Making Money on the Internet - Can Less be Better than More?

Online services like Netflix are giving Blockbuster a terrific run for its money. In fact, some experts believe Blockbuster may have to file for bankruptcy sometime within the next six months.

The problem for Blockbuster is that it has to be a mass marketer and stock DVDs that will appeal to the largest number of people possible. On the other hand, Netflix is both a mass marketer and a niche marketer. Because it can offer more than 25,000 tiles (vs. Blockbuster's 3,000 DVDs), it has films for both those who want the really popular new releases and those with special interests. In fact, Netflix says that nearly 20% of its sales/rental are now coming from these "unpopular" special interest titles that are not available at the off-line stores.

Another example of this is Amazon.com It has found that nearly 25% of its sales now come those "unpopular" special interest books that are not available at brick and mortar stores.

What lesson is to be learned from this?

What this suggests to me is that one good path to success for an Internet marketer is not to compete with the big boys, but to sell less