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The Long Tail concept

The Long Tail concept






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    The Long Tail concept The Long Tail concept Presentation Transcript

    • The long tail… E-business assignment by Lina Benseghir
    • What’s the concept about ?
      • The long tail is a new business model , introduced by Chris Anderson, regarding mostly the entertainment industry.
      • How does it work ? It is based on providing each consumer with the a large choice , without focusing on what will please the majority , but rather on opening various possibilities so as to suit as many tastes & individual choices as the online media enable (which means quite a lot) .
      • The individual matters more than the mass
    • A picture is worth a 1000 words…
    • How is it different than 'traditional' retail concepts?
    • 
      • Traditional retail concepts have to deal with limited resources (space, time & money).
      • To be profitable, it has to reflect what pleases the majority (the so called «hits« ) which ends up narrowing customers« minds & cultural knowledge (by «imposing « a conformist behavior).
    • … New media & post-modern retail concepts (the long tail)
      • Main characteristics :
      • Lower cost (hosting web pages)
      • Unlimited resources (the storage space is virtual)
      • Emphasizing word-to-mouth to promote the «misses« (not so popular items)
      • "The biggest money is in the smallest sales". Kevin Laws
      • Revenue comes from the variety of choice & the techniques to " guide" consumers through the purchasing process
    • What issues will an e-business face when using the Long Tail as the method for growing revenue ?
      • Offering the largest choice " at your fingertips " (from popular to independent music or movies for instance)
      • Basing the strategy on very low prices (to discourage piracy)
      • Memorizing consumers« taste to lead them through their daily maze of choice (both handy & time saving for them)
      • Combining both long tail & standard retail to remain profitable
    • My long tail link
      • L'effet long tail appliqué au référencement