Burial or Rebirth of Dutch Notary Business Model?

Officer 02 - colored cartoon illustrationToday in the Dutch newspaper “De Telegraaf” an article was posted about the fall of revenue of Notaries/Solicitors of 30 to 40%.  “A big war” is going on between Notary offices who lower their rates in order to keep up with the competition. Or in other words… in order to survive. “200 notaries united to fight the battle because the market enforced the prices going down!” “The New Stamp” will put an end to lower prices. Anyone who charges lower prices will be friendly asked not to do so. AMAZING.  Mmm… do Notaries wear sunglasses? Are they too blind to see what their clients really want?

But  where have we seen strong decrease in revenue  before? CD-sales? In the music industry? Where established firms like e.g Warner was outperformed by newcomers with new business models like Sellaband? In the car industry? In the airline industry where Ryanair and Easyjet rule the market nowadays? 

What should Notaries do nowadays… ?  I think they should understand that they can not change the market but rather themselves should adjust to the changes. Why? Clients do not see the added value of their services as contracts are available on the Internet. Their services are not transparent. Why paying € 1.400 for setting up a company? Or € 1.200 for wedding papers?  Can Notaries do something about it? YES they CAN! Take off their sunglasses and do BUSINESS MODEL INNOVATION! 

Take a look at the practices in the other regions, Estonia for example. Looking at Estonia would not be your first thought. However, we can learn a lot from them. The idea is to facilitate the entrepreneur in boosting the economy (not the Notaries bank account). For setting up a business you have 2 options: 1) through the Internet (if no notary is required) and option 2: at Notary office. And do you know what the second option costs you? Depending on the number of parties involved and the transaction volume you pay for a BV (Dutch Limited Company) only € 70! 

Being served by an Estonian Notary feels like flying Easyjet. A different model. No over the top offices, no staff overload, no Notary with Mont Blanc pencils but just a beautiful designed office where you can shop for a Notary signature in only 20 minutes. By the way in the public computer corner you can pay your bill online. Pick up and delivery of papers on the next day. Wow Dutch Notaries… what about that?

Business Model Video of June 19th 2009

Great conferences, high energy, great speakers and dito audience. Do you see all the stickies on the participants? We did a physical tagging exercise. A must for every event! And… the book is ready for sale.

Tata Nano – New Business Model Innovation?

Striking is that Tata introduced a new car… The Tata Nano. It was first introduced on the Auto Expo (Jan 2008). A cheap, basic designed and environmental friendly car (very economical) . The car will be on sales on July 2009. But is this business model innovation? What do you think? Yes, making cars available for everyone… Same as India did with the public transport 😉

Yes, I think they use cheap labor, they produce for the local market (India) and… the distribute through Internet. You can buy your Tata Nano Online here.  Online? Yes, as the options are limited (color of the car only), Internet suits as a distribution channel here.  

See here a video on this topic.. thx to Innovation Management.

Business Model Innovation: “Show me the money!”

A lot of companies are working on Innovation despite the financial crisis. Many spend time on generating new ideas and concepts. Few ask themselves the most important question: “Where is the money?”  

Here a movie – imagine yourself being Jerry …

Today I had a meeting with George Steltman. George – former Deloitte consultant – served CFO’s by streamlining their finance function. What he noticed is that CFO’s asks themselves this question too late. They do not look towards the future but they look at the past. They should help their CEO by asking this one question: “Where is the money ?” 

George developed a financial model connected to the business model canvas. Here he identifies costs, revenues and results based on the different scenarios set by clients. “Where can we reduce costs?” “How can we optimize our channels” Where can we find revenue generators?” More to come about this model in the very near future…