Hey Reader

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Unless you've been living under a rock, you know the 80/20 rule...

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Wha? You don't know?

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Sigh...

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Alright, fine. Let me explain.

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The 80/20 rule was discovered by Italian economist Vilfredo Pareto in the early 1900s.

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He realised that 80% of the wealth in England was held by 20% of the population.

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But author Richard Koch popularised the principle even further by showing how it could apply to other areas of life.

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20% of freeways get 80% of the traffic.

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20% of customers make 80% of the purchases.

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20% of runners win 80% of the races...

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Etc etc, you get the idea...

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When Koch stumbled upon this principle, he began applying it to his life and work.

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It's the reason he was able to go from working 60 hours a week as a management consultant making six figures... to being worth over a billion dollars while working just one hour per day.

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To put it simply, his approach is all about less is more.

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I like to think of the "less" as the fundamentals you, as a founder, gotta focus on to grow your business.

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And putting your efforts into those fundamentals brings the "more" into your business.

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Because lots of founders get their tail stuck in a wheel, spinning in circles trying to figure out the magic levers they can pull to make it rain...

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Instead of focusing on what actually moves the money needle in their business.

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And that can be the difference between building a profitable business and one that slowly runs itself into the ground.

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So, what are these fundamentals I'm talking about?

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Well, every business is built around three principles.

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1. Acquire new customers.

Through ads, content, events, whatever gets more customers through the door.

2. Get them to buy more.

Get them to spend more per order.

AKA, "You bought the burger. Want some fries?"

3. Make them buy again and again.

This is the lifetime value (LTV) of a customer: how much they spend with you over time.

You sell them more of what they want, give them reasons to come back, and turn one-time buyers into repeat customers.

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That's it.

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If your strategy is built around these fundamentals, you're giving your business a much better shot at growing profitably.

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​These are your 80/20 rules.

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I enforce this idea with all my clients and whoever hops on a call with me.

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These are the things I investigate and suggest them build the strategies around:
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• How to acquire more customers.
• How to increase AOV.
• How to increase LTV.

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These are your North Star.

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Everything else is noise.

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Hope this helped.

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Your friend,

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Elton Korpuzi