6BUS1082 - Market Research: Soapsmith Business Model Canvas Audit

This report presents a business model audit of Soapsmith, a UK-based beauty and wellness company, focusing on its existing business canvas model. The analysis identifies the company's value proposition, examines the fit between its products and target consumer segments, and recommends changes to maximize business opportunities. The report includes a revised business canvas model based on the recommendations, specifically enhancing consumer segment details to include skin types and targeting male consumers. This aims to improve product specialization and expand the consumer base, ultimately enhancing profitability. The document provides a comprehensive overview of Soapsmith's business strategy and potential improvements.

Business Model Audit
Improving the
Existing Business
Canvas Model
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Contents
INTRODUCTION.........................................................................................................................3
Existing business model ........................................................................................................3
MAIN BODY ................................................................................................................................4
1 Value Proposition for business ...........................................................................................4
2 The fit between product and consumer/market ..................................................................6
3 Recommendation for change which can maximize business opportunities .......................7
4 Revised Business Canvas Model ........................................................................................8
REFRENCES................................................................................................................................10
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INTRODUCTION
Every organizations provides consumers specific value in exchange for their product which helps
them stand out from their competitors and attract large number of consumers to attain higher
profitability (Sparviero, 2019). The company selected for this report is Soapsmith which offers
beauty and wellness products in UK. This report focuses on an analysis of business canvas
model Soapsmith company. The business canvas model for the respective company is provided
below along with its analysis for identifying the value proposition for the specific business and
determining the fit between product and consumer market for the company. Finally
recommendation for change which can help improve the business canvas model for the company
by modifying a specific area of the business model canvas is also provided in the model along
with a revised business cosmos model on the basis of the recommendation.
Existing business model
A business canvas model is defined as a tool which is used by organizations to summarize their
overall business activities and value proposition in an easy to understand manner. This report
looks at the existing business canvas model of poultry meat and vegetarian products
manufacturing company in order to determine the various aspects of business model followed by
the organization in order to understand the current value proposition offered by the company to
its consumers or market (Daou and et. al., 2020). The usage of business canvas model is
advantages because it helps effectively divide the different activities of a company in a
simplified manner which can be understood by any individual in order to understand the overall
business operations and business aim of the firm. In context of the respective company it is
important to apply business Canvas model in order to get suitable summary of its various
business operations and the current business model because it helps identify the specific
operations which are implemented by the company in order to develop its products or services.
Key Partners
• Raw Material
Supplier
• Delivery Partner
Key Activities
• Manufacturing
• Marketing
• Distribution
• Research and Development
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Key Resources
• Human Resources
• Technological Resources
• Distribution Resources
• Financial Resources
Cost Structure
• Logistics
• Marketing
• Tax
• Raw Material Purchase
• Manufacturing Plant maintenance
• Remuneration
Value Proposition
• Scent, body and
wellness products
• Responsible
wellness products
• Large Product
Portfolio
Consumer Relationship
• Brand Awareness
• Consumer Service
• After Sales Service
• Sustainability
• Diversity
Consumer Segments
 Middle-income
consumers
 Low-income
consumers
 Female consumers
Channels:
• Website
• Social media
• Online retailers
Revenue stream
• Own Website
• Online retail
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MAIN BODY
1 Value Proposition for business
Consumer Jobs
 Purchasing beauty
products
 Personalized healthy and
sustainable body and
wellness products
 Fast delivery
Gains
 Better accessibility
 Faster Delivery
 Higher Quality
Pains
 Time consuming purchasing process
 Online order disruption
 Low Quality
Products and Service
 Wide range of body
and wellness
 Vegan body and
wellness products
 Online availability of
Scent, body and
wellness products
Gain Creators
 Timely Delivery
 Good quality packaging and product
 Online Payment Option
Pain Relievers
 Sustainable products
 High standard production
 Different variations
From the above application of the value proposition model it is determined that the
company offers consumers product in services which create gain and eliminate pain of the
consumers. The value proposition of a company delivers the value offered by the organization to
their target consumer base and help the company attract larger number of consumers from its
target segment (Carter and Carter, 2020). It is determined from the above application of value
proposition model that the jobs which consumer need to fulfill from the products of the company
include purchasing beauty product. personalized healthy and sustainable body and wellness
products with fast The primary gains which consumers seek to attend from the products include
better accessibility faster delivery and higher quality while the pains which reduce consumer
experience are unnecessary time consumption, online order disruption and low quality.
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In context of Soap smith UK its products and services include wide range of scent, body
and wellness products which help increase gain and eliminate pain of the consumers (Saopsmith,
2022). The wide availability of company products in different channels including online
retailers, social media sites and own websites which can provide consumers the gain of online
payment option and timely delivery.
In addition to this the wide range of product portfolio including organic and responsible
beauty products which is developed with the help of beauty and wellness experts delivers the
gain of high quality and eliminates the pain of low quality. The different channels through which
soap smith offers variety of products eliminates of lack of variety while also promoting
sustainable products and better quality. It is important that a company diversifies its distribution
channel to protect its business model from being negatively affected by disruption in any single
distribution channel (Hamwi, Lizarralde and Legardeur, 2021). In this way the main pain
creators for the consumers are eliminate it and the consumers is provided highest satisfaction
with the products of the company.
From the above discussion it is determine that in case of the soap smith its business
canvas model plays an important role in delivering favorable value proposition to its target
consumer base which provide higher levels of satisfaction for the consumers. In this way
effective value is delivered to the consumers and they remain satisfied with the company which
increases its profitability and loyal consumer base supporting instantaneous growth and long
term survival.
2 The fit between product and consumer/market
In context of the soap smith there is perfect fit between the product and target market of the
company. According to the current business canvas model of the organization the target
consumer base of the company includes different demographics including middle income
consumers. high income consumers and female consumers. All these consumer segments require
sustainable beauty products which are produced with the help of responsible supply management
while specific consumer segments require vegetarian consumer products. In the current age
wellness and beauty consumer demand sustainability from brands to purchase regularly (Castillo,
Jaramillo and Sy, 2022). Soap smith UK is able to offer each consumer satisfaction as it's
products out of high quality and right in variety which is able to satisfy different set of
consumers including middle income and high income consumers.
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The products of the soap smith are perfect fit for its different consumer demographics because it
provides each consumer a specific product which caters to their needs and wants and is able to
offer them the best quality product. In context of female consumers the firm offers wide variety
of vegan beauty products such as soaps and body wash which are able to provide different
consumer sections satisfaction along with an online delivery option which delivers quicker than
other organizations. In addition to this, its accessibility is another plus point in the favor of the
company as it relieves the pain of the consumer and helps them purchase their favorite poultry
snack or product from a nearby supermarket or retail chain. The wellness and beauty industry
has been shifting towards faster delivery and accessibility as many consumers purchase products
through online channels (Spierings, 2020).
In addition to this soap smith has also considered the interest of its middle income consumers by
offering products at sale on online retail shops at discounted price so that middle income
consumers are able to purchase the products of the company. In this way the company is able to
develop a strong clientele from the middle income consumer base as it helps ensure that
consumers are looking for quality products are retained by the firm. In context of the soap smith
it is important to look at the ways in which the company has been able to handle its business to
different segments as it has helped the firm gain success in competitive beauty industry.
The company has considered the interests of its consumers by widening its
communication channels. Soap smith UK has been able to deliver the different consumers high
quality responsible and different range of beauty and wellness products which has helped the
company attract large number of business to business clients. In addition to this the choice of
channels used by the organization for maintaining consumer relationship including customer
service after sales service and sustainability also have the form maintain professional
relationships with business to business consumers while also providing better experience to
business to consumers consumer.
3 Recommendation for change which can maximize business opportunities
In context of the respective organization it is recommended that the form enhances its business
canvas model by enhancing and detailing its consumer segments. According to this
recommendation middle income and high income consumers can also further be divided
according to their skin type such as reactive skin and dry skin so that better products are created
which are targeted to specific consumer personas. There is huge demand for specialized solutions
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for various skin problems and skin types as it helps consumers avoid reaction from wellness
products such as soap which damages their skin. (CHEN and Choi, 2022) In addition to this there
is also need to introduce male consumers so that specific products targeting the male
demographic are also offered by the company. These changes in the business canvas model are
suitable because they will help the company expand its consumer segments and attract more
consumers in order to attain its main objective which is enhancing profitability.
4 Revised Business Canvas Model
Key Partners
• Ocado
• Tesco
• Asda
• Sainsbury’s
• McDonald
• Suppliers in
France,
Netherlands and
Ireland
• Poultry Farmers
Key Activities
• Manufacturing
• Marketing
• Distribution
• Research and Development
Key Resources
• Human Resources
• Technological Resources
• Distribution Resources
• Financial Resources
Cost Structure
• Logistics
• Marketing
• Tax
• Raw Material Purchase
• Manufacturing Plant maintenance
• Remuneration
Value Proposition
• Food Service
Expertise
Consumer Relationship
• Brand Awareness
• Consumer Service
Consumer Segments
 Reactive skin
consumers
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• Organic Meat
• Responsible
Poultry Framing
• Large Product
Portfolio
• After Sales Service
• Sustainability
• Diversity
 Eco-friendly
consumers
 Middle income
consumers
 Low income
consumers
 Male consumers
Channels:
• Retail Channel
• Supermarkets
• Fast Food chains
• Online retailers
• Press
Revenue stream
• Retail Chain
• Fast Food restaurants
• Online Retailers
• Catering Companies
• Own Website
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REFRENCES
Books and Journals
Sparviero, S., 2019. The case for a socially oriented business model canvas: The social enterprise
model canvas. Journal of social entrepreneurship, 10(2). pp.232-251.
Daou and et. al., 2020. The Ecocanvas as a business model canvas for a circular
economy. Journal of Cleaner Production, 258. p.120938.
Carter, M. and Carter, C., 2020. The creative business model canvas. Social Enterprise Journal.
Hamwi, M., Lizarralde, I. and Legardeur, J., 2021. Demand response business model canvas: A
tool for flexibility creation in the electricity markets. Journal of Cleaner
Production, 282. p.124539.
Castillo, R. A., Jaramillo, C. Z. and Sy, L., 2022. The Effectiveness of Social Media Influencers
in the Cosmetic and Skincare Industry to the Purchase Intention of the Generation Z
Filipinos. Journal of Business and Management Studies, 4(2). pp.180-191.
Spierings, N. M., 2020. Cosmetic commentary: Is bakuchiol the new" skincare hero"?. Journal
of Cosmetic Dermatology, 19(12). pp.3208-3209.
CHEN, J. X. and Choi, M. O., 2022. The Effect of Chinese Women in Their 20s and 30s on the
Customer Awareness of Medical Skincare on Satisfaction. Journal of the Korean
Society of Cosmetology, 28(2). pp.315-322.
Online
Saopsmith, 2022. [Online] Available through
<https://www.yogamatters.com/collections/soapsmith>
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