Undermining the 80/20 Rule

Pareto’s 80/20 principle is typically a good rule of thumb for everything, from the most popular revenue generating products to figuring out the most effective use of our time.

But in the ad driven and stumbleupon world, the 80/20 gets skewed; there’s tons of products that get heavily promoted combatted by tons of products that people randomly discover.  Both paid and organic media drive a lot of hits.  Youtube videos are the perfect example of this.

Chris Anderson’s long-tail theory empowers the mass of niches against the hit, especially for free stuff like videos on Youtube.  And Pareto’s theory is a good way to look at what’s actually driving revenue.

Make everything available and see what happens.

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By Wells Baum

Wells Baum is a daily blogger who writes about Life & Arts. He's also the author of and four books.