A Study on Internet Entrepreneurship Based on the Long Tail Theory - Innovative Management in Information and Production - page 220

2.6 The Formation of the Long Tail Phenomenon

Has Changed the Demand Patterns

Previously, the consumer demand is convergence, relatively single. Now, consumer
demand is gradually developed towards personalization and diversification.

3 Suggestions on Internet Entrepreneurship Based

on the Long Tail Theory

3.1 Using Internet and Other Information Technology to Get

Large-Scale Customization and Reduce Customers'
Buying Cost

Customization is the mode of production in the agricultural society; in industrial
society, customization is the opposite of mass production. In the information
society, customization once again becomes a major high value-added mode. In the
traditional economy, customization is difficult to achieve, the demand is too small,
and there are diseconomies of scale. But information technology has changed
production conditions; small-scale production can achieve the cost level that
only mass production can do, sometimes even lower. Currently, the Internet is
developed rapidly, people can use the Internet to start up business. Depending on
the network, distribute product information and find sales leads. Once the customers
have interests, they provide designs. After designs are recognized by customers,
manufacturers place an order for outsourcing company.
Therefore, in Internet entrepreneurship, treat consumers who have the personality
preferences as individual, regard popularization as substitute for mass market, and
reduce the operating costs of enterprises.

3.2 Focus on Online Advertising, Filter Information

for Customers, and Reduce Marketing Costs

For current consumers, what they lack is not the access to products but how to
effectively obtain the required product information. Use the Internet, by selling
degree rankings,by price rankings, by comment rankings, according to the manufac-
turer and other function, to obtain a clear and concise information to help customers
filter and get the information they want.
Therefore, in the process of Internet entrepreneurship, paying attention to the use
of recommending information can be a powerful tool in the process of marketing.