Block 3 of 9 in the fill order

Channels: What Goes in This Business Model Canvas Block

Channels are how a company communicates with and reaches its customer segments to deliver its value proposition: every communication, distribution, and sales touchpoint.

By The BMC Templates TeamLast updated

Channels are how a company communicates with and reaches its customer segments to deliver its value proposition. The block spans three things at once: communication channels, distribution channels, and sales channels. Put simply, channels are the customer touchpoints, every point of contact between your business and the people it serves.

This is block 3 of 9 in the recommended fill order, and it sits in the customer zone on the right side of the canvas. It answers one question: you have decided who your customer is and what value you offer them, so how does that value actually travel from you to them?

Most teams fill this block too narrowly. They write down their marketing channels and stop. The block covers the entire customer journey, from the moment a stranger first hears your name to the moment an existing customer needs help. This page walks through what belongs in it, the questions professionals ask, three concrete examples, and the mistakes that make the block useless.

What goes in the channels block

Two frameworks structure this block. Use both.

The 5 channel phases

Osterwalder maps channels across five phases of the customer journey:

  1. Awareness. How do customers learn that you exist?
  2. Evaluation. How do they assess your value proposition before committing?
  3. Purchase. How do they actually buy?
  4. Delivery. How does the value proposition physically or digitally reach them?
  5. After-sales. How do you support them after the purchase?

A complete channels block covers all five. If a stranger cannot discover you, evaluate you, buy from you, receive the product, and get help when something breaks, you have a gap, and gaps in this block show up later as churn, refund requests, and stalled growth.

Channel types: own vs. partner, direct vs. indirect

The second lens is who controls the channel:

Type Examples Trade-off
Own, direct Sales force, web sales Highest margin, full customer data, slowest to scale
Own, indirect Your own retail stores Control plus physical presence, capital intensive
Partner Partner stores, wholesalers, marketplaces, app stores Fast reach, lower margin, someone else owns the relationship

Neither is inherently better. Own channels give you margin and first-party data. Partner channels give you reach without the capital cost. Mature companies usually blend both and manage the tension deliberately.

One more distinction matters when you fill in the block: separate the channels that exist and work today (as-is) from the channels you plan to build (to-be). Planned channels belong on the canvas, but marked clearly as hypotheses, not stated as fact.

The guiding questions professionals ask

When consultants review a channels block, these are the questions they run through:

  • Through which channels do our customer segments want to be reached? How are we reaching them now?
  • Which channels work best? Which are most cost-efficient?
  • How are we integrating channels with our customers’ routines?
  • Where does this customer already spend time and attention? Where do they already buy things like ours?
  • Which channels actually work today, versus which do we wish existed?
  • What is our cost to acquire a customer through each channel, and does the revenue per customer justify it?
  • Are all 5 phases covered? Can a stranger discover us, evaluate us, buy, receive, and get help?

Notice that every question ties channels back to a specific customer segment or to money. A channel is not good in the abstract. It is good for a segment, at a cost, relative to what that segment pays you.

Channels examples

Warby Parker: the channel story that inverted

Warby Parker is the most instructive channel case on our examples page. It launched as a pure e-commerce eyewear brand, and its channels block today looks nothing like the founding story:

  • E-commerce site and app. The original channel, still critical for Home Try-On, reorders, and contact lenses. It also feeds the retail pipeline with demand data.
  • Own retail stores. Roughly 323 stores at the end of 2025, with sales per square foot near Apple-tier levels. New stores measurably lift online sales in their market.
  • Target shop-in-shops. Launched 2025: a partner channel that gives capital-light reach into mass-market suburbs the brand’s urban stores never touched.
  • Virtual try-on and telehealth. iPhone AR try-on and virtual prescription renewal keep low-intent and repeat customers converting without a store visit.
  • Earned media and word of mouth. The founding story and the Home Try-On unboxing were engineered to be shareable, which historically kept acquisition costs below fashion-brand norms.

The teaching point: the famous online glasses company now earns roughly two-thirds of revenue from physical stores, because stores turned out to be its cheapest acquisition channel. Direct-to-consumer was a starting wedge, not an end state. Your channels block should be revisited, not carved in stone.

A B2B SaaS company selling to mid-market finance teams

  • Awareness: comparison-site listings, LinkedIn content, finance-community podcasts, and referrals from accounting firms.
  • Evaluation: a 14-day free trial, a self-serve demo environment, and case studies with named customers.
  • Purchase: self-serve checkout for small accounts; an inside sales rep for deals above a seat threshold.
  • Delivery: cloud application plus a guided onboarding sequence in the first 30 days.
  • After-sales: in-app chat support, a help center, and quarterly business reviews for larger accounts.

Note the split at purchase: the channel changes with deal size, because a $50-per-month account cannot support a salesperson but a $30,000 annual contract can. Channel economics dictate the structure.

A regional specialty food producer

  • Awareness: farmers markets, local press, and Instagram.
  • Evaluation: free tastings at the market stall (a channel that also builds trust in a way no ad can).
  • Purchase: direct at markets, own web store, and a wholesale channel into 40 independent grocers.
  • Delivery: in person at markets, courier for web orders, a distributor for grocery accounts.
  • After-sales: email replies and a simple replacement policy.

This model runs own-direct and partner channels side by side. The market stall earns full margin and customer conversations; the grocers earn less per unit but move ten times the volume. That tension is normal, and the canvas makes it visible.

Common mistakes (and the fix for each)

1. Listing only marketing channels. Teams write “Instagram, SEO, ads” and stop. That covers one of five phases. Delivery and after-sales are channels too, and they are usually where the customer experience actually breaks. Fix: run your list against the 5 phases and fill every gap. If after-sales is blank, that is a finding, not a formatting issue.

2. Wish-list channels stated as fact. “We’ll go viral” or “retail partnerships” written as if they were secured. Unvalidated channels are assumptions, and treating them as facts produces a fictional business model. Fix: mark every unproven channel as a hypothesis, then test the riskiest one first. A different sticky-note color works well.

3. Channel-segment mismatch. Choosing channels the team likes rather than channels where the customer actually is: LinkedIn outbound for consumers, or TikTok for procurement directors. Fix: for each segment, answer “where do they already spend time, and where do they already buy things like ours?” before writing anything down. If a channel does not map to a named segment, delete it.

How channels connect to the rest of the canvas

Channels never stand alone. Reviewers run these consistency checks:

  • Every channel must serve a specific customer segment. If you cannot say which segment a channel reaches, it does not belong on the canvas.
  • Channels exist to deliver your value proposition. A brilliant offer with no working path to the customer is a product, not a business.
  • Channels and customer relationships overlap at the after-sales phase; the channel is the touchpoint, the relationship is its character (self-service, personal, community).
  • Channel costs flow into your cost structure, and channel performance drives your revenue streams. A channel whose acquisition cost exceeds what the customer ever pays is destroying value, however good it looks in a dashboard.

Change propagation matters here more than almost anywhere: change your customer segment, and your channels shift with it. Miss that connection and the canvas becomes internally inconsistent, which is the single most cited whole-canvas mistake.

Where channels sits in the fill order

Channels is block 3 in the recommended sequence: Customer Segments, then Value Propositions, then Channels. The logic is simple. You cannot pick a path to the customer before you know who the customer is and what you are bringing them. The right side of the canvas comes first (“value before infrastructure before finances”), and channels is the first block that turns the segment-and-value pair into an operating decision.

After channels, you move to customer relationships, then revenue streams, then the left-side infrastructure blocks. The full sequence, with reasoning for each step, is in our guide on how to fill in a business model canvas.

If you are mapping your own channels now, grab a free business model canvas template in Word, PowerPoint, Excel, or PDF and draft the block in one sitting: list your segments, walk each one through the 5 phases, and mark every unproven channel as a hypothesis. The draft takes 20 minutes. Testing the hypotheses is the real work.

Practice on the real canvas

The free template has these guiding questions inside every block. All 5 formats in one ZIP.

Instant delivery. No spam, unsubscribe anytime.

Frequently asked questions

What is the channels block in the business model canvas?
The channels block describes how a company reaches its customer segments and delivers its value proposition. It covers communication channels, distribution channels, and sales channels. In short, it lists every touchpoint between the business and the customer, from first hearing about the product to getting support after buying it.
What are examples of channels in the business model canvas?
Common examples include a company website and app, an in-house sales force, own retail stores, partner stores, wholesalers, online marketplaces, and app stores. Warby Parker, for instance, combines its e-commerce site, roughly 323 of its own retail stores, Target shop-in-shops, and word of mouth. The right mix depends on where each customer segment actually spends time and buys.
What are the 5 channel phases in the business model canvas?
Osterwalder defines five phases: awareness (how customers learn you exist), evaluation (how they assess your value proposition), purchase (how they buy), delivery (how the value proposition reaches them), and after-sales (how you support them afterward). A complete channels block covers all five, not just marketing.
What is the difference between direct and indirect channels?
Direct channels are ones you control end to end, like your own sales force or web sales. Indirect channels put an intermediary between you and the customer, like partner stores, wholesalers, marketplaces, or app stores. Direct channels usually mean higher margins and better customer data; indirect channels usually mean faster reach at the cost of margin and control.