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What is the Long Tail Theory

Source: Shangpin China | Type: website encyclopedia | Date: August 22, 2012
What is the long tail theory? Vivredo Pareto, an Italian erudite in the 19th century, found in his research that the distribution of wealth in England was actually unfair - most of the wealth fell into the hands of a few people. After calculating the exact proportion, he found that about 20% of the population owned the wealth of 8 Ah. what's more. He also found that the proportion in many other countries and regions was the same as that in England. Pareto's conclusion was later summarized as "80/20 rule" by Joseph Juran, a management thinker, and popularized.

In real life The "80/20 rule" is everywhere. For example, movie charts, best seller charts, pop music charts, etc. are always a few of the most popular Website production Products have become the target of consumers' pursuit. With sales volume as the vertical axis and products as the horizontal axis, almost all commodity demand can draw a similar curve: a few popular products create the largest sales volume, thus forming a very short head. And after that. The sales curve dropped sharply and formed a long tail. The theory guides enterprises to consciously concentrate resources to produce and sell popular products that can make profits for enterprises quickly. To a certain extent, the application of this theory leads and promotes the development of marketing theory and practice. In order to catch the main consumers, enterprises consciously focus on 20% of 80/2O products. The market tells us that seizing 20% of the best sellers is equal to seizing the pulse of the market, and seizing the pulse of the market is equal to seizing the wallet of consumers. However, in the business plan of the enterprise, 80% of the non best-selling clusters in the long tail are often abandoned due to limited resources.

The "8 Ah Long Tail", which has been ignored in the "80/20 Rule" for many years, has come to life in the Internet era. Chriss Anderson, editor of Wireol magazine in the United States, found the following data in his research on many e-commerce enterprises such as Amazon, iTunes, Netflix, etc.: ① Among the 1 million tracks owned by Apple's iTunes online music store, Every capital has been sold at least once; ② 5500 owned by Netflix website. 95% of the DvDs can be rented at least once a quarter; ③ Of the top 100000 books in Amazon Online Bookstore, 98% can sell at least one book every quarter. Therefore, he proposed a new ". 98 rule ", that is, 9 commodities in the enterprise have sales records and can bring profits to the enterprise. After rational thinking and sorting out, ChriS An, leI 'son wrote The Long Tail Theory, which was published in Wired magazine in December 2004. After that, it quickly aroused enthusiastic responses from all walks of life. It won the "Best Idea of 2005" award from Business Week, and was called "the most important innovation in 2006" by GQ magazine. The Chinese version of The Long Tail Theory has been published by CITIC Press in December 2006, which has also aroused heated debate in China and is regarded as a table for theoretical researchers and practical staff in many industries.

This section will systematically elaborate the basic content of the long tail theory, so that learners can quickly grasp its essence and understand the guiding significance of the theory for enterprise network marketing activities.
This article was published on SEO website optimization Company Shangpin China //ihucc.com/
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1. Part of the content of this site comes from the network, and the copyright of some articles and pictures involved belongs to the original author. The reprint of this site is for everyone to learn and exchange, and should not be used for any commercial activities.

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