Product optimization risks undermining customer utility

Digital products often face a conflict between customer utility and internal optimization. While products initially succeed through simplicity and clear value, they may eventually prioritize efficiency, monetization, and internal metrics over user benefits.

This process, described by Cory Doctorow as ‘enshittification,’ involves platforms shifting value from users to business customers and eventually extracting maximum value for themselves. This trend is noted as being relevant for financial institutions, where small, individually justifiable decisions—such as new fees or reduced service availability—can cumulatively degrade the customer experience despite increased operational efficiency.