Saturday, May 19, 2007

The Long Tail describes Fundamental Changes in Marketing

Figure: The Long Tail, taken from
Alex Barnett's Blog

I am currently reading a book that I should have read already some time ago. However, it is not too late. "The Long Tail" from Chris Anderson, the editor of Wired, describes fundamental changes in the way niche products are marketed and actually sold. While a usual book store can only hold a certain amount of books on its shelf (it seems that 100,000 titles is a lot) and would rarely sell niche products, Amazon can market more than a million. Online retailers can keep millions of music titles on stock, or DVDs, or any other product such as a 1912 Chinese Silver Coin Szechuan Province China (found at Ebay). Anything can sell nowadays, and, this is the important news: companies can make money with niche products.
Read more about Long Tail phenomena at Wikipedia.