What happened to the brand icon and giant Kodak?

You will often hear me quoting Seth Godin. Why?  Grab one of his many best-selling novels, take one of his courses, listen to one of his podcasts and the answer will be obvious.  He teaches one to “see”, but only if you are open to doing so.

Many have hypothesized the rationale for the demise of what was at one time, THE biggest film company in the world, Kodak.     If you come across an old photograph, particularly one taken in the 70s, chances are it was taken by a Kodak camera, using Kodak film, and developed on Kodak paper, using Kodak technology, yet in 2012 they went bankrupt.    To be clear, they exist today but in a very different capacity.  Small, unremarkable and just existing.

What happened? Many believe it was the invention of the digital camera that led to their demise.  Turns out, an engineer from Kodak, Steve Sassion, invented the first digital camera.   So how did they fall so far from being on the top?   It’s simple:  Kodak stopped “seeing”.  They became blind.  Let me explain:  Although Kodak invented the digital camera, they failed to see just how big the digital market would become.   It was blind optimism.   Something motivated them to believe that digital cameras weren’t the future.    But how and what?  They ignored the facts and saw what they wanted to see.   Kodak wanted to believe that their revenue generating leader,  film,  would continue to be a critical need, so much so they motivated themselves to believe that digital cameras weren’t the future.   The attitude:  “We are Kodak,  we know film, we are the experts, we invented much of the technology”.   Kodak’s profitability was in film.   But, film would not be the cash cow it used to be as digital cameras brought efficiency’s, eradicating the need for film.

The writing was on the wall.  By refusing to take a step back, observe the market dynamics and influence of the digital revolution, Kodak was unable to come to grips with the critical need to redirect their focus, values, and beliefs, thus sealing their fate.

It’s not uncommon.  We see this time and time again today.  Applications of old thoughts, “tried and true” way of doing things, safe methods used repeatedly “just because”.    Sure, it may feel like it works in the short term but it will fail in the long term because it’s not work that matters for the people who care.   Need evidence? Google “Fuji”.   Not only did they survive, but they also thrived.   They checked their ego’s at the door and learned to see!