The Profit Implications of Your Value Exchange Model
Do you understand your value exchange model? The economic value of a software-enabled solution is the benefits a customer receives less their costs. How a customer exchanges money for this value represents a critical design decision for product leaders with substantial, long-term implications for their underlying technical and business architectures as well as the sustainability of their solution. Design choices made by business leaders about value exchange directly influence the profitability of the software-enabled solution’s business model.