Whoever has will be given more and they will have an abundance. Whoever does not have, even what they have will be taken from them – Matthew 25:29

 
 
Every day we see the 80/20 rule at work inside our client’s advertising accounts.

Firstly it’s already fascinating that this principle holds true, regardless of client or industry.

What’s even more fascinating is that the 80/20 Rule holds true at every scale for every client in any industry:

  • 80% of Ad Group results are caused by 20% of Keywords
  • 80% of Campaign results are caused by 20% of Ad Groups
  • 80% of Network results are caused by 20% of Campaigns
  • 80% of Account results are caused by 20% of Networks
  • 80% of Platform results are caused by 20% of Accounts
  • 80% of Agency results are caused by 20% of Platforms

Google has even developed an algorithm to internally rank Certified Partner Agencies, so if we were to extrapolate the 80/20 rule further, we could very safely assert that 80% of Global Advertising results was delivered by 20% of Agencies.

For those prepared to go one level deeper, my mentor Perry Marshall, points out that the 80/20 rule is fractal within itself.

Within the 20% of factors that cause the 80% of results (ie. the vital few), there is yet another 80/20 rule at play – 20% of the 20% cause 80% of the 80%, or more simply, 4% of factors cause 64% of results.

The secret to maximising results therefore, is to continually identify and skew resources towards the vital few causes – taking resources away from the trivial many.

Regardless of whatever level you choose to apply the 80/20 rule, the same truth remains.

Whoever has will be given more and they will have an abundance.

How can we help?

Not many people know this but the word ‘Crisis’ in Chinese is actually made up of 2 characters, one means Danger and the other means opportunity.

Although we are going through this crisis, this current situation can force us to come up with better and more efficient processes, internal collaborations and better leaderships.

If you need help with your Online Ads, reach out to us here: https://intnt.nl/hello

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