This 90/10 rule holds true in almost anything financial. Take the game of golf, for example. Ten percent of the professional golfers make 90 percent of the money.
There are always a half-dozen things that make 80%of the difference. Only SIX things!
Marketing, and the whole firm, should devote extraordinary endeavour towards delighting, keeping for ever and expanding the sales to the 20 per cent of customers who provide 80 per cent.
The important thing is the 80/20 rule: 80% of the effects come from 20% of the causes. This means that if you're doing ten tasks, two are going to be vastly more important than others.
Which 20% of sources are causing 80% of my problems and unhappiness? Which 20% of sources are resulting in 80% of my desired outcomes and happiness?
The 80/20 principle - that 80 percent of result flow from just 20 per cent of the causes - is the one true principle of highly effective people.
80% of the results come from 20% of the causes. A few things are important; most are not.
If eighty percent of your sales come from twenty percent of all of your items, just carry those twenty percent.
