Business Model Canvas Analysis of Littlepay-Samples for Student

Question: Discuss about the business model canvas analysis of the micro payment service provider Australian organization Littlepay. Answer: About Littlepay Littlepay is an Australian start-up company which provides financial services which focusses on services related to the processing of services related to micro payment. This organization helps the transport companies, the operators and the authorities to accept the payments with the help of cloud-based banking. The website of the organization provides high level technologies for supporting the multi-operator payments. The organization was established in the year 2015 by Michael Walters (Stockwell, 2018). The company is backed by another famous global investment organization which has a good track record of investing in the various payment related technologies and further developing them. The company aims at creating solutions which address the major pain points of the industry and makes transport related facilities seamless. The website provides more options related to payment which improves the customer satisfaction levels and their loyalty as well. The acquiring system of Littlepay helps the organizations in accepting payments from any channel or device, track the performance and further manage risks as well (Aversa et al., 2015). Business model canvas of Littlepay Key Partners The organizations which use the payment platform. The financial institutions which provide payment related services. The effective management team of the organization (Dudin et al., 2015). Key Activities Providing smart payment options to the various small and the medium-sized organizations. Providing an easy and safe platform to the business organizations to help them in accepting payments. Value Proposition The company believes in providing easy payment options to the various small and medium-sized organizations. Creating a safe ecosystem for payments by the efficient team in the organization. Developing new technologies in ways of accepting payments. Customer Relationships The company creates customer relationship with the help of its website and the social media platforms. The payment options are created based on the preference of customers. Customer Segments The small and the medium level organizations. The customers who make payments to the various organizations. Key Resources The bank level infrastructure that is built by the company officials. The team of engineers who aim to implement new technologies in the operations of the organization. Channels The website of the company. The loosely coupled systems. The powerful process of analysis. The easily configurable products of the company. Cost Structure Maintaining the license that is required to perform financial transactions. Development of the facilities provided by the website to the various organizations. Management if security of the data of various consumers (Frana et al. 2017). Revenue Streams The subscription related fees that are made by the various organizations. The payment related commissions received from the organizations. Key relationships between nine building blocks of Business Model Canvas The nine buildings of the business canvas model are related to each other in an effective manner. The key partners of the company which include, the organizations or the merchants who register their operations with the website of Littlepay. The various financial institutions which help the company in creating an infrastructure similar to the facilities provided by the bank have an effect on the customer segments of Littlepay. The organizations are able to accept their payment easily with the help of the effective banking infrastructure. The key resources of the company which include the effective team of engineers help in the development of the services that are provided in the website of Littlepay. The developed facilities provided by the website helps Littlepay in acquiring customers (Fritscher Pigneur, 2014). The small and medium organizations are able to accept payments from the customers with the help of the end to end payment related technologies which are developed by the eng ineers of Littlepay. The effective channels of payment established by Littlepay helps the company increasing the number of organizations which use the platform to accept the payments. The revenues that are collected by the company from the subscription fees help Littlepay in improving its operations and offerings so that the customer segments can be increased (Ghezzi et al., 2015). Critical success factors of Littlepay The critical success related factors of the company are related to the powerful analysis methods that are available for the examination of data of the organizations that are available in the website of Littlepay. The products that are offered by the company are configurable in nature and enables the easy maintenance of the business rules, concessions and the combos that are provided by the organizations. The aggregation related programmes are based on the customers, products, operators, location and the time (Zolnowski Bhmann, 2014). The platform that is provided for the merchants helps in providing single view for the customers. The interface that is provided by the website is user-friendly in nature. The services in the website of Littlepay are designed by collaborating with the users and providing them with the products that they require (Joyce Paquin, 2016). The acceptance of the payments that are made by the customers can be controlled with the help of the website. The product s can be customised to provide the services that are required by the various groups of customers. Littlepay mainly provides services to the transport related organizations. The website can be used by the merchants of the company to issue travel cards so that the customers can store the rights and products related to the travel package that they have purchased. The website of Littlepay also provides customer platforms which help them in managing accounts, view their transaction history. The Littlepay website provides many value-added services to the customers which helps the website in attracting more customers. The security provided to the customers based on the travel history and the funding related sources are also major critical success factors of Littlepay. The bank level infrastructure that is provided by Littlepay helps the company in creating a successful platform for the various transport organizations (Ojasalo Ojasalo, 2015). This also helps the organization in creating ef fective customer base for both the merchants and the customers of the merchant organizations as well. The easy and safe interface of the website designed by Littlepay helps the company in attracting more customers. The organization helps in the management of various types of payments that can be provided to the customers. The loyalty pf the customers increase with help of effective management of the various payment options. Littlepay helps in organising the payments made by the customers to the transport organizations. The organization is quite passionate about the payment related services that can be provided to users. This unique concept has helped the company to gain a huge amount of success within a short time period (Plenter et al., 2017). Risks related to operations of Littlepay in the industry The major risk that is associated with the operations of the organization is the security that is to be provided to the customers and the merchants who register with Littlepay. The costs related to appropriate security measures are also quite high. This can put pressure on the revenue stream of Littlepay. It has been analysed from the business model of the organization that the promotional and advertising related activities are lacking. This can have an adverse effect on the revenues and profits of the organization in the near future. The website is providing a banking level interface to the merchants and the customers. This service can prove to be quite expensive for a new organization like Litttlepay (Toro-Jarrn, Ponce-Jaramillo Gemes-Castorena, 2016). The various technologies, certificates and support required to provide a banking level interface can put immense pressure on the profits of the website. The customer support related interface of Littlepay is quite weak and this has been proved from the company website. This can cause loss of the customers of the organization in the future. This will further have an effect on the loyalty of the customers and the merchant companies as well (Vargas, Calva Camacho, 2015). Recommended changes in the business model of Littlepay The business model of Littlepay can be changed and developed so that the risks related to the profitability of the organization can be mitigated easily. The website focusses its business activities mostly on the transport related organizations. Littlepay can increase its revenues in the future by expanding its business operations in the other areas. The website can provide this payment related facilities to the retail organizations, the electronics companies and many more. This will help the company in increasing its revenues and providing business opportunities to the organizations belonging to different fields. The lack of promotional activities can be a major cause behind the profitability related issues of the organizations. The organization can undertake its promotional activities with the help of various channels like, the social media, digital media, TV and many more. This will help Littlepay in creating awareness of its brand in the minds of the target customers. The customer relationships of Littlepay needs to be improved so that they can maintain the loyal customers. The loyal customers can help in maintaining the revenues and increasing the profitability of the organization. The company will be able to sustain in the market for a longer time with the help of their effective customer management and promotional activities. The website has an effective and efficient management team and it can use this resource to further improve the business operations and increase revenues. References Aversa, P., Haefliger, S., Rossi, A., Baden-Fuller, C. (2015). From business model to business modelling: Modularity and manipulation. InBusiness models and modelling(pp. 151-185). Emerald Group Publishing Limited. Dudin, M., Kucuri, G., Fedorova, I., Dzusova, S., Namitulina, A. (2015). The innovative business model canvas in the system of effective budgeting. 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