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Long tail effect 长尾效应
Long tail effect ——张丽芬 Outline 1 Definition 2 Origin 3 Application 4 Conclusion 1 Definition Statistical meaning: A larger share of population rests within the tail of a probability distribution. Economic meaning : Products in low demand or that have a low sales volume Products in low demand or that have a low sales volume can return a lot of profits through reducing marketing and distribution costs. 2 Origin Chris Anderson ?1946 Has been studied by statisticians ?Has been used in the finance and insurance business ?1950s Studied by Beno?t Mandelbrot ?2004 Was popularized by Chris Anderson 3 Application ?Online business（网上交易） ?Mass media (大众传媒) ?Micro-finance （小额贷款） 3 Application About halt of Amazons profits come from obscure books that are not available in physical stores. 3 Limited kinds Large demands of each kind Various kinds Limited demandsof each kind profits profits Hits Long tail 3 The long tail is a potential market , and the distribution and sales channel opportunities created by the Internet often enable businesses to tap that market successfully. Hits Long tail 4 Conclusion ?Long tail can also bring investors a large scale of profits. ?Long tail effect is not always applicative. Thank you !
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