Deconstruction Of Planckly Business Model
Task: To be completed individually, you are required to prepare a business report that deconstructs an organisation's business model and identifies the critical success factors that make the business sustainable. Your analysis will demonstrate your critical thinking skills and your ability to professionally articulate your findings.
Before commencing, you must seek your lecturer's approval to undertake an analysis of the business you have chosen. The type of organisation that should be identified for study is one that is relatively new, innovative in how they operate, and have most likely been established in the last five years.
To achieve a result that meets your study objectives, please ensure the business report addresses each of the assessment criteria detailed below and which is elaborated in the marking rubric.
The Planckly business model refers to the plan for successful operation of an organisation by identifying sources of revenue, intended customer base, products as well as the details of financing that helps the organisation in managing entire responsibilities. A business model helps the business in terms of many functions like operation, revenue-generation, financing and many other functions. In this regard, the aim of the study is all about to deconstruct Planckly business model and thereby, identifying the critical success factors that make the business sustainable. For this purpose, the study selects the company named Planckly for the purpose of deconstructing the business model of the company and showing some other aspects or flaws in that prefixed model that needs modifications.
1. Providing a succinct description of the business Planckly, the industry, markets it serves, and the products and services it provides
Background of the company
Planckly.com is a mobile-based online platform that is dedicatedly created for digital payment purposes. This company is based in London and currently it operated in many other countries like the United Arab Emirates and Pakistan. Uzair Siddiqui is the founder of this company (Planckly.com, 2020).
Products and services of Planckly: all of the services and products of Planckly are based on digital payments only. The other specialties of this company are providing fin-tech software, retail software and mobile payment applications.
Industry: Plancky is belonging to the information technology service industry.
Market: according to the source, Plancky has considered in the top 50 best start-ups in the United Kingdom. This company is a newcomer in this industry and competes with the other big companies in the same industry.
2. How will you deconstruct the Planckly business model using the nine building blocks in Osterwalder & Pigneur’s canvas?
Figure 1: Planckly business model canvas
Partners: The company has attracted many other businesses through its hard works and dedication. Many media-related companies like Gitex and Metro are the partner of this company. Moreover, local businesses and organisations also take part in the business of Planckly.
Key activities: The main activities of Planckly are developing the platform for digital payment and developing artificial intelligence features in its software.
Key resources: Though the company is belonging to the information technology sector hence technology is the prime resource of this company. With the help of technology along with the business network the company has started some years before. So technology and network are the min resource of this company (Franceschelli, Santoro & Candelo, 2018).
Value propositions: This block of Planckly business model signifies that the company has established itself quickly by providing payment service to its customers. And the process of the payment is guided by a mobile application which is also digitally secure.
Customer relationship: Planckly provides online support to its customers and gives them full guidance regarding any issue through its dedicated chat back-up process.
Channels: The company has availed its services through various online platforms like mobile phone applications, websites, social media and many other advertisement agencies’ websites.
Planckly delivers different types of services to the local businesses and shopping malls as the basic aim of the company is to connect customers with vendees through online application. Thus, Retail software and other cash transaction related software are used by the company to connect with the customers and for the general-purpose the company provides digital payment gateways to its customers for quick pay options (Hartmann et al., 2016). Here, the customers of the company include merchants, local businesses, malls and others.
Cost driver: Some of the main cost drivers of this company generally come from platform development costs and website maintenance costs.
Revenue streams: Planckly earns its revenue through many sources. One such source is coming from its service charges which it takes from its customers for its services. The company has also earned its revenues by selling its software.
3. Explaining the key interrelationships that exist across the nine building blocks
An interrelationship has existed in these nine building blocks of this company. The first building block of Planckly business model is related to channel building block because it provides monetary support in the organisation and also gives support by building a strong network within the organisation. And the first building block is also can be related to the key resources block because it creates communication networks and channels for potential opportunities and that is the reason for its relation with the key resources block of this company. The key resource building block of the company is financial technological service, artificial intelligence, and business networks.
The value proposition block is mainly dedicated to the work of this company in the information technology service sector. The customer building block is the most important because it is directly engaging with the customer of the company and building a bridge between the customer and the company. Revenue streams in this type of company are generally coming from its services and by selling its software. And lastly, the cost drivers of this type of company mainly come from its platform development costs and website maintenance costs (Joyce & Paquin 2016).
4. Identifying and discussing the critical success factors the business has to get right to achieve sustainable success
By addressing some critical issues of the business the company can achieve sustainable success in this field. Technological expertise in digital payment software has helped Planckly to achieve sustainable success. Planckly also provides other financial software that is exclusively designed according to customer requirements. Moreover, the company is now working with new other businesses by providing them financial and technological software and as a result, the company has gained a sufficient amount of knowledge in this field. By applying that gained knowledge the company can easily achieve sustainable success in that industry where it is established.
5. Evaluating the factors that impact the success of the Planckly business model
The Planckly business model has been exclusively made according to the needs of the company. However, some basic factors have been left behind while making this business model. In the following paragraph it has been discussed.
In the key activity block of this Planckly business model, the company is mainly developed technological services or digital services by using artificial intelligence. By doing so the company has only focused on the platform development and the other business-related works might be ignored by that. This can impact the organisation in the long run (Ojasalo & Ojasalo 2018).
In the customer relationship block, the company has to lack somewhere in providing valuable service to its customers. And the whole effect has been fallen to the company's reputation. This also can impact the business in the long run.
In the cost-driven block of this Planckly business model, the company had spent a lot in developing the platform for its business which is quite massive. If the company has spent this much amount on developing those then it can impact the profitability of the organisation in the future.
6. Discussing the changes in the Planckly business model
There are many things which should need to look after by Planckly to sustain the business in the future. Some of the recommendations have been given in the following section which deals with that problem.
Firstly, in the customer relationship block of the Planckly business model, the company needs to control its spending upon the customer building imagination. If not then it will prove as a disaster in the future time.
Secondly, in the cost-driven block of the business model, the company needs to think rationally upon its new development projects which bring it extra value and reputation.
Thirdly, developing the creative idea upon its business can help the company in profit-making. Therefore, it is crucial for the company to give more focus into the factors that can be proved beneficial for the company.
Fourthly, the company should change its terms and conditions according to its customers. The company should develop its mobile application in different languages in other countries where the English language is not spoken widely (Toro-Jarrín et al., 2016).
Finally, the company should provide customer care services very politely. In this way the company will easily get a reputation in minimum time in this competitive business environment.
Based on the above-findings on Planckly business model, it can be concluded that, the concerned company maintains its business processes in such a way so that, it can be possible for the company to deliver improved and desired services to the customers. Thus, the study has provided the business model of the concerned company for getting core business idea of Planckly. The performance of this company is very much commendable here. It is very difficult for a start-up company to develop as much as the other big companies. It has to face a lot of struggle by way of its goal. However, in this study Planckly has done it properly by developing a self-sufficient business model. Some of the features of the Planckly business model need to rethink again because of their flaws and otherwise the whole business model is really good enough.
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