The Game with Alex Hormozi - Chiro Mousetrap Breakdown | Ep 242

Episode Date: October 9, 2020

Make your offer sounds so sweet like honey, they’ll fall into it. Today, Alex (@AlexHormozi) shares with us a best practice that a chiropractor business did in order to increase their sales by adding simple steps and thinking of creative solutions.Welcome to The Game w/Alex Hormozi, hosted by entrepreneur, founder, investor, author, public speaker, and content creator Alex Hormozi. On this podcast you’ll hear how to get more customers, make more profit per customer, how to keep them longer, and the many failures and lessons Alex has learned on his path from $100M to $1B in net worth.Timestamps:(1:42) - Chiro business doubles leads by changing copy to "scan type"(2:54) - Position $260 scan as free & simplify payment option(5:15) - Friend Tim practices 3 nuggets, emphasizes overall value(6:46) - Layer offers, optimize sales funnel for better resultsFollow Alex Hormozi’s Socials:LinkedIn | Instagram | Facebook | YouTube | Twitter | Acquisition

Now, here's what's interesting about this, and I'm going to try and point out the nuggets and the wrinkles of what small tweaks make this thing super successful. All right. One is, welcome to the game where we talk about how to get more customers, how to make more per customer, and how to keep them longer, and the many failures and lessons we have learned along the way. I hope you enjoy and subscribe. What's going, everyone? Happy Thursday. I hope you guys are starting your ending your week off, but starting your day off with a good vibe. All right.

So what I want to do is break down a Cairo, a Mouth. And the reason I want to break this one down is that I've seen a handful of you guys who are running Cairo or running Professional type services so this would apply to anything that has any kind of medical service just understanding the mousetrap behind this I think will make you guys and your clients a lot of money So first things first I'm gonna start with the offer so the offer that that generated this was a off $1,200 of ad spend they generated a hundred and ninety six leads through a funnel and they got got 126 to show so that's 65% to schedule excuse me and of the hundred and 26 that scheduled 100 showed all right so they had 51% of all leads that showed up so double the lead cost is what the ad spend per show was all right those are good numbers 51% showed up now what i want to do is

break this down for it and from that they were also able to make nine thousand dollars up front before selling the two k back ends all right which ended up being 64 people decided to pay uh for the in-person visit. So I'm gonna walk you through this. So first things first, they offered a free scan, a free body scan. All right, now that's just a sexier, a different way of saying a free assessment, all right?

Now, here's what's interesting about this, and I'm gonna try and point out the nuggets and the wrinkles of what small tweaks make this thing super successful. All right, one is, instead of saying an assessment, which everyone's saying, right? They said it was free to get this type of scan, right? But what they did is they separated the scan

the technology and the software from the cost of a consultation in a visit right and so what they said was this scan is normally 260 but it's free and so when people would opt in right through the funnel right no through a funnel not lead lead ads they would then opt in and schedule and when they got on the phone and it said you know for a 30 minute consult before your free scan right and so when they get on the phone they say they would position the offer as saying listen this is normally a 260 scan we'll do it absolutely free the machine and the software is very expensive But we'll do it absolutely free. Now, normally, every first visit is $130.

You don't need to pay now. I just need a card on file to make sure that you're going to show up for it. All right, so we have a $50 no-show fee, but the appointment's $130 for your first visit. All right. Now, they were able to sell 64 out of 100 people that showed up on the phone call for this $130 first appointment. The reason is important, again, second, a little nugget here. So first is that they made it a free scan and they separated it from the first assessment. Second, they positioned the scan as a $206 thing that was given away for free.

So there's more value. Third, when they closed them, they didn't get charged the 130. They said, I just need your card. Your first appointment's $130. And when you get here and you do it, we'll charge you then. We should need your card for a no-show fee, which is $50. Right. And so by doing this, they position the appointment.

And then that basically makes every single one of these people $130 sales at minimum. All right. those 64 people that they closed, they closed them on the $130 first consult. So this isn't a $19 first consult. This isn't a $29 first consult. This is $130 first consult. All right. And so when these people came in, now all 64 of those people now have $130.

They're already paying for the service. So this Cairo already made $9,000 before the back in sale, before the lifetime value of the customer, before the. selling any product, all right? And so this is the key of making, like, if you guys want to succeed and you want your clients to succeed, follow the best practices, all right?

So I'm giving shout out to Tim here because Tim was new into the kairospace. He hadn't really done it. And so unlike many of you, he didn't have preconceived notions about what he should do or what was working for him. He followed the playbook. And so he didn't drive it straight to in person,

he drove it to a phone call because he knew, because what we told them, is that phone call. work better for most of those people because you can have max availability. What else did he not do? He didn't use lead ads because he saw that when he used through a funnel, we know that we get two and a half times more people to show. Now specifically for him, he got 51% of his leads to show. Now if you compare that to the throughput that many people are getting, you know, 10%, 12%, 15% in those specific niches trying to go straight to him in person and asking them to do something else,

it doesn't work because it happens, they'll get on the phone, they'll tell them to cancel that appointment and then they'll set another one right and so then you get cheated out of the shows that you're actually generating right so here like this is like like follow the playbook all right and so I just want to I want to outline this for you because some of you are trying to figure out a way to make more money for your customers or you should be with the mousetrap the key the key thing here that he did was he was able to separate with the three the free thing they were giving away free is stronger than discount but separated from the other service that there was being rendered right a scan is one thing, the assessment is another.

And so they gave the scan away for free, but charged for the assessment of the scan. A scan means nothing without the professional eyes that can provide value from it, right? And so that was the, that's the, that's the switch. That's the magic here. And so now every one of these shows a $130 customer, and the likelihood of getting one of those people to buy a $2,000 package is significantly higher. And you make that argument for a chiropractor, it's like, listen, if someone's not willing to pay $130, they're not going to buy a $2,000 for me, they're not going to be a good customer.

So let's just weed those people out on the phone. beforehand. And that's okay because rather than wasting your time, you're just having your secretary weed those people out ahead of time. Right? These aren't hard sales, right? And so the point here is that he scheduled them for phone consults. He used the max availability from the front desk. They closed them and had, you know, whatever, 100 of 126 shows, so like 84% show, something insane, right? Because it was convenient and the times worked for them and they were scheduling them in that way. Hey, guys, love that you're listening to the podcast. If you're ever want to have the video version of this, which usually has more effects, more visuals, more

graphs, you know, drawn out stuff, sometimes it can help hit the brain centers in different ways. You can check on my YouTube channel. It's absolutely free. Go check that out if that's what you are into. And if not, keep enjoying the show. All right. And so if you want to build a mousetrap like this, think about the other offers that you can layer into this because they were already able to make, you know, off $1, $1, $1,000. They made almost $9 to 1, right? Close. They made 9 to 1 before they sold the $2,000 packages. If you have 64 people, even if they suck ass, all $64 of these people now have $100, $130 showup rate,

right, or show up fee, essentially. And if 30% of them were sold, which is like the average, then they would make 20 sales at $2,000. Right? So they'd make $49,000 on $1,200 VAD spend, and you could easily get for the 100 shows that you generated, your $19, you're $19. you're 129 you're whatever on those right and so then all of a sudden all in they paid you 10 they paid

facebook 1200 so they're 112 and they made conservatively 50 grand all right like that's the that's the game that we're talking about here and so if any of you guys saw the post that Tim made about how he had his funnel set up i'd highly encourage you look at the funnel right he sold some of the benefits of the thing and the opting was actually at the bottom of the page so people actually had to be a little bit more qualified his average cost for leave was 14 bucks right and so for many of you it's not that i i heard someone say to me via message or they're like um funnels didn't work for us it's kind of like your client saying that facebook doesn't work for them it's like webpages don't work for us it's like you fucking kidding me of course they work like you just aren't good at them

you know what i mean like it's it's like kind of a ridiculous thing to say of course they work you need to get better at it you need to optimize you need to make a better offer you need to make better copy you make more compelling you know benefits that are gonna resonate with that person. And so, anyhow, I say all that to say, there's always a way. Sometimes you have to split some little details out that can make the whole mouse trap work.

So anyways, hope you guys have a good Thursday for anybody who's in the professional services space. All right, so that's physical therapist, dentists, chiros, whatever. For many of you, the thing that's going to dictate what type of appointment you are selecting is the availability of the type of appointment. If they can give you full availability,

for walk-ins, then by all means, do it in person. If they cannot, then you have to use it off the front desk, or this will not work. This game won't work. I'm just telling you, and it's not going to work with anyone else either. They have to make these changes in their business, and they have to listen to you because you're a performance partner. You're not asking for a retainer.

And if they're not willing to do that, then they cannot be a customer, right? And you have to confront that on the sale. So big picture, if you can find a way to separate the two things, you can make your ears just a law for independent it from what you want to charge someone, you're going to already pre-qualify customers, and then every single person who comes in the door, they already know is worth $100, $150, $200, then all of a sudden they're able to make significantly more.

And I think what made that sale easy was saying, I'm not going to charge you right now. I just need a card for a no-show. And when you show up, it's going to be $130. If you don't show, it's $50. Right? And so that way, by doing that, they ended up getting the card and making sure that every single person who walked in the door is already worth $130 before anything even happens. right and that's the beauty of this whole thing right so as soon as the person comes in boom you bill them and then they have their first consult you second set the second sale uh where you go through the actual you know package sale that's get or the treatment plan that's going to go with this and then pre-sell them on you know 30 whatever sessions at 50 bucks or 80 bucks or whatever you know what I mean it doesn't matter um that's what anyways that's that was the mouse trap and that was the little tweak that he did uh the first part was that he followed instructions and used to funnel and had them schedule and

and did a phone call because he knew they had max availability that way. But the back end tweak was that he separated the free offer from getting them to buy and value that front-end thing. And it didn't make it a hard sale because they didn't have to actually close $130 on the phone. They said it's normally 260 for the scan and it's $130 for the thing. So normally this is $500. All right, but instead the 260's on us and it's only $130. You don't have to pay for it now.

It's just once you come in, right? That's it. Now you do that after you get the car to the no-show, right? and then you're good to go so anyways um if you did reach out to tim i would highly recommend doing that if your numbers are not at 50% of uh leads showing then i would uh suggest that you model the process that he did and that is all i got so have a good Thursday uh hope you guys are crushing life and i'll get you guys soon bye