MindValley Labs Internet Marketing Blog

There is an interesting discussion that we have been following and participating in regarding consumer choice.  There are two parts to this equation:

First, we have been living in an age where choice is exploding and the Internet further accelerated this trend.  That is why one of the top books on this topic is called: "The Long Tail: How Endless Choice Is Creating Unlimited Demand"

I firmly agree with the power of the long tail and that more choice is driving more consumer demand.  If you read The Long Tail, you will find lots of examples that support this analysis.  They talk that the power of search and great online navigation is making it easier to offer more, especially when the costs of offering more choice have almost fallen to zero.  That is a very compelling argument and definitely very true when you look at choice from a consumer point of view.

So, at an aggregate level I largely agree with Ilya Grigorik when he writes about "The Non-Paradox of Choice."  However, what is true in aggregate at the consumer level is not true for you, the small entrepreneur that wants to get started and become successful online.

First of all, if you are new to the Internet, it is far easier to create a very compelling website that focuses on one or very few products than on many products.  Lots of challenges disappear. 

• You don't have to worry about findability - search & navigation
• You can focus on one very clear message and go straight for the benefits

Lets pick one market for example, the Internet Marketing space.  Here, you could offer many products or create one page focused on just selling one product. 

The laser focused site will be far easier to build and to market (online marketing can be very targeted) and within this one category you can achieve very good sales.   For example, we rather go and build a niche site such as www.AdWordsSystemExposed.com than to try to build a store offering many Internet Marketing products. 

Of course, not every market is created equal but if you are new to the Internet, I think you will do yourself a favor by focusing first and then expanding later.  Even then, expanding by building lots of niche sites might be a better strategy. 

That does not mean that consumers don't like choice.  They have almost infinite choice when they start searching on Google but by the time they find your site, you should have a very clear, focused, and simple website that articulates the benefits and leads customers down a path to buy from you.  If Often, you can do that most effectively by focusing on only one or a few items. 

This is especially true if you are new to the Internet. 

In Summary:  More choice makes consumers happy but offering less choices on your website will make it far easier for newbies to become successful online marketers.

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About the Author

Prior to MindValley Media, Mike was the Head of New Ventures Strategy at eBay where he conceived of the strategies that led to the investment in Craigslist, the launch of Kijiji.com and the acquisition of Skype. Mike has an MBA from Stanford and previously worked for the Boston Consulting Group. He is also a certified Google AdWords Professional.

Check out other posts by Mike Reining

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