The Blue Ocean Strategy Canvas

Here’s a visual template that provides rigor to strategic decisions. It comes from Blue Ocean Strategy, published in 2005 and written by W. Chan Kim and Renée Mauborgne, Professors at INSEAD and Co-Directors of the INSEAD Blue Ocean Strategy Institute. Based on a study of 150 strategic moves spanning more than a hundred years and thirty industries, Kim &

Mauborgne argue that companies can succeed not by battling competitors, but rather by

creating “blue oceans” of uncontested market space.

Let’s look at a fun example: circuses!

We begin by identifying the facets of the industry. What is it known for? A typical circus experience is low price, has animal shows, aisle concessions, multiple show arenas, and fun and humor, thrills and danger, and traveling venues. Then look at the current players in the industry and assess their position against each facet. Both Ringling Bros. and small, regional circuses are known for low prices and animal shows. Draw relative positions for current players.

Next, add more facets that this industry could adopt. In the case of circus shows, similar industries include Broadway musicals, headlining music events, and live theater performances. Facets from those industries include themes, refined watching environments (venues and theaters), and artistic music and dance.

Finally, create a Blue Ocean Strategy curve, selecting which industry facets you will follow, which facets you will intentionally run counter to, and which adjacent facets you will introduce. Cirque du Soleil redefined circuses when it chose to charge high prices, eliminate animal acts and concessions, stay at limited venues for longer runnings, and introduce themed shows, refined venues, and artistic music and dance.

By creating a Blue Ocean Strategy curve, an organization makes intentional choices about how it will present itself to the marketplace, which leads to concrete, actionable strategies.

PS: If you’re interested in how visual templates like the Blue Ocean Canvas can help you and your team be more strategic, let’s talk. https://calendly.com/brian-lizardbrain/45-min-discovery-call