80/20 Rule

Jan 12, 2022

The Power of the 80/20 Rule

If there’s one rule that can completely shift how you approach your business strategy, it’s the 80/20 Rule—also known as the Pareto Principle. It’s simple:

80% of your outcomes come from just 20% of your efforts.

Whether you run a nonprofit looking to boost donations or a growing business aiming to scale, the 80/20 rule is a game-changer. It helps you focus on what actually drives results, so you stop spreading yourself thin and start doubling down on the things that matter.

Finding your 20%

The first step? Identify the critical 20% that’s driving most of your success.

  • Clients: Which customers bring in the majority of your revenue?

  • Services or programs: Which offerings are most profitable or have the highest impact?

  • Marketing: Which channels or campaigns are generating most of your leads?

  • Operations: Which processes keep everything running smoothly with minimal effort?

If you take the time to analyze your business or organization through this lens, you’ll almost always find clear patterns. A few core clients, services, or actions are delivering most of your outcomes.

Letting go of the rest

It’s not always easy to step back from the other 80%—the services, processes, or marketing experiments that take up time but don’t really move the needle. But that’s exactly how you free up energy, budget, and focus to pour back into the 20% that truly drives growth.

Applying it to strategy

When we build strategic plans for clients, the 80/20 rule is always in the room. It guides decisions like:

✅ Where to focus funding proposals or grant applications
✅ Which services to expand, and which to quietly phase out
✅ What marketing channels to prioritize
✅ Even how to structure teams or workflows for maximum efficiency

Because at the end of the day, a solid strategy isn’t about doing more—it’s about doing more of what works.

Final takeaway

If you want to simplify your business or nonprofit strategy today, ask yourself:

“What’s the 20% creating 80% of our impact or revenue?”

Then build your plan around it. That’s where sustainable growth really starts.

Need help applying the 80/20 rule to your organization?
We’d love to talk. [Book a strategy session with us] to see how you can streamline your efforts and scale what works.

Ready for transformation?

Ready for transformation?

Ready for transformation?