The Game with Alex Hormozi - Helping Business Owners Reinvest Into Their Businesses | Ep 899
Episode Date: October 13, 2025Welcome 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 m...ore profit per customer, how to keep them longer, and the many failures and lessons Alex has learned and will learn on his path from $100M to $1B in net worth.Wanna scale your business? Click here.Follow Alex Hormozi’s Socials:LinkedIn | Instagram | Facebook | YouTube | Twitter | Acquisition
Transcript
Discussion (0)
I take all that profit and I just see that as like this is my opportunity to reinvest in the business.
When in the business small, reinvestment is you.
You are the reinvestment.
And so that's where I'm like, okay, I'm going to pay my current agency.
I'm going to pay the next agency.
And I'm going to tell both of them, I want them to teach me what they're doing.
And I'm going to spend my own budget too.
John, what's up, man?
Tell me about the business.
Yep.
So we help people with starting backfinance, Attica.
We have an online program.
Okay.
So online.
Okay.
Yep.
And you help with backpaid.
Got it.
That's great. What's revenue?
And we're doing 95 grand a month.
Okay, so you're a million bucks a year, roughly.
Okay. So you're doing a million a year.
Great. So I know you're online. Are you selling via checkout page or via sales call?
We do DM Betrish call to sales call.
Okay, so so, okay, cool. You're no online salespeople. Okay. Yep.
Okay, got it. And how are you getting leads?
We have a million followers in Instagram.
Okay. One million on IG. Anything else?
Yeah, like 200 grand on TikTok.
Okay, cool. Well, you've probably already seen the difference of the value.
of 200,000 on TikTok versus 1 million on IG.
Yeah.
Well, me to give you a quick hack to turn those TikTok people into more value.
Please.
Yeah, so we have found that the best call to action for TikTok, if you want to sell higher ticket stuff, is actually make the CTA DM me on Instagram and then put the link to your Instagram.
Wow, okay.
Yeah.
So like on TikTok, you get people with DM on Instagram.
I know.
But you already have your old DM team set up on Instagram anyway, so like it works great.
Yeah, cool.
So that's thing one. Great. So what do you want to do? What's the limit? What's what's holding you back?
It feels like keeps consistency. So we have one sales reps and two setters. And I want to get more sales reps.
But it's just like one week will be filled out weeks in advance. And then another week, we barely get, you know, enough leads to fill up one. And then we just end up pitching on every single post. I just feel fatiguing for the recline. So I'm curious, do we start at, can we start retargeting or do you need to fix something first?
How many posts a day are you putting out? We're putting out one post a day on Instagram. We tested two. But it's just like we really focus on. We edit a
for eight hours, we make it great, so it's one a day.
Okay.
I think you can probably make more.
I'll just put that out there.
I would 100% not believe in the mythology of like there's a platform limit.
There totally isn't.
And that's on, and I pretty much stand by that on every platform.
Like Fox News puts out one, I just looked at this, we were calling up this board.
Does one long per hour on YouTube.
Oh, wow.
Right.
And they do like 300 reviews.
Right.
And there's a Bollywood account that gets a billion views a month on Instagram and puts out
100 posts a day on Instagram.
So you have to think about it like this.
So I hear what you're saying with the fatigating audience.
I think more realistically, you're fatiguing your editor, not your audience.
I think they're not making good enough stuff.
No, I'm being real.
I think they're not making good enough stuff.
Your audience has an insatiable demand for value.
Don't you like, believe that in your core.
Your audience has an insatiable demand.
It will literally never, it's an endless pit when it comes to value and has almost no appetite
for fluff and waste.
If we have, let's imagine that this circle represents a million people.
When you make a post, you're getting like one to two percent of your audience to actually see it, right?
And so if you make more posts, you'll just have more one to two percent that see it.
Okay.
Okay.
Now, where your issue comes up is that when you make your call, you know, your direct call to action posts, then it goes from like that kind of thicker dot to just like an itty-bitty spec because your reach gets hammered, right?
We actually do a call to action in every post like at the end.
Yeah, and that's okay.
Well, it's not, it's not the end of the world.
Again, all that matters is like how long is the CTA relative to the post, right?
So it's usually like, are you doing a mini chat integration?
Yeah.
Yeah.
So how long is the CTA?
Like six seconds.
Is it, that's long?
Is it pre-recorded or is it like pre-recorded then stapled on or are you making them native every time?
It's native, but it's the same every time.
Yeah, so you want to swap out with the lead magnets are constantly.
Oh, okay.
Got it right now.
Because like, why would they respond?
They already got it.
Yeah.
Yeah, that's right.
So, all right, so I'm going to write down little nuggets for you.
So number one, we're going to go TikTok, TikTok, DMs to IG as CTA.
Number two, we're going to make more lead magnets so that you can alternate through them.
Number three, I think more content is a good idea.
Okay.
Number four is I think you need to lower your time, your CTA time.
So I would shoot for like three seconds or less for your CTA.
The thing is it'll kill the, it'll kill the view through rate, right?
And then that's killing the amount of returgeting.
Yeah.
Okay.
And you're doing comment, like, book or comment, whatever, and then it DM'd them the thing.
No, we actually do a, like, for free static assessments.
And then we just basically say comment for an assessment and then we book a call at DMs.
Yeah, I mean, that's also a really heavy ask.
So it might be worth considering, like, a cheat sheet and then a triage question.
Okay.
Because, I mean, like, that's, like, the heaviest right hook you can do.
Yep.
I'll give you guys a little insight also to my live stream bros.
On one hand, like when we do ads that are like direct to workshop, that's like quote the heaviest ass. Like, hey, come on to Vegas, right? That's pretty, you know, so you got to have a hurdle, et cetera. Now, when we have a scaling roadmap, which you may have seen ads for, right? The scaling roadmap has lower immediate row ass, but over a 60 or 90 day window has superior row as to direct workshop. In addition to that, it also has like 10 times the reach. Because getting somebody who's a little bit like, somebody who's like, yep, I want to come to a workshop. Like they've already consumed. Like, that's a, like, that's a
almost like, it's almost like a warm audience retargeting more than it's like an ad and a process
that like nurtures, you know, prospects and then, you know, warms them up, provides value, et cetera.
Yeah.
And so I think if you want to broaden kind of like the net that you're going through,
just make the ask that you have a little bit lighter.
So I think one, you've got your direct, if you're doing one a day, I would do like maybe two
a week of the direct one and then do the remainder of them as posts that are like lead magnet centered.
Right.
Like seven tips to fix this or whatever, right?
And I'm sure you can spend 100 of those things.
It's not that hard.
And then the triage question is like, hey, you're here for free stuff
or do you want to solve the problem for good?
And they're going to say, I want to solve the problem.
They're like, great.
And then you're into a sales conversation.
That's great.
And then at what point would you start retargeting at?
The thing is, okay, this will be great for everybody.
So, again, I don't know if you can see my thing.
So if you think about your audience is this pyramid, right?
The people who are buying from you right now are this like tiny little top 1% here.
And so there are some things that there's some actions that could get you to convert just a higher percentage of that 1%, which means that we could make the well or the pyramid larger, which we would do by posting more times and making better content, right?
Or we can keep that pyramid the same size, right?
And then we can move this line of what percentage we're converting and make that a little bit deeper.
When you add a sales team, that converts a higher percentage of the audience.
When you add ads, you're going to convert a higher percentage of the audience because you're just going to have your ads shown to a bigger percentage of people in that sphere.
Right.
And so it's almost like reaching into forward revenue and pulling it forward, which is fine as long as you're filling up the bucket.
Right.
So I would, right, you get what I'm saying about that?
So you will absolutely make more money if you have a sales team and run ads.
No question.
But then you will hit another plateau and you will still be limited by the growth of your organic.
unless you create a true cold traffic acquisition channel,
which is a different monster and beyond the scope of right now.
All right.
And so my recommendation is I would want you to double your content.
I don't want your business to go down.
Keep one CTA as your direct to book a call
and keep the other and make the second CTA for the lead magnet
and just do two a day.
That's good.
Cool?
Sounds great.
All right.
Rock and roll.
Appreciate you, John.
Awesome.
Thank you.
Yeah.
Thanks for calling Hermosie Highline.
All right.
So let's take a little, let me look at the chat.
What's up, guys?
Okay, so as I build a personal brand,
is it better to become an authority in a certain skill
and then start posting content,
or is it better to start posting content
without being authority in that skill?
Great question.
So my perspective on this,
and this probably will differ from other people's,
but I can only explain what I do, right,
and the kind of the thinking process behind it.
I never want someone to question whether I'm legit or not, right?
And I think that way,
and maybe it's because I just have, like,
massive insecurity, who knows?
But the reason that I tend to always start with proof, right?
And so I would rather, like, and if you don't have external achievements, right,
then you need the achievements to be effort-based rather than external.
Okay, so what does that mean?
So instead of saying, hey, I did $100 million launch, that's an external achievement.
Everyone can see that, great, lots of money, et cetera, right?
I could say, I mean 35,000 pieces of content.
You can control that.
Now, whether you did a good job or not is a separate thing.
But when you do effort-based achievements, it's kind of like grinder pay, right?
And so in the beginning, you don't have the money or the proof to do it.
So you have to grind.
And so grind-wise, it's like, I'm going to make 35,000 pieces of content
and document what you're learning along the way.
That's fine.
Like, that's the game.
And so that will be kind of phase one.
Phase two is be willing to work with people for free.
People spend way, like, I'll say this differently.
If you're getting started, every single business, to this day,
I still start with free stuff.
because I want to get feedback for people.
I want to know what they like,
what they didn't like,
what their pain points are.
I want to figure out how to smooth out the process.
I want to figure out all these different things.
And me trying to guess at that on my first shot
and ask people to pay me,
I'm like, I don't want to do that.
I'm going to have bad reputation.
I don't want it.
Right?
And so it's going to take you so much more time.
Think about this.
For you to get 10 customers who pay you
with never giving anything away for free
is going to take a long time.
You're getting 10 people to start working with you for free
and then using the 10 testimonials
you get there to then get your 11th, 12, 13, 14, 15, 16, 17, 17, 18, 18, I think 20th customer
is going to take you less time to get that 10 paying customers if you do 10 for free first
of whatever it is that you sell.
So that's my, that's my two cents.
More people doing up your stuff is not going to make you less money.
I do think, though, that like big, big picture, it also kind of depends on what you're
going to get into.
If you want to be, you know, it's like, I want to be a business coach.
It's like, well, dude, just look at the people who have the most credibility in business.
they have some big giant thing behind them, right?
I would not try and compete there.
I would try and compete on a much smaller pond
that I can be king of a very,
not even a pond, like a puddle.
Like just be king of this itty-bitty puddle.
And create proof around that little itty-bitty puddle,
and you will find people who are willing to pay you
because you are a specialist and because they have access to you.
Okay?
And I'll give you one more tidbit for those you guys who are starting out
and then I'll take the next call.
So when you're starting out, you always have an advantage.
All right, every position has an advantage on the board of the game.
So if you're a super baller, right, you're a G or whatever you want to say, right?
My position is to say, don't go with Weenie McGee over here.
He's in his mom's basement and doesn't know what he's talking about, right?
I have been doing this for how many years and look at all this credibility and looks at all this proof, right?
Cool.
Weenie McGee, right, he doesn't mean in his mom's basement.
And he's going to be like, don't hang out with Alex.
You're never going to talk to Alex.
There's no chance, right?
You're going to be talking to someone three levels down from him.
and you're just going to be a number to them.
I mean, that's what I would say.
Of course, we don't operate that way,
but that's what you would say, right?
And so if that's your position, then you say,
dude, you're going to get my phone number.
And so it's not, am I better than Alex?
Of course I'm not better than Alex.
Like, own that.
Of course I'm not better than Alex.
But I am better than the third rung down on his company,
and you're going to get my phone number
and I care about my reputation,
and that person doesn't.
That's where you compete.
And so that's how you can start getting a foothold,
which is why there will always be room in the market
for people who are new because people who are established are going to have their position to play.
Cool, cool, cool, classic is going to say, we're the classic.
We've been doing this forever.
And the people who are new and upstart is like, hey, I'm a young founder.
Just try my soda out.
If you like it, tell me, give me feedback.
I'll try and fix it.
That's the position.
Both can win.
And for everyone who's like, I don't think this will work or something like that.
It's like, dude, like, I was in the same position.
It's not like I'm 50.
You know what I mean?
Like, I started at zero two and you just have to outwork, right?
And you got to say, like, I'm willing to do more than those guys are.
In the beginning, people don't want to say it.
I'll do it for less until eventually you have proof.
And then when we have proof, it becomes a virtuous cycle of charging more.
Okay.
Color 2.
Steven, let's rock and roll.
Nice to meet you too bad.
I'm going to, because the team collected your numbers.
So monthly revenue right now is 54K, right?
Yeah.
All right.
And then ad spend is 3K.
Yeah, per month.
Yeah, per month.
Yeah, per month.
Ads is 3K, right?
Per month?
Yeah.
Industry is your medical?
What do you do?
Custom insoles?
Yes, I'm a podiatrist.
Oh, cool. Yeah.
A buddy of mine's dad was a podiatrist back in Baltimore.
Okay, the offer is in souls for 300, so this is your AOV you call it, right?
It's 325.
I know that you're in pounds, but I'm just used writing dollars, so it doesn't really matter.
Okay, constraint is Google Ads are underspent.
Okay, so you can't spend more than the 3,000 a month.
Is that correct?
Yeah.
Okay, are you local?
Yeah, I do.
I have a Google ad specialist that is running my Google ads, so that's something I'm
never learned.
Are you local?
You told me that the local in the Netherlands to me.
Like, are you running ads for a local business?
Are you running this ad spend nationally?
Oh, sorry, for a local business, yes.
Okay, you're local.
So people do that.
They come in, they get measured or whatever,
and then they get insults, correct?
Exactly, yes.
Okay, got it.
So they're saying they just can't spend more money.
Yes.
Okay.
I don't know if I believe that.
How big of a city are you in?
Like, what's your 10-mile radius?
I thought he said around 10 kilometers, something like that.
But I was also thinking from, yeah, maybe he doesn't have the skills just to skill the campaign, so to say.
So I'm already in touch with a general marketing agency that is already checking in with another Google ad specialist to see if they can duplicate certain campaigns and get better results.
Yeah.
So I'll say this, man.
So I mean, congrats, you're doing 600ish a year.
I would strongly recommend you learning this stuff because it's not that hard.
Like, it's really not that hard.
Okay.
Because then you're not going to, like, right now, you're saying the constraint of the business is under someone else's control, right?
That's a tough position to be it.
So I would just want, I would want to own this myself.
And I'll give you a, I'll tell you a story that like really changed my person.
I haven't told the story a really long time.
So this will be a good one.
So I went to this meetup where everybody was doing, you know, eight figures or more.
And at the time, I wasn't.
And so I like snuck in.
They were like, no, we think you're going to be.
You know, a big baller because whatever, they recognize the magic in me.
But anyway, so they let me come.
And what was really interesting is one of the guys who was making the most money in the room
when he went up and presented, he said this really interesting thing.
He said, I would encourage everyone here because someone asked him like, hey, so what are you doing
to reinvest in your education right now?
He said, well, at the level of Matt, and he was making, I think, 30 or 35 million years.
I remember thinking, I was like, oh, my God, this person is God.
I heard that.
But he said, he was making $35 million a year.
And he said, I would encourage you to write down a percentage of your income,
whatever percentage you're comfortable with,
and put that as your learning budget.
All right.
And that learning budget,
he said you should spend that every month
and expect to have zero ROI on nine out of ten things,
and then the one ten thing will make you ten times the money.
It's almost like doing a venture bet on yourself
from an education perspective.
And so I took that to heart,
and then I started spending, saying,
okay, you've got your $3,000 a month.
I want you, Stephen, to do $3,000 a month that you control.
And you say, like, I'm going to spend $100 a day.
And I'm going to see if I can beat this guy.
Because I promise you, when it's your business, you'll beat them.
Like, you'll suck in the beginning, but you'll quickly learn.
Like, like, PPC for Google Ads is like really not hard.
Like, they make trillions of dollars to try and make it easy for you.
Sorry, go ahead.
That's great advice, man.
Thank you.
Definitely go start with it.
Yeah, and the nice thing is that no matter what, if you spend more money on ads,
you're going to make more money.
So even if you're inefficient, you'll still increase top line.
But I think that if you just try and get good and good and good at that.
And then I would also reach out to whatever these other agencies are.
I don't mind spending more in this.
Because again, the big picture is like you have bigger goals than this, right?
100%.
Right.
So just don't let your ego get wrapped up in your one month or two month profit.
Like that profit will be there if you choose not to spend money.
It's always there.
Right.
So I would want to take as much of that profit as seemingly possible.
And I'm telling you how I do things.
I take all that profit and I just see that as like, this is my opportunity to reinvest in the business.
When the business small, reinvestment is you.
You are the reinvestment.
And so that's where I'm like, okay, I'm going to pay.
pay my current agency, I'm gonna pay the next agency,
and I'm gonna tell both of them,
I want them to teach me what they're doing.
And I'm gonna spend my own budget too.
Yeah, so that was originally already my plan.
So I had Justin call this afternoon
with the new agency, and I told them from,
look, if we go in forth with the Google ad specialist,
I want to have weekly calls to at least know
what he's doing in the ad account,
so I just can follow the guy,
and that ever may ever have new ideas
that I can just try out,
but that I understand what he's,
Let me tweak it for you. Let me tweak it for you. Let me tweak it for you.
You're gonna ask how often are they are they gonna be you know really doing work on the campaign?
Just let's just guess it's twice a week, okay?
I'm gonna do something even better for you. I'm gonna ask that you don't even work on my account. I'm still gonna pay you
And I want to have two calls a week and all the work is gonna be done on those two calls. That's it. They don't have to do any other work from my account
But I want to be the one who controls the mouse and I want them to tell me what to do and why they're doing it
Oh, that's a very good idea. Okay, this is how I learned that
This is how I learned how to run national level Facebook ads.
This is how I learned how to do it.
I hired an agency and I said, I'll do whatever,
I'll show whatever hours you want.
I was like, but I control the mouse.
And you tell me what to do it.
And I recorded my screen and I would ask questions along the way
and they would tell me, I'd like, okay, so why are we doing this?
And then within six weeks, I was like, I get it.
I don't need this guy anymore.
That's genius.
Cool?
Yeah, sounds good.
All right.
Definitely going to start that.
Rock and roll.
Congrats on the business, Stephen.
Yes, thank you, Alex.
You bet, man.
Rock and roll.
Okay.
Rock and roll.
Bye bye.
Yeah.
All right, what type of lead maggots or funnels do you make for them?
Partnered with my wife on our business.
We sell jewelry with purposes.
Partnered with my wife on her business, we sell jewelry with purpose, natural stones.
What would be the best content to post for advertising we use TikTok?
All right.
What are we talking about here?
This is super visual.
All right.
What are we talking about?
All right.
So number one, I mean, TikTok, TikTok shop, for sure.
Like, if you're not doing that, you should be doing that.
Number two, I'll bet you with jewelry, probably a very very,
good margins with it and you could probably pay really aggressive affiliate commissions to any other
ticotkers who will repost your stuff and so i would look at are there small things that i can
give out for free i know that's heavy but people will be willing to do it i don't know what revenue
is right now by the way junior but i would also double this on instagram and i would want to do like
as many collab posts as i can with other influencers with them trying on different things and i think
the the big thing that i would want to do is i want to tell the narrative i want to tell the story behind the
jewelry. So give you an example. So if you think about like selling merch, right, everyone has
t-shirts. There's nothing sexy about a t-shirt. And if a t-shirt just has a logo on it, again,
it doesn't really matter. But if you say, let me tell you the story behind why this logo or why this
saying is meaningful. And so what we have to do is basically pair this commodity of jewelry
with the meaning that you then ascribe to it or the narrative or the story that you put on top of it.
And so two years ago, I did my book launch for the Leeds book, and some of you guys might have been there.
And I sold like millions of dollars of hats.
All right.
And people were willing to pay $100, essentially, for a hat.
Now, obviously they got two other books and the hat was free.
But like, fundamentally, that was what happened, right?
And so what's really interesting about that, the specific event is that I then spent like four or five minutes just saying, like, let me tell you about why I wear this hat, what this hat means to me.
And so after explaining the meaning behind the hat, then way more people willing to buy it versus like, hey, do you guys just want to buy a hat?
And so I think to the same degree, you need to do that within your content.
And you're like, well, what kind of content should I do?
Like, show the jewelry, show people unboxing the jewelry, show people picking out between different kinds of jewelry,
and then you're telling the narrative behind each of them in terms of where was the stone sourced?
Why did you design it that way?
What is this chain do versus this chain?
What are these metals do?
Like, there's so much to talk about with your content.
And don't be afraid to repeat stuff.
Just don't be afraid to repeat stuff.
And one of the really interesting things with content is that I'm going to give a Dave Ramsey example,
but like you need significantly less variety in your content than you think you do.
So think about what Dave Ramsey has done for the last 35, 40 years, however many years it's been.
He has told people to spend less than they make.
That has been his core message.
Don't go into debt, spend less than you make, cut up your credit cards, pay off your loans.
That's more likely.
Obviously he's seven baby steps and that's awesome.
But my point is this is that people still tune in every day when they know what the message is
because they're like, I wonder how this will apply to a stripper.
I wonder how this will apply to somebody who won the lottery.
I wonder how this will apply to somebody who's got a kid who's going to college now,
and it's a good college or it's a bad college, right?
And so the thing is, is that you can have a single framework or single core product or concept,
and the variety will just come from the examples that you use.
Cool.
All right.
Third caller is Liz.
Hello.
Hey, Liz.
What's up?
I'm good.
How are you?
Excellent.
You're on Hermosie Hotline.
So you've got monthly revenue of $600,000 a month.
Congratulations.
Bad ass.
Thank you.
Welcome.
Rich, you gotta buy me some jewelry from junior.
All right.
Okay, ad spend is $150,000 a month.
Okay, a little high there, got it.
All right, what are your margins right now?
They didn't ask that, but what are your margins?
Well, before we started, so I've been preparing
for a million a month for the last three months.
And so I started building the fulfillment team.
And in the last three months, my margins have been 25%.
Okay.
But before that, it was 45%.
Yeah, got it.
the last three months I've been trying to scale.
Build of the team,
products and more as haven't managed.
Got it.
Okay, industry is marketing automation.
Okay.
So who's the target?
Many chat funnels.
Oh, many chat funnels.
Okay, got.
Thank you.
It makes it easier for me.
Okay.
Many chat funnels.
Okay, great.
And then your offer is,
it's for e-commerce brands.
Okay, cool.
And they got to be doing over $10,000,
sorry, $25,000 a month in spend.
That's their requirements.
Okay.
Yes.
25K month.
Okay, what's your price?
6K a month.
6K per month. Okay, 6K per month price.
What's churn right now?
Between 5 to 10%.
Hmm.
Okay, okay, so 5% to 10% churn.
Let's just use 10% to keep it simple.
So 60K.
What's gross profit on the service of 6K month?
Well, we're breaking even in month one,
and then we're starting to profit in because of the month to do.
No, but that takes into cost of acquisition.
I'm saying what are gross profits on the service?
So how much does it cost you to deliver for a $6,000 month of customers?
About 2K, 2 to 3K.
Okay, 2 to 3K.
Okay, a little bit high, but that's fine.
Okay, fogs.
So it costs a good sold.
Okay, great.
So what's the question?
How can I help?
Now that I have context.
I've been struggling to double my ad time.
So our meta ads break when we push from 5K days to 10K a day.
So the question is, should we instead of multiple 1K a day campaign,
which might be competing against each other?
They're not.
Don't worry about that.
So consolidate everything into a...
They're not. Don't worry.
Like that media buying, Mamba Jumbo.
Don't worry about it.
Doesn't matter.
Okay.
Keep going on?
So you want to scale your ads and they're not scaling.
Okay.
Correct.
So is one master campaign that's spending seven to eight K a day with one single asset
with a ton of ads is better than multiple one K a day campaign?
I have no idea.
I actually don't think it matters.
Being real.
My whole life, that has never been the thing that has limited to.
Said differently.
I don't think your bidding strategy is the limit.
limitation for your business is not getting $2 million.
This is why it's valuable to have properly identified constraints.
Is it creative?
Yes.
I think it's probably the creative.
How are you thinking through the hooks that you're choosing?
Well, I'm researching using chat dpte, whatever ads I see online, what feels good, what sounds interesting.
I wrote those out.
Okay.
So I'll tell you, I'm going to guess right now that that's probably the issue.
So are you familiar with the five levels of awareness from a, this is Eugene Swartz?
Yes, I am.
Okay. So you have to translate those levels of awareness to the types of hooks that you're making.
So I'm going to guess, so if you have like a hard ceiling on your advertising spend, like once you get over a certain level, like you can't spend more, it's typically because the nature of the hooks and the content that you're talking about only really relates to the bottom of the funnel.
So you're talking about most aware customers who already know about your types of offer or, you know, solution or product aware customers who know about, they know about many chat or they know about you or they know about you or they know about you or they know about.
they know about your offers, right? So it's you're talking to a very, very warm audience. And so
Facebook only has a very small amount of people who are, you know, doing $25,000 a month
and know about this specific type of product offering. And so that's the only people that are
shown the ads to. And so we have to start like at the extreme, right, you would have the
unaware customer who is purely, you have to get them purely on curiosity. Like your, your
business is losing, you know, thousands of dollars a day because you don't have to be.
this one integration. That would be something that someone who has no idea about anything to do
with ManyChat, anything to do with marketing automation, they might take the next step.
Now what happens is as you go up funnel, right, you go to higher or is he lower levels of
awareness when there's way more people. Sometimes the funnel has to change. And so does the lead manager.
Are you just making a straight offer in your ads? What's the funnel? Yeah, I'm making an offer to book a demo.
Yeah, too. You're like, you are so level, you're so low on the, on the, on the, on the, on the, on the, on the
awareness thing like that's the issue you have to you have to make it easier for someone to
take a step they don't know who you are like like just saying like hey book a sales call is a tough
ask okay right and so this is why like lead magnetons and things like that makes sense is like you
might not have need to have a longer process of breaking even number one and a longer process of
educating the prospect and you need to have wider hooks and so one of the big things that
happens in like the whole marketing world is some people are like oh lead mags don't work or they do
work. If you just say, hey, buy my shit, you will get higher ROAS than have a lead magnet,
but you will be very quickly capped by the amount of people who are warm. And so you've probably
heard the whole like 97% of the audience isn't ready to buy right now and 3% is. So right
now you're spending all your time on that 3%. If you want to scale this thing, you got to be able
to go up. Makes sense. So you might, right. And so the hooks are going to be like how to
double AOV, how to decrease your CPAs or whatever the like types of language that you can
make there. And it's like six ways that you can decrease CPAs. Now all of them might include
using many chat to do it, and then be like, oh, shit, this is really good stuff.
And if you're super hands-on, which it sounds like you are, if you're charging $6,000 a month,
like you can give away all the secrets.
I promise you.
Just give away all the secrets.
It will not matter.
Give way all the secrets, all the sexiest stuff.
Put it in your lead magazines, put in your ads, put in your little video sales letter that you have, right?
And people are going to be like, I don't want to do with that.
I'll just have them to do it.
Yeah.
Yeah, you're right.
Cool?
Okay.
All right.
Rock and roll.
Good stuff.
This was fun.
Let's see this again.
You bet, Liz.
I just want to make sure that you're not.
Like, here's what's crazy about this.
Because I think this is good for everyone who's watching too.
People will stay stuck at this level for like years.
Because you keep thinking it's like a media buying thing.
It doesn't matter.
Like how you're doing your bidding in campaigns is like we're talking about like 5% differences.
Like the things that are going to get you from, you know, 600,000 a month to a million or multiple millions of dollars a month, it's going to be strategic in nature.
Yeah.
But do you feel like you're going to execute on that?
Thank you.
Yeah.
Okay.
Rock and roll.
Thanks, Liz.
Thank you, Alex.
Yeah, you bet.
All right.
Hermosie hot lime.
Coming in hot.
There we go.
Spicy.
Okay.
All right.
So let's see.
Here's summit.
If you only need meta ads, what would you do faster to make 10K only with one type of
outreach method?
Well, then just use meta ads.
If you're only good at that, then just use the thing that you're good at.
Okay.
Losefoot blitos.
15 to $20,000 on YouTube business.
Okay, a podcast about soccer in Spanish.
Awesome, dude.
Congrats.
I've been making the same amount per year.
I've been focusing on the content and not on the business.
How can I scale this up?
Okay.
So I'm going to bet that you probably.
have, so I actually don't know what your monetization vehicle is. So I don't know if you're doing
sponsorships or if it's ad revenue. I'm going to guess that it's one of those two things, because
just the way you described it, you probably, if you were selling something, you probably would have
mentioned your product. So I'm going to assume that you don't have a product and that you were
just basically a media business, which there's nothing wrong with that. So if you want to, so think
about it like this. There's a couple ways you can grow the business. Number one is that you can
sell more media spots. That's the easiest thing you could do to grow the business. So that would be
like outreach to other people who buy media in your type of business and are willing to buy
more ad spots.
That's like thing one.
That's going to be capped, though, based on the amount of eyeballs and impressions that you're
getting.
But that would be like the fastest lever.
The second thing that would take a little bit longer would be like, I'm going to keep
what I have and then just going to expand my channel so I can charge more with the ones
that I've got.
That'd be the second way.
The third way is, and this is a smart cookie way of doing it, is it depends on how much
getting in the game you want to be.
Right.
And so when you have a media business like you do, I see this as this big continuum.
of risk and reward.
Okay?
So if you want, you know, low risk here,
and then you've got high risk
and potentially higher reward,
you're on this side.
And I'll walk you through the options
that you have besides what I just outlined.
So the lowest risk thing that you can do
is you can just be an affiliate,
which means that you send traffic
and you get paid after the sale.
All right, that is the single easiest thing you can do.
The next thing you can do is you can do
media sponsorship, which is what you're doing.
Right?
So now you're saying,
hey, I want to get paid no matter what.
I don't care what your outcomes are.
Okay?
The next level that you can think about is you can do white label, okay?
Which means that you can go and find a product that you like.
You can drop ship it or you can, like, you're not manufacturing anything like that,
but you white label it and you put your brand on it and people buy it from your channel.
The next thing you can do is you can do a minority deal, which is where you find an existing
product that you like a lot.
So maybe it's one of your bigger sponsors and say, hey, I will make this more exclusive
for me, but I want some points of equity.
I want sort of royalty or rev shear on what I can bring you.
And so that gives you a nice mix of upside today and upside down the line.
And you trade some sort of exclusivity with that.
Now, you don't have to do exclusivity.
Obviously, depends on the size of your brand.
But those are things that you could explore.
Now, the last and most risky but highest reward would be you own 100%.
Right?
So you actually just, you build your own product or service.
And you have free advertising from your existing media business to go sell that.
But I'm going to warn you, that's getting into the game.
Like you're getting into the business.
business of business. And so these two are significantly easier. This one is pretty easy too. I might
flip these. So like one, two and minority deal, you basically just keep making media and you just
change the economics of how you make media. White labeling and you owning your own thing are you
really getting into the game of business. You owning a product that you can sell will for sure
be the thing that can get you the most money. It's also a distraction if you don't have the resources.
Cool. So hopefully they give you a little bit of outline in terms of like how you can think
throw how to make more with the existing thing you have. But the easiest things here is more eyeballs.
If you're already just like, I don't want to change anything, just get more eyeballs, make more media,
or increase sponsors. That would be the easiest fastest that you could do.
