Long Tail: The potential of niche markets in the digital age

The long tail is a concept that was originally coined by Chris Anderson and describes the importance of niche markets in digital commerce. Instead of focussing on just a few bestsellers, companies can generate significant sales through the large number of products that have a low but constant demand. Especially in digital markets where inventory costs are low, companies can capitalise on the potential of the long tail to reach a wider audience and create a sustainable source of revenue.