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Distribution = delivery & monetization

The long tail is often used to describe UGC sites such as YouTube. While this may be correct statistically, it is often used out of context. UGC demonstrates the statistical characteristics of a long tail distribution as plotted on a graph, but it doesn’t demonstrate any business or economic traits that are typical of long tail distribution as it applies to commerce. The word “distribution” in entertainment lingo connotes two things: physical delivery and monetization. UGC lacks inherent monetization opportunity. If a piece of content can’t be sold in some capacity on its own, the long tail theory of distribution will never work because profitability will always be zero or less. Read this article here.

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