Magic 100, 1,000 True Fans and the long tail

I’ve been re-reading an awesome book, The Ultimate Sales Machine, by Chet Holmes.  He speaks about the Magic 100 list and the very important need to get the list moving.  He also has a name for this method -"The Dream 100 Sell."

Kevin Kelly(KK), remarking on the stuff which come out in a classic by Chris Anderson, The Long Tail, speaks about something which helps me draw an analogy here.  He is speaking about the 1,000 true fans.  To help you get it – “long tail is a retailing concept describing the niche strategy of selling a large number of unique items in relatively small quantities – usually in addition to selling fewer popular items in large quantities”. 

I’ve had the experience of speaking to prospects who have a this question when I ask them about scaling up – “We are happy with what we got and with what we sell. We are not forecasting anything bigger, Thanks for your time, anyways”.

Look at the long tail pictured below:

KK says: “To raise your sales out of the flat line of the long tail you need to connect with your True Fans directly.  Another way to state this is, you need to convert a thousand Lesser Fans into a thousand True Fans.”

The region marked in RED is the place where one hits a blockbuster( Jackson’s JAM).  The orange is all about niches but less money.  So, instead of going the Red or Orange way, try getting the 1,000 True Fan number.  If I were an artist and sold something worth $100 and did this 3 times a day for a year.  That’s 100K a year.  Imagine selling to 3 fans per day.

The True fan is defined by KK as – “Assume conservatively that your True Fans will each spend one day’s wages per year in support of what you do. That "one-day-wage" is an average, because of course your truest fans will spend a lot more than that.  Let’s peg that per diem each True Fan spends at $100 per year. If you have 1,000 fans that sums up to $100,000 per year, which minus some modest expenses, is a living for most folks.”

Posted by Digvijay “VJ” Singh Rathore

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