The document discusses different business models and their key validations. It describes low and high margin/volume models, and models involving products, services, shared resources, subscriptions, resale, agencies, and audience aggregation. For each model it discusses factors like growth/problem hypotheses, cost per acquisition vs lifetime customer value, channels, buyers and sellers, and price sensitivity that are important to validate the business model. It also discusses freemium models, noting that a non-paying customer segment is funded by a different paying segment, with the goal of acquiring customers.
15. KEY
VALID
SUBSCRIPTION ATION
S
COST PER ACQUISITION < LIFETIME
CUSTOMER VALUE
PROBLEM/SOLUTION HYPOTHESIS
WILL THEY PAY TO SOLVE THIS?
WILL THEY PAY YOU?
16. KEY
VALID
SUBSCRIPTION ATION
S
CPA FACTORS
MARKETING BASED ACQUISITION - PAID
REFERRAL - FREE
17. KEY
VALID
SUBSCRIPTION ATION
S
LTV FACTORS
SUBSCRIPTION PLAN COST
ATTRITION