Myopia, commonly known as nearsightedness, refers to the inability to see distant objects clearly. But what happens when we apply this concept to the realm of marketing? Marketing myopia, a term coined by Theodore Levitt, an American economist and professor, in a 1960 Harvard Business Review article titled “Marketing Myopia,” refers to when brands focus on the features of the products or services they sell rather than addressing the real needs of consumers.
Confusing Company Objectives with Customer Needs
Levitt introduced this term to explain why many companies fail in their product sales strategies. They often focus on what they believe the customer wants, rather than understanding the customer’s actual needs. This shortsightedness prevents them from truly grasping the customer’s needs, thus hindering their ability to reach them effectively.
From this, we can understand that marketing myopia translates into a company’s lack of ability to set clear objectives for its marketing strategies and indicates a lack of clarity in decision-making.
This concept was highly relevant at the time of its publication, as the industry was undergoing significant change. To reach the marketing practices we know today, the field has evolved through various stages. Levitt’s insights served as the foundation for what is now known as Marketing 2.0, which focuses on satisfying consumer needs rather than those of the companies themselves.
Causes of Marketing Myopia
Numerous factors can cloud the vision of marketing teams, leading to strategies falling within this term.
For instance, consider a company operating in a highly competitive and rapidly evolving environment that believes it remains unaffected by these changes. This kind of arrogance prevents the company (or professional) from recognizing the need to adapt to the evolving landscape, leaving them at a disadvantage against future shifts. Similarly, disregarding changes in consumer culture sets the stage for marketing myopia.
Examples of Companies Affected by Marketing Myopia
Throughout history, various examples illustrate how brands have fallen victim to the causes mentioned above, resulting in clear cases of marketing myopia.
Nokia
For years, Nokia dominated the mobile phone market with innovative and consumer-friendly models. However, anchored in this success, Nokia failed to adapt to the digital revolution in telecommunications, lagging behind technologically advanced competitors. While still present in the industry, its market share has significantly diminished.
Kodak
Kodak, a renowned photography brand, offered a range of services and accessories related to photography, including film development, cameras, and more. However, with technological advancements, traditional film cameras became obsolete, making way for digital cameras and even mobile devices. Resistant to change, Kodak failed to explore new business avenues, eventually losing ground to emerging competitors.
Film Industry
When the internet emerged, the film industry initially failed to recognize its significance. Initially resistant to adapting their products to the digital format, they overlooked the evolving needs of an audience increasingly engaged in online content consumption. Eventually, platforms like Netflix capitalized on this need, forcing the film industry to adapt to the new format.
This shortsightedness or resistance to change has cost significant money and time for many large companies throughout history. Perhaps similar instances are occurring today, such as the lack of activity on social media by some brands or the failure to evolve in online sales services.
