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The Business Model Navigator, 2nd Edition
book

The Business Model Navigator, 2nd Edition

by Oliver Gassmann, Karolin Frankenberger, Michaela Choudury, Michaela Csik
August 2020
Intermediate to advanced
425 pages
11h 12m
English
Pearson Education
Content preview from The Business Model Navigator, 2nd Edition

Chapter 28

Long Tail

Little and often fills the purse

A coal truck on one rail track and a freight train on another track.

The pattern

The Long Tail business model concentrates on selling small quantities of a very large range of products, in contrast to a ‘blockbuster’ model (WHAT?) offering large quantities of a small range. Although Long Tail offers narrower margins and lower volume sales of individual products, profits are significant over the wide range sold in the long run (VALUE?). The Long Tail pattern disregards the classic 80–20 rule, whereby a company generally earns 80 per cent of its profits from the sale of just 20 per cent of its products. With this model, mass and niche products can generate ...

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Publisher Resources

ISBN: 9781292327143