Resource: We’re still clueless about lifetime value
When a business loses a customer, the cost is for a lifetime. That lost customer not only represents future revenue not gained, but future referrals not made. The reverse is also true. The cost of continuing to work with a toxic client can have lingering effects that erodes your company culture over the long haul.
“If an Apple upgrade breaks your phone and you switch to Android, it costs Apple more than $10,000. If you switch supermarkets because a clerk was snide with you, it removes $50,000 from the store’s ongoing revenue.”
“The short-term impact (plus or minus) of our work or our errors is dwarfed by the long-term effects. Compounded over time, little things become big things.”
Resource: Why are you doing?
Whatever you choose to do, own it.
If you want something superficial, own it. If you want something spiritual, own it. Owning it isn’t about being dogmatic about the rightness of what you want, it’s about admitting the truth to yourself and refusing to be a victim about the tradeoffs involved in your decision.
“if you really want to make a lot of money, you need to admit that. If you really want to be famous, you need to pursue that. If you really want freedom and no responsibilities, or to learn as much as possible, or whatever else, you need to realize it and embrace it. But whatever you decide, you need to optimize for that, and be willing to let go of the others.”
“You can’t diffuse your energy, trying to do a little bit of everything, or you’ll always be in conflict with yourself. For example, one way to make money is to take on a lot of responsibility, which means letting go of some freedoms. One way to get famous is to let others make more money, while you take the spotlight. I learned this living in Los Angeles, when I was friends with some famous Hollywood actors, and realized they’re not as rich as you’d think. The richest people in Hollywood are the ones you’ve never heard of, because they’ve optimized their career for money. They know others are willing to take less money in return for more fame, so they profit from the other side of that deal.”
“Maybe the most important thing to you is learning, or creating, or giving. Maybe it’s how many people’s lives you can influence. Maybe it’s how deeply you can influence just a few people’s lives. Once you realize it and admit it, you need to pursue it.”
“But whatever you choose, brace yourself, because people are always going to tell you you’re wrong. That’s why you need to know why you’re doing what you’re doing. Know it in advance. Use it as your compass and optimize your life around it. Let the other goals be secondary.”