---
title: "Five Mysterious Numbers Related to Marketing"
description: "This article introduces five mysterious numbers related to marketing: the golden ratio for optimal pricing, the 250 rule, the 78:22 universal law, the 1% rule for sales mindset, and the 80:20 rule. Each principle is explained with practical applications and examples."
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# Five Mysterious Numbers Related to Marketing

> This article introduces five mysterious numbers related to marketing: the golden ratio for optimal pricing, the 250 rule, the 78:22 universal law, the 1% rule for sales mindset, and the 80:20 rule. Each principle is explained with practical applications and examples.

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Five mysterious numbers related to marketing: 1. The most suitable price = (highest price - lowest price) × 0.618 + lowest price; 2. The 250 rule: behind every customer, there are roughly 250 relatives and friends; 3. The universal law: 78:22; 4. The 1% rule: any sales method that achieves a 1% success rate is considered normal and reasonable; 5. The 80:20 rule: 80% of sales performance is completed by 20% of people.

**The First Mysterious Number: The Golden Ratio.**

**Principle:** The ratio of the whole to the larger part is equal to the ratio of the larger part to the smaller part, i.e., 1:0.618.

**Application:** In the market, we often shout the slogan "good quality and low price." In reality, we know that "good quality" means "high price," and "low price" means "inferior goods." So, how do we find the point where "good quality" and "low price" coincide? This requires the golden ratio. That is, when the same product has multiple varieties (or brands) and multiple prices, the most suitable price = (highest price - lowest price) × 0.618 + lowest price. This is the true combination point of "good quality and low price." At the same time, in practical application, we must pay attention to the selection of the highest and lowest prices. For example, I once did market research on the automatic washing machine market. Most washing machines are priced between 2,500 and 5,000 yuan, but the highest-end washing machine can sell for over 30,000 yuan per unit. However, the market share of this high-end washing machine is less than one in ten thousand, and the actual high-priced part is not the washing machine itself but its mahogany outer frame. If we mechanically apply the rule and use 30,000 yuan as the highest price for the washing machine industry, it would be inappropriate. Conversely, the same applies to the selection of the lowest price.

**Example:** In the market, we see that the same product sells the most not at the highest or lowest price, but at a "moderate" price. After analysis, this "moderate" price is often the "most suitable price" we mentioned above. Therefore, we see many companies developing a "multi-brand" strategy. In simple terms, a "multi-brand" strategy is a "multi-price" strategy. Even with a single brand strategy, they develop high, medium, and low-end products within one brand. This is essentially searching for the "most suitable price" for the product. Because whoever owns the "most suitable price" for the product owns the most consumers and the largest market share.

I clearly remember that when I was a regional manager at a company, I used this pricing strategy. Based on our predetermined most suitable retail price, we derived the product's cost price, and then arranged for our over 100 specialty stores to prioritize purchasing products close to the cost price. Now, the two best-selling product series in these stores are the ones selected at that time, and they are also the two series that contribute the most to the company's profits.

**The Second Mysterious Number: The "250" Rule.**

**Principle:** Behind every customer, there are roughly 250 relatives and friends, and these people have similar numbers of relationships. Therefore, offending one customer may result in losing dozens, hundreds, or even more potential customers. Conversely, it can have an equally large positive effect.

**Application:** American sales psychologist DeGroot said, "The key to sales success lies in understanding the following point: if the customer does not recommend you to others, then your sales work is not truly finished." It seems that when contacting customers, we should be good at leveraging the diffusion effect. In specific operations, we might classify customers and then focus on retaining current customers and searching for prospective customers.

**Example:** In large supermarkets or specialty stores, we often see customers at a certain counter or product asking for a specific person by name, because they were referred by a customer who previously bought the product, and that previous customer bought it from that specific person. So, they also want to buy from that person. I remember when I was a branch manager at a listed company specializing in refrigerators, I specifically set up an award for the salespeople in the stores: the more sales of refrigerators that came from referrals by old customers, the more likely they would receive the branch manager's special award. Later, I also suggested this to the heads of the home appliance departments in several shopping malls, and they all adopted it, setting up special awards for the department heads, outstanding salesperson awards, and so on.

**The Third Mysterious Number: The Universal Law.**

**Principle:** Smart Jews believe that everything in the world exists in a 78:22 ratio. For example, the ratio of nitrogen to oxygen in the air is 78:22, and the ratio of water to other substances in the human body is 78:22. 78% of the world's wealth is always in the hands of a minority of 22% of people, while 78% of ordinary people only hold 22% of the wealth.

**Application:** 78% of a product's sales revenue is always in the hands of a minority of 22% of large distributors (agents). Therefore, when selecting distributors (agents), we must focus on those few large distributors (agents). Their strength is strong, and their credit status is good, enabling a strong alliance and creating a win-win situation, laying a solid foundation for ensuring the completion of sales tasks. Of course, the 78% of distributors who only hold 22% of sales are also our customers, achieving joint sales and meeting multi-level consumer needs.

**Example:** When I was doing home appliance products, there were many large distributors. In the early years, there were national hardware and chemical companies, department stores, etc. In recent years, there have been rising players like Beijing's Gome Electrical Appliances, Dazhong Electrical Appliances, Nanjing's Suning Electrical Appliances, Five Star Electrical Appliances, Shandong's Sanlian Electrical Appliances, Chongqing's Chongqing Commercial Group, Heilongjiang's Black Swan, etc. These are all large distributors (agents) from various periods. Many home appliance companies have even set up dedicated key account departments or major customer departments for these large distributors, and appointed senior marketing managers as department heads to specifically dialogue with these large distributors.

**The Fourth Mysterious Number: The 1% Rule of Sales Mindset.**

**Principle:** In the sales process, there will always be many obstacles, including internal factors from oneself and external factors caused by customers. However, any sales method that can achieve a 1% success rate can be considered a normal and reasonable ratio.

**Application:** Sales is enthusiasm, is battle, is diligent work, is patience, is persistent pursuit, is the devil of time, is courage, is smile, is persuasion, is encouragement, is thick skin, is communication, is service, is going out, is providing answers, is business sensitivity, is selling oneself, is auctioning oneself, is attitude grafting. As long as these can achieve one victory in a hundred opportunities, it is a reasonable ratio. I believe that the concept of marketing is to go out, and the center of sales is persuasion, which is the monopoly right obtained through persuasion; the skill of persuasion is adaptability, and the core of adaptability is to build a psychological and physiological bridge between the customer and the product. The essence of various sales techniques is nothing more than this.

**Example:** Since graduating from university in 2000, I have received numerous trainings. One that left a deep impression was about "correct mindset, never give up." I still remember some classic lines: The company's marketing strategy is broken down into small marketing indicators during execution. To complete these indicators, customer visits are necessary. Customer visits are a complex task; in fact, they are a game of probability. Even if the success rate is only 1%, you must put in 100% effort. Therefore, our sales personnel should not only carry forward the "Four Thousand Spirit": travel thousands of miles, endure thousands of hardships, say thousands of words, and think of thousands of ways, to strive for successful visits; but also cultivate the highest state of mind of "it's all my fault": "Customer rejection is my fault, because I lack sales skills; because I lack foresight; because I cannot provide good service to customers..." to summarize lessons from failed visits. As long as you can develop the "Four No's" mindset towards customer rejection: "not afraid, not avoid, not complain, not discouraged," you will be one step closer to successful customer visits. Finally, use the "Eighteen Dragon Subduing Palms" to resolve customer objections and close the deal.

When I was in marketing management, I often went deep into the front lines to inspect work. When communicating with frontline sales personnel, I always asked two classic questions: First, which salesperson has the highest mobile phone bill? Second, which salesperson has worn out the most leather shoes? Usually, the salesperson with the highest phone bill and the most worn-out shoes is the one with the best performance and the most potential. They are also the ones I promoted the most. Facts have proven that these salespeople I promoted are now developing very well.

**The Fifth Mysterious Number: The 80:20 Rule.**

**Principle:** 80% of the good things in the world are owned by only 20% of people, such as money, land, reputation, status, health, education, beauty, etc.

**Application:** In the marketing world, there has always been an experience: 80% of successful sales cases are caused by salespeople making more than 5 consecutive visits; 48% of salespeople often give up after the first visit; 15% of salespeople retreat after the second visit; 12% of salespeople retreat after the third visit; 5% of salespeople give up after the fourth visit. Only 20% of salespeople's performance accounts for 80% of all sales performance.

**Example:** When I was the general manager of a sales company at a company, I asked the sales department to do a specific statistic. Please look at the vivid statistical data:

1% of sales are completed after the first contact,
2% of sales are completed after the first follow-up,
5% of sales are completed after the second follow-up,
12% of sales are completed after the third follow-up,
80% of sales are completed after the 4th to 11th follow-up!

Based on the statistical results, the sales department made a statistical report. Here is an excerpt from the report:

Follow-up work makes your customers remember you. Once customers take action, they will think of you first.

The ultimate purpose of follow-up is to form sales, but the form is definitely not the often-heard "What do you think?" "Do you want to buy now?" etc.

In addition to paying attention to systematization and continuity, we must also pay attention to the correct strategy:

Adopt a more special follow-up method to deepen the customer's impression of you; find a beautiful excuse for each follow-up; pay attention to the interval between two follow-ups. Too short will make customers annoyed, too long will make customers forget. The recommended interval is 1-2 weeks; each follow-up should not reveal your strong desire to close the deal. Adjust your posture, try to help customers solve problems, understand what your customers are thinking recently, and how their work is progressing.

Remember: 80% of sales are completed after the 4th to 11th follow-up! In the cold and enthusiastic marketing world, your sales performance requires you to follow up again and again.

Daonong recently opened a public account specifically about how traditional enterprises can do WeChat marketing. If you are interested, you can follow it. Search for the WeChat ID above or scan the QR code below to follow.

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