Our simple strategy for knowing what’s important.

Bookkeeping, getting organized, researching long-term systems and processes, learning new software and tools, looking at the competitive landscape, thinking about [fill in the blank]. These are all examples of non-revenue-driving activities where many overwhelmed entrepreneurs are spending 80% of their time.

All of these activities feel productive and some are truly important.

At the same time you might be trying to figure out the ONE thing that will make your business work better, get you more clients, and make everything easier.

As The Good Shop in Mauritius grew into a known organization, we had exciting opportunities open up. I was constantly being asked to attend meetings or address issues that seemed important. It felt hard at the time to say ‘no’ or ‘not right now’, but I had learned a few things in my years as a parent, event planner, and business owner - you have to have a guide for what is important. You have to have an internal decision tree as things come at you. 

From my early career in sales and then when I owned my women’s clothing boutique my internal decision tree started with: “Is this directly contributing to revenue?” 

The ONE thing that will bring you success in your business is focusing your time on revenue-driving activities: activities that directly contribute to increasing your revenue aka money in the bank!

Let’s break down what revenue-driving activities are, why they should be your primary focus, and how to align your efforts to see lasting results. We’ll also explore some practical steps and strategies to ensure you're spending time on the right things.

The Three Key Areas of Your Business

Product, Marketing and Sales

When you look at your business as a whole, it can be helpful to think in terms of three main areas.

1. Product.  Your product is the foundation of your business. Without it, there’s nothing to market or sell. This area includes the creation, production, delivery, and continuous improvement of your product or service. You need to ensure that your product solves a real problem for your target audience and that it consistently meets their needs. This will set the stage for effective marketing and sales. If you’re in a knowledge industry, your product is your consulting services, deliverables, or sessions.
2. Marketing. Marketing is creating demand and building awareness around your product. It’s a crucial activity because, without visibility, even the best products won’t succeed. Marketing involves building trust, forming relationships, and delivering value ahead of time. Whether you’re using social media, networking, content marketing, or email campaigns, the goal is to attract people to your brand and nurture them until they’re ready to buy.
3. Sales. Sales is where the magic happens—this is where you convert potential customers into actual buyers. It’s about making offers, explaining the value of your product, addressing customer objections, and guiding them toward a purchase decision. The key to effective sales is offering solutions that genuinely solve problems. And remember, sales isn’t about pushing your product on anyone—it’s about helping people understand if your product will provide more value than the price they pay.

Focus on Revenue-Driving Activities: The 80/20 Rule

Now, let’s dive into the heart of the matter: revenue-driving activities. As an entrepreneur, it’s crucial that 80% of your resources—whether that’s time, money, or team efforts—are directed toward delivering and improving your product, marketing, and sales. These are the areas that will bring in the money and fuel your business’s survival and success.

The reason for this is simple: no revenue means no business. While operations and management are important, without a strong product that people want, effective marketing to build awareness, and a sales strategy to close deals, your business won’t be able to sustain itself. So, if you find yourself getting stuck in operational tasks, you need to shift your focus.

Why Product, Marketing, and Sales Matter Most

Think of product, marketing, and sales as the engine that keeps your business running. A business with the perfect product but no marketing won’t sell. A business with fantastic marketing but no sales process will struggle to close deals. A business with a solid product, marketing, and sales strategy will still falter if it doesn’t have strong operations and management to support it.

In the beginning, it’s all about getting the word out, making sales, and improving your product based on real customer feedback. If you dedicate most of your resources to this, the systems and operations will fall into place as your business grows.

Revenue-Driving Activities in Practice

How do you know if it’s a Revenue Driving activity? Let’s break them down. 

1. Product Development and Improvement (Product)

If your product isn’t excellent, you’ll eventually lose your competitive edge. Whether you’re adding new features, improving the quality of your product, or making it easier for customers to use. Without a great product - you don’t have a business.

Continuously working on your product to better meet customer needs should be a priority. 

Question to ask yourself: Is this activity directly improving the experience or outcome of my product for my customer? How soon will my customer feel the benefits of this activity?

2. Building Brand Awareness (Marketing)

Brand awareness is the first step in the marketing funnel. You need to introduce people to your business and build trust before they’ll consider buying from you. This can be done through content marketing, networking, paid ads, and even word of mouth. The more people who know about your brand, the higher the chances of converting them into customers down the line.

Question to ask yourself: Is this activity directly increasing awareness of my product or brand with a potential client? How many people will become more aware?

3. Lead Generation and Nurturing (Marketing)

Once people are aware of your product, you need to nurture them into interested prospects. Offering free resources, creating email campaigns, and staying in constant touch are all essential marketing activities. The more valuable content you provide, the more likely it is that people will move forward in the funnel.

Question to ask yourself: Is this activity helping a potential client with a problem they have? 

4. Sales and Conversion (Sales)

When it’s time to close, your sales process needs to be efficient and customer-focused. From consultations to follow-up calls to final offers, every step of the sales process should be designed to help prospects see the value of your product. You’ll want to make sure that your sales tactics align with customer needs and that you’re addressing any objections they may have.

Question to ask yourself: Am I asking someone to buy my product or helping them decide to buy with this activity?

But it’s December, and I’m so ready to be done for the year. 

If you’re reading this when we’re writing it - in December 2024 - you are likely counting down the days to the end-of-year holiday. You might be wondering “How in the world am I going to get everything done?”

There’s a reason we are sharing this now. We are going to get you ready for next year by showing you how to work in sprints, set goals, and prioritize all your activities in 2025. 

Before we do all of that...  What is the best use of your time this month?

Well, depends on your business…

1. Consumer product-based business (ie. December is a big sales month)

If you are in retail or sell a product where your sales increase this time of year. It’s time to focus 80% of your time on your Sales and Conversion activities. Clear everything else from your calendar and brainstorm what else you can be doing in the next 2 weeks to increase your sales. What would be fun and creative? Focus on the audience you already have built, rather than trying to create new awareness of your brand and product. 

With the other 20% of your time, you can start your 2024 audit.

2. Everyone else (ie. December is not a big sales month)

Stop striving, time to get ready to rest and reset. With the time you have left in the year, get a head start on 2025 by auditing 2024. 

• What worked this year? What didn’t go so well?

• When you think about Product, Marketing & Sales, which areas did you make meaningful progress this year? What activities helped move the needle forward?

• Clean up your finances and finalize your bookkeeping for the year so you can review your annual report. Did most of your expenses go toward Product, Marketing, and Sales? What percentage?

• Do a resource check. How are your supplies, inventory, and equipment? How’s your team? Are you dragging to the end of the year? How’s your cash position? Where are you well resourced (again, time, money and skills)? Where are you less resourced?

Up Next: 

• How to use Revenue Driving Sprints

• Goal Setting for 2025

Stay tuned!