You might have spent an hour or two awake at night, wondering how to make your business succeed. We live in a competitive age. You’re no longer just competing against the business across the street. Your competitors might be five states away or halfway across the world.
Yes, businesses have become omnipresent with the rise of the digital age. And with that, competition has exploded.
Not all small-business owners come up with a once-in-a-century unicorn, life-saving idea. Sometimes, your product might be a commodity. And that’s perfectly fine. We need those! It’s okay to model things that are known to work rather than trying to reinvent the wheel. We all do it at some point..
But with so much noise out there, how can small businesses stand out? How do you go from just surviving to truly thriving?
The answer is simple. But we’ll get there.
Over the years, I’ve seen many small businesses fail. According to the BLS, about 50% of small businesses fail in the first five years. In ten years, that number jumps to around 70%.
Those are not great odds. If your doctor told you you had a 50/50 chance of living another five years, would you be okay with that? Most likely not. You’d probably take her advice, start eating better, and start a new workout regimen.
Now, apply that notion to your business. Would you be comfortable knowing there’s only a 50% chance you’ll still be in business five years from now?
Many struggling small businesses blame their industry for their lack of success. Or the economy. Or technology. Or heck, even AI. Maybe the market is just coo competitive, the margins are too tight, and advertising just doesn’t work anymore…
And while some of that may be true (sorry, Xerox and Blockbuster), blaming external forces won’t fix the problem.
Ever wondered why some small businesses fail while others succeed, even when they sell the exact same thing?
Because running a business takes more than just knowing your craft. You have to be good at running the business itself.
Remember, technical skill does not a business owner make.
A big part of success is knowing where to invest your time.
Spending hours tweaking a logo design or color palette might feel productive. Same with personally handling shipping logistics or doing your own bookkeeping. These tasks matter. But are they the best use of your time?
When it comes to business operations, prioritizing tasks is everything.
One great tool to help with that is the Pareto Principle, or the 80/20 rule. Vilfredo Pareto was an Italian economist who noticed that 80% of the land in Italy was owned by 20% of the population. This rule holds true for just about anything in life, not just land.
For instance:
- Most people wear 20% of their wardrobe 80% of the time
- 80% of wealth belongs to 20% of the population
- 80% of revenue often comes from 20% of customers
Simply put, 80% of your time only produces 20% of your results.
Wow.
This isn’t a math lecture. It’s a wake-up call. If only a small portion of your actions drives most of your success, why not focus on the high-impact tasks?
That’s the best-kept secret of successful business owners. They prioritize what moves the needle. Think about it: you can always make more money, but can’t make more time.
And by far, the most powerful leverage point in any business is marketing.
If 20% of your time drives 80% of your results, marketing should absolutely be part of that 20%.
Done right, marketing doesn’t just make noise. It brings in leads, builds authority, and fuels growth. It’s one of the few parts of your business that work for you even while you’re asleep.
Why is marketing so important? Because that’s where the money is.
So, what exactly is marketing?
Allan Dibb explains it best, without any jargon:
“If the circus is coming to town and you paint a sign saying ‘Circus Coming to the Showground Saturday,’ that’s advertising.
If you put the sign on the back of an elephant and walk it into town, that’s promotion.
If the elephant walks through the mayor’s flower bed and the local newspaper writes a story about it, that’s publicity.
And if you get the mayor to laugh about it, that’s public relations.
If the town’s citizens go to the circus, you show them the many entertainment booths, explain how much fun they’ll have spending money at the booths, answer their questions, and ultimately, they spend a lot at the circus, that’s sales.
And if you planned the whole thing, that’s marketing.”
Marketing is the strategy that gets your ideal customers to know you, like you, and trust you enough to buy from you.
The videos, ads, and podcasts you associate with marketing are just tactics.
Many small businesses get stuck here, chasing the newest trends, like TikTok, reels, and cold emailing. But if you don’t know what your tactics are trying to achieve, they won’t get you very far.
That’s why it’s crucial to understand the difference:
- Strategy is the plan.
- Tactics are the tools you use to execute that plan.
Without strategy, you get stuck overthinking.
Without tactics, you never take action.
But tactics without strategy? That’s how business owners waste time chasing every shiny new object.
You need both, but strategy must come first. It should guide your every move.
Now, you might be thinking: “If I have a great product or service, do I really need marketing?”
Yes. Yes, you do.
Not having any marketing would make for a terrible business strategy.
Not even the best product will sell if no one knows it exists.
Marketing is how people find you.
Customers only discover how great your product is after they buy. So, yes, product quality helps with retention. But marketing is what drives acquisition.
You can’t retain someone you never acquired.
So, start putting your product out there. Focus your time on the things that matter. Build a real strategy.
And remember:
Knowing and not doing is the same as doing and not knowing.