Cirque Du Soleil Case Notes
Cirque du Soleil
Notes
INTRODUCTION
LEADERSHIP * Marc Gagnon – Chief Operating officer – Started 1989 * First task: Write a termination policy * Employee newsletter – la boule – employee submissions completely uncensored. * How do we reach our people? How do we keep them focused? * Tried to create a strong sense of community & family. * Struggle with benevolent parent & official employer * Mario D’Amico – Executive Vice President Marketing * Creativity at the core – NOT the customer * We’re not a product company, we’re an artist works company * Would not use customer feedback to guide production *
FINANCIAL/ECONOMIC * In 1984 had 73 people – In 2001 had 2100 people - 2876.71 % increase in 17 yrs * From 1984 – 1989 – Played 270,000/yr (1 cirque show) * From 2001 - $6,000,000 – 2222.22% increase in viewership – GRAPH AND EXTRAPOLATE (8 cirque shows 2002) * 1998 – CIRQUE VALUED AT $800 million * Loan of 1.5 million to buy equipment and go on tour. * Other income – Films, IMAX large format * Paid per show, not per week – unemployed for a fourth of the year. * Turnover – 15%/ year – more training and searching required. (500 artists) - 75/yr new artists * ++ INJURIES – 37 injuries for 57 employees * Cost of down time * Cost of therapy * Cost of retraining
* Ticket prices increased by $5 * Mandate that family of 4 could see show for $100 * BELAGIO HOTEL – PRICE – 75 Million * Show sells out at $100 ever night ----Create chart.
STRATEGY * LaLiberte did not want outside investors or to go public. * What Business – Entertaining People * 1998 – entertainment complexes – presenting a unique blend of creation and the performing arts, of architecture and arts in general. * Do fewer shows in each market to create demand. * Relies heavily on Guy LaLiberte. * People are
Notes
INTRODUCTION
LEADERSHIP * Marc Gagnon – Chief Operating officer – Started 1989 * First task: Write a termination policy * Employee newsletter – la boule – employee submissions completely uncensored. * How do we reach our people? How do we keep them focused? * Tried to create a strong sense of community & family. * Struggle with benevolent parent & official employer * Mario D’Amico – Executive Vice President Marketing * Creativity at the core – NOT the customer * We’re not a product company, we’re an artist works company * Would not use customer feedback to guide production *
FINANCIAL/ECONOMIC * In 1984 had 73 people – In 2001 had 2100 people - 2876.71 % increase in 17 yrs * From 1984 – 1989 – Played 270,000/yr (1 cirque show) * From 2001 - $6,000,000 – 2222.22% increase in viewership – GRAPH AND EXTRAPOLATE (8 cirque shows 2002) * 1998 – CIRQUE VALUED AT $800 million * Loan of 1.5 million to buy equipment and go on tour. * Other income – Films, IMAX large format * Paid per show, not per week – unemployed for a fourth of the year. * Turnover – 15%/ year – more training and searching required. (500 artists) - 75/yr new artists * ++ INJURIES – 37 injuries for 57 employees * Cost of down time * Cost of therapy * Cost of retraining
* Ticket prices increased by $5 * Mandate that family of 4 could see show for $100 * BELAGIO HOTEL – PRICE – 75 Million * Show sells out at $100 ever night ----Create chart.
STRATEGY * LaLiberte did not want outside investors or to go public. * What Business – Entertaining People * 1998 – entertainment complexes – presenting a unique blend of creation and the performing arts, of architecture and arts in general. * Do fewer shows in each market to create demand. * Relies heavily on Guy LaLiberte. * People are