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(PDF) Goodbye Pareto Principle, Hello Long Tail: The Effect of Search Costs on the Concentration of Product Sales
Many markets have historically been dominated by a small number of best-selling products. The Pareto principle, also known as the 80/20 rule, describes this common pattern of sales concentration. However, information technology in general and Internet markets in particular have the potential to substantially increase the collective share of niche products, thereby creating a longer tail in the distribution of sales. This paper investigates the Internet's "long tail" phenomenon. By analyzing data collected from a multichannel retailer, it provides empirical evidence that the Internet channel exhibits a significantly less concentrated sales distribution when compared with traditional channels. Previous explanations for this result have focused on differences in product availability between channels. However, we demonstrate that the result survives even when the Internet and traditional channels share exactly the same product availability and prices. Instead, we find that consumers' usage of Internet search and discovery tools, such as recommendation engines, are associated with an increase the share of niche products. We conclude that the Internet's long tail is not solely due to the increase in product selection but may also partly reflect lower search costs on the Internet. If the relationships we uncover persist, the underlying trends in technology portend an ongoing shift in the distribution of product sales. This paper was accepted by Ramayya Krishnan, information systems.
longtail  pareto  8020 
9 weeks ago by bartcelona
Prioritizing the Long-Tail of Performance
« For a long time, the average or median metrics were the default ones our industry zeroed in on, but they provide a distorted view of reality. »
longTail  webperf  clevermarks  RUM  todo:link 
june 2018 by nhoizey
RT ¿Qué son las long tail en o palabras clave de “cola larga”?
SEO  longtail  from twitter
november 2017 by downhillmarketing
RT ¿Qué son las long tail en o palabras clave de “cola larga”?
SEO  longtail  from twitter
november 2017 by downhillmarketing
Meet the Orwells, trying to make it big in a music industry turned upside-down | The Washington Post
Today, less than 1 percent of songs represent 86 percent of the music streamed, according to the market research company Nielsen.

It wasn’t supposed to turn out like this. A decade ago, industry insiders talked of digital distribution’s “long tail,” where any musician could be discovered through the sharing power of the Web, even if they didn’t make it to the top of the charts or record companies ignored them. Now that’s changed.

“That’s the thing that baffled me about streaming: It was supposed to be any band can be the new ‘it band,’ ” said David Bakula, a senior vice president at Nielsen. “It’s actually turning out to be the opposite. The rich are getting richer.”
longtail  music 
june 2017 by whimsley
Business Applications Development & Database Solutions | QuickBase
QuickBase - The fastest way to manage your business information and processes. Easy database applications when you want them. Built for teams.
computing  management  business  Applications_and_Resources  Databases  groupware  information  longtail  Online_Applications  project 
may 2017 by otlib
This is especially true for health related searches. Pay attention to the #LongTail https://t.co/eSOWH0VI6G
LongTail  via:packrati.us 
march 2017 by EdBennett

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