Eine kleine Nische ist kein Problem

0:00I sell online coaching training nutrition to physique athletes primarily is our market. >> Physique, cool. Yeah. Um top line revenue of the team this year was 900 900,000. Uh we're kind of projected to hit 1.1 this year based on monthly revenue targets. Um I'd like to be at 10. Um and two concerns, one primary constraint is like lead flow, like the amount of leads that we're generating in that market. Secondary that I think is part of the stopping me is concerns on the vertical in that market. Um because bodybuilders are not the richest people in the world. Um but it's what our reputation's known for. Like we have J3 University which is our coursework university side that's built that reputation.

0:44>> Mhm. Um and so that's like the two main issues that I see. Now, all of our lead gen has been organic. We have no paid ads currently. So that's kind of like our next step in lead gen potentially. Um content creation is daily. Um so that's on my personal >> Are you just on Instagram? Uh Instagram and YouTube. Okay. Yeah. So lead gen is my primary problem. So direction on like paid ads with that is is helpful. We do paid ads for the university um which does great, but that and then thoughts on the vertical within like the physique sport market. Well, I think that being you know working with physique athletes is kind of one of those aspirational things I was talking about earlier. Like if you market to the top end of the market, I'm sure you get people who inquire who are not physique athletes but just aspire to be.

1:29>> We do. Do you take those as customers? >> We do. Yeah. Then I don't think there's any issue with you kind of branding and positioning it that way. Okay. Um cuz you'll again you'll scoop up the people who are underneath the market. You just won't scoop up the people who are above it. Okay. And so you being already anchored at the top is a good thing. So you think about like the branding that's associated with like North Face. Like they're not showing you know a mom walking from the Range Rover from the car to the door. What they're showing is a guy on the top of Everest because that mom will think well, if it keeps them warm there, I'm sure it'll keep me warm from the Yeah.

1:59>> [laughter] >> to the house, right? >> Yeah, yeah, yeah. The Range Rover shows you you know going up a mountain, you know, and and doing whatever they do with those cars, but the person who buys it is like well, it'll probably be okay if it snows. Yeah. Right? And so having an aspirational anchor, right? Um still makes sense. We have a portfolio, right? But then we do this. And so people who aren't necessarily portfolio ready can still get benefit from the business. Okay. Yeah, cuz my main concern is like I'm no longer in the competitive space.

2:24Like I just run the business. So that story Doesn't matter at all. 0%. When I ran Gym Launch, I owned zero gyms. That's fair. Yeah, that's fair. Um and so >> care about what you can do for them. Then on the ad side of the creatives, like we have had some trouble in the past with like showing physiques um as far as like ads on the university side. Um and so my goal was to primarily get into storytelling of like that journey to accomplishment. Is that kind of the direction you would head with ads and would it be combo me and UGC or would it be predominantly me at the start and then if I'm like the face of the business?

3:02Well, I mean I think you UGC for sure would be great. >> Yeah. Um which you can build that loop into any business which I think I highly encourage every business to have. I made a video about this, but basically I try to as quickly as possible build a loop in every business where we advertise like there's a one-time input from me to advertise. The advertising gets us customers. The customers get us testimonials and reviews. Those testimonials and reviews spin the wheel of advertising so that that first-time effort only comes once for me and then from that point going forward to self-licking ice cream cone. So as long as you have a cadence or an incentive for people to um make you advertisements or testimonials and the amount of testimonials you'll get surpasses the amount of ad creative you need in order to get new business, then that business becomes self-sustaining from an advertising perspective. So for me the the the the differentiation is we have some circular marketing that happens. So like ads on the university drives people to the university and then the university converts them into the coaching business.

3:55>> Yeah. And so like the ad side on the coaching business should be pri dam predominantly UGC. >> I think that you might So this is actually a really interesting fun one which I know will apply to more than just you. So I had a lady 6 months ago who had a um she helped hair stylist learn how to put extensions in. So it's like how to do hair stuff. Yeah. And then she also had a business coaching thing for how to once you have know how to do extensions, how to run a better extension business. Mhm. And so she was like well, I'm advertising both of them, what should I do? Should I is it two businesses? Blah blah blah.

4:30And so I was like okay, what's LTV to CAC? And so it was 13 to 1 on the business coaching side and it was 37 to 1 on the teaching women how to do the hair thing. Yeah. And so the issue wasn't that she had two businesses. She had a front end and back end that she didn't realize was a front end and back end. Got you. And so I was like okay, turn off your ads for the 13 to 1, turn on the ads to the 37 to 1 that has a 20 times bigger TAM. That brings everyone in and then all your focus goes on ascending customers from the profitable acquisition into the higher higher level back end that we already know not all customers are going to be a fit for {comma} and that's okay. And so you said that the ads are working fine on the education side. So I'd say cool, the issue that you probably have is you need to have a more choreographed ascension process from education into service.

5:16Okay. And then that becomes the business. >> we're working on. It's not where it needs to be 100%. So >> soon as you have that fixed, the results that you're getting on your current business for the education side which are already doing well will just do like three times better because now you can actually have a blended LTV Got you. >> off of the single cost to acquire customer. >> Yeah, and we keep them pretty separate cuz there's different owners in the university business that aren't in the coaching business.

5:40>> just complicated. >> It's messy, but it it's I I run the coaching business. So like I'm predominantly the one running it. >> you have to just treat it like an affiliate relationship that's arms length and then you just give them some sort of kickback and as long as cuz then at that point you have free customers and the only cost is whatever kickback you give. Okay. Perfect. Thank you. Yeah. So if you've hit a revenue ceiling or your entire business relies on you to grow, then I'd love to invite you out to our headquarters here in Vegas to learn how we scale. It's a my team spends two days with you to identify the thing that's holding your business back. And so if that sounds interesting, click book a call and if you're a fit, we'd love to potentially see you out here in Vegas.