Table of contents
1. How 80/20 Works and Why
- 80/20 applies to everything in the world that has positive feedback, from the income of 7 billion people to the Forbes 400.
- Almost everyone talks about average, but average equals mediocrity. The 80/20 power curve is about results.
- Top performers are not twice as good as average performers. They are more like 100 times better.
- Everything that really matters in business isn’t linear, it’s exponential. 80/20 is about power laws. Powers of 10. Always think in multiples of 10.
- 80/20 is everywhere you look; you can’t do anything about it because it’s a law of nature. all you can do is decide if you want to let it work for you or against you.
- The 80/20 power curve is the most important chart in any business
- The power curve is true whether you’re looking at 10 people or 10 billion.
- Your top job as an 80/20 marketing professional is to move resources from the left to the right of the curve. (Offering bigger opportunities).
2. Racking The Shotgun
- Send 1 calculated signal that most ignore, but a few respond.
- That move, someone else might make it, you just have to then watch.
- This separates that 80% from the 20%.
- Before spending precious time/money on any sales, marketing, or business endeavor, you need to rack the shotgun.
- People are self-identifying as the right targets or the wrong targets for you 24 hours a day.
- It’s not just about customers; it’s about everything that makes money change hands: product lines you choose to sell, web pages you optimize, systems, etc.
- Pareto Summary
- “Rack the shotgun” means triggering your audience and seeing who responds.
- Before betting time/money, must rack the shotgun.
3. You Can Do Better
- If you can spend 80 percent of your time in front of the right people, you can triple your income.
- Direct marketing, if he spent his time and money on racking the shotgun and paying attention to whose head whipped around, and rejected cold calling, he’d
- Spend far more time having actual conversations with qualified prospects
- They’d respect him much more