“Individually, we are one drop. Together, we are an ocean”
This pretty quote is applied on all life situations, but not in Marketing!!
In Marketing the ocean is full of small fishes, coral reefs, and sharks. You try to catch the customer before your competitor does, with no idea what disappears deep in the ocean.
By mentioning the ocean, here are the pros and cons of the most effective strategies in marketing called The Red Ocean Vs. The Blue Ocean;
1- Red Ocean:
The market and competition are already there; You don’t suffer or try in a new market because it’s already existing you just enter it and offer what you could serve.
System and protocol are also there; As you have the guidance you could follow to start your business, you should only follow a series of steps that were successfully applied before.
Outcomes are guaranteed; Trying the same equations will give you the same results, always.
So, when you are in the Red Ocean you know how to do what you want, and what will this lead to. You don’t worry about the outcomes because they’re tried million times.
- Low risk; As you know your path, you know also the right equation to give you the riskless results.
High competition: Everyone is fighting in the market to get a higher market share and a good image, in the Red Ocean, you have to win the competition or at least be a part of it.
The cutting edge: You have to fulfill a need that nobody else fulfills it. You must have your own cutting edge that means you are specialized in doing something differently, a competitive advantage that no one has before, to enter the competition.
Small share of the market; Especially when you start, you try your hard to have a small share of the market, The more your business grows, The bigger share of the market you have.
Big finance; as you need a big market share you should have a big fund to start and continue growing.
2- The Blue Ocean:
Creating awareness in new market; You try something unique that haven’t been tried before, and see how people would response to that.
Owning the whole market share; This time, if the equation succeeds, the market is all yours.
Booming: If you acquired a good reputation, you’re booming under all conditions.
Taking a long time to succeed; It’s really hard to try all the equations to realize the working one.
Very risky: As you don’t know the results, and don’t have a guidance of steps like in the Red Ocean, you just try.
Maybe this need is filled before; And here you just lose your awareness spreading, and the whole idea of being in the Blue Ocean.