One exceptional case of the ‘Long Tail’ economic model representing digital media is Netflix. According to Kevin McDonald, “the long tail signifies the growing importance of niche markets and the subsequent shift from exclusively relying on massive successful commodities to more modestly successful commodities that generate value over longer periods of time” (McDonald, 2016, 205).

Digital technologies have fundamentally changed media consumption by diminishing production and distribution costs. By extension, this change allows for the funding of what previously seemed like niche content, which in aggregate generates substantial cumulative profits. While the cable, video, and DVD rental industries traditionally existed under long tail economics, Netflix distinguished itself by applying new technology more smartly.

Netflix crossed the conventional boundaries of the media industry with its strategic innovations. By eliminating the intermediary role of networks, Netflix was able to invest directly in original programming, inspired by successful models from HBO and AMC. This holistic approach allowed for more production at significantly lower costs, thereby promoting an efficient ecosystem of content.

Netflix’s content strategy is deliberately set out to stimulate viewer engagement. Both commissioned and acquired programming will have a higher propensity for encouraging longer viewership via their interactive and clean interface. Passive consumption of media becomes a more personalized and unique experience.

Embracing the long-tail model helps Netflix shape not only our conception of media but also our experience of its consumption, proving that diversity and specificity can be as economically benignant as the mass content offered to a mainstream audience.

McDonald, K. (2016). Digital Media and Communication. London: Sage Publications.

33776336

Oliver Frieze