Full transcript
0:00I've been in business for 14 years. Last
0:01year, our companies in total did over
0:03$250 million in aggregate revenue. I
0:05co-own the platform School, which is
0:06over 22 million users. And school's a
0:08platform that allows people to start and
0:10scale digital businesses. And so, I have
0:12access to quite literally millions of
0:13data points on what makes digital
0:15businesses work and what doesn't. And
0:17so, in this video, I'm answering your
0:18questions about how to scale.
0:19>> I sell dreams and I built an ecosystem
0:21to make it happen. Essentially, what
0:23does that mean? Let's
0:24>> get into it. I start off flipping homes.
0:26>> Okay. Thank you. And then uh
0:29>> okay I started off flipping homes and it
0:31got to a point where
0:32>> that's a hope and opportunity. Hey, it
0:34works.
0:37>> I flip houses. Got to a certain point.
0:38We got about 30 40 consecutively every
0:40year in the same market. Revenue is
0:42about 4 mil.
0:43>> Okay.
0:43>> Adjusting out line itself. It got to a
0:46point there's too much competition. You
0:47had a hard time being profitable per
0:49flip.
0:49>> So then develop a model where we convert
0:52competition to collaboration. Start a
0:54contracting company instead of buying
0:56the product becoming the product. and
0:58then starting a coaching channel where I
0:59feed this ecosystem vertically
1:02integrated HVAC company, roofing
1:03company, uh dumpster company,
1:05contracting, the whole nine yards. So,
1:08teaching people how to do it and I'm
1:09giving them the process how to do it.
1:10All that is different revenue drips for
1:12me. Uh what's stopping me? I got too
1:16busy too fast and uh owner operator for
1:18a long time up until about 3 months ago.
1:20Hired a COO now transitioning a lot of
1:23the operations stuff onto her. really I
1:26don't know what the [ __ ] I'm doing
1:27because like I'm trying to transition
1:28myself out. I don't know how to run a
1:29COO.
1:30>> Why are you trying to transition out of
1:32the role or out of the company?
1:34>> A little bit of both. So out of the role
1:36because
1:37>> to be honest, I don't really care about
1:39the revenue uh growth factor. I care
1:42more about the impact. So
1:44>> a promise I made myself is I want to
1:45impact at least five like uh 1 million
1:47lives before I die. So how do I do that?
1:49I'm not going to be doing that flipping
1:50homes at a small scale. But I built a
1:52company that's so based in locality that
1:54I'm trapped within it because it's so
1:57local. My team is there, my resources,
1:59my companies. The coaching program only
2:01makes sense because it's local. But
2:04because my market size, there's only so
2:06many people I can get consecutively
2:07every time unless I keep dropping
2:09prices. The opposite of increasing
2:10price.
2:11>> So what does that mean? I have to go to
2:13a national stage is how to how do I take
2:15this coaching at a massive scale? And
2:18that's where I'm stuck at because I'm
2:19too busy in the operations. And that's
2:21where Amy came in as a COO to kind of
2:22help me get out of it and focus on the
2:25next phase of, you know, the origin
2:27story.
2:27>> So, dude, like I I I appreciate the
2:30national scale vision. I think you could
2:33probably get to given the ticket size
2:36and how you can monetize the customer in
2:38all these hundreds of ways. Like the the
2:40reason you would do that setup is so
2:42that you could dominate a local market.
2:45You're not dominating a local market
2:46right now. You're barely getting
2:47started. And so you could probably
2:49realistically get between Fagville um
2:52and Raleigh, you could probably get to
2:54100 million a year
2:56>> just in that market alone.
2:57>> Yeah. And I think if you just take your
2:59eyes off of like I want to conquer the
3:00entire world. It's like maybe. But like
3:03in order to conquer the world, you have
3:04to conquer a country first, right? And
3:06before you conquer a country, you got to
3:07conquer a city. And right now, you
3:08haven't conquered a city. And so what
3:10happens is when armies overexpand, they
3:13collapse. And so you need to fortify
3:15your base better because 10 dude 10 a 10
3:17a month is nothing.
3:18>> So what do you recommend? Do I try to
3:20automate what I have
3:22>> or do I just put myself more into it and
3:25double?
3:25>> Yeah. I think you should just ignore the
3:27national thing.
3:28>> Yeah.
3:28>> And let me just ask the simple question.
3:31Can you could you sell 20 people a week
3:34right now? Not like let me say it
3:36differently. Can you handle 20 people a
3:38week?
3:40>> We will be soon. Now that the co has
3:42kind of taken. You could have an 8x
3:43increase in sales within your current
3:46infrastructure. So that would take you
3:48from 4 to 32.
3:51>> That solves a revenue problem, not the
3:52impact problem.
3:57>> Do you make content?
3:58>> I don't have time. Hence squad, if you
4:01couldn't tell. Yeah,
4:02>> but that's where I'm slacking the most.
4:05>> Yeah, it's the content. Um, it would be
4:08far easier for you to just make content
4:10about the stuff you're doing and impact
4:11millions of people that way.
4:13>> Yeah.
4:14>> Than
4:16every single person in America to be a
4:17home flipper.
4:18>> And that's not achievable anyway.
4:20>> I agree.
4:21>> It's more about the financial education
4:22like selling the the dream of like you
4:24can be something more than just what you
4:26think you are and where you came from.
4:27>> And you can make content about that and
4:29you can distribute it for free with
4:30leverage. It's a beautiful thing. And so
4:33like you can be legit because you have a
4:35legitimate business and then you can
4:37talk about it and help all these other
4:39people and then you just keep growing
4:41this thing.
4:42>> Okay. So double down locally.
4:44>> Yeah. You already have all the like you
4:45went through whatever the hell you did
4:47to go through and build all that stuff.
4:48It's like you just built it and you're
4:50like, you know what, I'm going to leave
4:51it now and I'm going to do another
4:52thing. It's like no. Like I'm glad you
4:54brought the COO in, but it's probably so
4:56that she can do some of the stuff you're
4:57doing now so you can do the stuff you
4:58know you should be doing but you're not.
5:00And so like you want to do the impact,
5:01you see you don't have time. You have
5:02the COO go make some content. It's not
5:03going to take that long anyways. And
5:04that way you can scratch your impact
5:06itch. And then for everything else, it's
5:08like you need to learn how to run paid
5:09ads and sell [ __ ] cuz like you for sure
5:11can sell 20, 50, 100 people a week in a
5:13local market, no problem for the offer
5:15that you have.
5:16>> Should I increase pricing to make it
5:18better or should I keep it where it's at
5:20given that it does feed my other
5:22channels?
5:22>> You probably have a better time just
5:24like charging 100 grand and saying
5:25you'll do that stuff for free or at
5:26cost.
5:29Yeah.
5:31Um, but yeah, I mean, can you raise
5:34prices? It's just like, can you sell and
5:36can you like Yes, you could. Typically,
5:38an offer like this is 100 grand.
5:40>> Yeah.
5:40>> So, usually they have a done with you
5:42style offer that's between 15 and 25 and
5:44then there's a uh total turnkey offer
5:46which is $100,000.
5:48>> No one in my market can afford that.
5:50That's the problem.
5:51>> That is just not true.
5:52If I I'll no one in your market that has
5:55heard of you through word of mouth of
5:57you emanating your presence into the the
5:58the workshops that you run once a
6:01quarter or whatever have can afford it
6:03if you run ads. Yes. It's just that like
6:05how many people show up to your thing?
6:08>> The venue holds 55 is packed out every
6:10time.
6:11>> Yeah. 50. So you have 55 people a month
6:13that come in the doors
6:14>> every three months. Yeah.
6:15>> Every three months. Right, dude. So it's
6:18like the way this looks in reality is
6:21you'll bring a 100 people in the room
6:22and you'll do three of those in a day
6:25and you'll pitch and you'll close 10 15
6:28you'll close three or five at the you
6:30know like the 100k and you'll close a
6:32handful at the you know call it 15 to
6:3525k and that's that's the business. So
6:38you like you're you're like you see 200
6:41people a year and you're like my market
6:42can't afford it. It's like well those
6:44200 can't. It's like look at 2,000. I'm
6:46sure there are some. Let me give you a
6:47stat. 9% of people in America have a
6:50million dollars in terms of their net
6:52worth. So if you include the ass like
6:53buy their home, like 9%. It's
6:56significantly higher than you think it
6:57is. They just look older.
7:00>> Real. Okay. We sell motocross training.
7:03>> Okay.
7:04>> So we we hold 5day camps. What we did to
7:06be able to get our projection to 26 to
7:10the 4 million is we scaled down our
7:12single day tour dates. We were we we did
7:15more in 24. We went all the way to we
7:19scaled from 70 single day tour dates in
7:2223 to 140 of them in 2024 and it was
7:27just a ton of operational drag. I mean
7:29it was like we were like a rock.
7:31>> It was nuts.
7:33>> But what we realized and looking back on
7:34it is the bottom 20 of those were net
7:36negative. The the next 20 were net less
7:39than $1,000. So inconsequential. And
7:42then I started looking at in 2024 we did
7:44three of the 5day camps kind of as a
7:46test run. Each of those net well over
7:49100 grand each and I'm like well hang on
7:51a second. This is the answer. So this
7:53year I told the team at first I called
7:56them. I said hey I just had an epiphany.
7:57Here it is. We're going to do 10 camps.
8:00And I said actually no we're actually
8:02going to do 25. And they're like 25?
8:04What do you mean 25? Yeah.
8:06>> My question is,
8:08>> do I continue to my
8:10>> Were you just able to charge more for
8:12the 3-day than the one day?
8:13>> Uh, the Earth, sorry.
8:15>> So, the one day is $300, which is
8:17probably not enough. The fiveday is
8:19$1,200, which is definitely not enough.
8:23>> Uh, so that's what part of the question,
8:25too.
8:25>> Cool.
8:25>> Um, I want to continue to scale the five
8:28days and scale down the single days, but
8:30my fear is we basically own the space.
8:32Nobody else does what I do. It's pretty
8:34large market.
8:35Um, there is one copycat company and
8:37he's trying to hit all these single day
8:39tour dates in the regions that we're
8:40doing them. So, I'm afraid if I scale
8:41them down too much,
8:43>> we won't copy the model that makes the
8:45money.
8:46>> That's a great point. Yeah.
8:50>> Love this for us, right?
8:53>> I hope he does.
8:54>> Okay. I could honestly I could go home
8:57right now and I'd be happy after that.
9:00>> Yeah, you're right. You're right. And I
9:02feel more confident that I don't think
9:04he could do what we could do anyways,
9:05but he certainly can't do what we can do
9:07in a five-day event. I mean, we we've
9:08run those five days like nobody else.
9:10So,
9:10>> yeah. And I'll land the plan on that for
9:11you, too, which is that
9:13>> you will never go out of business
9:14focusing on the customer. And I I'll
9:16tell you a quick story. So, the biggest
9:18business mistake that I I've made, the
9:20two most costly business mistakes I've
9:22made, um, one of them has nothing to do
9:24with this. This is the other one, which
9:27has everything to do with this. Um, I
9:29had a competitor that ended up taking a
9:33bunch of my top testimonials that were
9:35that we kind of converted to semi-mp
9:36employees because they were big
9:37evangelists back in the gym launch days.
9:40And as soon as they took them and they
9:42were they were big ads for me, all of a
9:44sudden they were running ads for this
9:45other guy. So, it's kind of like when
9:46the Verizon guy went to the AT&T,
9:48remember that that that switch over that
9:49actor? It was kind of like that. And
9:52this guy was offering one-on-one
9:54coaching um to help people out. I never
9:57did that. And so and they were cheaper.
9:59So they were cheaper. They were doing
10:01one-on-one and they had some of my top,
10:03you know, customers uh becoming
10:05advocates. And they said that the 10 of
10:07them had come they partnered. He
10:08partnered with these 10 people or
10:09something like that. And when that
10:11happened, I got r my feathers got all
10:14ruffled. And I was like, it's war time.
10:16We got to, you know, we got to go to the
10:18mattresses. We got to really, you know,
10:19change change the business up. And so I
10:21did this big kind of like relaunch
10:23internally to my existing customer base.
10:25And um I said, "We're," you know, I did
10:29this big value stack and I said, "You're
10:30going to get all this extra stuff, not
10:33for the same price you're paying me, but
10:35for less." And so I took my existing
10:38recurring base and I reduced my revenue
10:41by $500,000 topline per month. And so
10:44that translated because we take it off
10:46topline and and the cost went up. So I
10:47increased my costs and I took my topline
10:50down by 6 million. And I ended up losing
10:53in profit somewhere in the neighborhood
10:54of $6 to $7 million a year for that
10:57business at the time. I then ended up
10:59selling that business obviously and the
11:01business never recovered that profit. It
11:04stayed there. And when I did make that
11:06move, the first comment in the chat
11:10after I dropped that it was less was a
11:12complaint that I had not done it
11:14earlier. So it was not, "Thank you so
11:16much for lowering the price and giving
11:17us more shit." It was, "I can't believe
11:19I was paying more.
11:21And I was like, I want to [ __ ] kill
11:24myself.
11:26And and here was the best part of all.
11:28My churn changed zero. So I just cut my
11:31top line by 20%. Churn remained the same
11:34because the willingness to pay change
11:36that I made. I basically reduced it from
11:38call it 3,000 a month to $2,500 a month.
11:40It actually made no real difference in
11:43whether someone would cancel or not. It
11:45was past a threshold that this is a lot
11:46of money. And so it changed nothing. I
11:49just made less money. And then when I
11:51sold the company, that six got
11:52multiplied by a lot. And so that
11:54probably cost me in the neighborhood of
11:56probably $50 mill million. And so the
11:58big lesson that I learned there was that
12:00I shouldn't and that that competitor
12:02ended up killing that business because
12:05it wasn't [ __ ] profitable. And so I I
12:07was the market leader and someone came
12:09in to undercut me and then I said, "Oh,
12:12I'll copy the moron."
12:14>> It's easy to let happen.
12:15>> Yes.
12:16>> And so don't lose $50 million. Let him
12:19let him figure that out for himself. You
12:21just focus on the customer and you'll
12:23win.
12:23>> Good answer. Thank you.
12:24>> Appreciate you.
12:25>> If you're a business owner, I'd like to
12:26invite you out to come to our
12:27headquarters in Vegas to see how we
12:29scale businesses using what we call the
12:31value acceleration method, which is a
12:33compilation of all the stuff that we've
12:35learned, breaking down different
12:36businesses across different industries.
12:38And if that sounds at all interesting,
12:40you can click below and book a call and
12:42we'd love to potentially meet you and
12:43see you in person.
12:44>> I sell coaching to real estate agents.
12:46>> Mhm. Um, I do two and a half million.
12:49Um, I'd like to double it. What's
12:51stopping me? That's a good question.
12:53Your boy Ed, he seems to think I could
12:55be just super famous.
12:57>> And he's like, you need a brand manager.
12:59>> Yeah.
12:59>> And so, you know, he's like, you need
13:01somebody that has already kind of
13:03achieved that with someone else, right?
13:04So, I guess my question is, how do I
13:06find that person? Cuz 99% of the stuff
13:09out there is scams basically.
13:12>> Totally. And I would even define them as
13:13scams. I just people that are not that
13:15competent. scam.
13:18I think it comes down to deception. Um
13:20whether they intend to deceive or they
13:21just aren't that good. Um but back back
13:24to your point, I yeah, I I agree. So
13:26fundamentally, if you want to just make
13:28more money and you are a brand that
13:30promotes itself, then you need to
13:31advertise more. Are you constrained on
13:33your delivery?
13:34>> Delivery as far as the fulfillment?
13:36>> Yeah.
13:37>> No, it's group coaching. It's easy.
13:38>> So you could double the amount of
13:40customers you have right now and it
13:41would be
13:41>> quadruple. Yeah.
13:42>> Okay. Well, then yeah. I mean, this is a
13:44pure advertising play. Yeah,
13:45>> you probably I mean
13:47>> I'm I'm interviewing sales guys and I'm
13:49looking at paid ads like hiring people
13:51for that. So like I'm getting into that.
13:53>> Yeah, the paid side is going to give you
13:55call it like a one time 3 to 5x off of a
13:58baseline. Uh not a promise or guarantee,
14:00just saying like that's that's what I
14:02would say is kind of typical if you've
14:04gotten to this point off of just
14:05organic. Um, obviously we can help you
14:08with that stuff, but like uh the
14:10long-term kind of like uh well that you
14:12need to keep digging is you want to
14:18so think of it like this. So you have
14:21just imagine this is your audience right
14:23now. You're monetizing these people,
14:25right? The people who are just like
14:26super hot. They love you forever and you
14:28continue to promote and you know this
14:31gets filled up with new eyeballs and
14:32then they come up because they see your
14:33stuff and then they give you money. Yay.
14:35Right? So if you if you uh when you
14:39start doing if you do more organic and
14:42do it across more platforms, do it more
14:43consistently, do it with higher volume,
14:44do with higher quality, then what you're
14:46going to do is you're going to grow this
14:47this base. This percentage will stay
14:50about the same, but now it's going to go
14:51to here, right? So then that dollar sign
14:53goes up. That's a great long-term play.
14:55And you just want to keep growing the
14:56pyramid.
14:57>> What ads will do is that ads will keep
14:59this the same and then it'll move this
15:01line down. And so you want to do both.
15:04Mhm.
15:04>> So, like in the short term, if I was
15:06like, how do I tr like double your
15:07business? It's like that wouldn't be
15:08that difficult. I would just be like,
15:09cool, just pull the ad lever. It's done.
15:11>> But if we were looking at a 10ear
15:13horizon, then I would say, well, we need
15:14to do both of these in parallel. We need
15:16to continue to plant the seeds and then
15:18the ads kind of reach off the top and
15:20and skim. Does
15:22>> that make sense?
15:23>> Yeah, for sure. So, how do you find an
15:24ad manager? I mean I mean I mean I mean
15:26a brand manager.
15:27>> So, that that's good.
15:29>> Yeah. The best thing I mean I just we
15:31just poach. We just I mean just
15:33outreach. Hey, you've crushed it with so
15:35and so. Can I pay you more to do it
15:36here?
15:37>> Right. And so I guess how do you realize
15:39who those people are to poach? Like who
15:42>> look at the brands that you admire and
15:44then reach out to them and offer them
15:46more money to do it for you.
15:48>> But you see the brand but you don't
15:49really know who's behind the brand.
15:52>> LinkedIn like Frank and like
15:55>> Yeah.
15:56>> solvable. Gotcha.
15:58>> For sure. Solvable. Yeah. I mean, and
15:59most of the people who are really good
16:01at media stuff do have some presence
16:02anyways on their own, so they don't make
16:04themselves invisible. Um, like you could
16:07probably chat GPT search who are the
16:09people who are involved with that.
16:10>> Here's my question. Like like is that
16:13something that could be outsourced?
16:15>> You mean recruiting?
16:16>> No, no, no, no, no. Not the recruiting
16:17part like the like the brand manager
16:19part.
16:19>> No, I wouldn't recommend it.
16:20>> Yeah. Bring somebody in house.
16:22>> It's thing is what are the so what are
16:24the core things to the business? So for
16:25every business you have attraction,
16:26you've got conversion, you've got
16:27delivery, right? Those are the things
16:29that are core to every business. IT,
16:31recruiting, finance. I see all of these
16:34functions as ancillary that aren't core
16:37to value creation for the customer.
16:39They're things that must occur for the
16:40business to continue to be a business,
16:41but not things that are core for the
16:43value to be created. And so for you,
16:45your brand is arguably the most
16:47important asset that you have and for
16:49sure would not be something that I would
16:50outsource.
16:51>> So bring somebody in house working
16:53directly for me.
16:54>> Yeah, I would poach somebody. Um,
16:55obviously we've done we've hired a lot
16:57of media people. We can help you with
16:58that. Um, but beyond that, uh, I would
17:01probably, if I'm doing order of ops,
17:02it'll probably be, uh, because the thing
17:05is is right now, are you selling, you're
17:07selling, who's doing the sales?
17:09>> Well, so I do it in a challenge.
17:12>> That's the only time I offer it, you
17:14know,
17:14>> you do one to many, five day thing,
17:15something like that. Okay.
17:16>> And so I'm going to switch to book a
17:18call, single cell guy, close
17:20>> and do it on a recurring kind of
17:21evergreen basis or still do it in this
17:22long?
17:23>> I'll do it both. I'll do both.
17:25>> Yeah. Um but okay, but you're selling
17:27straight to checkout.
17:28>> Mhm. Got it. Um yeah, that motion um as
17:33soon as you turn on ads is going to
17:35break uh in all likelihood because it's
17:38totally different selling to cold than
17:39is to to warm. And so the
17:41>> mean break,
17:42>> you will not convert the same percentage
17:44you currently do.
17:44>> Yeah. No doubt. No doubt. No doubt.
17:46>> By a lot. Um and so the whole the whole
17:49the economics of the entire funnel will
17:50change and so that'll take some
17:51adjustment in motion. So just more like
17:53preparing you for that because that's
17:54what comes next.
17:55>> Yeah.
17:56>> So high level recruiting for brand
17:58manager that's going to start building
17:59the base. And then ads plus sales motion
18:02are going to have to come in tandem
18:04because they both have to be good. The
18:06ads have to be good and the sales motion
18:07has to be good. If the ads are great and
18:09the sales motion sucks, it won't work.
18:10If the sales motion is great and the ads
18:11suck, it won't work.
18:12>> Cool.
18:13>> That makes sense for next steps.
18:14>> What's up?
18:15>> That makes sense for next steps.
18:16>> Yeah. Yeah. Go to LinkedIn and poach
18:17somebody. Got it.
18:19We sell sales coaching and lead genen to
18:23financial adviserss. We're at 6.6
18:26million. We'd like to be at 20 plus.
18:29>> Um,
18:29>> appound, paid ads, events. How do you
18:31sell
18:31>> paid ads?
18:32>> Okay. Yeah.
18:33>> Straight to VSL to phone team.
18:35>> Correct.
18:36>> Cool. Correct.
18:36>> Yeah. Biggest thing is churn as with
18:38pretty much all agencies.
18:40>> Um, so we've basically transitioned from
18:43lead genen company to sales coaching
18:45company because we know that, you know,
18:47advisors can't close. No offense to any
18:49advisers in here, but um yeah, so we're
18:52we're doing a lot of sales coaching now.
18:54So we have like the big head longtail
18:56where we can sell the lead genen on the
18:58back end.
18:59>> Okay.
19:00>> So yeah, the main question is have you
19:02seen other agencies successfully pivot
19:04from lead genen to sales coaching or you
19:07know in like very non-sales
19:09uh or industries where founders or
19:12business owners are sales deficient?
19:13Have you seen companies successfully
19:16train their clients on sales?
19:18>> Yeah, sure.
19:19>> So, like a gym launch, how did you guys
19:21successfully do that across thousands of
19:24gyms? We had something called boiler
19:25room. We trained their trainers and
19:27front desk people every morning and
19:29drilled them, role played, and separate
19:31them in the groups the same way we would
19:32our own team. So, we just did it every
19:34morning for them. And it was just an
19:35add-on,
19:36>> just group group roleplay basically.
19:38>> Mhm. just like you'd have a sales
19:40manager meeting where you'd role play
19:41whatever particular part of the script
19:42they were all struggling with. And so we
19:44break we break sales training from the
19:46team side, not on the one-on-one side,
19:48into five parts. We've got intro, we've
19:49got disco, we've got offer, and then
19:51we've got uh you know, objections and
19:53looping. And then fifth day is basically
19:55whatever is kind of the hot topic of
19:56what's the thing that we think is going
19:57to benefit the team the most. And so
19:59that's kind of how we rotate through. We
20:00have to keep each part of the script
20:01crisp, otherwise they'll [ __ ] up
20:02something. And so that keeps the short,
20:04you know, the the the sword sharp. Um,
20:06and that's what we did, you know, across
20:08the team. We still we do that for our
20:09teams, too. Um, but I think it's likely
20:13that it's under basically you need to
20:15provide more value or you need to lower
20:17the price. And so, if you want to tackle
20:19churn, it has to be like there are for
20:21sure businesses that work in the space
20:23that you're at. I think big head
20:24longtail is a great model like charge
20:26the upfront and then just make the
20:28continuity much much smaller. So, it's a
20:30no-brainer. Like they'll almost pay that
20:31just to be kind of in the network. Sure.
20:33>> And so this is I'll just I should have
20:35said this earlier, but it's like I try
20:37to answer the question so that it
20:38affects as many people as possible in
20:40this room. But the problem with
20:41information and kind of quote coaching
20:43or education type businesses is that um
20:46people try to make continuity out of the
20:49front end value that you're providing
20:51and then the value drops once you have
20:54the skill. And so you have to separate
20:56out the consumables from the one-time
20:59things. the onetime things also have
21:01significantly more value than the
21:02consumables do. Now sometimes they don't
21:04have the money to pay for the onetime
21:05thing because they don't have the skill
21:06the onetime thing would give them. Yeah.
21:07>> Right. That's kind of the issue. So um
21:10in order to separate it, it's like you
21:11just have to think what are the things
21:12that they get on an ongoing basis. And
21:14if we only sold that, what would the
21:16price point be? Likely significantly
21:17lower. And if we got them that skill, it
21:20would be significantly more. But once
21:21they have the skill, assume they have
21:23the skill on the ongoing basis.
21:25>> Yeah.
21:25>> What would they still pay for? Now you
21:28have the lead genen thing.
21:29really I mean the lead genen oh everyone
21:32wants it when they learn how to sell
21:35using our process they stay
21:37>> so the biggest thing is just making sure
21:38they actually
21:40>> so it's so it's like it's activation as
21:42well so like getting them to come in and
21:44actually engage
21:45>> because most advisers
21:46>> is it all remote
21:47>> it's all remote and they don't they also
21:49don't like sales like the word sales
21:51like
21:52>> they like cringe inside when they hear
21:54it so we literally like ban the word
21:55sales like we we just say consulting we
21:58don't call them sales calls We call them
21:59consults.
22:00>> So like you know like that but
22:03>> um yeah I'm just curious. So it sounds
22:05like you just have to get better at
22:06training them.
22:07>> Yeah.
22:08>> So
22:08>> okay.
22:09>> Your issue though is that if someone
22:12gets activated they stick for sure.
22:15>> For sure.
22:15>> Well then all of the all of the effort
22:17we have is how do we get them activated
22:18like better faster which is going to be
22:20a function of two things. One is going
22:21to be are there some avatars
22:23>> that are better than others right?
22:26Right? So, we only sell those avatars.
22:28And we split that into three buckets.
22:30You've got demographics. What do they
22:31look like? Right? You've got the
22:32quantifiables, which is like what are
22:34the uh what size business do they have?
22:36Whatever. Um and then you've got the
22:37ethnic the um uh I said demographics and
22:41there's quantifiables. There's a third
22:43one. I can't remember. But those two
22:45will at least get you on a head start um
22:47in terms of segmenting the traffic. So,
22:49you can be like this is who the avatar
22:50is. These ones have a significantly
22:51higher likelihood of converting. And
22:53what will happen when you do that is
22:54your CAC will go up, but then your stick
22:57problem will get fixed. Okay? So like
22:59for example, if I sold everybody who
23:01identified as a fitness person, then gym
23:04launch would never have been able to
23:05exist because I would have had too many
23:07shitty customers who are personal
23:08trainers who've got 10 clients,
23:10whatever, and they can never pay and it
23:12doesn't matter what I do. And so for me
23:14to deploy the resources required to
23:16actually get them up to snuff, I have to
23:18have somebody who at their onset can pay
23:20more
23:21>> so that I can actually help them.
23:22>> Okay?
23:23>> Because below a certain extent, it just
23:24needs to be DIY, which is a different
23:26business, not the business I wanted to
23:27be in.
23:28>> So there's probably some advisors that
23:30are better
23:31>> that you need to basically scan out and
23:33say, "All these people were not going to
23:34service because they have a low
23:35likelihood of actually working." And
23:36maybe you need to adjust price to only
23:37accommodate those people and that newer
23:39avatar that's better. So this isly an
23:41avatar issue. And then obviously the ops
23:43on the back end in terms of activation
23:44is what do oh yeah that's the third
23:46bucket the behaviors. So what do the
23:48people who have the right demographics
23:50and the right quantifiables what
23:52behaviors did they do that caused them
23:54to activate and stick and what did the
23:56other people who look like them not do
23:58and then that becomes the activation
23:59process we reverse engineer.
24:01>> Makes sense. Quick last question. How
24:03did you how did you optimize for for
24:05time to value your launch? And how can
24:07we potentially do something similar?
24:09Because for us deal cycles are
24:10>> Yeah. We'd email their list. if they
24:11make a sale in the first seven days.
24:13>> Okay, so just reactivation. Okay, sweet.
24:15Appreciate you.
24:16>> If you're doing a million dollars or
24:18more a year and you'd like to get to 10
24:21million or $100 million, I can promise
24:23you absolutely none of that. But what I
24:26can do is create an environment where
24:28you can actually talk to other business
24:29owners and players within those
24:31businesses that are doing those numbers.
24:33And for me personally, the big
24:35breakthroughs that I had in my business
24:37was when I came in with an open mind and
24:39was like, I don't know what I don't
24:40know. And so you probably have one of
24:42those like how do I get my content to
24:43scale? How do I recruit these first
24:45sales people? How do I recruit my 20th
24:46or my sal my VP of sales or director of
24:48sales? Every single level of this game
24:50has more complexity than the last. And
24:53so if that sounds at all interesting,
24:54I'd love to invite you out to our
24:55headquarters for two days to talk to me
24:57and the team, director of sales,
24:58director of marketing, director of
25:00strategy, director of ops, director of
25:02investment, all the people that who
25:03actually run our portfolio
25:05atacquisition.com. And as a bonus, all
25:07the other business owners in the room
25:08are doing a million dollars plus. And
25:10yeah, so this is your invitation. So if
25:12that sounds interesting, click book call
25:13if it's a good fit.