Here’s the second in my new series of mini blogs, inspired by some of my favourite business books/authors.
SOCIAL MEDIA IS GENERATING NEW WAYS FOR COMPANIES TO MAKE MONEY…
- Endless choice is creating unlimited demand so you probably need to re-think your business model: make everything available and help customers find it easily (online).
- Traditional business models attest that high-selling hits are required for success. These are at the high-volume end of a conventional demand curve.
- But in the internet era, the combined value of the millions of items that only sell in small quantities can equal or even exceed the best sellers. This is the now much-coveted long tail.
- Modest sellers and niche products are now becoming an immensely powerful cumulative force. In this respect, many “mass” markets are turning into millions of aggregated niches.
- You no longer need huge warehouses, retail outlets, or big inventory. Many products can be delivered online or on demand without any of these costly overheads.
- Lower your costs, think niche and lose control to the market.
- The nine big rules of The Long Tail are:
- Move inventory way in…or way out
- Let customers do the work
- One distribution method doesn’t fit all
- One product doesn’t fit all
- One price doesn’t fit all
- Share information
- Think “and”, not “or”
- Trust the market to do your job
- Understand the power of free
Inspired by The Long Tail, Chris Anderson
On Amazon: http://tinyurl.com/cdymceg