Defining a sweet spot is probably one of the most difficult aspects of growing a business. The sweet spot is the group of customers that best fits what the company wants to grow. Most companies take on customers initially because they need the business to grow, regardless of the profile of those customers.
Soon, several customer groups emerge, including one that is not suited to what the company offers or its values. As is often the case, the 80/20 rule applies. 20% of customers make 80% of the profits. Which means that some customers bring no profit to the company. malaysia whatsapp data
This could be because they are too demanding, for example, and this over-demanding nature could be due to the fact that the company's services do not actually fully match their needs. Paul's solution may seem radical. He suggests getting rid of some of these customers, who are actually holding back the company's growth.
Paul uses a prosaic analogy. They want champagne at the price of beer, which makes them difficult to support. for all teams in the company, from sales to technical support.
The sweet spot is therefore this other series of customers, who are on the contrary very profitable for the company. Their activity is in perfect correlation with that of the growing company.