IPL is the Bluest Ocean Around

Last week an old colleague of mine who runs Interbrand Australia mailed in for a ringside sense of the IPL phenomenon. And that’s exactly what it is. As much as we all have issues with the way cricket is run in this country, one has to admire the sheer audacity of the idea and indeed the way it has been executed and administered so far. My mind went back instantly to a Blue Ocean session at INSEAD where I had used Kerry Packer as an outstanding example of breaking market boundaries. What IPL has managed is to successfully do a Packer on the “traditional” one day format. I can’t think of a better example of classic Blue Ocean than IPL. 1. Like Packer, IPL demonstrated brilliant business thinking which extended far beyond cricket. IPL is actually a new entertainment medium in this country. It competes seriously with Bollywood. And if ever proof was required here it is: some multiplexes have already decided to screen the IPL matches instead of the scheduled movies on the match dates 2. Like the Low Cost Carrier or I-tunes, it has successfully brought in new customer segments into the market. Housewives, old in-laws and young kids are prepared to give up F1, dinner or video games during matches. 3. Its most laudable achievement is that it has finally monetized the dominating share of mind the game has always enjoyed amongst 1.5 billion people across 8 countries. It was a shame that with the fan following it had, cricket as a legitimate commercial activity has always remained a fraction of the value of tennis, FI or even golf. 4. The most telling evidence of its reach and power is the attention it has received from the politicians. IPL shifted to SA only because the politicians tried to bully them out of the original schedule which clashed squarely with the general elections. In fact South Africa is a great blessing because the 4 hour time difference will now allow Indians to return from work and watch entire matches. Any organisation can take a leaf out of Lalit Modi’s business leadership book: for sensing big opportunity, outstanding execution and smart conflict management.