In the late 1800s, Italian economist Vilfredo Pareto noticed something odd while studying wealth distribution. He found that 80% of Italy’s land was owned by 20% of the population.
The same pattern showed up in his garden: 20% of the pea pods produced 80% of the peas.
This became known as the Pareto Principle — or more commonly, the 80/20 Rule. Over time, people realised it applied almost everywhere:
- 20% of customers generate 80% of revenue
- 20% of tasks drive 80% of results
- 20% of problems cause 80% of headaches
For freelancers, consultants, and businesses, this is more than an observation. It’s a strategy.
Why most of your effort is wasted
The 80/20 Rule shows that not all effort is equal. Most of what you do doesn’t move the needle. A small part of it does almost all the heavy lifting.
- In client work: A few projects bring in most of your income.
- In marketing: A few channels drive most of your leads.
- In productivity: A few tasks account for most of your progress.
The problem is that without noticing, we spend most of our time on the 80% that doesn’t matter much.
How to use the 80/20 Rule in your business
- Identify your “vital few.” Look at your clients, projects, or tasks. Which ones give you the biggest return? Protect them.
- Cut or delegate the rest. If a task doesn’t create value, stop doing it or give it to someone else.
- Focus your pricing on the 20%. Charge for the things that deliver the most impact, not the long list of extras.
- Review regularly. The 80/20 split isn’t fixed. Check often to make sure you’re still focused on the right few.
The takeaway
Pareto’s insight is over 100 years old, but it’s still one of the sharpest tools in business. If you want to grow faster, work less, and earn more, don’t spread yourself across everything.
Find the 20% that matters — and double down on it.