The Sweet Spot: Which Services Should You Keep, Cut, or Create?

You're offering a dozen different programs—toddler classes, enrichment add-ons, summer camps, drop-in care, special events—and working harder than ever, but your profit margins haven't budged. Here's what's really happening: you're confusing activity with profitability, and some of your offerings are secretly draining your time and money while contributing almost nothing to your bottom line. Confident Early Childhood Operators don't try to be everything to everyone—they use the Sweet Spot Analyzer to identify which services actually generate profit and which ones just generate exhaustion. When you focus your energy on high-impact offerings designed specifically for your capacity and ideal families, you stop working harder for the same results and start making strategic decisions that increase both profit and time freedom.

💡 The 3 Key Strategies You’ll Discover

  1. You'll discover how to use the Sweet Spot Service Analyzer to evaluate every offering based on profit margin, capacity impact, and time investment—so you finally have data showing which programs are worth your energy and which are secretly costing you money

  2. You'll learn how to identify your 2-3 Core Profitable Services that generate 70-80% of your revenue with minimal complexity, and build your entire business model around delivering those exceptionally well instead of juggling a dozen scattered programs

  3. You'll see the Strategic Decision Framework for evaluating new program ideas with a Three-Question Filter that protects your capacity from scope creep and keeps your service menu strategically profitable

⏰ Key Moments & Timestamps

00:00 – Why offering more programs doesn't mean more profit
03:03 –
The hidden capacity cost draining your business
11:36 –
Strategy #1: Use the Sweet Spot Service Analyzer to map every offering
19:07 –
Strategy #2: Identify your Core Profitable Services
26:05 –
Strategy #3: The Strategic Decision Framework for new programs
30:30 –
How to sunset low-profit programs without losing families

Resource of the Week

Sweet Spot Service Analyzer Worksheet

Stop guessing which programs are profitable and start using data to make strategic service decisions. This worksheet walks you through analyzing every offering based on profit margin, capacity impact, and time investment—then plotting them on the Sweet Spot Matrix so you know exactly which services to keep, which to cut, and which to redesign for maximum profitability. Includes capacity cost calculations most EC owners forget to include.

 

Final Thoughts

Not every service deserves your time, energy, or capacity. When you identify which offerings actually generate profit versus which ones just generate activity, you can cut the drains, double down on the winners, and build a business model that makes more money with less complexity.

"Strategic focus is more profitable than scattered variety."

🔗 Related Episodes & Resources

How to Price Your Programs for Profit (Not Just to Fill Spots) – Learn the strategic pricing framework that ensures every service you offer contributes to healthy margins
The Real Cost of Saying Yes to Every Parent Request – Discover why "customer is always right" is terrible advice for capacity-constrained businesses
PBB Module 4: Key Services & Sales – Access the complete Sweet Spot framework, profit modeling templates, and strategic service design tools inside Shine Membership

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If this episode gave you clarity on which services to keep, cut, or create for maximum profitability, please subscribe and share with another EC leader who needs this.

⭐ Rate or Leave a Review

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