1. The Long Tail Theory
Chris Anderson (2006)
VIDEOGAMES
Lauren, Martin and Shannon

2. What Is The Long Tail
Theory
• The long tail theory
(Anderson, 2006) describes how
the introduction of the internet
has affected and transformed
economics, commerce and
consumption within all of the
types of media platforms.

3. …
•It focuses on how
online shops (such as
Amazon) supply
products to niche
markets.

4. …
• The „shelf life‟ of these
products is
unlimited, whereas high-
street shops tend to sell the
more in-demand
products, and soon replace
products that were once in
high demand with newer

5. …
• Businesses usually choose the Internet as a
way of displaying their products, as they can
show a vast amount of products on their
websites, where customers can narrow down
their choices, which you are unable to do in high
street shops.
• Due to the online age people are turning to
shopping via the web due to the range of

6. Video games and the long
tail theory
• With the online age and the
introduction of technology video
games are becoming more and more
popular as there are many devices you
are able to download and play video
games on such as smartphones, next
generation consoles and handheld
consoles.

7. …
• Not only can you buy video game in
shops but with the introduction of
online distribution services you are
able to download games straight to
your device, for example Xbox Live
offers a wide range of video games
available as a digital copy where a
hard copy is not available.

8. …
• As digital downloads is now common
within video games it‟s now a lot
easier and cheaper to distribute a
wider range of video game
titles, therefore targeting niches in
the market.

9. Example
• One of the biggest online retailers of video
games is a service named Steam owned by
a video game developer company Valve.
• Steam offers over 1600 titles for sale all of
which can be bought through the use of the
Internet.

10. …
• This service is very popular as there are not post
and packaging fees and unlike all high-street
retailers it has no limits in terms of shelf space.
• This online store also offers a selection of „Indie
Games‟ which are not developed by mainstream
video game companies, this helps the company gain
reputation as it‟s targeting niches within the
market where high-street shops such as Game
cannot reach.

12. Growth of video game
industry
• Although online retailers offering games to niches in the
market and becoming more and more popular, physical
copies are still the form of choice for most gamers.
• Mr Griffith quoted US market statistics which showed that
between 2003 and 2007 sales of movie tickets fell by 6%; the
number of hours of TV watched dropped by 6%, sales of
recorded music slumped 12% and purchases of DVDs
remained flat. “Over the same four-year period, the video
game industry grew by 40%.Video games are poised to
eclipse all other forms of entertainment in the decade ahead"
he said.
• More can be read at:
http://news.bbc.co.uk/1/hi/technology/7821612.stm

13. evaluation
In conclusion the long tail theory relates to
the video game industry as, although there are
high street shops such as Game stocking
mostly popular games, there are many online
shops, such as the one mentioned previously
“Steam”.

14. …
• That sell both hard and
downloadable copies of not only
popular games, but games aimed
at niche markets, as shown with
the “Indie Games” category on
the website.

15. …
• Although the video games industry generally
conforms to the long tail theory, there are
statistics to show that, even all the less
popular games attracting niche markets are
not anywhere near as in demand as more
popular games such as Grand Theft Auto, Call
of Duty and Fifa, which are not only available
in hard copies but also on means such as
Xbox Live, enticing a larger audience
altogether.

16. …
• Therefore, although
the video games
industry does have
a niche online
market more often
than not this media
platform contradicts
Chris Anderson‟s
theory.