Revenue model analysis in the creditdecision services market

Abstract: One of the most fundamental aspects of a business is revenue generation. The revenue modeldescribes how revenues are collected by a firm through selling its products and services. Asrevenue generation is of great importance to a business, it is essential for companies to analyzetheir revenue model to establish whether their current model for revenue appropriation isoptimal.After conducting pre-interviews at Bisnode AB, the commissioner of this study, it becameevident that Bisnode has a need to analyze their current revenue model for its credit decisionservices in a structured manner to ensure its competitiveness and profitability. Thus, this thesiswill study revenue model analysis for firms active in the market for credit decision services.The research was conducted through a qualitative case study at Bisnode, based on semistructuredinterviews, observations and archival information. By identifying which aspects totake into consideration when analyzing a revenue model, and by grounding the findings into theexisting literature, a complete framework for revenue model analysis was developed. Theframework facilitates revenue model analysis and consists of five different dimensions: financial,customers, strategy, competition, and macro environment. Further, by linking the case studyfindings to the existing body of literature, a work process for revenue model analysis wasproposed. The outcome of this study is a framework for revenue model analysis to be used bycompanies offering credit decision services.The findings of the research have both theoretical, managerial and sustainability implications.From a theoretical standpoint, a framework for revenue model analysis that integrates strategicmanagement literature and studies on value proposition has been proposed. Furthermore, asearlier research has been mainly focused on the business model as a whole, this report studies therevenue model as an independent research topic and lays the foundation for further research inthe domain. From a managerial perspective, the outcome of the research enables managers offirms active in the credit decision services market to comprehensively analyze revenue models ina structured fashion. Finally, the revenue model analysis framework assesses a revenue model’scompetitiveness and profitability, which contributes to the economical sustainability of a firm.