BUSINESS MODEL CANVAS

Submitted to:

Submitted to:

Mr. Faisal Wali

Humayra Tabassum

Course Instructor

Roll 10

Entrepreneurship

BBA-21 Section A

CUSTOMERS
Customer
Segment
B2B

B2C

Casual Customers
(Generally visit either for
coffee or to hang out)

Occupation: Students, Part-time

Workers, Office-goers
Buying on occasions:
There may be increased buying
on particular occasions like
Valentines Day and other youthbased holidays
Benefits sought:
Fun
and
open
environment
Good Value for money
Loyalty
Medium level
Repeat
purchases
common, but may take
time as they are known
to experiment with
different places
Usage rate
High

Professional Customers
(Food comes secondary to
the primary goal of having
a meeting, generally for
work-based purposes)

Organizations
(Organizations ordering in
food for their employees)

Occupation: Students, Parttime Workers, Office-goers

Buying on occasions: None
Benefits sought:
Quiet Environment
Wi-Fi Connection
Electrical Outlets
Holding a table for a
long period
Loyalty
High loyalty
Repeat
purchases
common, especially if
situated near corporate
zones.
Usage rate
High

Buying on occasions:
There may be increased buying
on particular occasions like
Pahela Boishakh celebration and
other traditional occasions
Benefits sought:
Good Food
Good Value for money
Loyalty
High loyalty
Repeat
purchases
common, especially if
situated near corporate
zones
Usage rate
Medium

Restaurants
(Restaurants that will sell
desserts from CRUMBS)

Buying on occasions:
There may be increased buying
on particular occasions like
Pahela Boishakh or Valentines
Day
Benefits sought:
Good Food
Good Value for money
Loyalty
High loyalty
Repeat
purchases
common
Usage rate
High

VALUE PROPOSITION
B2C SEGMENT 1
Pains:
1. Not being able to hold a table for a long time without ordering
2. Finding comfortable seats
3. Finding excellent quality food
Gains:
Finding menus that are good value for money
Earning status
VALUE PROPOSITION
Food that has good value, but is of superlative taste
Crumbs allows patrons to stay as long as they want to.
Crumbs positions itself as a high-end eatery and thus making purchases there is an
indication of class.
B2C SEGMENT 2
Pains:
1. Not being able to hold a table for a long time without ordering
2. Finding quiet spots for holding meetings and discussions
3. Electrical power outlets for laptops
4. Hi Speed Wi-Fi Connections
Gains:
Finding menus that are good value for money
Earning status
VALUE PROPOSITION
Crumbs allows patrons to stay as long as they want to.
Crumbs provides easy access to charging ports
B2B SEGMENT 1
Pains:
Not being able to find healthy food that is also cheap and tasty.
VALUE PROPOSITION
Crumbs provides healthy food that is also good.
B2B SEGMENT 2
Pains:
Not being able to provide desserts for their customers in house
VALUE PROPOSITION
Crumbs provides these restaurants with desserts for their customers under Crumbs
own banner

CUSTOMER RELATIONSHIPS
This building block dictates the nature of the relationships that CRUMBS will
develop with its various customer segments. The process can be divided into three
phases. Different techniques to develop relationship with the customer and retain
them has been designed for CRUMBS.
Acquisition:

Customer acquisition is the process of persuading a customer to select your

organizations product over choices available in the market. Businesses usually
spend a lot of resources evaluating the tradeoff between the cost of acquiring a
customer and the value the customer provides to the company. The following
techniques will be used in the acquisition phase:

Social Media Marketing:

CRUMBS will maintain a Facebook page, a twitter account and an integral account. The
accounts will be active posting updates regularly. They will be posting new items in the
caf, sneak peeks of the upcoming new products and more.
Content Marketing
CRUMBS will have a blog. Here, various experiences will be shared. The blog will also
share various recipes developed in CRUMBS kitchen. The recipes will also be published
on local dailies under CRUMBS banner.

Retention:

Customer Retention refers to the long-term relationship a company establishes with its
customers. The more repeat customers, a company has, the more it is assured of
champions who will market its products and help it acquire additional customers. In this
phase, the following things will be done:

Friendly waiters: CRUMBS will employ friendly servers who love their jobs. The servers
will be trained in hospitality etiquette.
Good playlist: a good playlist in a must in a good caf. A combination of
Acoustic/Instrumental, Jazz and Bossa Nova will be playing all day long in the caf
creating a beautiful atmosphere.
Frequent visitor cards: CRUMBS will offer frequent visitor cards to its frequent
customers offering them discounts on further purchases.

Boosting sales:
Companies are forever focused on increasing their sales and often use a strategy called
upselling which requires representatives to convince the customer to buy more of their
companys products. For this phase, CRUMBS will do the following:

Our servers will be suggesting various food combinations to the customers such as with
CRUMBS creamy cheesecake or tiramisu, servers will suggest espresso to cut through
the richness. Our servers will be trained on this.

CHANNELS
This building block defines how an organization communicates with and provides value to its
chosen customer segment. Channels are the touch points through which an organization liaises
with its customers and as such, play a huge role in defining the customer experience. Channels
can be categorized as marketing, sales or distribution channels.
Channels and Customer Relationships are directly linked to the how of a company linking with
its target customer segment. Most companies have a different medium to attract a customer
and separate strategies on how to retain them. It is advisable to list separate channels for
different customer segments if your organization is targeting more than one.
CRUMBS will have three different types of channels, web force, own stores and partners. The
channels will work differently in different phases.
In the awareness phase, direct social media advertising will be done by the web force.
Advertising on the website and storefront will also be done. The partner stores will also do instore advertising.
In the evaluation phase, free vouchers will be distributed among selected customers by the
web force, while own stores will give promotional offers. CRUMBS will also create bundled
menus with partner restaurant.
In the purchase phase, the customers will be able to order certain items through the website.
CRUMBS products will also be able to be bought in its own store and partner stores.
Delivery will be done through third party services to the customers and dont by CRUMBS own
delivery service to the partner restaurant.
Aftersales communication will occur through the website.
CHANNEL TYPES

indirect

PARTNER

OWN

direct

AWARENESS

EVALUATION

Web Force

Social media
advertising

free 1000bdt
voucher

Own
Stores

advertise on
website and
on storefront

give
promotional
offers

Partner

Through instore
advertising

Bundled
menus with
partner

CHANNEL PHASES
PURCHASE

May order
particular
products
Can buy ANY
product
through
stores
Choose from
a menu of
desserts only

DELIVERY

AFTERSALES

Third-party
delivery
services

Take
customer
feedback. call

Through the
restaurant
own delivery

KEY ACTIVITIES
Key activities are the most important tasks a company must carry out in order to fulfill its
business purpose. To be successful, a company must carry out key actions that are
primarily dictated by its business model.
CRUMBS key activities can be divided into four phases:
R&D
In this phase, following actions will be performed:

Current taste and trend in food will be researched

Test recipes will be produced and tasted for the dishes
New recipes will also be invented in line with the current trends

Production
In this phase, dishes will be produced for serving the customers. The key point here will be
producing dishes of consistent quality.
Marketing
The details of this phase has been discussed in channels block. Additional features are

Create a BRANDING STRATEGY keeping in line with the mission vision of CRUMBS
Developing newer recipes as customer preferences change
Holding special events and discounts on special occasions.

Sales and customer services

In this phase, it all comes down to the servers. As mentioned earlier, CRUMBS will train its
servers on the etiquettes of hospitality. They will also be updated on the menu and food and
drink pairings.

KEY RESOURCES
Key resources are the main inputs that the company uses to create its value proposition,
service its customer segment and deliver the product to the customer. These are the most
important things a company needs to have for the business model to work and business
models are usually based on a number of tangible and intangible resources. These are the
main assets that the company, in particular, requires to create the end product, and these are
usually differentiated from the key resources being utilized by your competitors. Key resources
deal with the operational end of the business spectrum and define what kind of materials the
company needs, what kind of equipment is required and the types of people they need to
employ. This aspect plays a direct role in bringing its value proposition to life for the chosen
customer segment and defines the minimum the company needs to have to deliver to the
customers.
CRUMBS key resources are divided into three sections. They are:
Physical

Food manufacturing facilities:

All the kitchen appliances, the kitchen itself all fall into this category.
Food delivery vehicles:
The in house delivery vehicles CRUMBS will use to deliver its products to the partner
restaurant falls under this category
Physical stores:
CRUMBS physical stores will be located in prime locations of the city.

Intellectual

Food recipes that give CRUMBS products their unique taste

Brand value of CRUMBS

Human

The employees- chefs and waiters are the human resources of CRUMBS
CRUMBS has an employee first policy. Here, the employees will be treated as partners
and they get priority in every situation. CRUMBS aim is to be one of the most employee
friendly cafes

KEY PARTNERSHIP
This building block refers to the network of suppliers and partners that make the business
model effective. The reasons for a company opting for a partnership are myriad, but healthy
partnerships are instrumental in making a business success or a failure. A company can
optimize its resource utilization, create new resource streams or mitigate risks behind major
business decisions by taking on a partner before starting a new course of action. It is important
to note here that the organization maybe partnering with a number of organizations for various
reasons, but not all their relationships will be key to the business.
CRUMBS key partners are mainly its suppliers, the ones who supplies CRUMBS with all the
ingredients and produce. The partner restaurants are also a key partner for CRUMBS. The third
party delivery service that CRUMBS will use for delivering to its customers is one of the most
important partners.

Suppliers:
Partnership formed with suppliers will allow uninterrupted flow of essential ingredients
at competitive prices. Benefits to supplier includes large volume of assured sales and
benefits to CRUMBS includes cost reduction and quality insurance.

Restaurants:
CRUMBS will provide dessert options to the partner restaurants to provide a richer
experience to their guests.

Third party delivery service:

Engaging a third party delivery service will mean lower capital investment and cost
reduction.

COST STRUCTURE
This building block represents all the costs that a business can or will incur if it opts for a
particular business model. Most businesses fail to understand their costs or what it will take to
create the goods and services they have promised in their value propositions. At least three
other building blocks are contributors to the cost structure block. One must evaluate the cost
of creating and delivering the value proposition, creating revenue streams and focus on longterm customer relationships. All three of these blocks represent a financial investment into the
business. However, when an entrepreneur has effectively figured out their key resources, key
activities and key partnerships the aforementioned costs become easier to calculate.
CRUMBS will have a value driven cost structure. CRUMBS provides its customers with quality
dishes, and a quality environment. This value that CRUMBS creates is what drives its cost
structure. CRUMBS strives to create high value for its customers.
CRUMBS will have a list price/a menu of its items and the prices will be set according to the
value driven cost structure.
CRUMBS will also provide discounts to frequent visitors carrying a frequent visitor card, and
also on special occasions and days.

REVENUE STREAM
This building block elaborates the earnings a business gets by subtracting the costs from the
revenue generated from each customer segment. Where customers are generally considered
the heart of the business, revenues are automatically likened to the arteries. Organizations
must evaluate the worth of the value they provide to each customer segment. An accurate
evaluation of this worth will result in multiple revenue streams being gained from a single
customer segment.
It isnt just enough for a business to cite keeping customers happy as their business mandate.
Most businesses focus just on their customer policy, resulting in incomplete canvases where
revenue streams are entirely ignored. It is important to differentiate that this building block
represents the cash, not the profit that the business has flowed in, at present.
CRUMBS will receive its revenue from transaction revenue. In this format, the company
receives revenue in a onetime payment from its customers for a specific product or service.
CRUMBS pricing mechanism will be a fixed price structure with it prices listed. As mentioned
above, the price will be set according to a value driven cost structure. CRUMBS will provide its
customers value for money products.