Product vs. Customer: A Marketing Crossroad
How to overcome marketing myopia and embrace a customer-centric approach.
Previously on Giuseppe’s Glimpse: In the last episode, we examined the pros and cons of stretch goals in management, highlighting the importance of setting realistic goals and finding a balance between ambition and capability. Missed it? Catch up here! 💫
Buongiorno everyone! 👋
If I had to pinpoint the moment I knew marketing was my path, it would be when I was a bachelor’s student reading Theodore Levitt’s Marketing Myopia for the first time.
Levitt’s words felt groundbreaking, even radical, back then.
Here was this article, written decades earlier, challenging businesses to look past the products they sold and focus on understanding the true needs of their customers. 🔍👀
For a student just starting out, it was a wake-up call: success wasn’t about simply creating or pushing a product; it was about a relentless commitment to seeing things through the customer’s eyes.
That lesson has stayed with me, especially now, in a world of constant technological change. 🌐
Why product-centric thinking fails
Levitt argued that companies often define themselves too narrowly, basing their identities on their products rather than the value they provide.
This is the root of marketing myopia.
Let’s rewind a few centuries: salt makers believed they were in the salt business 🧂—until refrigerators came along and turned them into dinosaurs.
The issue is that they failed to recognize that their true value—and the real benefit they provided to clients—was in food preservation, not merely in selling salt.
Once food preservation shifted to a new technology, they became obsolete. 🦕
Similarly, Kodak saw itself as a film company.
When digital technology reshaped photography, Kodak’s narrow focus on film led to its decline.
They weren’t in the film business 📸; they were in the memory-preservation business.
These examples serve as powerful reminders that markets evolve constantly, and it’s those who adapt to the “why” rather than the “what” that remain relevant (I talked about this here!).
In the modern age, companies must constantly ask themselves What are we really selling? and refine their answers to stay aligned with evolving customer expectations. ✨
The digital age: meeting needs in a world of infinite choices
Today, this insight feels especially urgent.
In a time when AI and digital transformation are revolutionizing industries at an unprecedented pace, businesses must guard against narrow thinking. 💭
AI has made it possible for customers to access countless options across various sectors, including healthcare, education, entertainment, and retail.
This reality underscores the importance of understanding that the need a company fulfills transcends the mere function of a product.
It involves creating an exceptional overall experience and delivering tangible outcomes that resonate with customers. 💡
Take the example of streaming services.
They are not merely selling access to movies; they are curating a unique entertainment experience, offering the convenience of on-demand viewing tailored to individual preferences. 🍿🎥
This is where AI plays a transformative role.
By refining customer data analysis, AI empowers companies to develop deeper insights into consumer behavior, preferences, and pain points.
The potential for personalization has never been greater.
Businesses that effectively leverage AI can tailor their offerings to meet customers' specific needs, creating a more relevant and engaging experience. 🤝
As technology continues to advance, every company must ask itself: Are we truly harnessing these tools to align with and anticipate our customers' evolving needs?
Looking ahead: AI’s role in customer-centric business
The rise of AI offers a remarkable opportunity for businesses to deepen their customer-centric approach, enabling real-time anticipation of customer needs.
Yet, this power comes with a cautionary note. ⚠️
As technology evolves, so do customer expectations, often outpacing traditional business models.
Companies must resist the temptation to adopt AI solely for the sake of innovation, as this can lead to shallow implementations that overlook genuine value creation.
Instead, the focus should be on how AI can enhance customer benefits, ensuring that every technological advancement serves a clear purpose. 🎯
This alignment requires a return to the essence of Levitt’s philosophy—what real need does this technology fulfill?
Companies must leverage AI not just as a tool but as a means to forge deeper connections with their customers, enhancing satisfaction and loyalty. ❤️
By harnessing AI with a clear focus on customer needs, businesses can transform their approach from simply competing to truly leading in a landscape defined by boundless choices.
Avoiding the myopia trap in the age of AI
Levitt’s Marketing Myopia provides timeless advice for a world that’s anything but static. ⚡
His insight into customer-centric thinking applies just as powerfully now, if not more so.
Ultimately, marketing is about making things people want, rather than making people want things.
In the age of AI, businesses have an unprecedented opportunity to enhance their ability to understand and meet customers’ needs with remarkable precision. 🔍
When harnessed thoughtfully, AI can transform how companies connect with customers, offering personalized experiences that resonate on an individual level.
So, ask yourself regularly 🤔: what are we truly in the business of? How can we ensure that our use of AI aligns with authentic customer needs? And what changes must we make today to stay ahead tomorrow?
Those who answer these questions accurately will have a clear path to longevity, relevance, and, ultimately, success.
Stay curious! 🙌
-gs
Oh, wow! You made it to the end. Click here to 👉 SHARE this issue with a friend if you found it valuable.