1. UMSI 363 Nancy A. Benovich Gilby
Busting Myths and Pursuing Information Innovations with Mobile Apps in SWIFT
Week 12
Nancy A. Benovich Gilby
Ehrenberg Director of Entrepreneurship
Clinical Associate Professor 
University of Michigan School of Information

2. Today Design Thinking with the Business Model Canvas
Continuing your project
Your Project has gone through 8 weeks:
You should have
18 interviews,
KJ affinity diagram,
Competition matrix,
Wireframe,
a start on your project app code,
feedback on the above from your target users
MVP 1 as either high fidelity prototype or swift/interface builder
Feedback on Pitch Deck, Prototype, with 3 users, revise, score
Share out: Chasm 2 with Elevator Pitch, Learnings from revenue model, average score from reviews, any 10 out of 10 urgency quotes?
Business Model Canvas

3. Team Project Overview
Form your team, establish ground rules, Interviews round 1, build app scaffolding, interview 6 target users
Review Customer Development Round 1 and Potentially Pivot, Competition, sketch/wireframe, interview 6 target users complete a full SWIFT/PARSE scaffolding to use in developing your apps MVP1
Review Customer Development Round 2, Pivot, Competition 2, sketch/wireframe,, interview final 6 target users (18 total)
Review Customer Development Round 3, Build and test KJ Affinity Diagram, wireframe, competition matrix test with users, for feedback
Draft pitch, MVP prototype 1 (high fidelity prototype or Interface builder/Swfit)
All teams pitch and review,
Top Line Revenue Model
MVP prototype 2, Business Model Canvas,
Pitch and demo to VCs, Executives, Entrepreneurs

4. Feedback to Prepare for Final Pitch Demo
Most of you need to work on incorporating an opening scenario, which sets an urgent narrative, then follow that scenario through in your demo
Remember, the most convincing presentations and demos (convincing that your team and your proposition is most likely to be used and to make an impact on those users) will be scored the highest.
Make your presentations as indisputable as possible......QUOTE YOUR USERS!!!....use them in building your case!!!

5. Prepare Your Pitch Deck for Questions
Appendix KJ
Additional customer quotes, testimonials
Scores (Importance/Satisfaction from Demo scoring)
Anything else that strengthens your proposition
Market data
Market landscape
News/Blog articles in your area

6. Prepare for Share Out: KJ and Code
Remind everyone”
State your target user,
top 3 problems,
Elevator pitch
Average Scores
Each team will huddle for 15 minutes to review their score sheets and prepare to present their Elevator Pitch and Summary Scores
STANDUP: Tell me, show your scrum board
How are you splitting the work on your Demo MVP and code MVP
What you did the week before to get the interviews, competition, wireframe done (if you weren’t in class last Friday)
What you will do this week,
What obstacles you have

7. Share Out target user description
what are their urgent top 3 problems (from the KJ)?
What is your elevator pitch
Present your average scores
Elevator pitch – Did they understand what you do, do they want to hear more?
Pitch deck – Would they buy/use/try based on your pitch?
Demo – Overall Product Importance, Satisfaction
Group discussion

8. Try the Elevator Pitch (Positioning: Create and Occupy a Space in the Target Customer’s Head)
Format
Example Intuit Bill Pay
For (target customers— beachhead segment only)
Who are dissatisfied with (the current market alternative)
Our product is a (new product category)
That provides (key problem-solving capability).
Unlike (the product alternative),
We have assembled (key whole product features for your specific application).
For For the bill-paying member of the family who also uses a home PC
Who are dissatisfied with Who is tired of filling out the same old checks month after month
Our product is a Quicken is a PC home finance program That automatically creates and tracks all your check-writing
Unlike Unlike Managing Your Money, a financial analysis package
We have assembled Our system is optimized specifically for home bill-paying.

9. Top Line Revenue Exercise

10. Hockey Stick
The VC Revenue Curve Expectation: What is Success?? Big Enough Idea That It’s not Just Another Mouse Trap
Users/ Revenue
Go public, everyone makes millions
$100M
In the Tornado, can barely keep up with customer growth
Everything
is going according to plan
First batch of users 1 3 5
Time (years)

11. Point of Peril Users/ Revenue Time Oh no, What’s wrong, I’m scared
First batch of users
Time

12. How do I get North of $60M in 5 years?
Did you use:
Platform with multiple apps
Multiple products
Multiple geographies
All of the above
Ridiculous assumptions or adoption ramp?

13. MYTH #11
MYTH: I need a business student to figure out the business model, revenue model

14. Smart Money
Your own “capital” is the best, at least to get an MVP and traction
Andy Marcuvitz?
Angels?
Venture Capitalists?
What you should look for:
Operational experience in your area
Signs that they get out of their own “building”, have the desire to dig in and understand where a market is going
FEEDBACK FROM FOUNDERS OF PORTFOLIO COMPANIES
Who will sit on your board, attend board meetings

15. Incorporation
LLC?
C Corp, S Corp
B Corp?
When to incorporate?

16. Patents? When should I look to patent? What can I patent?
Utility Patent
Design Patent
Get it from the horses mouth “Patent Officer, Patent Attorney” next week!

17. Lean Startup Circle
“A core component of Lean Startup methodology is the build-measure-learn feedback loop.”

18. Value for Who?

19. Business Model Canvas
The Business Model Canvas, is a strategic management and entrepreneurial tool. It allows you to describe, design, challenge, invent, and pivot your business model.

20. Lean Model Canvas

21. Where to Download
Original -
Lean Model Canvas (Lean Business Model Canvas Google Draw template By Lucas Rodriguez Cervera)
How to on Lean Model Canvas

22. Assignments
Reading High Stakes, No Prisoners: A Winner’s Tale of Greed and Glory in the Internet Wars pgs 69-83
Ice Cream Social: The Struggle for the Soul of Ben and Jerry’s Chpts 3, Epilogue
#29 Elevator pitch, project name, logo
#30 Develop a revenue model and a timeline slide that shows you will reach $100M with your idea in 5 years (start with template)
#31 Team: Test Elevator Pitch, Pitch Deck, Prototype, with 3 users, revise, score
#32 Update your trello board