction in procrastination. The app will allow the customers to grow a virtual pet by submitting their assignments on time. The application also ensures the work submitted is up to the standards required, which will consequently assist in improving the performance of the students in the university.
The target audience is direct customers and users of the application. Therefore, a business-to-customer (B2C) approach will be considered. The product is delivered to the individual users where they can download and install the app on their devices. The target audience is broad and diverse, and the active promotion of the product is a good marketing strategy.
Revenue Stream
The revenue stream for the application will be based on user-based, where the more the customers using the app, the higher the revenue stream. The application will be free for download and will require the customer to purchase another version that will be advertisement free. The open for download application will provide some basic features, and the revenue streams will be gained from hosting various ads within the app. The free app will not offer a high revenue stream from the consumers themselves. Still, it will provide income from advertisements (Fernandes & Afonso, 2018). In-app, purchases will also be available, which provides an essential income source. The premium StudyPal will require the customers to make monthly or annual payments, which will provide a flow of income for the application.