Blue Ocean Strategy (BOS) is a business theory created by Renee Mauborgne and Chan Kim of Harvard Business School. In essence, BOS advises that instead of trying to go head-to-head with competitors over an existing market (the red ocean where you’ll waste lots of time and money), you are better off creating a new market, that is a blue ocean, with no competitors.
This is how today’s most successful companies became what they are – they saw a market or need that no one had yet addressed and focused their efforts there. Apple, in its launches of the iMac, iPhone and iPad, is frequently used as a textbook Blue Ocean example. Another example is Starbucks, “the largest coffee house in the world”, which, when operating in the highly competitive market place of retail coffee houses, turned the idea of having a cup of coffee into a ‘way of life’ by redefining how customers can enjoy a Starbucks experience, introducing music and wi-fi in a relaxed setting where you can enjoy good coffee.
At Pug&Peach, we follow Blue Ocean Strategy principles in our day to day social media strategy design and content creation for our clients. Moving traditional companies to embrace the digital age requires a cultural shift within your organisation and what your brand stands for to a digital audience. Previously brand loyalty was considered a vital contributor towards brand survival. However now an impatient digital audience expects to be delighted by brands that create remarkable products and services and they frankly don’t care if the brand is well established or not.
We Reconstruct Market Boundaries – Looking for new growth opportunities
Using social media is a great way to keep a finger on the pulse of the latest and greatest. By paying attention to trends, we can better predict the next big thing related to your industry. For instance, COVID-19 has forced businesses to rethink their business approach. Wine bars have started to direct retail their quality wines which would otherwise languish in their cellars. Taxi companies and restaurants have joined forces and reinvented themselves as food delivery outfits. Spas and beauty salons have gone into online retailing of skincare. This lateral thinking comes straight out of the BOS textbook, but it does not come naturally to struggling business owners. We aim to facilitate the paradigm shift.
We Focus on Your Big Picture – Look at the horizon ahead and not just at immediate numbers
While numbers such as likers and followers can be a good indicator of reach, what really matters more is the engagement. Think quality versus quantity. Visualize the way you want to be perceived long-term and foster that impression on social media instead of trying to make an immediate business transaction. People are smart and can distinguish between purely “buy now” sales and sharing insightful content.
We Reach Beyond Your Existing Demand – Don’t have too narrow a focus
Look beyond what your current customers need, by looking at noncustomers and finding an appeal factor that brings you to their attention. In social media, don’t put all your eggs in one platform basket. If you are already using Facebook and Instagram, we consider adding LinkedIn. In selecting channels for Google Ads, branch out to other sites and try out new ones in order to increase your reach and uncover new demand.
We Get the Strategic Sequence Right – Anticipate new demand but be smart about it
Once a new customer need is identified, it needs to be tested to make sure that it will be sustainable and viable over time. We use metrics and analytics to measure if you are going in the right direction and act on them appropriately to continue the process.
About the Author: Dr David Grech
He is a Medical Doctor by profession turned entrepreneur. Being the mastermind behind the inception of niche markets in the cosmetic industry and occupational health services in the private sector, Dr David Grech has a track record of successes. Graduated from the University of Lancaster with an MBA he furthermore expanded his studies at the University of Malta where he obtained a Masters Degree in Creativity and Innovation.