In the Business Model Canvas, what does Revenue Streams describe?

• A. The prices charged to customers only.
• B. The ways the business earns money from its value proposition.
• C. The channels used for distribution.
• D. The key resources required.

Answer: (B)

Revenue streams describe how a business earns money from its value proposition. It isn’t just the price charged for a product or service; it covers the various monetization methods and the different flows of income that come from delivering value to customers. For example, a streaming service might earn through monthly subscriptions, pay-per-view rentals, and advertising. A hardware company might sell the product upfront and offer ongoing maintenance contracts. Channels are about how you reach and deliver to customers, and key resources are the assets needed to create and deliver the offering. Pricing is the amount charged, but revenue streams define the actual money-making mechanisms and how many and what kinds of revenue sources you have.