What are long-tail customers?

Question 1: What is the long tail theory? The long tail theory means that the future of business and culture is not the head of the traditional demand curve that represents "best-selling products"; rather, the head of the traditional demand curve that represents "unpopular products" The often forgotten long tail. For example, a large bookstore can usually hold 100,000 books, but a quarter of the book sales of Amazon's online bookstore come from books ranked after 100,000. The sales ratio of these "unpopular" books is growing at a rapid rate, and it is estimated that they will account for half of the entire book market in the future. This means that when consumers face unlimited choices, what they really want and the channels they want to obtain have undergone major changes, and a new business model has also emerged. In short, the unpopular products involved in the long tail cover the needs of almost more people. When there is demand, more people will realize this need, so that the unpopular products are no longer unpopular.

Question 2: Why are ordinary bank customers called long-tail customers? The scale of assets owned by individuals and at their disposal is often small, but the total number of this group is huge, including small and micro enterprises, start-ups, and agricultural personnel. Most of them fall into this category

Question 3: What is a "long tail user"? 5 points New Year's greetings and the development of the long tail

Happy New Year to all bloggers! My wallet is bulging!

Yesterday I celebrated the New Year and chatted with my cousin. She was studying cultural industry management, and she talked about new words like long tail. She had also heard of this word. Although these students at school did not know much about the practical application of long tail, but after absorbing the concept, In terms of performance, it is still not lagging behind.

This is a very surprising place. Although many new concepts are still far from heard of for enterprise applications, with the participation of these knowledge disseminators, it may be possible to Some push.

For the business people at the front line of the market we are paying attention to, the biggest effect is to reduce operating costs. For example, many of the beers we drink now are not brewed with rice, and the brands that citizens like are also used by companies. Cut them off and concentrate financial resources on promoting a small number of products. Why is this? There is only one purpose. Business is one's own interests, which is selfish. Those who defend the concept of brand everywhere must not be willing to accept this fact. In the minds of enterprises, brands are always a tool for profit acquisition. Once it fails, Companies will cut them off mercilessly, even though users like them, but it’s all in vain.

So what is the long tail specification? What kind of performance can it contribute to today's corporate development? This is what companies really care about. Therefore, business is a reflection of your and my interests and must now contribute profits. The long tail is actually creating money-cow leeks, which contribute profits one after another. As long as users exist, profits will continue to be obtained, rather than just creating a few big money-making trees for enterprises like brands. Once they are no longer worth maintaining, they lack profit contribution. , will be cut off, and users will become spectators.

On one side is a leek-like profit contribution area, and on the other side is a depleted cash cow. How to choose is indeed a dilemma.

The long tail is not an empty concept

A friend gave me some advice on my explanation of "long tail" in one sentence, thinking that this empty literal explanation still failed to explain the long tail clearly. actual meaning. Indeed, the long tail does not first appear in the form of a concept, but a new manifestation of the market, which has been summarized by researchers through the market applications of some companies. My observations are based on traditional business and research on Internet companies, and I have found some tools that can achieve profitable progress, and these tools can achieve "long tail" market effectiveness when applied in the market, that is, in line with the long tail. The market needs it, and this is my fate with Long Tail. This is also the reason why I discovered the long tail relatively late and persisted.

1 The long tail is effective for many companies (may not be all companies)

2 For companies that lack brand understanding and application, the long tail is another option, at least it can do to low cost and limited profits. This is a worthy choice compared to large investment, low output, and unprofitable market operations.

3 The domestic market has entered a trend of creation instead of manufacturing, and has entered a historical period in which user power determines the success and growth of enterprises. The long-tail market and the application of "sexy power" tools are the right thing for some companies to do. .

4 Today’s market shows a trend of diversification, with brands, long tails, the 80/20 rule and sexy power coexisting.

5 User power is a new variable in the diversified market.

The sugar-coated haws on a stick has become smaller, and profits have increased - the traditional practice of the long tail

Traditional businesses are slow to understand the power of users, and may not be as sensitive as Internet companies. But user power is also starting to change them. Cans have become smaller, honey has become cheaper, and even candied haws have become smaller.

The long-tail market emphasizes personalization, user power, small profits and large users, and traditional businesses are beginning to do the same. If we still understand the long tail in a narrow sense, market practice will make companies laugh. Fortunately, those who run companies are not people who like to follow the rules. This is the only reason why theory always lags behind practice, and why I always insist that the long tail must be effective and take into account traditional business.

The long tail is not just a GOOGLE form

My friend left a message and told me, let me talk about my understanding of the long tail. In fact, my narrative in "Winning the First Prize" is a fit with the long tail in another business form. For example, the unified application of "sexy power", "delivery channel", and "consumption spoken language" can help enterprises achieve practical results. Therefore, we might as well compare the connection between sexy power and the long tail.

1 For content that requires personalization, one premise is that it must be sexy. Not all content can generate personalized sales. For example, "Touch the Peak", for example, the sales of music singles all generate benefits by relying on content that is loved by individuals;

2 GOOGLE's A...gt;gt;

Question 4: Only small businesses can be long-tailed. What does this mean? The concept of "long tail" was first proposed by Chris Anderson, editor-in-chief of the American "Wired" magazine. Chris believes that as long as the storage and circulation channels are large enough, those products that are not in high demand or sales volume will be the same. The market share it occupies can also be comparable to the market share of those hot-selling products with a small number, or even larger than them. In layman's terms: as long as the channel is large enough, those non-mainstream consumer products with low demand will Its total sales volume can also compete with the sales volume of mainstream and high-demand consumer goods, because the competition for small-type products is not as fierce as that of best-selling brands, and it is easier to win. The cumulative effect of multiple small-type products can be as large as that of large-scale products. Brand.

For some businesses, the "long tail effect" is a subversion of the "80-20 rule". Because of the existence of the long tail, the company's profits increase under a new business model. The source no longer relies on the traditional 20 "high-quality customers", but comes from those customers who are large in number but have been ignored. They are enough to make you make a lot of money. From the perspective of the company's products, the enterprise. We should also break the previous thinking mode of "focusing on the market with flagship products" and pay attention to the market effect of the "long-term" phenomenon.

Some insights: Many times, some businesses disdain to do small business, thinking that that is not the case. We can’t make a lot of money. The inspiration from the “long tail effect” is that if we can make a small business big enough, it will be a big business. At this point, the smart Zhejiang people will do it! This theory has been used to the extreme. There are many wealthy businessmen in Jiangsu and Zhejiang who made their fortunes by selling pins and buttons. They sell hundreds of thousands of yuan a year, and some even become international companies!

Finally, it is not difficult for us to notice that the industries with the most successful long-tail effect are the Internet, entertainment and media industries. The typical characteristics of these industries are informatization and digitalization. Bank credit cards, software networking, and telecommunications value-added services. To a large extent, it is still a process of transmitting information.

Does this mean that the long tail theory is more likely to be effective in industries that are very sensitive to digitalization?

Question 5: What does long-tail product mean? The long-tail theory is a new theory emerging in the Internet era, proposed by American Chris Anderson. The long-tail theory believes that due to cost and efficiency factors, in the past people could only pay attention to important people or important things. If a normal distribution curve is used to describe these people or things, people can only pay attention to the "head" of the curve, and Ignore most people or things that are at the "tail" of the curve and require more effort and cost to pay attention to. For example, when selling products, manufacturers focus on a few so-called "VIP" customers and have no time to take into account the majority of ordinary consumers. In the Internet age, because the cost of attention has been greatly reduced, it is possible for people to pay attention to the "tail" of the normal distribution curve at a very low cost. The overall benefits generated by paying attention to the "tail" may even exceed the "head". For example, a well-known website is the world's largest online advertiser. It does not have a single major customer, and its revenue comes entirely from small and medium-sized enterprises that are ignored by other advertisers. Anderson believes that the Internet era is an era of paying attention to the "long tail" and giving full play to the benefits of the "long tail"

Question 6: What is the long tail theory? The connotation of the theory

Simply put, the so-called long tail theory means that when the venues and channels for storage, circulation and display of goods are wide enough, the production cost of goods drops sharply so that individuals can produce them, and the sales of goods When costs fall sharply, almost any product that previously seemed to have very low demand will be bought as long as it is sold. The market share occupied by these products with low demand and sales volume is comparable to, or even larger than, the market share of mainstream products. The future of business and culture does not lie in the head of the traditional demand curve that represents "hits"; it lies in the often-forgotten long tail that represents "misses." For example, a large bookstore can usually hold 100,000 books, but a quarter of the book sales of Amazon's online bookstore come from books ranked after 100,000. The sales ratio of these "unpopular" books is growing at a rapid rate, and it is estimated that they will account for half of the entire book market in the future. This means that when consumers face unlimited choices, what they really want and the channels they want to obtain have undergone major changes, and a new business model has also emerged.

Conditions

Googleadwords, Amazon, and iTunes are all excellent examples of the long tail theory. But there are also many losers who do not really understand the conditions for realizing the long tail theory.

First of all, the long tail theory counts sales, not profits. Administrative costs are the most critical factor. Selling each product requires a certain cost, and the costs of increasing varieties must also be shared. Therefore, the profit of each variety is directly proportional to the sales volume. When the sales volume reaches a certain limit, there will be a loss. A sensible retailer would not sell merchandise that would cause a loss. This is the basis of the 80/20 rule.

Supermarkets reduce the sales cost of single products, thereby reducing the loss-stopping sales of each variety and expanding sales varieties. To attract customers and create the image of a well-stocked store, supermarkets may even be able to sell some items at a loss. However, due to the cost of warehousing and distribution, supermarkets’ affordability is limited.

Internet companies can further reduce the cost of selling single products, even without real inventory, and website traffic and maintenance costs are far lower than traditional stores, so they can greatly expand sales varieties. For example, this is the case with Amazon. Moreover, the Internet economy has the characteristics of winner-take-all, so websites can invest wildly regardless of costs in the early stage, which intensifies the expansion of varieties.

Long Tail Theory

If an Internet company sells virtual products, the payment and distribution costs are almost zero, and the long tail theory can be taken to the extreme. This is the case with Google AdWords and iTunes music downloads. It can be said that virtual product sales are inherently suitable for the long tail theory.

Secondly, to make the long tail theory more effective, the tail should be enlarged as much as possible.

That is to lower the threshold and create small consumers. Different from traditional businesses’ big orders and traditional Internet companies’ membership fees, Internet marketing should focus on making the cake bigger. By encouraging users to try, numerous negligible scattered traffic can be gathered into huge business value.

googleadsense is such a cake making machine. Before, ordinary personal websites had almost no profit opportunities. adsense brings webmasters a new low-threshold profit channel by publishing relevant advertisements on small websites. At the same time, the traffic of many small websites is gathered into a unified advertising media.

Of course, there is also the issue of reducing management costs here. If not handled properly, customer service costs will rise rapidly and become the main contradiction. Google uses algorithms to reduce the workload of manual management, but it is only unsatisfactory.

When using the long-tail theory, one must be careful to ensure that any cost does not surge as sales increase, or at worst, increase year-on-year. Otherwise, it will lead to a dead end. The most ideal long-tail business model is that costs are fixed and sales can grow indefinitely. This requires an infrastructure that can be expanded at low cost, as is the case with Google's bigTable.

Success Stories

Google is the most typical "long tail" company, and its growth process is the process of commercializing the "long tail" of advertisers and publishers. There are millions of small businesses and individuals who have never advertised before, or on a large scale. They are so small that advertisers look down upon them, and even they themselves have never thought of advertising. But Google's AdSense has lowered the threshold for advertising: advertising is no longer out of reach, it is self-service, cheap, and anyone can do it; on the other hand, for thousands of blog sites and small-scale For commercial websites, place advertisements on their own sites...gt;gt;

Question 7: What is the long tail theory? The long tail theory is a new theory emerging in the Internet era. , proposed by American Chris Anderson. The long-tail theory believes that due to cost and efficiency factors, in the past people could only pay attention to important people or important things. If a normal distribution curve is used to describe these people or things, people can only pay attention to the "head" of the curve, and Ignore most people or things that are at the "tail" of the curve and require more effort and cost to pay attention to. For example, when selling products, manufacturers focus on a few so-called "VIP" customers and have no time to take into account the majority of ordinary consumers. In the Internet age, because the cost of attention has been greatly reduced, it is possible for people to pay attention to the "tail" of the normal distribution curve at a very low cost. The overall benefits generated by paying attention to the "tail" may even exceed the "head". For example, a well-known website is the world's largest online advertiser. It does not have a single major customer, and its revenue comes entirely from small and medium-sized enterprises that are ignored by other advertisers. Anderson believes that the Internet era is an era of paying attention to the "long tail" and leveraging the benefits of the "long tail". The connotation of the long tail theory is simply put. The so-called long tail theory means that when the venues and channels for storage, circulation and display of goods are wide enough, the production cost of goods drops sharply so that individuals can produce them, and the sales cost of goods drops sharply, Almost any product that previously seemed to have minimal demand will be bought if it is sold. The market share occupied by these products with low demand and sales volume is comparable to, or even larger than, the market share of mainstream products. The future of business and culture does not lie in the head of the traditional demand curve that represents "hits"; it lies in the often-forgotten long tail that represents "misses." For example, a large bookstore can usually hold 100,000 books, but a quarter of the book sales of Amazon's online bookstore come from books ranked after 100,000. The sales ratio of these "unpopular" books is growing at a rapid rate, and it is estimated that they will account for half of the overall book market in the future. This means that when consumers face unlimited choices, what they really want and the channels they want to obtain have undergone major changes, and a new business model has also emerged.

The Discovery of the Long Tail Theory Chris Anderson, editor-in-chief of the American "Wired" magazine, likes to discover trends from numbers. A meeting with eCast CEO Van Adib, who proposed a "Rule of 98" that was refreshing to Anderson, changed his research direction. Van Adib discovered a secret from the statistics of digital music demand: listeners have unlimited demand for non-popular music, and the market for non-popular music is extremely huge and boundless. The audience stared at almost everything! He calls this the "Rule of 98." Anderson realized that Adib’s counterintuitive “98 rule” contained a powerful truth. Therefore, he systematically studied the sales data of Internet retailers such as Amazon, Rhapsody, Blog, Google, eBay, Netflix, etc., and compared it with the sales data of traditional retailers such as Wal-Mart, and observed a statistical pattern (large numbers law) phenomenon. This phenomenon is just like a demand curve on the two-dimensional coordinates of quantity and variety, dragging a long tail and extending to the end of the horizontal axis representing "variety", hence the name long tail. After "The Long Tail" was published in the October 2004 issue of Wired, it quickly became the most cited article in the magazine's history. In particular, the blog platform, which absorbs boundaryless wisdom, is constantly enriched with new materials and cases. Anderson was immersed in it and couldn't help himself, and finally created a best-selling book "Long Tail Theory" that influenced the business world.

Question 8: What is long-tail procurement? The long-tail theory believes that due to cost and efficiency factors, when the venues and channels for storage, circulation and display of goods are wide enough, the production cost of goods drops so sharply that individuals can When production is carried out and the cost of selling goods drops sharply, almost any product that seemed to have very low demand before will be bought by people as long as it is sold. The market share occupied by these products with low demand and sales volume is comparable to, or even larger than, the market share of mainstream products.

Long-tail procurement: that is, using the long-tail theory to reduce procurement costs. The cost paid by an enterprise for procurement is far more than the purchase price, but also includes procurement costs, logistics costs, capital costs, regulatory costs and risk costs. The long-tail theory uses Internet technology to accelerate information flow to accelerate logistics and capital flow, thereby improving the inadequacy and asymmetry of market and transaction information and reducing procurement costs as a whole.

China Bidding Online "e86 Procurement Management System"

It is a project initiated by ***, experts and scholars from Shenzhen University, Shaanxi University of Political Science and Law, Shaanxi University of Technology, Beijing University of Technology, Guangdong Procurement project professionals from wholly-owned enterprises under the Electric Power Group formed a research and development team to develop the electronic information procurement management system. SDIC Hengsheng Remote Bidding Co., Ltd. provided development technical support and achieved high-tech achievements.

E86 Procurement Management System

It is a comprehensive solution integrating office automation, product catalog management, supplier management, electronic bidding, bid evaluation and other full-process procurement. It can help customers quickly and efficiently implement any commercial operation process and business rules of the internal procurement and supply system, build an online procurement platform covering all procurement methods that meets their own needs, and effectively manage suppliers and all procurement records. The main functional modules include workflow engine, visual process definition tool (WFVISIO), process monitoring tool (WFMONITOR), process node definition,

information release system

, view definition, and comprehensive query Statistical definition, automatic document generation, electronic document management, organizational structure management, authority management, supplier management, expert management, product catalog management, online bidding, bid opening hall, online bid evaluation, bidding hall, negotiation hall, contract management, procurement effect Analysis, project task management, log management, online editor, etc. With the self-developed domestic leading workflow system as the core, we help customers quickly and efficiently implement various complex procurement and bidding processes, including various internal approval processes.

It is a group management procurement structure in which units and individuals with various roles and functions (including organizers, procurement owners, bidders, bid evaluators, approval agencies, approvers, supervisors and inspectors, etc.) Work in an orderly manner on the same platform and in separate spaces, without time and geographical restrictions.

The E86 Procurement Management System

is based on the Bidding and Bidding Law, integrates the practical experience of bidding and bidding in China, and realizes the electronic management and operation of the entire procurement process. It is suitable for All procurement projects of engineering construction, goods purchase and service outsourcing. It can also be used for the disposal of waste and backlog materials. The entire complex procurement process, including project establishment, tendering, tendering, bid opening, bid evaluation, bid award, contract management, project management, acceptance settlement, and quality deposit payment, can be realized online, perfectly integrating the concept of procurement and bidding with Internet technology. , price and quality have completely broken through the traditional procurement and bidding management methods, maximizing the interests of the purchaser while saving a lot of time and expenses for the suppliers.

The counter-bid procurement platform of E86 Procurement Management System

is an online bidding procurement management platform where suppliers and suppliers and buyers do not meet each other, allowing suppliers to Merchants can participate in procurement bidding remotely. Bidding procurement, also known as anti-auction procurement technology (RAT), is a procurement method that organically combines procurement bidding and online bidding. It replaces previous negotiation and public relations with e-commerce, helps buyers discover sellers to the maximum extent, triggers competition among suppliers, significantly reduces procurement costs, and effectively changes the procurement process. It is of epoch-making significance for enterprises. Risk-free purchasing aid. In traditional bidding and procurement, suppliers always strive for the highest price while ensuring winning bids. Moreover, due to factors such as long ratios, price comparisons, bidding processes, and the fact that suppliers meet each other, it is easy to create price alliances among suppliers. , so it cannot provoke repeated bidding from various bidders to the maximum extent, thereby reducing the room for price reduction, resulting in insufficient price reduction of purchased products; and RAT technology is formulated by the purchaser based on the different characteristics of industrial purchased products

Product quality standards

, bidding rules,...gt;gt;

Question 9: What does the long tail market mean? The bulge in the middle of the 5-point normal curve The part is called the "head"; the relatively flat parts on both sides are called the "tail". New competitiveness From the perspective of people's needs, most of the needs will be concentrated in the head, and this part we can call it popular, while the needs distributed in the tail are personalized, scattered and small-volume needs. And this part of differentiation, a small amount of demand will form a long "tail" on the demand curve, and the so-called long tail effect lies in its quantity. Adding up all non-popular markets will form a more popular market. The market is still big.

Question 10: What is the relationship between the long tail effect and marketing? Let’s take a look at this first and understand what the long tail is. In short, it is a bunch of laziness behind the giant.

zhidao.baidu/question/16775706?fr=qrl3

This is purely a marketing thing. It is a research direction in marketing. It is not closely related to communication. Of course, you can write about long-tail marketing communication strategies and so on. Once you understand the above things, talk to your mentor. The advantage of writing about things that your mentor doesn’t understand is that it’s easy to get through, because he can’t find any problems at all.

Of course, if he just doesn’t want you to see that you don’t understand and refuses to let you write, then you have to communicate with him, otherwise he will pick out a bunch of things for you instead of writing something he understands. Question comes.

It doesn’t matter what you write in your paper. What matters is the relationship between you and your supervisor. This is the situation in China.