Now you should get started

Lean Canvas Model by Ash Maurya

Okay, now it’s your turn. Fill in the lean canvas model to map out your incubation business plan or to develop your business plan: whether your operation is already running or not, doesn’t matter. Completing the canvas will give you a basis for rethinking your former plans and performance and thus encourage change for improvement.

Follow the steps to map out your business model

The steps you should go through when planning to set up an incubator (or maybe run this exercise on your existing incubator, to get a clearer view on your business model):

Costumer segments
Where do you “recruit” new start-up or scale-up teams from? Who are they? If you get teams from different locations or provenances, describe each segment separately. If the actual client segment differs from your optimal client segment, describe your “ideal” target group as well.

=> Check out the roadmap: https://balticseagames.eu/game-incubation-roadmap/operation/target-groups/

Unique Value proposition
What value do you offer to your teams? What kind of needs do they have that you help address? What problems do you help solve?

=> Check out the roadmap:
https://balticseagames.eu/game-incubation-roadmap/programme/tuition-format/concept/goals/ https://balticseagames.eu/game-incubation-roadmap/introduction/baltic-sea-game-incubators/

Revenue
How do you finance your incubator? Do teams pay for the value you provide? What other financing do you have that to provide income/ cost coverage, e.g. public funding, equity, other income source?

=> Check out the roadmap: https://balticseagames.eu/game-incubation-roadmap/operation/financing/

Communication channels
How does your value proposition(s) reach your start-ups? Is it physical presence in a building? Is it ad-hoc or scheduled? Is it physical meetings or digital? Website? How do they know what you offer?

=> Check out the roadmap: https://balticseagames.eu/game-incubation-roadmap/operation/marketing/

Unfair advantage
While your “Unique Value Proposition” is directed to convince your customers to choose you, your Unfair Advantage (UA) is a conversation you have with your competitors (current and new) on why they should NOT try to hire away your customers. This implies that you understand who your competitors are – but also a basis to reflect if you should establish that business if there is too high a competition offering too similar what you are offering

More likely, your competitors will be university incubators or modules in IT incubation programmes. Your “unfair advantage” in such cases might be our game competence, your success history, your business model, your range of target groups etc.

=> Check out the roadmap:
https://balticseagames.eu/game-incubation-roadmap/introduction/game-incubation-landscape-in-europe/
https://balticseagames.eu/game-incubation-roadmap/introduction/baltic-sea-game-incubators/

Solutions
What are the solutions you propose to create and deliver the value proposition. Consider your segments and context, and list all activities, usually this would be all components of your programme: coaching, international events presence (booth?), pitching to investors etc. But also other offers: duration of the programme, payment of the programme, work place, community networks, industry relationships, trend awareness etc.

=> Check out the roadmap:
https://balticseagames.eu/game-incubation-roadmap/programme/
https://balticseagames.eu/game-incubation-roadmap/coaching/
https://balticseagames.eu/game-incubation-roadmap/ecosystem/

Key metrics
How well is your business doing: list all numbers that indicate your performance, staff numbers per type of staff (employee, part-time, freelance), amount of teams, amount of revenue, amount of sustainable companies (e.g. after 3 years), amount of successful pitches etc.

=> Check out the roadmap:

https://balticseagames.eu/game-incubation-roadmap/operation/evaluation/

https://balticseagames.eu/game-incubation-roadmap/operation/ecosystem-interaction/

Problem
Why are you offering your service? What is lacking that you want to solve? What demand do you want to meet? This might take many perspectives, like the game industry in general, or just the regional one, or attracting more business and young people to your region (or tech park or university), or strengthening the community through entrepreneurial skills and so on. Other incubators might serve as model or collaborators rather than be considered competitors, as most incubators are focused on supporting their region.

=> Check out the roadmap:
https://balticseagames.eu/game-incubation-roadmap/operation/incubation-models/
https://balticseagames.eu/game-incubation-roadmap/introduction/baltic-sea-game-incubators/

Cost structure
List the primary costs of running and operating the incubator.

=> Check out the roadmap:
https://balticseagames.eu/game-incubation-roadmap/operation/financing/budgeting/

Lean Canvas Model by Ash Maurya:

Problem 1-3 top challenges for the game industry or the region or (what else)? you want to solve   8   Existing Alternative How is the problem tackled at present?	Solution Outline a possible solution for each problem   6	Unique Value propositions Single, clear & compelling message to state why you are different and worth paying attention to   2   High level concept e.g. by listing a Y for X analogy: YouTube = Flickr for videos	Unfair Advantage What cannot easily be copied or bought elsewhere   5	Customer segments Who are your clients?         1       Early adopters List the characteristic of your ideal target group / client?
Key metrics List all key numbers that tell you how your business is doing   7	Communication channels to and from your customers   4
Cost structure List your fixed and variable costs 9	Revenue streams List your sources of revenue 3

Check out the difference between a business model canvas and a lean canvas:

https://leanstack.com/bmc_alternative

Resources