I recently finished reading The Long Tail, and it's the kind that you wish you had written yourself. It seems so obvious that the endless possiblities of the Internet can turn the niche into big business - and it's exactly why Amazon, eBay, Netflix and iTunes are so successful. But what is interesting is that the principles of the long tail can be applied to just about anything. Proof of this is that the book was written in 2006 and therefore barely even mentions Facebook, Twitter and YouTube, those mammoths of global democratisation. Yet it is as relevant today as it was then.
Here is a summary from Amazon reviewer Otis Chandler:
Interesting Tidbits
- One quarter of Amazon's sales come from books outside its top 100,000 titles. Thus having a long tail adds ~33% to your bottom line.
- Ranking bestsellers across niche's genre's gives little value. Filters to rank items must be applied within each niche to become relevant. Goodreads could improve here.
- As the number of niche's increases, the ability of people to consume more content within the genre increases. This depends on the genre, but it gives me hope that we can increase the number of people who read through Goodreads, by creating better filters to connect readers of various niche's.
- each year 200,000 books are published in english, and fewer than 20,000 make it into a bookstore. Only 2% of the books published in 2004 sold more than 5000 copies, and can be considered profitable.
- There is another factor that determines why people create content, other than money: reputation.
- Ebay has 60 million active users
Three forces need to create the long tail:
- democratize production: give average people the ability to create quality content (movies, music, blogs)
- democratize distribution: technology to aggregate *all* the content in a genre (Amazon, Netflix, iTunes)
- Connect Supply and Demand: filters to help people find the niches they are interested in (Google, recommendations, best-seller lists)
Oh, and you can buy it here.