2. The
EU-‐Project
BUTLER
BUTLER
develops
a
vision
of
a
secure,
pervasive
and
context-‐aware
Internet
of
Things
BUTLER’s
concept
of
acMve,
real-‐Mme
and
progressively
personal
context-‐awareness
is
inversely
proporMonal
to
the
degree
of
knowledge
required
from
users
More
InformaMon
on
Butler:
www.iot-‐butler.eu
3. Key
Ques/on:
“How
to
make
money
with
IoT?”
I
have
something,
that
others
need.
What
is
it,
that
others
need?
I
can
offer
it
at
a
price
others
are
willing
to
pay.
How
can
I
do
it?
Can
I
do
it
at
all?
Find
a
balance
between
perceived
value
and
willingness
to
pay.
Define
a
model
to
establish
the
balance
now
and
evolve
in
the
future.
4. Star/ng
with
a
Customer
Centric
View
to
Develop
the
Value
Proposi/on
1
Key Partners Key Value Proposition Customer Customer
Activities Relationships Segments
Needs
Channels
Key
Resources Product
2
Cost Structure Revenue Streams
5. What
is
it
others
want?
-‐
The
Value
Proposi/on
Value Proposition
Needs
–
How
do
you
get
access
to
the
customer?
• listen
to
your
customer
carefully
before
and
during
the
design
Needs • pick
him
up
and
accompany
him
to
growing
with
him
Product
-‐
What
is
„this“
at
all?
• Physical,
tangible
Object
Product
• Service
• Feelings
(
Peace
of
Mind,
Safety,
Comfort,
Belonging
)
-‐>
Customer
Experience
(Customer
Journey)
The
whole
is
more
than
the
sum
of
its
parts.
5
6. What
the
Customers
Expect
from
Us
Brand Trust (Positioning) Need
I’d expect my doctor Well as long as they help
and my health me to save money, I’d
insurance to be involved think about it
in this
Usability, Choice
Ethics, Trust
It would be great if it
What happens to all the was integrated in my
data this system existing devices!
collects?
The
results
of
the
customer
insights
(interviews)
strongly
influence
product
design
(customer
experience
design)
and
thus
the
business
model.
6
7. One
technical
solu/on
–
two
very
different
products
Allianz:
Crash
Recorder
versus
Help
Box
Value
ProposiMon
Crash
Recorder:
• We
even
pay
you
for
it,
because
we‘ll
save
that
much
on
your
claims
Value
ProposiMon
Helpbox:
• Your
automated
guardian
angel,
there
for
you,
when
you
most
need
it
The
whole
is
more
than
the
sum
of
its
parts. 7
8. Fleshing
out
the
Business
Model
looking
at
the
interac/ons
between
the
blocks
1
Key Partners Key Value Proposition Customer Customer
Activities Relationships Segments
Channels
Key
Resources
2
Cost Structure Revenue Streams
9. Many
individuals
need
to
be
reached
Many
individual
needs
need
to
be
reached
Partners
Hardware
Services
Life Cycle Mgmt
Fix Variable The
mass
market
consists
of
Own Resources &
thousands
of
individuals
to
be
Activities addressed.
IoT
Business
is
all
about
mul/-‐partnering
Mass
Market
needs
to
be
Customer
Preferences:
reached
to
cover
fix
costs.
• Freedom
of
Choice
• EvoluMon
Minimize
Cost
per
Unit
• Use
of
exisMng
devices
• Simplicity
• Should
not
cost
too
much
9
10. Key
success
factors
Key
Takeaways:
Max accepted Service Price The
perceived
value
of
a
product
is
Perceived Service Value by Customer
heavily
influenced
by
the
way
the
High
customer’s
individual
needs
are
addressed
and
less
by
its
technical
market price
nature
Earn M2M
Business
is
about
Partnering
as
one
company
(usually)
cannot
offer
Unit cost
the
enMre
Service
alone.
Loss
In
order
to
be
compeMMve
the
costs
need
to
be
managed:
Low
Low Service Price High
-‐
Openness
&
StandardizaMon
“In
IoT
the
value
proposi2on
is
not
primarily
about
-‐
Freedom
of
Choice
for
physical
products
and
not
even
about
services,
it‘s
Components
/
Partner
mostly
about
experiences
and
feelings.”
-‐
Design
with
OpMons
for
EvoluMon
11. Strategic
Learning
from
Other
Industries
Flexibility
One
common
plagorm
Interoperability
EvoluMon
So
many
different
products
