marketing myopia
DESCRIPTION
Highlights of Levitt's article with recent global and Sri Lankan examplesTRANSCRIPT
PRESENTED BYGROUP A - 8
Marketing Myopia
A visual defect in which distant objects appear blurred because their images are focused in front of the retina rather than on it .
NearsightednessNot inherited. It can be prevented.
Myopia
Marketing Myopia (Myopia in Business)
Short sighted and inward looking approach to marketing that focuses on the needs of the firm instead of defining the firm and its products in terms of the customers' needs and wants.
• Narrow definition of who you are/ what you do!
• Inside out approach (Product Orientation)!
• Trying to “Sell”!
• Assuming the growth will prevail!
What Leads to Marketing Myopia
Ever Expanding Market
Non Substitutability
Superiority of Product
Self Deceiving
Cycle
Benefits of Mass Production
• Expanding and affluent population Automatically expanding market
• Companies focus on efficiency, not innovation
Railroad Petroleum
Fixed line telephony
(Lanka Bell)
Lanka Bell Revenue
Ever Expanding Market (Population Myth)
• Apparently unchallenged superiority
• There’s no Effective Substitute
• Substitutes from same industry only?
Dry cleaning Kerosene lamp
Film
(Kodak)
Non Substitutability
• Superior and sophisticated products attract demand
• Research is product oriented
Electronic Industry Golden mouse trap
Improving the product
(Nokia) Vs
Superiority of Product (R&D Focus )
• Output increase Lower unit cost
• Produce as much as possible
• Emphasis on selling, not marketing
Ford “T” model
Tata Nano?
Benefits of Mass Production
• Cell tel
• Homerun
• Maliban
Relevance to Present Context
From a DVD rentals business to an Online Streaming business
What customers want is not to get DVDs conveniently, but a convenient way of enjoying the desired content
Absence of Myopia Success Stories
Absence of Myopia Success Stories
• Siddhalepa
• Balm manufacturer Ayurvedic healthcare provider
Absence of Myopia Success Stories
• Atlas
• Pen manufacturer Stationary supplier
• CBL
• Biscuit manufacturer Food supplier
Absence of Myopia Success Stories
“If not for the customer, we won’t be in business in the first place…”
Conclusion
Industry Goods Producing Process
Customer Satisfying Process
Focus Delivering Products to Customers
Delivering Value to Customers