Long Tail Businesses

Chris Anderson writes:

There are, as it happens, three main long tail businesses: filters, aggregators and producers.

–Filters: Here, as I wrote in the preceding post, I think filters are the key to a working long tail market and that people make the best filters, giving such trusted tastemakers the effective power of a brand.

–Aggregators: The best of these, such as Amazon and Google, have built their brands on the power of their filters. Yet these filters–from Google’s search algorithms to Amazon’s recommendations–are nothing more than the wisdom of the crowds, the statistically measured opinions of millions of, yes, people. That’s why we trust them.

–Producers: Not much change here. As much as the TV networks, music labels and movies studios have tried to build their own brands, it’s always been mostly about the individuals stars, shows and talents. Now, in an emerging era of infinite channels where talent can find an audiences regardless of how it’s distributed, this will be even more true.

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Rajesh Jain

An Entrepreneur based in Mumbai, India.