Teema 11 - Arendus- ja ärimudelid

Deezer: Business Model
Deezer utilizes a freemium-type business model. The app is available for free to download on a big variety of platforms, such as Android, iOS (including MacOS) & Windows (10). However, without paying a monthly subscription, only a limited number of features is available.
It uses the same easy to navigate GUI (Graphical User Interface) as the premium subscription for comfortable usage, which makes it appealing to many people.
However, in this free version, only a low audio playback quality is available, you can’t download your playlists and after every few songs you play there is an ad, either about how you can benefit from paying the monthly subscription, or from a sponsor. When you pay the subscription, you get access to all features for a reasonable price.
This business model is a perfect method to get many people to download your app, as it is free, while also making a ton of money as people will easily get annoyed by all ads which means they will gladly pay for the monthly subscription. As long as the app provides them a seamless experience in their daily lives, which Deezer does, people will generally be prepared to pay the subscription. A big competitor is Spotify, which uses the same business model.

 

Deezer: Development Model
Deezer utilizes the Scrum development model, an agile framework used for developing and maintaining big, structured products within software development. Scrum is an agile way of working that increases your agility and makes it possible to meet the wishes of your target group and end user as well as possible. Where a traditional approach involves a lot of time in preparing and writing plans, Scrum ensures that you add value for the customer as quickly as possible. The Scrum approach not only works for software but is also very useful in other sectors.

In Scrum you work with a self-organizing and multidisciplinary development team in short cycles on concrete intermediate products, called ‘sprints’. Each sprint consists of several fixed meetings (called 'events' in the Scrum guide) that give structure to the process. In addition, you work in fixed roles (development team, product owner, scrum master and stakeholder) and make use of a number of tools, such as a product backlog and a scrum board, which are called lists (referred to as 'artefacts' in the Scrum guide).

The Scrum framework is built on a foundation of three pillars: transparency, inspection, and adaptation. Transparency applies to everything in Scrum, the work, the goals, the roles, and responsibilities, etc. Hereby it is clear that everyone has the necessary information at their disposal quickly and easily. Every sprint there are two moments of inspection, the review, and the retrospective. The team looks at delivered intermediate products and the process in which these have been created. After that the necessary improvements to the product and the processes can be made, i.e. adaptation. The transparency makes the cycle of inspection and adaptation possible.

By using the Scrum (agile) development model, Deezer is always able to quickly roll out updates with new features while maintaining quality.