The marketing lecturer at EAE Business School gave us an overview of the importance of the concept of long-tail marketing and how it has evolved over its 10-year lifespan, within the framework of the Focused Program held at EAE’s Barcelona Campus. “We spent a large part of the 20th Century using the famous Pareto principle, battling to create “super successes”, with hard competition and denying the importance of the “strange”, he explained.
In the past, markets were segmented arbitrarily, communicating on a mass scale, create false excitement about feeling like a special consumer and blocking everything that was inefficient. However, the Pareto Principle no longer works, argued the lecturer in marketing at EAE Business School, adding that long-tail marketing is essentially a matter of “working and focusing on cultivating business with lots of products at a lower volume”.
Enrique Obregón emphasized the empowerment of the masses and the lack of physical space nowadays, which has led to the creation of new needs and businesses, such as Amazon, “where the company reaches everywhere through competitive prices”. In the expert’s opinion, one of the forces driving the change is the democratization of the tools of production, such as digital video cameras, blogging tools, video editing software, etc. “with anybody nowadays being able to create a product and/or write”.
The Marketing lecturer at EAE Business School explained the benefits of this type of marketing: “less competition, greater capacity to generate a reputation in the niche market, more capacity to stand out and be the best, while reducing the economy of scarcity and being appreciated emotionally”. Moreover, he gave advice on what companies should do nowadays to adapt to the new reality. Firstly, he recommended modifying stocks and letting the customer for the work. “It is not a question of outsourcing but rather letting the crowds do the work”, he explained, adding that a single method of distribution is not enough. An omni-channel approach is required because there are customers who like to visit a company, while others prefer to shop online”.
Obregón also emphasized that a single product is not enough and “a single price is not enough. We have to share information and trust the market to do its job”, adding that “in abundant markets, it is not a matter of guessing what to sell, but simply offering something and taking measurements rather than making predictions, embracing the power of free mechanisms”.
In his presentation, he also explained current concepts such as cross-channel marketing, ubiquity, engagement, buzz marketing and viral marketing, “because all are now used to sell a product or service well”. In addition, he highlighted the importance of content and concept in order to stand out.
What should we do then? Boost brand recognition, “to promote memory and its messages, measure and verify the scope, focus on traffic by create examples on social media, for instance, to send users to a destination on or off Facebook”.
Lastly, the Master lecturer emphasized interaction, designed with the objective of ensuring more people seeing the posts and interacting with them. “We also have to take video reproductions and catalogue sales of products into account”. Moreover, the expert reminded the participants that, when taking action and establishing PPC and SEO strategies, “we have to focus on long-tail keywords that have less competition”.