80-20 Rule in MLM
I was fighting an uphill battle in my first 2 years in MLM until I learned one of the most important rules in the world.
The 80-20 rule!
This is commonly known as Pareto’s Principle and is one of the most fascinating laws in the world.
Vilfredo Pareto (1848 – 1923) discovered in 1896 that 80% of the land in Italy was owned by 20% of the people.
This principle was later found to be true in almost all areas of life!
80% of the wealth in the WORLD is held by the top 20%.
80% of our daily traffic comes from 20% of the day.
80% of the software bugs are found in 20% of the code.
It’s amazing how it applies to almost everything but let’s focus on how to use it to grow you network marketing business.
80-20 Rule in Your MLM Activity
20% of what you do will give you 80% of your results.
So what are the 20% that you should be doing?
The Top 20% MLM activities are :
Meeting new contacts
Communicating with your team
If these activities are the top 20% that means you must be doing more of them!
The more you do the top 20%, the more money you make.
The opposite is also true.
80% of your activity gives you ONLY 20% of your income.
So that means you must do LESS of these.
Things like sorting business cards, entering contacts into database, admin tasks, running errands, etc.
The more you do these 80% activities, the LESS money you make.
Let’s break this down even further.
80-20 Rule in MLM Prospecting
20% of your prospects will be seriously interested in the business.
Note I did NOT say join. I just said “interested.
The rest of the 80% will NEVER be interested.
These same 20% prospects will be the ones that help you earn more income so you need to spend MORE time with them and less time with the 80%.
That’s why prospecting is a sorting business.
Never make the 1st Deadly Mistake in MLM Prospecting and try to convince everyone to join. You’re just wasting time on the 80% that contribute little to your income.
Your motto should be “Tell me yes, tell me no, but tell me FAST cause I got to go!”
Go find the top 20%.
80-20 Rule in MLM Leadership and Duplication
20% of your downlines will create 80% of your volume.
Cause most MLM distributors don’t do much.
STOP wasting time on the 80% that contribute only 20% of your volume!
Time is valuable and something you never get back so make sure you work with people that DESERVE your time and NOT NEED YOUR TIME.
Stop worrying when most of your downlines don’t do much.
They’re not supposed to do much.
They’re the 80% that contribute to only 20% of your volume.
Don’t waste valuable time on the 80% but you can still support them by doing weekly trainings and big events but they just don’t deserve your 1 on 1 time.
Focus on the Top 20% that give you 80% of your results.
So who are the Top 20% that you need to focus on?
80-20 Rule for Your Customers
Go run a report on your customers.
I guarantee that 80% of your customer product sales come from your top 20%.
Most of your customers (80%) contribute little (20%) of your income.
So let me ask you, which customers should you invest all your time to take care of?
Not all customers are equal!
Go identify your top 20% and make it a goal to service them better.
80-20 Rule in Self Development
We’re lucky to live in a time where you can learn anything you want.
But it can also be a curse.
Some of you may like to jump from book to book or read random things online.
It’s important to also understand the 80-20 Rule when it comes to your personal development.
20% of what you learn will contribute to 80% of your income this year.
So what should you learn?
You should focus your learning on the area you are MOST WEAK at right now.
If you are weak at prospecting, then invest this ENTIRE year on learning how to prospect and sell better.
Go read every book on sales including ones I recommend here.
Purchase every prospecting course out there including my S.O.W. SPONSORING SYSTEM.
Just focus on the ONE weak link in your business and if you do that, it will increase your business by 80%.
That’s not to say you shouldn’t read anything else.
Other topics help too but if you focus on topics that’s not your weakest skill, you’ll be increasing your income by 20% instead of 80%.
80-20 Rule in Productivity
20% of the time you spent will create 80% of your productivity.
We have limited energy and the 80% of your day will contribute to only 20% of the results.
Do the MOST IMPORTANT things when you have the most energy!
Save the admin work and emails when you’re tired and not as motivated.
Applying 80-20 Rule to MLM
The 80-20 Rule has had the MOST PROFOUND effect in my business and personal life.
I apply it in EVERY decision I make.
Before I do something I always ask myself is this a 20% task that will give me 80% of my results?
If yes, I do it.
If not, then I skip it.
Apply this today and you’d be amazed at the results you get.
Comment below and let me know how you plan to apply the 80-20 rule this week.