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Revenue Models

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Revenue models are a fundamental part of successful business models. Whether you are a brick and mortar retail company or a software as a service business, aiming to generate as much revenue as possible is critically important for your venture.
In very simple words, a revenue model is how a business makes money. It is a conceptual framework that includes every aspect of the revenue earning strategy, such as the value proposition (product/service), the revenue sources, the pricing and payment methods, and the target consumer.

Revenue can be generated from many sources and means. But the revenue model you chose will define how you can sell to your target audience, in order to build a profitable growth-oriented business.

Therefore, it is a core element of your business model.

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