Warum du keinen Upsell brauchst

0:00I sell trivia nights to bars and restaurants across the country. So they'll bring us in on their slow night of the week and we will come every week and basically fill up their bar for them. Cool. Currently at 1.1 million in revenue. >> bar launch. Sure, if you will. No, man. That's what I did. That's what I did for a living for 2 years. So currently at 1.1 million, would like to be at 10. What's stopping me right now is capacity, but I think really I'm just a couple hires away from from getting that. All right. So my question is really more about our upsell. Okay.

0:28>> We do have an upsell that we present to bars right now, but it kind of sucks. Cool. Uh in that our core offers, so the trivia nights themselves, our LTV to CAC is about 12 to 1. >> Love it. So I like where we are there, but our upsell, I mean, people churn out after like 3 months. You mean they do a couple trivia nights and then they dip? Or the bars? The the bars themselves will use it for about 3 months, the upsell. And then they'll >> What is the upsell? The upsell is basically a different type of trivia night. It's called music mashup.

0:54>> More of that thing. It's like a music style trivia night. >> Okay. So my question is This will be fun. Right now I'm trying to just improve the music mashup game to make it something better. Do I keep doing that or do I just bail on it? Okay, so this is this is like super applicable to a lot of people here. Okay. So Let's say this is a customer journey. This would be trivia. All right. So Where do you sell?

1:27Ideally. On this on this life cycle. Where do you sell? Where do I sell? >> time to sell? This is our value one. At the bottom, at the pain point, right? >> Yes. Okay. So you're delivering trivia nights, right? >> Yes. We have now provided value. And we're selling here, but they're already full. So I give the analogy of if I go to I go to y'all's restaurant, right? And I say, "Hey, I want a steak.

1:57Uh I'm starving, right? And uh sorry. I go to the restaurant I say I'm starving. You say, "Would you like a steak?" And I say, "Sure." I eat the steak and you guys come back over and you're like, "How was it?" I'm like, "Oh my god, it was amazing." Uh and you're like, "Awesome. Do you want another steak?" And you're like, "No, no, I'm I'm good." Like I'm good. And they're like, "Oh, you didn't like the steak?" I'm like, "No, I I like the steak. I'm but I'm good." It's like, "Well, then why don't you have another steak?" You're like, "Ah." Right? It gets really awkward, right? But that's actually kind of the situation a lot of business owners are in. And so but after I have my steak, I might have the desire to have something sweet. And so now I'm I'm full on my value vector for steak eating, but I'm empty on my value vector for dessert eating.

2:34And so then I'll be like, "Ah, you should try our apple cobbler. It's delicious." Whatever. And so what we want to figure out is sometimes the point of greatest value also on another vector becomes the point of greatest deprivation and that's why sometimes they overlap. Often they don't. And so I think it's one of the big mistakes that people make is when they time their upsells. And so uh for I'll give you a B2B example and then I'll I'll circle back to the bar.

2:59So if I help someone get more leads, right? I have now provided value. But now that I've provided this value, they're like, "Shit, now I have to work all the leads." And so then that creates the opportunity to sell the lead nurture services or the other things that they need to go with this problem that I just created by solving their first problem. And so upsell timing is one of the big mess-ups I think in a lot of businesses. Okay, back to the bars. So uh trivia nights is the the core So what's the what stops you from just having basically just continue to do trivia trivia nights with them?

3:32What do you mean? So you do a trivia night. You bring a bunch of people on Thursday. Next Thursday I still want a bunch of people. Why don't I do trivia night again? >> No, no, that is that is the business model. Everything is weekly. So a bar will hire us and we will come in every week on that day at that time and bring back that crowd. So we develop regulars for them. Okay. And that's and that's sticky though, Yes. Okay, then what's the problem with just doing more of that? That was my question is whether I should just focus on doing more of that. >> Yeah. Okay. Yeah. [laughter] You're like, "I've got this really sticky thing that we're really good at and people like it." It's like do that.

4:00Okay. So follow-up question to that would be at what point So let's say I just the next however many years I just keep milking the trivia nights over and over again. >> At what point do I even consider bringing on an upsell? Cuz right now we have no upsell. I don't think you necessarily need one. Are you running good margins? Yeah, they're fine. They're 25-ish percent. Yeah. Uh 12 12%? 25. >> Oh, 25. Okay, I was like 25's fine. Okay. Um Yeah, I I think you're just in a you're in a more situation. Okay. Like how do just like how So how do you get bars right now?

4:32Primarily cold outbound, a lot of cold email, cold call. Some inbound, about 20% of new clients come via referral. Cool. So and that's I can understand that cuz they're not trying to refer the bar down the street cuz it's like it's >> Yeah. I get it. Um so we had some of the issues with gym launch. They would only refer somebody who's like out of state. Yeah. >> niche, right? I get it. Um so how many outbound actions are you taking per day to generate your sales velocity?

4:59Uh I have one sales guy full-time and he'll make about 100 sales called cold calls per day. Yeah, so I mean, that guy should probably rip like 300, but just as a baseline. Um but I think hiring like three more guys and having all those guys do 300 a day would probably get you a bunch of sales. Um as long as cuz the biggest thing that I would want to solve if I'm you is how do I make sure that bars that do trivia night just keep doing trivia night with me? Yeah. If that's not a problem and they are just all continually doing that, then you have solved the hardest problem in business, which is that you have revenue retention. So we just don't need to be fancy. We just need to do a load more of it. Cool.

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