Some of the long tail searches appear to have recovered today, but not all - not by a long shot.
Interestingly this site advertises around 6-7 brands of widgets, and the ranking issue is isolated entirely to the 2 most popular brands of widget.
For these two brands Google definitely prefers the small, specialist sites over a single site that offers multiple brands (not in all cases - sites which offer all brands are thrown into the mix at random).
Even the industries biggest site is now struggling to achieve consistent rankings.
The results are very random, and very messy.