Revenue streams

Revenue streams are the different ways a company generates income from each customer segment. It involves understanding how much each customer is willing to pay, appropriate pricing strategies, and the most effective revenue streams for the business model.

Some common types of revenue streams include:

• Sales revenue from selling products or services
• Subscription revenue from offering ongoing services or access to content
• Advertising revenue from selling space for advertisements on a website or in a publication
• Commission revenue from earning a percentage of sales made through a platform or marketplace
• Licensing revenue from granting permission for others to use a company's intellectual property

The revenue streams of a company are influenced by all the aforementioned building blocks of the BMC. By understanding where revenue comes from and how it is generated, a company can better allocate resources and make strategic decisions to grow its business.