Users and communities are becoming the new taste-makers as they discover niche content through search and recommendation systems. Companies like Netflix, Amazon, and Rhapsody have been able to tap into the "long tail" of the market by using collaborative filtering and recommendations to connect customers to obscure content and generate substantial sales from niche products. Collective intelligence, where many individuals contribute information through sharing and networking, has enabled these systems and the discovery of niche content.

1. DIGITAL MARKETING Connect Supply Demand Group C ETIENNE BISMUT RAQUEL DEFILLO PATRICIA ISABEL DE OBESO ANTONIO LO PICCOLO NADIA PEREZ ROJAS ANTONIO PEDRO TARANA ADITYA VIKRAM GUPTA SERGEJS VOHRINS IE Business School

2. Outline The new taste-makers Search vs. Discovery The long tail of books Google´s connection between advertisers & potential customers Collective Intelligence Rhapsody & niche songs Netflix & niche DVDs Amazon & niche books The EBay business

3. The new taste-makers Users and communities are the new taste-makers

4. The new taste-makers delicious Users and communities are the new taste-makers

5. Search vs Discovery Search I already have a target in mind My task is to formulate a query I search for what I know Discover Exploratory in nature, driven by a general goal Query is used as a starting point I discover what i do not know Columbus was searching for India and discovered America

6. Search vs. Discovery

7. Search & Discover

8. Search vs. Discovery

9. The long tail of books Be a synonym for “buy a book” Have “everything” and be searchable Pleasant design and easy to use Overhead sales and constant relevant promotions by email Trustful company and high word-of-mouth promotion You can see what others read and their recommendations Example:

10. Google´s connection between advertisers & potential customers Promotes only what is relevant to consumer Drives customer satisfaction with relevancy of information

11. Collective Intelligence Emerges from the collaboration and competition of many individuals A form of networking enabled by the rise of communications technology – Internet Qualitative and quantitative contribution of information It implies four principles to exist: Openness Peering Sharing Acting globally

12. Rhapsody & niche songs The Rhapsody demand keeps going. Not only is every one of Rhapsody's top 100,000 tracks streamed at least once each month, the same is true for its top 200,000, top 300,000, and top 400,000. Combination of human editors and genre guides

13. Netflix & niche DVDs Many art and foreign flicks, 900+ Bollywood Less than 30% of daily shipments new releases 60 percent of rentals come from recommendations Netflix Recommendation System

14. Amazon & niche books 30-40 % of Amazon book sales are represented by titles that wouldn’t normally be found in brick-and-mortar stores Collaborative filtering, which uses the browsing and purchasing patterns of users to guide those who follow them ("Customers who bought this also bought ...")

15. The Ebay business 26,738,399 live listings on ebay.com 5,545,261 live listings on ebay.es A typical e-bay search: Starts with the search engine Is refined via multiple criteria Categories and subcategories: Format Listing Price Location

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