Understanding Top 10 Disruptive Business Models


Growth and innovation lie in the heart of all companies. One of the best ways to achieve this is using a disruptive business model, as constantly evolving and redefining is a staple of strategic sales management. In this blog post, we’ll be exploring the top 10 most disruptive business models out there.

  1. On-Demand Model

    The on-demand model is one of the most disruptive business models in recent years. This model enables businesses to provide products and services to customers on an as-needed basis, without the need for them to commit to a long-term contract or purchase.

    This model has been popularised by companies such as Uber, which allows customers to order a ride with the click of a button, and Airbnb, which makes it easy for people to find short-term accommodation in cities around the world.

  2. Pyramid Model

    It involves a company offering a product or service at a lower price than its competitors. In order to make up for the lower prices, the company offers a higher quality product or service.

    This disruptive business model is often used by companies that are trying to disrupt an existing market. By offering a lower price and a higher quality product, the company can attract new customers and take market share away from its competitors.

  3. Experience Model

    The experience model is based on the premise that businesses can create more value for their customers by providing them with an exceptional customer experience.

    This customer experience can be delivered in a number of different ways. The focus, however, should always be on delivering value to the customer.
    One of the most well-known examples of this model is Apple, which has built its entire business around providing its customers with an exceptional user experience.

  4. Hypermarket Model

    This business model was first pioneered by the French retailer Carrefour in 1963. The main idea behind this model is to sell products at a rate lower than the cost price.

    As a result, they can sell amenities at very competitive prices and capture the market. One of the best examples of this model is Amazon, which has used low prices and convenience to drive many brick-and-mortar establishments out of business.

  5. Access Over Ownership Model

    In recent years, there has been a shift from an ownership model to an access model in many industries. With the rise of the sharing economy, consumers are increasingly valuing access over ownership.

    There are a number of reasons for this trend. First, it is more affordable to access items than to own them. Second, it is easier and more convenient to access items than to own them.

    However, the access over ownership model is disrupting a number of industries, including transportation, lodging, media, and retail.

  6. Marketplace Model

    In the marketplace business model, companies connect buyers and sellers to enable transactions. They may take a commission from each transaction, or charge a subscription fee to list products or services.

    Some of the most successful marketplaces are those that focus on a niche market or sector. For example, Etsy is a marketplace for handmade goods and vintage items, and Upwork is a marketplace for freelancers to find work.

  7. Free Model

    In this model, businesses give away their products or services for free in order to attract customers. Once they have a large customer base, they can then upsell them on premium versions of their products or services.

    This model has been popularised by companies like Google and Facebook, who give away their products for free and then later introduced paid features like ads and promotions.

  8. Subscription Model

    Subscription models are based on the recurring revenue model, where customers pay a monthly or annual fee to access a service or product. This recurring revenue stream gives subscription businesses a predictable and reliable source of income, which can be used to reinvest in the business and drive growth.

    It allows businesses to build closer relationships with their customers by providing them with regular value. In addition, subscription businesses often have lower customer acquisition costs (CAC) than other business models.

  9. Ecosystem Model

    In this disruptive business model, a company creates a system of interconnected products and services that are designed to work together to meet the needs of the customer.

    The company then uses this system to create value for the customer by providing a better experience, more convenience, or lower cost.

    The most successful example is Amazon, which has created a vast ecosystem of products and services that work together to meet the needs of its customers.

  10. Freemium Model

    This model allows users to use a product or service for free, with the option to upgrade to a premium version for more features or storage.

    One of the biggest advantages of the freemium model is that it allows companies to scale quickly and reach a large audience with little marketing spend.

    This model also has a low barrier to entry, which can encourage viral growth. However, the freemium model can be challenging to monetize, requiring some careful sales management.

Dive Deeper Into Disruptive Business Models With Strategic Sales Management and New Age Marketing Programme

The Professional Certificate Programme in Strategic Sales Management and New Age Marketing, offered by IIM Kozhikode is a comprehensive programme geared towards marketing and sales professionals. Apart from a rigorous pedagogy featuring case studies and real-life problem-solving, the programme also offers quizzes and projects to drive the lessons home. So, by enroll with Jaro Education in the best online management courses offered by IIM Kozhikode, you can become an exceptional marketing or sales manager and leave a mark in your field.


Disruptive Business Models can be beneficial for business owners and their customers alike. By utilising different disruptive models, businesses are able to gain a competitive advantage over their competitors in the marketplace. 

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