Friday, November 06, 2026

Scared of a big decision you've sat on for weeks? Porter's Five Forces gives SME owners a five-question test built for strategists, simplified for you.

You know the feeling. Half your customer list drains you — the haggling, the late payments, the "can you just" emails at 6pm — and you genuinely can't tell, without pulling up the spreadsheet, which ones are actually worth the trouble. So you treat them all the same, because singling anyone out feels unfair, and your best hours go to your worst-fit customers by default.

Here's the number that usually ends that guessing game: for most SME owners, somewhere between five and ten per cent of their customers generate close to half their revenue. You don't need more customers. You need to know which ones you already have are worth building the whole business around.

I've coached 200-plus businesses one-on-one across 30-plus industries, and the grading conversation is almost always the one that changes the most, the fastest.

The Enemy: Treating Every Customer As Equally Worth Chasing

"Be nice to everyone" is good manners and bad sales strategy in the same sentence. Sales trainer Chet Holmes, who built his reputation running sales systems inside major US corporates before writing The Ultimate Sales Machine, put it bluntly: you can't be all things to all buyers and expect to dominate any one group of them. Spreading your best effort evenly across a customer base that isn't evenly valuable is how good owners end up exhausted and underpaid.

One Client, 123 Customers, 8 That Mattered Most

A client of mine had 123 customers on the books. When we graded them properly, eight of those customers — the top tier — were generating $266,240 of the business's $630,220 in revenue. Not half the customers. Not a third. Eight, out of 123.

Nothing changed about those eight customers that week. What changed was that the owner finally knew who they were, and started protecting that relationship on purpose instead of by accident.

Grading Your List: The First-Hour Version

  • Pull last year's revenue by customer, sorted highest to lowest — a basic export, nothing fancy.
  • Mark your top 10%. That's your A list. Work out what they actually have in common: the work, the margin, the referral behaviour.
  • Mark the bottom 20% by drain, not revenue — the ones costing you time, goodwill or margin out of proportion to what they pay.
  • Redesign your week so your best hours go toward finding more of your A list, and your worst customers either get a price rise, a boundary, or a polite exit.

"Kevin doesn't just present — he electrifies the room and drives massive, real-world value! He drops game-changing insights and actionable shortcuts that show businesses exactly how to turn everyday customers into raving, loyal fans — and acquire new ones faster than ever thought possible."

— Gareth Bayliss, Sales Manager, The Icehouse

Why Owners Who Know Their Numbers Still Chase Everyone

Most owners who see this grid immediately know which of their customers belong where. The obstacle is rarely insight — it's that saying no to a paying customer, even a draining one, feels like turning down money. It isn't. It's redirecting the same hours toward the version of this business that's actually profitable to run. That redirect is easier with someone outside the business holding you to the decision once you've made it.

Key Takeaways

  • Pull last year's revenue by customer and sort it today — it takes under an hour.
  • Identify your top 10% and what they genuinely have in common.
  • Flag your bottom 20% by drain, not just by revenue.
  • Redirect your best hours toward finding more customers like your A list.

This isn't for you if you'd rather keep every customer happy than find out which ones are actually worth keeping happy. It is for owners ready to see the grid, even when it's uncomfortable.

You could spend next quarter chasing more leads. Or you could spend one afternoon finding out you already have the customers worth building around — and start treating them that way.

If you've never graded your customer list by what it actually earns you, that's the first thing we'd fix together.

Saturday, October 31, 2026

63% of US small businesses say word of mouth is key to new customers. Here's how to build that into a system that still works when you're not personally chasing it.

Saturday, October 31, 2026

68% of US owners have delayed a major decision purely from fear of getting it wrong. Here's the 15-minute premortem test that gets you unstuck before you spend another dollar on it.

Friday, October 30, 2026

UK SME owners now spend almost twice as long on admin as on growth, per a fresh 2026 survey. Here's the three-step Weekly Execution Audit Kevin uses to help owners flip that ratio.

Friday, October 30, 2026

Only 30% of US owners finished 2025 with profits above expectations, down from 57% the year before. Here's the real reason growing revenue stopped meaning growing margin.

Friday, October 30, 2026

43% of US owners have hidden business stress from their own family. Here's why carrying it alone is the actual problem, and why Kevin hired his own coach.

Friday, October 30, 2026

If your business stops the moment you do, the problem isn't your team. It's how many of their problems you're still quietly carrying. Here's the fix, from a 1974 HBR classic.

Friday, October 30, 2026

One client had 123 customers. Eight of them delivered 42% of total revenue. Here's the A-B-C-D grading system that tells you which customers actually matter.

Friday, October 30, 2026

Nearly three in ten US owners name unpredictable demand as a top stressor. Here's the always-on marketing system (RACE) that replaces the feast-and-famine cycle.

Friday, October 30, 2026

If a prospect asked what makes you different, could you answer in one sentence? Here's the three-question positioning map that gets you there before your next pitch.

Thursday, October 29, 2026

Most sales die at silence, not at no. Here is how to build a first AI agent for sales follow-up in five steps, with a human in charge and NZ privacy and spam rules covered.

Thursday, October 29, 2026

AI speeds up whatever you point it at. Here is how to match it to the one link in your business that is actually limiting growth, before you spend on tools.

Thursday, October 29, 2026

36% of NZ SMEs use AI, but the smallest firms trail by 34 points. Here is a four-question test for choosing your first AI job, and a 30-day plan.

Thursday, October 29, 2026

Nearly half of SME owners say their business doesn't have a money problem — it has a time problem. Here's the 90-day Freedom Plan to fix it.

Thursday, October 29, 2026

A business with four equal customers loses 25% of revenue the day one leaves. Here's the customer-concentration math most SME owners never run, and three moves to fix it.

Thursday, October 29, 2026

A lot of owners try the wrong format, see no shift, and decide coaching doesn't work for them. Here's what a peer room is actually good for, what 1:1 coaching is actually good for, and a 3-check way to pick.