𝐓𝐨𝐨 𝐌𝐮𝐜𝐡 𝐂𝐡𝐨𝐢𝐜𝐞 𝐢𝐬 𝐚 𝐁𝐚𝐝 𝐓𝐡𝐢𝐧𝐠 I'm sharing some CEO experiences in a few short stories, hoping you'll find a worthwhile nugget or two. Here are some thoughts on product proliferation. Have you ever stood frozen in front of a store display, unable to decide what to buy because there were too many choices? That’s me. When faced with too much choice I might just walk away. 𝐈 𝐨𝐟𝐭𝐞𝐧 𝐬𝐞𝐞 𝐛𝐮𝐬𝐢𝐧𝐞𝐬𝐬𝐞𝐬 𝐞𝐱𝐩𝐚𝐧𝐝𝐢𝐧𝐠 𝐭𝐡𝐞𝐢𝐫 𝐚𝐬𝐬𝐨𝐫𝐭𝐦𝐞𝐧𝐭 𝐨𝐟 𝐩𝐫𝐨𝐝𝐮𝐜𝐭𝐬 𝐨𝐫 𝐬𝐞𝐫𝐯𝐢𝐜𝐞𝐬 𝐢𝐧 𝐨𝐫𝐝𝐞𝐫 𝐭𝐨 𝐛𝐨𝐨𝐬𝐭 𝐬𝐚𝐥𝐞𝐬. 𝐇𝐨𝐰𝐞𝐯𝐞𝐫, 𝐦𝐲 𝐞𝐱𝐩𝐞𝐫𝐢𝐞𝐧𝐜𝐞 𝐡𝐚𝐬 𝐭𝐚𝐮𝐠𝐡𝐭 𝐦𝐞 𝐭𝐡𝐚𝐭 𝐢𝐬 𝐨𝐟𝐭𝐞𝐧 𝐚 𝐦𝐢𝐬𝐭𝐚𝐤𝐞. As an incoming CEO, I almost always cut the number of products and services we offer. I focus on simplifying our selection, curating only the best options. I have increased sales by reducing the number of SKUs in a pet food company, reducing the number of courses in a test prep company, and reducing treatment options in a med spa. This might seem counterintuitive at first, but it has proven to be incredibly effective no matter what business it is. Columbia University researchers demonstrated this effect when they set up a tasting booth for jam: 30% of tasters bought something when offered six varieties, but only 3% bought when offered 24 varieties. The abundance of choice resulted in fewer sales, not more. By reducing choice, businesses can simplify the process for customers, leading to higher sales and better satisfaction. It has the additional benefit of boosting profitability by reducing complexity and making operations more efficient and cost-effective. The takeaway? Streamline your offerings and focus on quality over quantity. Focus on your core customer’s needs. By curating a selection of your best products and services, you can make the purchasing process easier, improve satisfaction, and boost your bottom line. 𝐋𝐞𝐬𝐬 𝐢𝐬 𝐦𝐨𝐫𝐞.
This jives with my experiences as well, Deborah - Great post with some great examples. Steve Jobs famously cut assortment at Apple when he returned to turn it around as well...
Excellent point. Much easier to do a few things very well.
Great insights, Deborah! Simplifying choices can indeed lead to better results. 🌟 Less is more! 👏📈 #BusinessStrategy #CustomerSatisfaction
Great message. Thanks for sharing Deborah Ellinger !
This is so true - quality over quantity. Thank you Deborah!
Valid point!
Absolutely agreed! Thanks for sharing, Deborah!
Hands-on Innovation Leadership & Execution Consultant | Petfood Innovation Expert | Fractional Innovation Lead
6mo👏👏👏 just gave an innovation presentation and the first section was “innovation can be depletive not additive” followed by “innovation doesn’t always mean more skus.” #tightersetmoreturns