The Game with Alex Hormozi - How I’d Scale This Business From $1M to $3M

Episode Date: July 21, 2026

Download your free personalized $100M scaling roadmap in under 30 seconds: https://www.acquisition.com/roadmap?el=yt-alex-486r&htrafficsource=youtube Most businesses don’t have a growth problem. They have a volume problem. In this episode of Scale or Fail, Alex helps a seven-figure sticker education business unlock its next stage of growth by fixing the biggest constraint: customer acquisition. He breaks down why more ad spend requires more creatives, why scaling requires moving up the awareness ladder, and how restructuring the offer can dramatically improve cash flow. In this episode 00:00 Introducing Mim’s seven-figure sticker business 05:14 Increasing traffic spend on Meta ads 07:26 Using AI and UGC to increase creative volume 10:53 Awareness hooks to scale ads 13:07 Restructuring the annual offer 16:50 The 7-day trial bootcamp concept 21:53 Scaling roadmap review More Value: Book Your Spot At The Live Scaling Workshop In Las Vegas: https://www.acquisition.com/o-vegas Get the $100M Book Bundle: https://shop.acquisition.com/pages/100m-book-bundle Watch My Latest Episodes on YouTube: https://www.youtube.com/@AlexHormozi/featured Learn How to Scale Your Business to Millions in Revenue: https://www.acquisition.com/ Discover The Easiest Business I Can Help You Start (Free Trial): https://www.skool.com/hormozi Additional Free Books and Video Courses: https://www.acquisition.com/training DISCLOSURE: Information shared here is for educational purposes only. Individuals and business owners should evaluate their own business strategies and identify any potential risks. The information shared here is not a guarantee of success. Your results may vary. Copyright © 2026.

My name is Alex Tremozzi, and this is scale or fail. Ma'am, what's up? You ready? So, tell me about the business. I help people make stickers. For the last 12 months, I made 1.1 million Australian, which roughly works out to be about 800K. So I've made multiple seven figures over the past 10 years altogether, but hit my first seven figure year, which is very exciting. So profit is around the 30 to 35 percent mark, and my goal for the next three years is to reach three million. USD per year. How do you make money?

I make money with low-ticket digital products. So all of my teaching is online. And my main membership is Secret Sticker Society. Currently, the rates are $27 U.S. dollars per month or $270 per year. And then loads of other low-ticket digital products that can be interchanged for upsells. I have really good upsell game. So that's great. Okay.

There's a lot of stuff, though. So how many funnels is this? Over the last 10 years, I would be embarrassed to tell you how many funnels are happy. How many funnels you're running right now? So right now with the main membership with Secret Sticker Society, the main funnel is a live paid boot camp that I launched three times per year. But the main thing is it's Secret Secret Society. You've got a bunch of upsells in the funnel to offset KAC to the greatest degree possible. Yeah.

You go to the launch and then you saw Secret Secret Society at the back. That's right. Okay. Got it. Yeah. What are the numbers you got for acquisition? Okay. The live paid launches, is it the ticket's 10 bucks?

That's right. So there's no free. No free. So it's paid. Okay. Pay challenges. Cost you $37 to get it. Yes.

You have a 22% conversion rate on... Into the membership. Of people who buy a ticket? That's right. That's huge. Yeah, I'm really happy with that. What's AOV? It would be about $36.

So you're almost breaking even. Some of the events, I am slightly in the red, but by the end of the event, I'm always, profitable and then two of the boot camps that I've ran I've been profitable from day one so I've been up they're my favorite ones yeah okay all right what you think stopping you right now I feel that if I could get more people into the challenge I feel so strong now that I have that strong conversion of bringing people in I know what to do it's really quite tried and tested if I could get a high volume of people into the boot camp I'm safe to convert them and so that's been something that has definitely held me back. And then as, you know, I know that I have not reached

the cap in any way of being able to lower that CPA. So I think that even just making the switch with the past launch of pushing the annual membership doubled the average order value. So that made a huge difference, way bigger than I thought it would, and an instant difference. Step one, add the annual, make that the only offer available. Want to be clear. The only offer available is the annual what the bonuses. Okay, so annual only at the next launch. Yes. Someone wise told me to do that and I did it and it worked. Yeah, we'll probably do some more stuff there too. Yeah, great. Okay, so why is scaling this important to you? Why not just make money and just chill where you're at? Well, I really want to be able to pay off my home loan.

I'm married. I've got two kids. Ten years ago when I set the business up, I was diagnosed with breast cancer. Thankfully, 10 years on, always really well, now, which is great, but at the time, which was obviously a very dark period of my life, I set the business up really as a creative project to do something just for me to take my mind off it. And little did I know that 10 years on, I'd be teaching 20,000 plus crafters to make stickers. I'm ex-corporate, so completely different to what I'd done before. But what this has left me with is a really strong desire to be able to set my family up financially. I'm here to be open and to learn. And I will implement on everything.

that I'm told to do. I'm a really good student verging on being a bit of a teacher's pet. Like, I will just do anything that, you know, that you know more than me on this. And I constantly tell myself that I only know what I know. You know more about stickers than I do. That's for sure. Well, not so long because. Can you pull the numbers slide back up real quick? So you're making over 500-ish profit, right? So you're very profitable. Correct? Why don't you spend up to $100 CPA? See, this is part of the reason I'm here, because I often finish a launch thinking, I should have spent more.

Why didn't I spend more? And then I'll go into the next launch, again with that same, I'll cap my ad spend at a certain amount for no good reason. So what do you cap your CPA at normally? I don't even, well, I have capped the CPA, but the CPA has gone as high as maybe 50. I'm not a cautious spender, but for some reason, that's what I've done. You are here. Yeah. Cool.

Let's rock. Let's do this. Just so I'm clear, on the delivery side, if you double the amount of customers you have, does it break anything? No. Okay. So this is a pure demand issue, which is nice. I think I'm going to go, I'm going to kind of break this into an offer, and then we'll go traffic. I don't think there's really much else for your specific business that we need to talk about. Yeah.

Okay. So number one, I guess so on the traffic side from a spend is how much did you spend last launch? I only spend about 16K. The event went really well. It was not my biggest event, but it was still profitable. So, yeah, happy. Just didn't have enough time to be able to spend more. Yeah.

So when you say you didn't have enough time to spend more, what being moved by that? Because I spent $500,000 a day at the end of my launch. What made you... This is where my own limitation with meta ads probably comes into play. So the way that I like to normally do my launch is, which I know is much earlier than many others.

I'll lodge four weeks out. So four weeks out. Oh, cool. With like a smaller spend, you know, the testing, seeing what works. And I didn't feel like I had the runway to be able to do that. I guess it was a bit of mindset stuff too of like being way more conservative than I normally would. But I remember feeling I wasn't happy enough with CPA to keep spending. Okay.

So, okay. So I'm going to walk through spend cadence. Yeah. Okay. And so the way that I do this, I put about 5%, maybe 10% max of my spend, goes in that first week. And the only purpose is to test creative. Right. Yeah.

Then once we have our creative, the next two weeks are pretty much flat. Now we scale it up, obviously. But then we try and spend as much as possible. Like, I mean, if we could spend 75% I would, it's just challenging. Yeah, yeah. Right? Like call it 60 to 70% is in this way. week. And then we're in this, call it, you know, 15%, you know, maybe 10% here and then 15% here.

And so even here, this is where you're probably going to be at 50% is like literally in the last three days, right? Now, that's the cadence of spending. Now, from an amount of spending perspective, we do have a decision, which is like, let's obviously be willing to spend more, all right? But in order to do that, I think there's two things we have to do beforehand. One is we have to fix offer. But I also want to approach this from a creative perspective. So how many pieces of creative are you making right now for a launch? This is my weak spot for sure, creatives. Last launch, I think I started with a hook test in that first week with two images and two

videos. This time, there'll be a few more. I want you to think in hundreds. We won't be talking hundreds. We have to. How many stickers do people make? Oh, thousands. Right.

So let's just make it stickers, right? Previously is not going anywhere near hundreds. Okay. So let's just, just to make this easier for you. Okay. Are you familiar with AI stuff? Are you like more adverse than it? Okay.

So there's no reason why you shouldn't have a ton of static ads because these take two seconds to make. So from a static's perspective, I would look at a couple different sources because I want, for sure, we can make some. And we're going to make a bunch of them with AI and all that kind of stuff. Yeah. But I think if you can take it from your group, how many screenshots can I take from the group? Oh, so many. Right? These are all ads, right?

And then you add your little highlights to them to the people in your group. Do you have people who post videos inside the group of them, like, making their first? Okay. No. No video UDC. Interesting. Yeah. You want to incentivize people to it?

I've tried before, and I don't know whether it's the demographic or perhaps I didn't set them up for success. Okay. Probably both. Okay. Well, they know how to use a phone. For sure, yeah, yeah. Right. So I would have a super secret sticker set, SSSS set, right?

Which they can unlock if they. if they show themselves making a sticker. Right. Okay. That's it. Yeah, I love it. That's it. And then I would use that as my activation for everyone.

Yeah. Which is that everyone in your first seven days, I need you to make a sticker. I really like that because that would make the onboarding too. Yeah, exactly. Quick win. So it's a quick win, but then every single customer makes you an ad. Perfect. Then around and around we go.

And so if you have 200 customers for every launch on the low side, there's 200 ads. I wish I'd go off that. Well, there you go. We're here. And then do people post images of the stickers they make? Oh, yeah. There's no stopping them. Right.

So then sticker images, I think. You'll be surprised that some of these will actually turn into like, what kind of sticker? Like, that's the weirdest sticker I've ever seen. It's like, great. And then, so I think sticker ads will lend themselves really well. So we have our static ads where videos. This will get more people to do it. We can put that in the activation sequence in the first seven days.

Great. Love that. What touch points do you have with your customers? The only live delivery that I do where I am connecting is during these boot camps because the classes are pre-recorded, but I go live every day. I also invite my... All lives. I just want you to clip

because you're already doing it. I've got so many previous ones. So just clip them. And these can both go as organic. It paid. Like Q&A or... Just the small... Exactly.

The quick tips, exactly. And then for you specifically, so all of this is just stuff that's happening that we should capture. Yeah. But you specifically, I would say, like, I would want you to make 20 ads times four. Yeah.

So like 80 ads. that are just you, but I want the four to be different backgrounds and settings. So take your highest converting ads of all time over the last, how many campaigns you've done, put all 20 in here. Yeah. Do one of each of them in four different settings, different t-shirt, different background, different whatever. Right.

And they'll get you your kind of 80. So it's like if we're going from four ads to 80 ads, and that's just from this and we still have all of these, the last thing that I want to think about before you're, I know you have my ads playbook, correct? My hooks playbook? Yes, exactly. So on the levels of awareness piece,

The five levels of awareness is a framework by Eugene Schwartz where every person in a market falls into five categories, so your advertising should speak to them differently. He contends that audiences go from the bottom, which is the warmest and smallest group, to the top, which is the coldest and largest. For MIMS business, in order to continue to scale her ads, she needs to target more pain or problem-aware audiences

rather than product or offer-aware audiences. To make sure that you don't get caught and like when you scale it up, you scale up your ads, they don't perform. Like they'll stop performing as well. Now, there's always going to be some rise that goes up when you spend more. That's normal. But if all of a sudden it triples or something like that, typically it's because you have ads that are only really targeted at a very specific audience. Basically, it's like their product aware or offer aware, but we need to be had people who are like more pain aware.

So some hooks that you want to experiment with are going to be more pain driven. So like, are you bored? Do you not know what to do? Like, you would know the pain's better than me. But those are the pains that I would use as my hooks more than some of these bottom funnel. It's good to have offers and talk about the boot camp and all that stuff. Like that's here. That's going to be here.

But if we want them to scale, you're going to, you'll probably need to have some hooks that are up here. Yeah. Okay. And that'll allow you to really open up the targeting. I love that. Okay. Now, this is the cadence side. And so let's call this as number three, which is the hooks.

All right. And I'll say number four is the decision, which is that I want to challenge you to be, willing to do $100 check. All right? That's my challenge. Honestly, I feel like there's no challenge because I'll just do it now. I never go into my lawn capping my total ad spend if the ads are performing as I want them to. And I just think I haven't been anywhere near enough aware of this before preparing for, you know.

So now I know my numbers more than before. In the first month, you've been in back. No big deal. And I'll stop picking myself every time. Yes. I want to finish this. Yes. I have two things.

because you already have a model that works on it. The last thing I want to just break everything, right? But you got this last time. What was the paid and full offer specifically that you added? When we spoke before, you'd said sell only annual. Yeah. And really don't sell monthly at all. So then what percentage of people took?

So it went from being normally it's like a 5% to 15%. So 10% normally take annual. And then previously, when I switched to pitching really annual, it went to 30%. Okay. So that's why we have that 91. Okay. So you got 30%. Okay.

I think that on your launch checkout page, let's see you've got your annual and you've got your monthly, right? These are the two options. I still think that there should be a bump here, like after they select. There is a bump right now, but it's only to my $47 course, which is a little bit like, you like this stuff here some more. How does that do? That does 30%. That's pretty good.

So the sticker paper is one that. I would put it because if they need this to do the thing, then it's like we might as well just give it to them. Give it to them. Right. And then want the exact stuff. Yeah. This is my, this is my whole kit. So just let's just call this the bundle. Right. If we can make this the physical bundle, yeah. You might be able to get away with like $99 on something like this. And it's going to super high margin, right? It's a big. Right. No, no, but in the U.S. though, it's more slower. In the U.S., it's way better. So for sure. Yeah. Which if you wanted to be wild with it, you just put this in here.

So if you buy the monthly, and so then what happens is we can actually make this a bit of a false offer, meaning. Like a deco. Kind of. So it's like if we make this 149, or let's just go crazy. Let's say this is 149 for my full physical bundle. You'd say, but hey, guys, if you're going to, if you do the annual, I'll throw the 149 in. I like that. Load.

Yeah. Yeah. Yeah. This is what I'm saying with the, I want a physical product premium for annual because we, your LTVs are already around 300. So I don't, I was thinking because if it was much lower, I'd say, okay, we can lower the annual. we'll get more takers. But if that's not the case, and we know that they have to have this

in order to do the thing. Definitely. So if they're like, well, I'm going to have to buy this either way, I might as well get all the bonuses and get the stuff I need to do the thing. And they're committing to annual. It's like them making a decision

to commit to the hobby for a year. Yeah, because you're a cost on the similar $10. Maybe plus another $10 in shipping. Who cares? But that might all of a sudden take you to 50% here. And that'd be big, right? Wonderful. Yes.

Okay. So the big decision that I have is this. This would be a higher risk test, but this is like one that I would strongly consider. I'm not risk of this. Okay. Which is I would rather just not mention the monthly at all. Yeah. Sell the annual.

Put the offer in there. Yeah. And then after the launch is over, when you close your cart, then run everyone else to your monthly. That doesn't have the bonuses. Because then you can do a mop-up can. Yeah. Because you still get plenty on that. But this will, because like, if you're doing, you're doing a full five-day thing,

you can sell a $300 ticket. And so people are just taking the cheaper one because you're offering the cheap. My goal here was how can I get that spend number? How do you feel comfortable? If you knew all of a sudden, your AOV is $300. So maybe conversion cuts in half, but you are at $300. It's a different level of confidence. Yeah.

Because now if you're at $150 in the first 30 days and you're like, I'm fine. I can spend more of this. Spending, yeah. Cool. So I had two wild ideas. Right. Wild outing number one is let's just sell the annual, put this in there. And I think if we add this to that and make that the full offer, I think that'll do well. The second wild idea that I had, and again, this is wild. This is wild. Is that we position the boot camp as a seven-day trial of your 27-dollar membership. That goes even without you saying, no, it goes so well because the whole point of it is supposed to be like a teaser, a taster. If this is what you get, it's a little.

if you remember. Yeah. Because then you've automatically converted 100% of your traffic instead of 22. So they're signing up for the continuity and they have to cancel. And it's free. Yeah. And then you're running a seven day or a five day, whatever you want. But then your whole thing is push them to annual.

Yes. Yeah. So you have 100% conversion. And then you push everybody to annual. Yeah. That's my wild test. I really like it. I guess my worry that then I'm going to get to the,

challenge ends after a couple of weeks, then the 30 days ends, and people leave. Well, they will, but this is such a good onboarding, too. It is. Like, the seven-day challenge is also just onboarding for all the members. Yeah. I love, I love a test. You could arguably test both at the same time, which I'm not always the biggest fan of. Because if we look at the math, right, let's just do the math. So let's see, you've got 100 people who buy your thing, right? You can't. Yeah, they buy the boot camp, right? Where you know that we're going to have 22 of them, We're going to have a lifetime gross profit of 300, right? So we have, what are the 6,600 that's coming in from these people, right?

Now, on the front end, it's costing you $3,700, right? Yeah. So you get these people. Right, yeah. And this is the issue from a cash perspective, correct? That's the problem. Yeah. Now, you said that you get $91.

Now, yeah. Yeah. That $91 is only on the buyers, correct? It's not on these people. No. Okay. It's only on the 22%. That's the issue.

Yeah. So this is the real property. Yeah. So where it gets more interesting is like, let's say that you spend $3,700 to get $100 and you make $3,500, whatever, right? Which could be it. Yeah. So then that would mean you have $200 to acquire 22 customers is what the net net actually works out to. Yeah. So that LTVCAC is crazy. It's like I built my list for free. Yeah, you spent $200 to make $6,600. That's great. So the idea what the trial would be if we had those same hundred people, but let's say the trial conversion at the end was it'll probably be closer to like 55 percent like especially if you do like a five-day thing like this and all of a sudden you're at 55 people and they have the same $300 LTV now that doesn't include the fact that we're going to get annuals but even if no one bought annual and we just had the 300 now we're at you know 15 or 165 and so we would you'd actually make up for the money that you didn't make on the front now obviously

we still have upsells we should still do that yeah but I'm saying even if you had no upsells Yes. And you just had this. Yeah. You would make more. Because you're all in, you're at, you know, 90, whatever that is, you know, 11 or 10,000 is what you're making here versus 16. So you get like a 50, 60% lift. So that would be like that would be the play if it was trial.

But I think you can go trial and then upsell tools, right? Upsell the stuff they're going to need for the challenge. Right. And then you'll still be able to get some cash from all those people. And you can make it a $1. trial. So you have a working card or whatever. I would not introduce this. I would do this first. Yeah, I think so too. Okay, cool. Do this first. I hope for a challenge, but that feels... Yeah. Yeah. That's very manageable. Yeah. So this is, I'd say test B. I see that. This is test.

I have so much confidence that doing this alone is going to hugely change the outcome of the event in terms of members in profit. And then I feel like that's like the explode step. Yes. And you can say this, you only get all the tools if you buy the annual bearing the event. Right. Yeah. Because it costs me a lot of money and I got to ship it and I got to figure all this stuff out. So I can only do it for people now. Yeah. I really like that. I feel good about it.

I feel good about it too. It was a simple plan. A simple plan. This is the spend cadence we follow. I know it works very well. We're going to do way more creative this next round. Yeah, we are. Right?

You're going to create more organic as well, which is going to feed the list too. We're going to have more pain-based hook so we can go a little bit upfo. Yeah. we'll increase our spending capacity from a macaque perspective. Right. Yeah. And the test that we're going to run on the next one is this one. Yeah. And if that works, then all the game is going to be is how do I make 800 ads

and spend $100,000 on my next launch? Done. All right, let's see where we're going on the scaling room. Okay. Yes, thank you. Thank you. Thank you. So, how many police do you have right now? Like two? Yeah. One's my husband. let's see here. Your revenue is a little bit higher than your headcount would suggest.

So you're probably more on this side than you are here. And so what we're doing is if we're walking through this, we're going annual, we're adding the stuff to price to a better person. We're making all this extra content to make better free stuff. And also V2 of this test is actually just running the trial as the front end offer. We're making more creative to boost the volume. A little bit more. Yeah.

Also, as a side note, I don't know if you're already doing this, but I would make sure that you optimize your campaigns around purchases if you're not already doing. I always do. Just in case. I have to. Yeah. And then the one thing that I didn't see on your numbers, but I would like to get to, is just EPCs. Mm-hmm.

To earn it per click. And I think you'll sleep better knowing that you are doing fine. That's it. You just, giving me this is enough. And so the more I know, the better I'll be with that. Yeah. One thing that I did miss is, um, I think we'll sleep. should consider when you're making these ads, you said you had hook variations.

Yes. I would experiment with different callouts for avatars. So like in the Leaf Book we talk about callouts. I've done that only to, only in a limited way, literally separating mothers and grandmothers. But I haven't really done a great... I would go underneath of, I would go more subspecific. But like, the game is now a game of 100 ponds and no oceans. Like you're draining 100 ponds of audiences.

Right. To get your scale more than trying to ask. advertised to the issue. To the world. Right. Like you're earning two ads and trying to convert, but you're trying to cover everyone with the same message. It's true. Right. And so if you want to get the scale, you have to go down, which is counter-diving. No, I like that. Cool. It's easily done too. All right. Rock and roll. This was scale or fail. See you next time.