Chris Andersons‘ “The Long Tail” is one of those great books that articulates a shift in economics and society even as it is underway.

An argument within the book is that the blockbuster hits we’re accustomed to are a function of the technology and economics of producing, promoting and distributing goods and services, rather than people’s inherent enthusiasm for identical, formulaic entertainment (and other goods and services).

He’s right of course. And this weekend I got to participate in one of the greatest long tail events in the city (in my opinion): the International 14 National Championship. A race of high performance, 14 foot sailboats.

No more than 100 people came out to watch, but those that did got to see wild sailing in 20 knots of wind that gusted into the 30s. Boats careening around the course off Shilshole, punctuated with regular capsizes, broken masts, ripped sails, boats on rocks, beaches, and wherever else they crashed home. For those of us who competed in the event, we got a thrill ride that just can’t be beat. And one that you couldn’t pay 99% of the population to participate in. Long live the long tail!

Pics of the event aren’t available yet, but www.i14.org gives a feel for the boats.

Our office space is great. Not just because it’s $7 per square foot, triple net — It’s got character!

What it doesn’t have is heat. It’s a mild setback. Most of us added another layer of clothing and carried on. Heavy wool sweater and wool hat for me. Mike had his hooded sweatshirt that looked pretty warm.

Unfortunately for Chris, he didn’t dress warmly enough. So, he did what any good entrepreneur would do: For lunch he went to Mae Phim’s and ordered a cup of hot tea along with the lunch special — 5 stars, as hot as they’ll make it. (That had him down to short sleeves for the better part of the afternoon.)

Then he got to work getting the heat turned on. Nice work, Pierard. One more job title…

Recently I was describing our business to an astute investor. As we talked about the business — the social network aspect in particular — it became clear how broadly this term is used when describing web-based businesses. Yet these businesses can be dramatically different.

In order to clarify our strategy, I coined a new term: “Social Reference Site.” I did some quick searching, and didn’t find this terminology in use. In fact, I didn’t find much discussion or good terminology for articulating the different ways in which websites are including social networks as a part of their product. In response, I’ll put forward the term “social reference site” and how it differentiates from more traditional social networks.

Social Reference Sites (SRS)

• Reference sites replace “content directories”
• High value for non-participants
• Majority of traffic from search engines is common
• Small clusters of users add significant value and have their own social interactions within the directory site

Social Networks (SN)

• Sites replace a communication vehicle
• Low value for non-participants
• Majority of traffic from direct navigation
• All users add value

The following table shows the distinction between them. Note that the “displaced product” category is a substantial simplification, but speaks to the core value proposition that drives most traffic. Also, these example sites are illustrative only.

I’m interested to hear others thoughts on this…