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Long Tail versus Traditional Retail


Traditional retail mortar must have hundreds of products disregarding the space, the demand, the interest.

To be strtegic we can just say that traditional retail economics dictate that stores only stock the likely hits, because shelf space is expensive whereas online retailers (from Amazon to iTunes) can stock virtually everything, and the number of available niche products outnumbers the hits by several orders of magnitude. Those millions of niches are the Long Tail, which had been largely neglected until recently in favor of the Short Head of hits.

Let us take the example of books and music.
Amazon and other networks of used booksellers have made it almost as easy to find and buy a second-hand book as it is a new one. By divorcing bookselling from geography, these networks create a liquid market at low volume, dramatically increasing both their own business and the overall demand for used books.
On other hand taking Itunes for a music example we can notice that opinions are still mitigated. Even though 99 cents per track works out to about the same price as a CD, most consumers just buy a track or two from an album online, rather than the full CD. So from a label perspective, consumers should pay more for the privilege of purchasing à la carte to compensate for the lost album revenue.

Understanding Long Tail theory can help us see the world of tomorrow. Whether we are for or against it, in business world we must always look at the most appropriate way of optimizing space and time which are equivalent in a sense to money.

Hope you liked my analysis. I will be looking forward to your comments.

More info about Long Tail theory on the following links :
Long Tail by Chris Anderson
Wikepedia
Wired Magazine

ECO FRIENDLY SPIRIT

The Marriott Hotel in Brussels create a greener approach to meetings. The average three-day meeting at a Marriott hotel attended by 1,000 people produces more than 12 tons of trash, uses 200,000 kilowatts of power and consumes 100,000 gallons of water. As of next year, our Marriott hotels in Brussels will offer meeting planners a ‘Green Meeting Package' option which introduces a series of meeting products that are eco-friendly and will help guests and meeting planners reduce their environmental impact. In addition to this, Marriott International is building on an aggressive environmental strategy by adding new elements to green its meetings.

The Green Meeting Package option will include products and services such as:


- 100% post-consumer fiber writing pads and recycled flipchart paper.
- Bic Ecolutions® pens made from recycled content and biodegradable (Marriott purchases 47 million pens per year)
- Access to recycling containers in or near meeting rooms in our Brussels hotels
- Meeting rooms set with water service in pitchers or coolers rather than glass bottles
- Seasonal food and menu options
- Linen-less banquet buffet tables and meeting room tables
- Free parking in our Brussels hotels for Hybrid cars

No one wins a race to the bottom

We can make 2010 a step forward on the road to recovery for the hotel industry if we embrace the notion that price is not the only important thing to consumers, and understand that racing to the bottom is not a productive long-term strategy for success.


As the hospitality industry continues to deal with the challenges presented by the economic slowdown, franchisees and franchisors alike are working hard to persevere, adapt and navigate through this unprecedented landscape. For some, it can be tempting to respond to low occupancy levels by not only cutting costs, but also reducing rates in an attempt to drive business to their specific hotel. This often then creates a downward spiral as other local hotels undercut rates in an effort to respond.

While this strategy may be the intuitive response in the face of what is proving to be a deep and persistent recession, market area and industry wide rate reductions do have a counterproductive impact. This situation is reducing industry and hotel revenues and is draining needed cash flow from hotels and the brands. The industry, owners, local governments, lenders and employees are all bearing the negative impact.

Get the full story at HotelNewsNow.com

Yes, Facebook is a business tool

Much the same way a power company connects homes and businesses with electricity, Facebook is a "social utility" designed to facilitate connections between people as well as businesses. Accordingly, it can be highly useful as a business tool.
A Facebook Public Profile (aka a Facebook Page) is an ideal place for businesses to establish a beachhead within the social network. It is, also, one of the most overlooked.
Many companies use other parts of the platform (Groups and personal profiles, in particular) to set up a presence, but they never bother to create a Public Profile.
One possible reason may be that Facebook lists Public Profiles under the advertising category, which may lead people to believe it is a premium feature. It’s not. Businesses can set up a Public Profile at no cost.
Facebook Public Profiles, which mimic user profiles in design and function, allow users to express their support of your business by adding themselves as fans. They can write on your Wall, upload photos and videos, and join other fans in expressing opinions on topics introduced in discussion groups.
Get the full story at MarketingProfs.com

ABC Luxe 18/11/09

La capitale du Liban veut redevenir une vitrine du luxe. Surnommée le « Paris du Moyen-Orient » dans les années 50 et 60, la ville a été détrônée depuis par Dubaï. Mais selon Guillaume Boudissau, de la société de conseil immobilier Ramco : « Le luxe grignote davantage d’espace et s’étend comme une tâche d’huile ». L’implantation de grands noms tels Dior ou Louis Vuitton en sont des preuves. Prochainement le centre-ville inaugurera ses anciens souks où se mélangeront des marques grand public mais aussi d’autres enseignes telles Yves Saint Laurent ou Vivienne Westwood. Pour Tony Salamé, PDG d’Aïshti - groupe libanais qui a le plus de contrats de franchise dans le luxe - : « Beyrouth va devenir une destination de choix jusqu’à récupérer sa place d’ici à deux ans. »

Itrain + Freemium = MORE REVENUE

The idea is to get Itrain as a Fremium Business model where people can get free snapshots of the programs.
The snapshots would be a 2 minutes overall view of each program, the ones interested will have to become "itrainees premium" in order to get access to the program in full.

Premium subscription per program :
24hrs access : 6$
72hrs access : 12$
One week access : 35$
One month access : 99$

Full Premium subscription :
24hrs access : 15$
72hrs access : 25$
One week access : 65$
One month access : 150$

The Itrainees Premium Community will be offered each month a special exclusive program.

Itrain Presentation

Itrain

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