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Delegating with Success: The 70% Rule for Scaling Your Amazon Business

October 12, 20233 min read

Delegating with Success: The 70% Rule for Scaling Your Amazon Business

As a seasoned Amazon seller who's scaled a brand to over a million dollars in annual sales, I've often encountered a crucial decision many entrepreneurs face: when and how to delegate tasks. Here’s an inside look into my strategy, which I fondly call the "70% Rule".

The 70% Rule Explained

Imagine you're looking to hire someone to handle a specific task in your business. Even if the candidate can perform only 70% as effectively as you, or as a perfect candidate would, sometimes it's still worth bringing them onboard. Why? Because tasks executed at 70% efficiency can often yield better results than not doing them at all. Moreover, by handing off tasks, even if they’re executed imperfectly, you free yourself to focus on strategic decision-making and innovation.

Practical Application of the Rule

Let me break it down with an example from my business. I once found myself swamped with the intricate task of coordinating various projects - from liaising with graphic designers and content creators to ensuring content gets refined. Instead of burning out trying to perfect every detail, I brought in a marketing coordinator. She now manages these processes with proficiency. This arrangement has enabled me to concentrate on strategic areas and experiment with new projects, like a recent media placement venture.

Empowerment: The Key to Delegation

When you entrust someone with a task, two vital components determine its success: competence and confidence. The employee must not only have the skills to execute but also the assurance to make decisions without seeking validation at every turn. If they lack either, you're back at square one, doing the task yourself.

I frequently stress the significance of experimentation to my team. Sometimes experiments result in brilliant successes, introducing new, valuable tools to our arsenal. At other times, they don’t pan out. But these “failures” aren’t wasted efforts; they are essential learning experiences. 

Cultivating a Growth Mindset

It’s essential to maintain a supportive environment where employees are encouraged to take ownership, make decisions, and learn from outcomes. It’s one thing to assure a team member it’s okay to falter, but it’s a completely different dynamic when they genuinely see that belief in action. For instance, when a project doesn’t go as planned, my response isn't chastisement but rather a discussion on what we both can learn from the experience.

To expect perfection in every process is unrealistic. Even the most established systems in my business have their off days. I’m not infallible, so how can I expect flawless performance from my team? What truly matters is consistent effort. If we’re achieving our goals 95% of the time, we're on the right track.

In conclusion, scaling a business isn't solely about expanding sales but also growing a team that shares your vision. By applying the 70% rule and fostering a nurturing environment, you can propel your business to newer heights, one delegation at a time.

Action items

  1. Identify 2-3 areas in your business that can be passed on, opening you up to focus on the higher value tasks

  2. Quantify the benchmark you want your new employee to work at, 70% efficiency for example

  3. Remember, its okay to hire someone who knows more than you. In the hiring process, 70% efficiency is great, but if you can find someone who knows more than you, that will grow your business that much faster.

Here’s to your success!

Jon, Mike, and Matt

P.S. Want our Brand Fortress Blueprint course on how to use this powerful strategy for your brand? Take the quiz on our homepage and get this
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