Littlepay Business Model Canvas Analysis: Sustainability & Growth

This report provides a comprehensive business model canvas analysis of Littlepay, an Australian micro-payment service provider, primarily serving the transport industry. It examines the relationships between the nine building blocks of Littlepay's business model, identifies critical success factors, and analyzes potential operational risks. The report also suggests changes to the business model to enhance long-term sustainability, including expanding services beyond the transport sector, improving promotional activities, and strengthening customer relationships. The analysis highlights Littlepay's strengths in providing a bank-level infrastructure and user-friendly interface, while also addressing weaknesses such as limited customer support and potential cost pressures from maintaining high security standards.

Running head: BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
Name of the Student
Name of the University
Author Note

1BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
Executive Summary
This report is based on the business model canvas analysis of the micro payment service
provider Australian organization Littlepay. The company mainly provides these services to
the transport companies in the market. The relationship between the nine building blocks of
business model of Little pay is analysed in the report. The critical success factors of the
company in the market is discussed and the risks related to the future operations are also
analysed. The changes that can be made in the business model of the company are suggested
which can further help in its long-term sustainability in the market.

2BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
Table of Contents
About Littlepay..............................................................................................................3
Business model canvas of Littlepay...............................................................................3
Key relationships between nine building blocks of Business Model Canvas................4
Critical success factors of Littlepay...............................................................................5
Risks related to operations of Littlepay in the industry.................................................6
Recommended changes in the business model of Littlepay...........................................7
References......................................................................................................................8

3BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
About Littlepay
Littlepay is an Australian start-up company which provides financial services which
focusses on services related to the processing of services related to micro payment. This
organization helps the transport companies, the operators and the authorities to accept the
payments with the help of cloud-based banking. The website of the organization provides
high level technologies for supporting the multi-operator payments. The organization was
established in the year 2015 by Michael Walters (Stockwell, 2018). The company is backed
by another famous global investment organization which has a good track record of investing
in the various payment related technologies and further developing them. The company aims
at creating solutions which address the major pain points of the industry and makes transport
related facilities seamless. The website provides more options related to payment which
improves the customer satisfaction levels and their loyalty as well. The acquiring system of
Littlepay helps the organizations in accepting payments from any channel or device, track the
performance and further manage risks as well (Aversa et al., 2015).
Business model canvas of Littlepay
Key Partners
 The
organizatio
ns which
use the
payment
platform.
 The
financial
institutions
which
provide
payment
related
services.
 The
effective
managemen
Key Activities
 Providing
smart
payment
options to the
various small
and the
medium-
sized
organizations
.
 Providing an
easy and safe
platform to
the business
organizations
to help them
in accepting
Value Proposition
 The
company
believes in
providing
easy payment
options to the
various small
and medium-
sized
organizations
.
 Creating a
safe
ecosystem
for payments
by the
efficient
Customer
Relationships
 The
company
creates
customer
relationship
with the
help of its
website and
the social
media
platforms.
 The
payment
options are
created
based on
Customer
Segments
 The small
and the
medium
level
organizatio
ns.
 The
customers
who make
payments to
the various
organizatio
ns.

4BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
t team of
the
organizatio
n (Dudin et
al., 2015).
payments. team in the
organization.
 Developing
new
technologies
in ways of
accepting
payments.
the
preference
of
customers.
Key Resources
 The bank
level
infrastructure
that is built
by the
company
officials.
 The team of
engineers
who aim to
implement
new
technologies
in the
operations of
the
organization.
Channels
 The
website of
the
company.
 The loosely
coupled
systems.
 The
powerful
process of
analysis.
 The easily
configurabl
e products
of the
company.
Cost Structure
 Maintaining the license that is required to perform
financial transactions.
 Development of the facilities provided by the
website to the various organizations.
 Management if security of the data of various
consumers (França et al. 2017).
Revenue Streams
 The subscription related fees that are
made by the various organizations.
 The payment related commissions
received from the organizations.
Key relationships between nine building blocks of Business Model Canvas
The nine buildings of the business canvas model are related to each other in an
effective manner. The key partners of the company which include, the organizations or the
merchants who register their operations with the website of Littlepay. The various financial
institutions which help the company in creating an infrastructure similar to the facilities
provided by the bank have an effect on the customer segments of Littlepay. The organizations
are able to accept their payment easily with the help of the effective banking infrastructure.
The key resources of the company which include the effective team of engineers help in the
development of the services that are provided in the website of Littlepay. The developed

5BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
facilities provided by the website helps Littlepay in acquiring customers (Fritscher &
Pigneur, 2014). The small and medium organizations are able to accept payments from the
customers with the help of the end to end payment related technologies which are developed
by the engineers of Littlepay. The effective channels of payment established by Littlepay
helps the company increasing the number of organizations which use the platform to accept
the payments. The revenues that are collected by the company from the subscription fees help
Littlepay in improving its operations and offerings so that the customer segments can be
increased (Ghezzi et al., 2015).
Critical success factors of Littlepay
The critical success related factors of the company are related to the powerful analysis
methods that are available for the examination of data of the organizations that are available
in the website of Littlepay. The products that are offered by the company are configurable in
nature and enables the easy maintenance of the business rules, concessions and the combos
that are provided by the organizations. The aggregation related programmes are based on the
customers, products, operators, location and the time (Zolnowski & Böhmann, 2014). The
platform that is provided for the merchants helps in providing single view for the customers.
The interface that is provided by the website is user-friendly in nature. The services in the
website of Littlepay are designed by collaborating with the users and providing them with the
products that they require (Joyce & Paquin, 2016). The acceptance of the payments that are
made by the customers can be controlled with the help of the website. The products can be
customised to provide the services that are required by the various groups of customers.
Littlepay mainly provides services to the transport related organizations. The website can be
used by the merchants of the company to issue travel cards so that the customers can store the
rights and products related to the travel package that they have purchased. The website of
Littlepay also provides customer platforms which help them in managing accounts, view their

6BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
transaction history. The Littlepay website provides many value-added services to the
customers which helps the website in attracting more customers. The security provided to the
customers based on the travel history and the funding related sources are also major critical
success factors of Littlepay. The bank level infrastructure that is provided by Littlepay helps
the company in creating a successful platform for the various transport organizations (Ojasalo
& Ojasalo, 2015). This also helps the organization in creating effective customer base for
both the merchants and the customers of the merchant organizations as well. The easy and
safe interface of the website designed by Littlepay helps the company in attracting more
customers. The organization helps in the management of various types of payments that can
be provided to the customers. The loyalty pf the customers increase with help of effective
management of the various payment options. Littlepay helps in organising the payments
made by the customers to the transport organizations. The organization is quite passionate
about the payment related services that can be provided to users. This unique concept has
helped the company to gain a huge amount of success within a short time period (Plenter et
al., 2017).
Risks related to operations of Littlepay in the industry
The major risk that is associated with the operations of the organization is the security
that is to be provided to the customers and the merchants who register with Littlepay. The
costs related to appropriate security measures are also quite high. This can put pressure on the
revenue stream of Littlepay. It has been analysed from the business model of the organization
that the promotional and advertising related activities are lacking. This can have an adverse
effect on the revenues and profits of the organization in the near future. The website is
providing a banking level interface to the merchants and the customers. This service can
prove to be quite expensive for a new organization like Litttlepay (Toro-Jarrín, Ponce-
Jaramillo & Güemes-Castorena, 2016). The various technologies, certificates and support

7BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
required to provide a banking level interface can put immense pressure on the profits of the
website. The customer support related interface of Littlepay is quite weak and this has been
proved from the company website. This can cause loss of the customers of the organization in
the future. This will further have an effect on the loyalty of the customers and the merchant
companies as well (Vargas, Calva & Camacho, 2015).
Recommended changes in the business model of Littlepay
The business model of Littlepay can be changed and developed so that the risks
related to the profitability of the organization can be mitigated easily. The website focusses
its business activities mostly on the transport related organizations. Littlepay can increase its
revenues in the future by expanding its business operations in the other areas. The website
can provide this payment related facilities to the retail organizations, the electronics
companies and many more. This will help the company in increasing its revenues and
providing business opportunities to the organizations belonging to different fields. The lack
of promotional activities can be a major cause behind the profitability related issues of the
organizations. The organization can undertake its promotional activities with the help of
various channels like, the social media, digital media, TV and many more. This will help
Littlepay in creating awareness of its brand in the minds of the target customers. The
customer relationships of Littlepay needs to be improved so that they can maintain the loyal
customers. The loyal customers can help in maintaining the revenues and increasing the
profitability of the organization. The company will be able to sustain in the market for a
longer time with the help of their effective customer management and promotional activities.
The website has an effective and efficient management team and it can use this resource to
further improve the business operations and increase revenues.

8BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
References
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França, C.L., Broman, G., Robèrt, K.H., Basile, G. and Trygg, L., (2017). An approach to
business model innovation and design for strategic sustainable development. Journal
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on the Impact of Business Model Design & Lean Startup Approach versus Traditional
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9BUSINESS MODEL CANVAS ANALYSIS OF LITTLEPAY
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https://littlepay.com/about.html
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