#93 - How to Use the Business Model Canvas to Grow Your Creative Business

The Business Model Canvas is a creative, visual tool that helps makers and indie business owners gain clarity and structure in their business. In this episode, I explore how yarn dyers, pattern designers, and shop owners can use it to grow sustainably. Tune in now and start crafting your business with confidence! 🚀

Go to full show notes and download a Business Model Canvas Template HERE

Transcript

Using the Business Model Canvas

Speaker 1 0:00

Hey there and welcome creative business owners and indie makers . Welcome back to Pattern Shift , where we dive into the joys , the challenges and the strategies of running a sustainable and fulfilling creative business . My name is Saskia and today we're talking about a tool that might sound corporate and intimidating but is actually a really kind of playful , creative way to structure and grow your business the business model canvas . Okay , so I know you're probably thinking business model canvas that sounds like something for stiff corporate suits and MBA types , and I hear you and I get it . But I promise you this tool is not only very useful for creative business owners like us . It's actually pretty fun , if you let it be fun , and I'm not the type that wears suits . I'm actually making a blouse that I've made myself today and I'm very proud of . I made it to fit my body , I designed it to fit my style and I love it . And for now , let's dive in and see how this visual framework can help you make sense of your business without sucking this whole out of your creativity . Sound good ? All right , let's go . Let's do this . So what is the business model canvas and why should you care ?

Speaker 1 1:35

The business model canvas I'm going to say this a lot is a one page visual map that helps you organize the key building blocks of your business . It was developed by Alexander Osterwalder , who , to be fair , deserves some credit , because we like to treat people the way we want to be treated , so here's the credit . But , honestly , what matters here is how this tool can work for you . So , thank you , alexander , we'll pick it up from here . So what it looks like is imagine a large whiteboard A bullet journal spread is actually perfect for it as well , and over the whole area of the whiteboard or the spreads , or your piece of paper , the space is divided into nine boxes . The boxes are actually at particular places on the sheet , so you have to download it to see what it really looks like . There's a link in the show notes for that , and so it breaks your business down into nine essential parts . These are the nine parts Customer segments who do you want to serve ?

Speaker 1 2:50

Who buys from you and what do they look like ? Two value proposition what makes your work unique ? Why would people choose you over someone else ? Three channels how do you reach your customers ? Instagram , newsletter , pop-up markets . Four customer relationships how do you interact with your audience ? Are you the friendly shopkeeper type or the hands-off type . Just let me pack the orders in the back room and I'll just have a web shop and that's good .

Speaker 1 3:29

Number five revenue streams how do you actually make money ? Sales commissions , workshops , selling your soul to the devil ? Maybe it's up to you . Six , the key resources . What do you need to make your business work ? Materials , tools , software , fairy godmothers , maybe . Seven key activities what do you do every day to keep the business going ? Creating marketing , admin , cleaning your studio , things like that , getting that really good coffee from the place next door , just to keep you going . Eight key partnerships who helps you to make it all happen ? Collaborators , business buddies , your bookkeeper , other businesses that you do collabs with . That's actually what collaborators are . Saskia , okay , yeah , you get it .

Speaker 1 4:22

Nine cost structure so where does the money go ? Rent supplies , software , that kind of a stationary addiction that we all have , and I'm not mentioning the wool . So now let's break these down a little and see why they matter to you . So why should we use it ? Why should we use the business model ? It's a visual , hands-on approach . If you think of it as a vision board for your business , that helps . I think it's not about a rigid business plan . It's about seeing your whole business at a glance . It really encourages experimentation .

Speaker 1 5:07

Your business evolves and this tool helps you to tweak things without feeling stuck . You get to play , shift , pivot as you grow and for those of you who've known me for a while , I am the pivoting queen . I have done it all . I have designed , I've dyed wool , I've sold wool , I've made products , I made bags , I taught my gosh . I did it all . I shifted and I pivoted and I , kind of like clay , needed my business into what I needed it to be . Okay , you can quote me on that .

Speaker 1 5:52

One Another thing is it really helps you to focus on what really matters Instead of getting lost in all of our to-do lists , which I know , I know it happens to you , it happens to me , even with my whole bullet journal structure . Sometimes you just get lost in your to-do lists and you don't think about why you actually need to do things . So it helps you to prioritize what really drives your business and it's helpful . It's super helpful , especially if your brain loves jumping from one thing to the next . Adhd business owners , I see you . Another thing is that it is a creative playground . The business model canvas is that it's a creative playground . Strategy does not have to be hard or boring . When you approach it like a creative exercise , it actually becomes fun and helpful in designing a business that aligns with your values . And you know that we're all about that at Yeville and PatentShift . We want to build businesses that align with what you need , what your boundaries are and what your values are , so this is a great tool for you .

Speaker 1 7:14

So now , how do you now ? How do you get started with the business model canvas ? You should really just take a drink every time I say that word , but make a tea , unless it's like the weekend or you feel like you want to just really have fun with this episode . It's up to you . It's your life . Anyway , all right , let's give this a go . Here's how we start .

Speaker 1 7:40

First of all , you download or you draw a business model canvas . I'll drop a link in the show notes and I have a downloadable there for you , but you can Google it and it's really easy . The bigger the better . So if you have a wall that you can use , if you have a blackboard , anything that's like a big piece of paper that you've used for something and that you can really spread out , the bigger the better . But it also works small . You can use sticky notes , which is really convenient because you can write down ideas for each section and then you can move them around and see what fits and what feels good , and you can take things off , put things back on . I really like that idea and I want to say please start with what you know . Do not overthink it . You can refine it as you go .

Speaker 1 8:34

I just came back to my own business model canvas recently when I started to write about it for our Business Circle membership . We talked about it in our wins and woes meetings . Then I wrote a little blog post about it that you can find as well , and now I'm making this show . So I was all about the Business Model Canvas and I redid mine . You just come back to it every now and then and just have a look at what's going on in your business . You iterate , you adjust it over time . Your business isn't static and neither is your business model canvas .

Speaker 1 9:10

Whenever you feel a little bit shaky and a little bit unsure of the direction you're going in , try to play a little bit with the business model canvas and see where you wait , what it gets you , so you can completely make it yours . Like my friend who helps me with bookkeeping once told me it's time that you take over . Now . You do this , I'll show you how to do it . And I went like no , it's so boring I can't do it , my brain dies . And she said I'll just , I can make it pink if that helps . And I seriously reacted yes , please make it pink . Anyway , make it yours . Color coded , doodle on it , invite a friend over , make it into a party , a brainstorming session and have the people that help you in your business or your neighbor , whatever , make it fun . And it really can be fun . But it's up to you and I hope this really helps you to give an idea of how you can use the business model canvas .

Crafting a Creative Business Model

Speaker 1 10:17

Now , how do you actually use the business model canvas ? Now , how do you actually use the business model canvas ? You can basically break it down into three key areas Desirability that is part one to four , so that's your customer segments , your value proposition , your channels and your customer relationships . This really talks about do people actually want what you're offering ? Then the next key area is viability that's part five and nine , so your revenue streams and your cost structure . Can your business actually make money ? And then the third part is feasibility , which is six to eight your key resources , your key activities and your key partnerships , and that talks about do you have what you need to make it happen ? For example , if you're an indie yarn dyer , your desirability is . That part is about knowing your customer segments Knitters who love hand-dyed yarn . Your value proposition is that you create unique colorways inspired by nature . You sell via your website and Instagram and you build relationships through online engagement and in-person yarn festivals . So this talks about do people actually want what you're offering ? All these things together , then the next step .

Speaker 1 11:47

Viability is about you have multiple revenue streams , like direct sales , wholesale , you sell to other shops and dying workshops . Your costs include materials , marketing and website hosting . This is all about can your business make money ? You look at your cost versus your income and then your feasibility . Do you have what you need to make it happen ? You need dye yarn , a studio and time to produce stock . You also partner with local knitting influencers to promote your work . You give away some of your skeins for giveaways or influencers to talk about your yarn while they use it .

Speaker 1 12:33

A pattern designer might use the business model canvas to map out different revenue streams , like selling patterns , offering classes and launching a subscription service . A shop owner could focus on how their partnerships with local makers and their in-store events bring in people . And whatever your creative business is . The business model canvas helps . You want to call it that is not .

Speaker 1 13:01

Do people want what I'm offering ? Because I hear people talk about they need support in different sections of their business . They need it , they want the help . But in the next section viability , can your business make money ? Absolutely , but I first need to explain to people what it actually is that I can help them with , and if they invest in knowledge about building a business , that investment comes right back to them . But that's the hard part in this industry for me . I have found that a lot of people would rather invest in more materials than in more knowledge , which is kind of a hard part for me in my whole structure .

Speaker 1 14:01

Another thing that I constantly come back to is my channels . How do I reach my customers ? I want to work according to my values and I have a lot of ideas and thoughts about social media , so I'm always experimenting in finding ways to market what I do in a way that matches my values , my boundaries , what I need , in a way that matches my values , my boundaries , what I need which is really interesting , because for a lot of people it sounds weird that you're a marketing professional who does not really fully step into the social media thing and that's just who I am For my business I think that I can do it in a different way . I am really focusing on slow marketing , ethical marketing and ways that fit my business and me as a person . But it does mean that having a business model canvas right in front of me and seeing all these moving parts in my business , it helps me to see that it would be a good idea to go where the businesses are , for example .

Speaker 1 15:15

So one of the channels that's now really important to me is to go to local or semi-local festivals and markets and actually one-on-one talk to business owners and get to know them and build a relationship over time . So a business model canvas can really for you is to actually do it , because I can give you a lot of different examples , but you are unique , your needs are unique , your value system is unique and you might have a really really strong fan base on online , but the fandom is not actually translating to sales and then you can play with that and you can look at it and you can see what am I going to do to bring it back into some sort of a balance . Basically , it's kind of a scale . You look at it and you see where can you find the balance or what do you want to add some more ? Where do you want to put some more energy ? Invest in knowledge , invest in time , invest in partnerships what will bring your business forward ?

Speaker 1 16:43

This is the one question that you have to ask yourself every day If you are making your to-do list . That is the one question that you have to ask yourself every day If you are making your to-do list . That is the question on top of the page . What is the one thing I need to do to bring my business forward ? And today it can be starting to work on my business model canvas . Give yourself an hour . You can get a lot done , I promise you .

Speaker 1 17:11

So if you want to take this further and if this has sparked something for you , if you're like , oh , I'm so excited and you want to do more with this , then you can dive deeper and join us inside the Yavol community membership . For a really low price , you support this podcast and you can hang out with other business owners and talk about this kind of stuff and get creative ideas . Some more exciting news is that the Yavel Business Circle program , after a trial , is now available as a self-paced course for a fraction of the full live cohort price , and this means that you can go through the program at your own speed whenever it suits you . And , plus , when you sign up , you'll get three months of free access to the Business Circle space , which is the space where all the people that went through the program come together and really work on getting their shit done Right . That's the thing . You can connect with them , you can ask questions , you can get support and it's just . It's just big , big fun . If you're looking for structured guidance to build a sustainable , inspiring business , but need flexibility , this is for you . Sign up today and you can start shaping your business with creativity and confidence .

Speaker 1 18:32

And , by the way , ik spreek ook Nederlands . Dus , voor alle mensen in Nederland laat je niet tegenhouden door het Engels . Er zijn genoeg Nederlanders in de community en we kunnen gewoon in onze eigen prachtige taal communiceren . So that was a little bit of Dutch for all the people that understand it . I hope you thought that was a little bit of Dutch for all the people that understand it .

Speaker 1 18:51

I hope you thought that was helpful for all the people that thought what the hell's wrong with her . Is she sick ? Does she need a doctor ? No , that is the Dutch language . Thank you so much for hanging out with me today . If you found this episode helpful , please share it with a fellow creative business owner who needs to hear this . And if you try out the business model canvas , let me know how it goes . Send me a message on the show note page . You can just click a button and leave a message or join the conversation inside the Yable community . We'd love to have you there . Until next time , keep creating , keep experimenting because marketing is nothing more than experimenting and , most of all , keep having fun with your business . Bye for now .