10x mehr verlangen für das gleiche Produkt

0:00What do you mean by making offers? So, uh offers are the terms of exchange. So, I right before I started my first gym, I went to this weekend workshop to learn how to market. And get this, this is 2013. It was on Facebook ads. And so, I got lucky. So, I learned how to run Facebook ads in 2013, 2 weeks before I started my gym.

0:25This is when you're getting penny clicks and you could put a girl with a bikini and say weight loss click here and it would run. And so, at this thing, I hadn't opened my gym yet and the guy was like a gym marketing dude. And he said, "Do you know the secret to sales?" Cuz he could see I was way over my head. All the other guys there were gym owners except for me. And I was like, "Yeah." Cuz I never at that point had ever sold anything. I didn't even know the word sales was a thing. That's how out of it I was. And so, he pulled me over to the side and he asked me that question. I like pulled my notebook out to like learn the secret to sales as though it was one line. And it kind of was.

0:57He said, "Make people an offer they'd be they'd feel stupid saying no to." And I like wrote it down and I highlighted it and that actually became like a core concept that we do in every bus in every business that we have, which is like, "How can we make this offer better? How can we make it more valuable?" And that was why defining value was such a key thing because people are like, "Provide more value, make valuable content." I'm like, "What does this mean?" And so, we boiled down value into four variables. Um and then there's things that enhance value. But like core variables and then things that enhance. So, like one is like, what is the overall dream outcome of the the customer? And so, a difference in juxtaposition is like for guys, if I say I can help you make more money versus I can help you lose weight, most guys would pay more for the thing that will give them more relative status. And so, in that way, between two types two categories of outcomes, this one will be more valuable. Okay, cool.

1:49Now, within everything and let's call it weight loss cuz that's an easy one everyone can understand. Within weight loss, every other thing between a $5 ebook and a $50,000 liposuction surgery, the difference in those prices are the other value variables. And so, the second variable is perceived likelihood of achievement, which is if I buy this thing, how likely do I think I will get the outcome? And so, if I have a surgeon that's going to do this liposuction, for example, and it's the first surgery they've done out of medical school, and there's another surgeon that has done 10,000 and has 10,000 five stars, which one would I be more likely to go to? The 10,000 five-star surgery. Even if it actually takes that guy less time to do it. How unfair. But, my perceived likelihood of getting what I want is significantly higher. So, it's actually the equal opposite of risk.

2:35Those are the things that we try and enhance in the offers. We try and have a very compelling dream outcome, try and make it very likely that they're going to succeed, and give that there's lots of elements that make someone feel like it's likely they'll succeed. On the bottom half of the equation, so it's a fraction. There's two on the top, two on the bottom. You have time delay between when they buy and when they get. So, if someone were able to click a button on a website and immediately look at their stomach and have a six-pack, that would be incredibly valuable, [laughter] right? On the flip side, if it takes them two years in order to get that, it's significantly less valuable. And so, for that same reason, you have to arm wrestle someone to get them to buy a personal training package, you have to spend an hour and a half [laughter] to get them to buy a 20-pack of trading trading sessions, whereas women walk into the doctor's office to do liposuction and drop 20 times that amount of money because the time delay is nothing. You get on the table, you wake up, and you're thin. Right?

3:26Then the last The last variable is effort and sacrifice, which is two sides of the same coin. So, effort are the things that you have to start doing that you don't want to do as a result of this purchase. Waking up early, getting sore, like in the workout example. Eating foods you hate. >> [laughter] >> On the flip side, the sacrifices are the things that you have to give up that you don't want to give up as a result of this purchase. And so, that might be sleeping in, eating the foods you enjoy, margarita Mondays, whatever. And so, when you look at these variables, each of them has a has a has a evil twin, right? So you've got perceived likelihood of achievement, which is the positive, and then you've got risk, which is the negative. You've got a time delay, which is the negative version, you've got speed, which is the positive version. You've got effort and sacrifice, you've got ease, right? And so when we're trying to make an offer, we try and think through each of these elements of value and think how can we maximize the upside, make it super super likely they're going to hit it, paint the vision that they have it, and then on the bottom side minimize the time delay between when they buy and when they get and how much they have to do. Because in a perfect world, the the moment someone says, "I want that thing," that beautiful dream outcome, they'd be virtually guaranteed they'd get it, it would happen immediately, and it would be effortless. And I think that is the perfect ideal that we look at in terms of value, and as entrepreneurs, we innovate our way to just keep trying to chisel towards that perfect ideal outcome that we'll never actually get to.

4:39The other variables are like scarcity. If I have one Gatorade bottle left on planet Earth, it's significantly more valuable. I didn't change anything about the bottle itself, but it's significantly more valuable than if there's unlimited Gatorades, right? Urgency is if Gatorade, no matter how many Gatorades there were on planet Earth, I'll give you a different example. If J.K. Rowling uh decides that uh she's no longer going to sell Harry Potter digital copies ever again, as of tomorrow, there will be a lot of sales of the digital copy, even though there's unlimited units.

5:08Scarcity is a function of units, urgency is a function of time. And so scarcity and urgency add to the value by enhancing those other four variables. There's more, but like those are the core things that we look at in terms of when we're trying to make an offer uh for a business. And so that becomes very relevant when we're trying to increase price uh for a business that we take on. So I'll give you an example. We had a PR company that we invested in. That was a generic PR company for like small business owners.

5:35And they had really high churn, but they had a really good sales engine. I was like, "Okay, like there's something here, but like I think we need to tweak." I just really liked the founder. 85% of their customers were small business owners and turned out in like three or four months. 15% of their customers bought the most expensive package and stayed like forever. And I was like, "Hey, crazy idea. What if we only served these customers?" And they were people who wanted to get fundraising. Very different than the traditional like dry cleaning store, plumber, or whatever.

6:06And so we redid the entire business model around finding only that niche. We only cold called cold emailed people who were in that very narrow window. We're able to 10x our prices. Because we and we got higher response rates to the emails than we did before because now we were targeting and speaking very specifically to an avatar. And now we could provide so much more value to that specific person. And so that's the maybe if Caleb were to answer that from a business perspective, like solving that equation is probably the thing that I enjoy the most because it is how I feel like I've unlocked the most of value in a business, which is like, "What are all the What are all the good things that this business has? What are all the things it can do? Okay.

6:49Is there a way that we can rearrange it for a specific customer that will make significantly that will make what we do significantly more valuable to them? And then that's what we try and repackage. And when we do that, that's oftentimes when we can like with Gym Launch for me, I had the knowledge of how to help people lose weight, have the the nutrition plans, I knew how to sell, I knew how to market. But it was only when I like rearranged the variables that I went from making a few million dollars a year in top line revenue and basically no profit to millions and millions and millions of dollars a year in top line and bottom line profit simply by rearranging the variables. And that was just so ingrained in me that from that point going forward, I was like, "I just have to make things that are so good that people will feel stupid saying no." And if we can't get enough people to say yes, we need to make the offer better.

7:34And to me, that's been like the single thing that it affects all aspects of the business. It's the highest leverage thing I think you can do in the business, which is why it was the first book. Because answering the question, what do I sell? Is the first book. The second book leads is to whom do I sell it? I got to get leads. Right, and that's the second book. But that affects pricing, it affects profit, affects marketing, affects sales, affects delivery. Like getting the offer affects everything. And it's one of the hardest things to change because it affects everything, but it also has the most ability to unlock incredible wealth or value in a business. Real quick, if you're a business owner and you're not growing as fast as you'd like, I'd like to give you a free gift. So, my team and I put together the $100 million scaling roadmap, which is basically 200 hours of us looking over all the portfolio companies we've had and what stages of growth they went through and more importantly, where they got stuck and how they got past it. And so we broke it in these 10 stages and we made this little kind of quiz thing where if you put in your business information, it'll tell you where you're at and the most important part for you, what to do for each of functions of the business across product, marketing, sales, customer success, recruiting, IT, human resources and finance. And so, no matter what you're struggling with, someone else has already struggled with it and solved it.

8:43And so I'd like to give you this thing absolutely free. You can go to and if you want us to actually help you deconstruct your business and you're trying to scale, we'd love to help you out. On the thank you page, you can book a call with my team and we will look at the business, see if we can help, and if we can, we'll invite you out to Vegas and we'll do this in person live.