Last Friday, January 18, 2008, I was able to attend lectures from the country’s most sought after marketing experts at the University of St. La Salle-Bacolod. Ms. Carolina Escareal-Go and Mr. Josiah Go of Mansmith and Fielders were the resource persons. Such lecture would have cost a fortune if it wasn’t sponsored by the Insititute for Negros Development of the USLS-Graduate School. Local entrepreneurs as well as educators attended the event.
It’s all about knowing what your customers value.
Ms. Chiqui Escareal-Go talked on Service Innovation Strategies where she focused on giving Value to customers. Companies who made breakthrough profits by innovating their services were given as examples. She encourages the entrepreneurs to focus on their Promise, or what the company has to offer beyond their products. It’s all about knowing what your customers value. In summary, creating service innovations means:
- Focus on results
- Establishing a culture
- Choosing profitable segments
- Choosing attitude over aptitude when hiring people and provide training and coaching
- Focus on what creates value for customers
The Blue Ocean Strategy is not really a new concept in marketing. It just provides a systematic approach in making cutthroat competition irrelevant. W. Chan Kim and Renée Mauborgne of INSEAD originally came up with the Blue Ocean Strategy and published a best-seller book of the same title. Josiah Go is the first and only Filipino to complete Blue Ocean Strategy qualification course in INSEAD. I already have two books on Marketing by Josiah Go and I find his books very good for he makes a lot of case studies especially in the Philippine setting.
A good example of this is what C2 bottled iced tea of Universal Robina has done with Coca Cola. C2 has basically eaten up a big portion of Coca Cola’s market despite the latter’s dominance in the Philippine beverage industry.
Can Blue Ocean Strategy be applied to blogging?
Blue Ocean Strategy is all about differentiation and low cost.
A blog can be considered as a business, a new medium for making money. There are already a lot of blogs on making-money-online so this can be considered as a red ocean. A blue ocean is where new market space is created thus competition becomes irrelevant. In blogging, creating a a new market, a new niche, where other bloggers have not yet ventured into is much like a blue ocean. You’re basically creating a new industry in Blue Ocean much like Apple’s iTunes and Nintendo’s Wii did.
Blue Ocean Strategy is all about differentiation and low cost. How would you differentiate your blog from hundreds of blogs in your niche? What a lot of bloggers, myself included, are doing is copy the business model of successful blogs and hope that we can achieve the same success. It’s the ‘sari-sari store‘ mentality. When we see a sari-sari store was doing good then we open another store until there’s more store than customers. If you are blogging for money, how then are you going to make your blog stand out from the rest? Blue Ocean Strategy may be the answer.
Photo by: peta_peta