A Detailed Business Model Analysis of The Cabin Sydney's Operations

This report conducts a comprehensive business model analysis of The Cabin Sydney, an outpatient addiction treatment clinic. The analysis explores the company's operations, customer segments (including those with substance and process addictions), key partners, value proposition (incorporating AI and ML for patient monitoring), key activities (social media engagement), channels, revenue streams, cost structure, key resources, and customer relationships. The interrelationships between these elements are examined, along with critical success factors (awareness and social media) and downside risks (relapse). The report also discusses potential business model changes, providing a conclusion and recommendations for improvement, such as enhancing AI-driven motivational messaging and expanding social media activities to include online addiction level assessments.

BUSINESS MODEL – THE CABIN SYDNEY
STUDENT DETAILS
STUDENT DETAIL

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Executive Summary
The selected company for this report is "The Cabin Sydney". The company started its
operations in the year 2015 and they provide effective addiction treatment for both substance
addiction (alcohol addiction, marijuana, LSD, paint thinners, opioid pain killers, etc) and
process addiction (internet addiction, gaming addiction, gambling addiction, etc). It is
analysed in this study that the positive mental attitude and behaviour of the people plays an
important role.

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Table of Contents
I. Introduction........................................................................................................................2
II. Business model...................................................................................................................3
A. Building blocks............................................................................................................3
1. Customer segments..................................................................................................3
2. Key partners.............................................................................................................3
3. Value proposition.....................................................................................................3
4. Key Activities..........................................................................................................4
5. Channels...................................................................................................................4
6. Revenue Streams......................................................................................................4
7. Cost structure...........................................................................................................4
8. Key resources...........................................................................................................5
9. Customer relationships............................................................................................5
B. Interrelationships.........................................................................................................5
C. Critical success factors................................................................................................6
D. Downside risks............................................................................................................6
E. Business model changes..............................................................................................7
III. Conclusion.......................................................................................................................7
IV. Recommendations...........................................................................................................7
References..................................................................................................................................9

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I. Introduction
For this report, the selected company is “The Cabin Sydney”. The company is an
outpatient addiction treatment clinic. This is the multinational addiction treatment that is
located in Edgecliff NSW 2027, Australia (Thecabinsydney.com.au, 2020). In this report,
there will be a discussion about the business model of the company that will incorporate
building blocks, interrelationships, critical success factors, downside risks, business model
changes, etc.
II. Business model
The Cabin Sydney provides effective addiction treatment for both kinds of addiction
(substance and process). The innovative thing about the company is that they incorporate
the use of AI and ML in their process to treat the patients (Even-Chen & Barak, 2019).
A. Building blocks
This section will consist of nine building blocks approach:
1. Customer segments
Sex Both – male and female
Type of consumers Who is highly addictive to alcohol, drugs,
paint sniffers, uses of the internet, etc.
Age For substance addiction: Age 25+
For process addiction: Age 18+
Addiction Treatment available for both substance and
process addiction
2. Key partners
Partners of the company

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The Sydney Morning Herald
The Australian Newspaper
Daily Mail
News.com.au
Daily Telegraph
3. Value proposition
i. It helps the people to overcome their addiction in an effective and efficient way.
ii. They incorporate the use of AI and ML in their process to provide timely medications
to the patients and to monitor their body activity. As while discontinuing any
addiction, the human body showcase various withdrawal syndromes. AI and ML
process helps the company to monitor such syndromes in an effective and efficient
way (Garami, et. al., 2019).
4. Key Activities
They encourage those people who are addictive to any drugs or alcohol by publishing
their advertisements on social media. As, the company also conduct various social media
activities on their official channel to encourage drugs addictive people to join their hands
(Jung, 2019).
5. Channels
They have contacts with hospitals and with various research centers through which
they incorporate effective research and information. The company has a combined
channel with the Monash Addiction Research Centre (MARC) (Kaux, et. al., 2019).
6. Revenue Streams
According to zoominfo.com, the company had incurred a revenue of $5million in the
4th quarter of 2018. The company generates revenue by treating patients and they have

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different programs for treating patients based upon the type of addiction and their mental
attitude (Zoominfo.com, 2019).
7. Cost structure
The company incurs a cost on the medications, infrastructure, health care machinery,
remuneration of the staff members, etc. On average, treating a single patient who has
moderate addiction incorporates the cost of around $200 to $300 (Zoominfo.com, 2019).
8. Key resources
The print media partners of the company are their key resources because they help
them to convince highly addictive people to join them. Apart from this, various research
and studies of the company are also their key resources because their research helps them
to conduct effective analysis (Khumalo, Shumba & Mkhize, 2019).
9. Customer relationships
They have the centralized database of the customers and they regularly send them
motivational quotes, precautions measures and they also conduct online activities for
those members who had attended their programs. Primarily, the company contacts its
customers through the medium of digital platforms in an effective and efficient way. The
company also have the policy that even after taking the treatment, a person can stay in
touch with their community services, in this community services they need to tell about
their past life and the role of Cabin Sydney in overcoming that addiction (Silverman,
Holtyn & Toegel, 2019).
B. Interrelationships
They have a centralized database of over 20,000+ substance addictive patients with
over 5000+ process addictive patients. Apart from this, the company has contact with
over 5+ media centers that include newspapers and magazines. Through these media

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resources, they convenience their targeted audience to join their hands. As it is noted in
the country that people feel scared and nervous by thinking to join the hands of rehab
centers. Moreover, people think that they do not need to join the rehab center because
they are not too addicted with any kind of drug (Song, et. al., 2019).
Through these print media journals and digital methods like social media, the
company motivates their targeted audience to think about overcoming any kind of
addiction at any stage because addiction not only affects their physiological state but it
also put adverse impact on their psychological state. If we conclude from the welfare of
the nation then we can analyse that it is important for the population to stay away from
anything of substance addiction. Substance addiction is more dangerous than the process
of addiction. Social media is the primary success factor for the company because social
media empowers people to live a healthy and drug-free life.
C. Critical success factors
The critical success factor for the company lies in the awareness of the people. In
Australia, it can be seen that people are now spreading awareness on social media about
the harmfulness of having any kind of addiction either process or substance. This is the
major success factor that people themselves talking with each other about their addiction
levels. Since 2016, it can be seen that Australian social media is rapidly spreading
awareness about the harmful effect of having drugs. The media content also suggest
people join rehab centers in order to overcome addiction. From the argumental
perspective, it is observed in a few cases that people who had overcome their addiction
through the Cabin Sydney, again get addicted to the same drugs that they had used before.
Such kind of incidents spoils the image of the company. Here, the problem is that such
kind of people fails to keep themselves in the discipline and they fail to guide their mind
in the path of righteous (Song, et. al., 2019).

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D. Downside risks
The assigned downside risks with the company are linked with those people who
again become addictive to a certain drug that they used before. As, it is observed not only
in the rehab center of the Cabin Sydney but at the global level, that few numbers of
people became addicted to the drug again even after attending various programs and even
after taking various medications. In order to overcome such risk, the Cabin Sydney had
already started its operations in which they teach people about measures and precautions.
These measures help people to stay away from any kind of drugs because drugs affect
their mental as well as their physical health. Moreover, the end program of the Cabin
Sydney teaches about the adverse effect of having drugs and they request people to
always stay in touch with their community services so that they will get timely learning
about the latest methods to stop the urges for any drugs. As according to the company,
after leaving the rehab centers, the psychology of the person plays an important role.
They should keep a positive mental attitude because incorporating positive mental
behaviour will help them to stay away from the kind of drugs (Khumalo, Shumba &
Mkhize, 2019).
E. Business model changes
The business model of the company is based on the purpose to research addictive
behaviour and modern ways to overcome that addiction. The company earns revenue
from treating patients who have any kind of addiction at any level. The management is
also trying for joining their norms with various insurance companies (Song, et. al., 2019).
III. Conclusion
It is concluded that the company earns revenue by treating patients who are suffering
from the process addiction as well from the substance addiction. The company makes use

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of AI technology in its process to monitor the health of the patients and to provide them
timely medications. The management has mentioned that the positive mental attitude of
the people plays a major role in overcoming such kind of addiction. Digital media
methods are the prime resource of the company through which they reach their audiences.
IV. Recommendations
It is recommitted that the company should start the process through their AI and ML,
in this process regular text message of motivation quotes should be sent to the people who
had attained their programs. By doing this, the management can expect the reduce cases
of those people who become addicted to drugs again. Apart from this, the company
should increase its social media activities and they should conduct an online test in which
the people can itself judge the level of their addiction. This online test should be in the
form of a questionnaire that consists of 10-15 questions related to their drug addiction
(Song, et. al., 2019).

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References
Even‐Chen, O., & Barak, S. (2019). The role of fibroblast growth factor 2 in drug
addiction. European Journal of Neuroscience, 50(3), 2552-2561.
Garami, J., Valikhani, A., Parkes, D., Haber, P., Mahlberg, J., Misiak, B. & Moustafa, A. A.
(2019). Examining perceived stress, childhood trauma and interpersonal trauma in
individuals with drug addiction. Psychological reports, 122(2), 433-450.
Jung, T. D. (2019). The exploration of pioglitazone’s potential as a pharmacotherapy option
for drug addiction. University of Western Ontario Medical Journal, 87(S1), 11-14.
Kaux, J. F., Bornheim, S., Dardenne, N., DEROISY, R., SAMSON, A., Roberjot, M., &
Croisier, J. L. (2019). Comparison between platelet-rich plasma injections and
hyaluronic acid injections in the treatment of patellar tendinopathies: a randomized
trial. Muscles, Ligaments and Tendons Journal, 9(3), 322-327.
Khumalo, T., Shumba, K., & Mkhize, N. (2019). Journal of Addiction Research &
Therapy. integration, 22(1), 23-45.
Silverman, K., Holtyn, A. F., & Toegel, F. (2019). The utility of operant conditioning to
address poverty and drug addiction. Perspectives on Behavior Science, 42(3), 525-
546.
Song, S., Zilverstand, A., Gui, W., Li, H. J., & Zhou, X. (2019). Effects of single-session
versus multi-session non-invasive brain stimulation on craving and consumption in
individuals with drug addiction, eating disorders or obesity: A meta-
analysis. Brain stimulation, 12(3), 606-618.

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Thecabinsydney.com.au. (2020). What type of treatment you are looking for? Retrieved from:
https://www.thecabinsydney.com.au/
Zoominfo.com. (2019) the cabin Sydney. Retrieved from: https://www.zoominfo.com/c/the-
cabin-sydney/369227405