The Formula of Business: Pareto Law and strategies for business success

Most people when they think about creating an online business think about creating a product, selling it and hope to get enough capital to finance their next product idea. This kind of thinking is short-term, and does not lend itself well to long-term business. When you stop and think of a long-term business model, whether it's online, offline or a mix of both, you really need to think about the big picture. What's really needed is a method to capture potential customers, turn them into small-time customers, and gradually turn them into customers who spend more with you in terms of three factors: frequency, monetary value, and timeliness. In terms of frequency, I think it's obvious that we want them to spend more money on our business on a more regular basis. In terms of monetary value, we would like every change to be greater, and we would like you to spend more per shift. When it comes to current affairs, ideally we should buy last week instead of five years ago. This is what makes a customer fresher who is more likely to buy back soon, promoting the other two features I just specified. There is also a fourth quality that is rarely discussed. We don't care how they buy from us, they only buy from us. However, some distribution channels are cheaper than others. Ideally, then, the media, or the method you used to bring the sale, becomes increasingly important. So how do you turn a product-to-product mentality into a prosperous long-term business? Well, to begin with you need to have a viable business model. And part of that business model should include the "marketing funnel. This is where it comes in.