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Saturday, 06 September 2008
 
 

The 80/20 Rule of Marketing

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The 80/20 Rule of Marketing

If you want to make big profits running a big or small business, then it is important to remember one of the golden rules of customer relationship marketing-the 80/20 Rule. This rule proclaims that you should spend at least 80 percent of your marketing budget persuading customers you already have successfully sold to once to come back for a second helping. Only 20 percent of your business should be spent on outreaching efforts to new customers, because studies have shown that finding new customers provides less return on your investment then marketing to old customers.
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