The well known 80/20 rule says that 80% of your business comes from 20% of your products and if you cut out the 80% and concentrate on the 20%, 80% of the sales of remaining products will come from 20% and so on.
This is one reason why the internet is wonderful for small businesses. While the big companies are chasing the 20%, you can go 'under the radar' and make a business out of the other 80% by targeting niche markets.
There are two problems which I find when trying this approach with our own website Your Life Your Style. Firstly, it can be a lot of administration for a small number of sales. You spend the same amount of time loading up text and imgaes whetehr a product sells in the ones or the thousands. Secondly, to reach these niche markets with key words, links, social networking and Google AdWords is very expensive in time and money for the return. But, as we have found, if you get it right there are enough crumbs to make a decent loaf.
By the way, the 80/20 rule applies to all sorts of aspects of life. For example, iIt seems most of us only use 20% of the clothes in our wardrobe 80% of the time.
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