Rede mit deinen Nutzern statt sie nur zu zählen

0:00Hey, Alex. Can you hear me? I can hear you. What's up, dude? Hey, yeah. So, this is Sebastian. I sell rental relocation services to people who want to move to the Netherlands or want to move within the Netherlands itself. We make $0 at this point. What is stopping me is that I am getting free users for a free tool I built to kind of post all the listings. So, it's a software thing that you built. Okay. >> That's it. Yeah, but barely any conversions to the paid offer. So, if I can't get paying customers, I'll basically have to get back to having a job in about a year, but I got some saved up to to work on this. Okay. So, really my focus is on how to define my avatar so I can specifically target higher paying clients. The free service is doing well. I'm getting about 330 free users there. So, like it's growing by itself. It's just leading to Just in the last 3 months by word of mouth, basically.

0:50>> So, 100 100 users a month? Yes. Yeah. Is it accelerating? Yeah, so for example, today I got five free users without doing any marketing. Yesterday, I got like six. I've had cases where I get like 80 in a day if a group shares it. It's just like that's more so students and young people that feel like they can do the tech. My idea was let me share it that way and then some of the users will be willing to pay for it. And that transition has been hard for me.

1:19How many of them have you been on the phone with? So, in total just three. A lot of them are just students where like their income is just way too low. Like they're looking to rent for 900 bucks a month. I'm not able to sell them a 1500 euro service or more. For the ones that got on the phone, I got one person as a someone who will be a client essentially. The thing is he's only starting to look for an apartment in September. So, it's just too long of a timeline for me to wait for that to get a referral and like get that as a result.

1:51So, I have two considerations. So, the first one is the volume that you have for a free tool is actually still pretty low. Um and so I would normally say maybe we need to constrain down the amount of free stuff that you're giving so that the paid tier is more attractive, right? So, it's like if if Spotify had no ads ever, then you would just never upgrade, right? If they make the ads annoying enough >> Right. >> you make the upgrade, right? And so, there's always a sweet spot with freemium. Freemium is one of the toughest models out there, but if done well, you basically have zero cost of acquisition and all of your your marketing efforts. So, just so you can recharacterize how you think about the business, your marketing spend, if freemium is done well, is on ascension.

2:32So, think about all of the free users, they should be zero. That the cost of that should be zero. And then where you deploy capital or effort should be on the ascension. And so, right now if you've only gotten on the phone with three out of 300 users, I see that is silly because right now, given the if you're getting five a day, if you told me I five sales calls a day, the likelihood that you're not going to make money is really low. So, I would say like can can you add in an onboarding component that you manually do it because I think those conver like if you told me 6 months from now, cuz at the rate that you're currently growing, cuz it's accelerating, you probably have another 500 users, conservatively. If you take 500 calls over the next 3 months, one, you will make money. Two, you will learn very quickly, rather than me telling you what your users want from them, what what they will want more. And you might end up pivoting the business. I don't know because it's obviously super new.

3:24But that is that is what I would do cuz right now you're super early. So, it's like we just need to make dollars. You have free lead gen, which is the hardest part to crack. So, kudos to you for doing that. But that's what I would focus on. Okay. Yeah, so that's one thing I Like I said, I have one client that's willing to pay in September. The one caveat I've had so far is just cuz I can see the the type of home they're looking for. 80% of the free users have basically have a budget of $1,000 or less. And it's being shared among students. So, that's where like I I feel like maybe just even if I could get them on the phone, like they're still students who literally have no money. Well, then you just you want to ask them cuz the thing is is you're you're thinking about only one Let me say it differently.

4:07The we want to channel demand. We do not want to create demand. So, demand already exists and we want to It's like think about this like these rivers of desire. And when we market or sell, we just want to like carve out a tiny little piece of that river and direct it towards us. And so, right now you've got a flow that's coming towards you. You've got these students that want your thing, right? And so, there might be a rivulet that exists there that's like maybe there is an automated thing that's $50 or $100 that you can sell them that and there's a ton of volume there, too. So, like there might be a play there, but either way right now, I think you tinkering on the computer is not going to be the solution.

4:44Yeah. So, getting on the phone and also you'll find out quickly are there messaging that they're responding to that the people who have money aren't? Mhm. Cuz obviously getting all these students. Now, maybe you got shared in these groups and that's fine. And we don't want to shift the whole, you know, the whole product roadmap because you had some early traction with a specific demo that wasn't your your your goal. But we also have the real the financial reality of like the likely In order for this to succeed and increase its chances, we need to make money. And so, I'm okay with it yeah, right with it being bootstrapped and you making a couple hundred bucks a day just from having those conversations.

5:18And what will probably happen, too, is that when you serve a cheaper demographic first, you end up finding ways to automate almost everything. Which if you can do that, you might end up finding out that you automating everything for them allows you to be a low-cost leader, which then allows you to serve a huge base at a really affordable price, but still have a lot high gross margin. Got it. Yeah, that's basically what the free tool does is I looked at what our kind of software currently charging for like 40 bucks a month and I basically just copied that but for free. Now, I just have to yeah, figure out how to get people through that. Um Just ask them what they're what they're struggling with. Like you might find out that you actually are lead gen for moving services, dude.

5:53Mhm. Like just think the next problem. Like whenever you solve a problem for a customer, if you do it well, it always creates another problem. If I solve lead gen of sales, if I solve sales, you'll have delivery. If you have delivery issues, you're going to have revenue retention and expansion issues. If all of those things are right, then you're going to have leadership and scaling issues. If all of that's right, too, like we go back to the beginning, create more demand, right? So, like there's always problems. So, as long as you're doing it well, just ask them the next thing they're doing.

6:19Like you could sell the you could sell the student leads, probably. Like there's a version of this business that doesn't sell anything, just sells the leads themselves. Just the poll itself. Yeah. And just sell the leads cuz the moving company will happily sell, you know, pay you 200 bucks or 300 bucks for a warm handoff. And then you have no work. >> Mhm. So, like there's there's place here, but I think it all is going to start with you getting on the phone with these customers. Okay. So, just make like within the onboarding flow, whenever they get their email, name, basically make one step before finalizing just like get on a call, essentially.

6:51>> Yeah, then you're going to have no shows, to be clear, you're going to. But you can also like the moment you get it, I would outbound call. Okay. Got it. Sounds good. Okay. That's what I would do, man. Like I'm working on that. You bet, dude. I appreciate you, man. All right. See you. Good night. >> Later, brother. Hey, and real quick, I spent 200 hours this year just making this one project for you, which is the 100 million dollar scaling roadmap. And I broke up the stages of business into 10 stages. And you can identify where you're at by simply just putting in your business information. You go to acquisition.com/roadmap and it'll spit out this custom report that tells you what the constraints are at that current level and what you need to do to graduate and get to the next level.

7:34This is our gift to you, absolutely free. On the thank you page, you can book a call with our team and we'd love to help you figure that out and ideally get past it.