The Game with Alex Hormozi - "Im Poor Because Im a Good Person" Bullsh*t | Ep 166

Episode Date: November 22, 2019

"Once you know the rules, play the game. Business is a game." Today, Alex (@AlexHormozi) discusses the need for fitness entrepreneurs to focus on making offers that convert and to not be afraid of upselling. He emphasizes the importance of clarifying customer priorities and providing information so that customers can make informed decisions about the offers that best align with their goals.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:(0:48) - Make an offer that converts. Upselling isn't illegal.(3:35) - Inform clients of options to get what they want.(6:23) - Market offers that convert. Sell helpful products. Keep testing.(7:37) - Trainers' poor money mindset; give up morals to make money.(8:43) - Clarify priorities, present information, help make informed decisions.Follow Alex Hormozi’s Socials:LinkedIn | Instagram | Facebook | YouTube | Twitter | Acquisition

Thank you everyone. Hope you guys are having an awesome Sunday. I woke up this morning and I had I had one too many Somethings I don't know and so I wrote a little post in the group I had no video with it and it already has gotten a ton of comments and likes and so I wanted to Talk more about it which is fear monitoring from fear mongering And the issue that a lot of you guys see in the marketplace we were like stop running six-week challenges stop doing this people coming off these things are low quality customers blah blah blah blah blah blah right right of course you've heard this stuff so um you know six week challenges will kill your business blah blah blah okay you need to use your brain um what i mean by that is you need to make an offer that converts that is the point that is the entire game right and whether that's a six-week challenge

a 42 day, a 28 day, a 14 day, a seven day, a free workout. It doesn't matter, right? It does not matter. Because at the end of the day, none of those things will help someone achieve their real long-term goal of having a sustainable weight loss, healthy lifestyle, et cetera. It's not going to happen. So what everyone does is to try and scare you because everyone in the fitness space at least has horrible views around money. And so they think that in order to make money, you must be unethical. And so what they are doing is they are confirming your fears that are unfounded because you have poor views around money. So if you have poor views around money, right, these are your poor views.

I can't make money because I'm a good person, right? Which means you think I have to stay a good person, which means I cannot make money, right? That is your false belief, right? If you're listening to this, hopefully you've gotten over that. But if you haven't, then this is for you. All right. And so when you hear a guru tell you that doing X, Y, Z is unethical, right? You're like, yeah, it's unethical.

I'm not going to do that because I'm a good person, right? And so then, of course, they sell you some shit, but whatever. Let's not get into that. The point is there is nothing illegal about upselling someone. And only in the fitness industry is it even something to talk about, right? Like, like, it's like, it's mind-blowing. Like, you go to a restaurant, they're going to ask you if you want an appetizer. What's that?

A fucking upsell. They're going to ask you if you want dessert at the end of your meal. What's that? A fucking upsell. When you go to the movie theater, what do you think the popcorn and the soda is? An upsell. When you go to McDonald's, they ask you, do you want fries with that? What do you think that is?

A fucking upsell. When you go to get your nails done, if they ask you want the gels, the nice ones, what's that? A fucking upsell, right? You go to run a car. They said, do you want the minimum insurance package or maximum? Guess what? They're both fucking upsells. Right. And so for some reason, for some reason, in fitness, we think that if you can't, like for some reason you're not allowed to market, bring someone in the door and then upsell them into something that's probably better suited for them, right? The reality is the consumer that is out there has no idea the difference between a dance studio and a crossfit, right? They have no idea. They don't know the difference. They don't know the difference between keto and paleo. They don't know the difference between counting calories in a whole 30 and eating clean. They don't know what any difference. They don't know what any difference.

it means, right? And so they're coming in with very low levels of education. And so they're making their best guess, which is why the first thing they ask when they enter the door is, what's the price? Because they don't know a better question to ask because they're ill-informed. And so our job, as experts, or supposed experts, hopefully you're decent at something, right? Is that you can actually inform them of what other options they have so they can get what they really want, right? Sandra, you're here, you want to lose 40 pounds the 14 day free child is probably not going to do it for you what do you think yeah you're probably right okay why have you struggled in the past well i can't stick with things hmm do you think if you had someone helping you stick with things like that might be increased the likelihood

that you're actually going to be successful this time yeah i think that would help do you think maybe some nutrition coaching so that when you go out the girls in the weekend like you can actually like do this and make it sustainable that would help yeah i think that would help okay cool let's sign you up for that then instead of the 14 day thing because that's probably not going to help you up yeah i guess that makes sense because when I clicked, I thought that was going to help me out. But now that you have explained this to me, I now understand that this is what's going to help me out more. Because when I walked in the door, I didn't know that there was between keto and paleo, right? I didn't know the difference. I didn't know there's going to need circuit training and weightlifting,

right? I thought weight lifting would make bulky, whatever, right? And so, like, if you see this stuff that's out there and it's like, don't market this way, don't market that way. Like, at the end of the day, you need to market things that convert. You need to make offers to the marketplace that they are going to click on so that they come into the gym. All right? Like, I can't tell you to me. I have people who are like, I'm so glad I came to your gym and signed up for X because I never would have been exposed to all of this stuff. Right.

And so it's the classic story of the ham and the garlic. You give them the ham, give them what they want so that you can give them what they need. Right. You get them in the door so that you can actually have a conversation. with them and have a chance of changing their life, right? Like, you don't market, hey, you need to count your macros and do resistance training and have programming and learn all these skills. You don't market that.

Why? Because Jenny ain't going to fucking sign up. Hey, guys, love that you're listening to the podcast. If you 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. Like, duh. You know what I mean? And so what happens is as the fitness entrepreneur who has a poor view around money, you think all of this is unethical, right? All of this type of marketing. Anytime I market something and then someone comes in and then I, dear God,

upsell them, which is as American as apple pie, as American is capitalism. Fundamentally, how most business models work is through expansion revenue. All right. Revenue that is not the core offer. And so you have these viewpoints that are false, right? And you allow yourself to get taken advantage of because you've thought through it. So, so if you want to not get taken advantage of, market whatever the hell you want.

Market whatever it converts because you're a grown-ass person. It's your business. Do what if you want. Test stuff, right? Like, like, you're like, ah, like you're not the, you're not this, like you don't want to be a six-week challenge. them, then don't fucking be a six-week challenge him. Find another offer that gets people to click. Believe it or not, there's tons of them.

Right? There's tons of them. There's a million offers. Pick one. It doesn't matter. Right? Pick one. Get them to opt-in.

And then, dear God, maybe sell them something that can actually help them, rather than the actual promotion that they came in for, which we both know will probably not help them in the super long term. If someone does a 14-day trial and they have no other things that get added onto that, how's I going to help them? right there's no difference between doing a trial and upselling someone versus just upselling them on the first visit it saves you time it saves them time but for some reason it's like we have to wait to do that so that you feel okay about it ethically right and it's pure just nonsense it's pure just

it's pure people feeding on poor money mindset for trainers and fitness professionals right it's the i'm a good person and that's the reason i don't make money right and it becomes okay because you're like, it's okay because I never want to give up my morals, right? That's not giving up your morals. That's just being fucking stupid. Like, you're not upselling someone who's just dumb, right? That's all that is. And so apologies for the passionate, passion this morning.

I just, like, it just drives me nuts, right? It's called a straw man argument. All right. It's when I say, like, if you market this type of thing, your gym is going to become a churn factory. Guess what? There are tons of gyms who are churn factories, and there are tons of gyms who are not churn factories, and what they market is independent of what they do in their doors.

Crazy. There are gyms who work with us who've made millions. There are gyms who work with us who make jack shit. Same product. There are people at your gym who signed up and didn't lose weight. There are people who signed up at your gym and have transformed their lives forever. Same gym. Hmm.

Right. So, for you, get over all of your, like, I can't sell people things. Like, all you're doing is presenting them information so they can make an informed decision that is best aligned with their goals, given their priorities. And your job is to clarify their priorities for you because people suck at making decisions. And so what they do is they indicate interest, indicate intention. They would like to lose weight.

They would be interested in that. And that is why they opt in. And then it is your job as the fitness professional to help clarify what their goals are, right? If you go to a therapist, the first thing they're asking is like, what are you trying to get out of this? Right? They're trying to clarify your goal. It's helping someone. You clarify what you're trying to get out of it.

You clarify the different variables that they have to work with and that you can offer support with. And then you figure out which package of those things is going to help them get to their goal with the highest likelihood of success. And then you work backwards from their budget so that you can match the highest likely to success with their maximum budget, which also increases the likelihood of the person achieving it and increases the longevity of your business making it. to the time that they actually can't hit the goal and lose weight. Your business goes under by the time they're supposed to hit the goal, then they don't hit the goal, right? You need to be profitable too. So anyhow, I hope that this maybe gets, I don't know,

maybe tag a trainer. Maybe you have a trainer who has really bad views around money and it's like, you're only about the money now. It's like, well, how do you think you get paid? Like, it's not money from selling. Like, that's not the money that you get paid, right? So if you have people in your business, you have issues around making money and feel like, like money is purely an exchange of value. And if you make less of it, it's because you're not providing it.

And the reason that you are not providing is because a lot of times you're afraid of asking to help someone, right? I can make a whole video on how you always have to ask. So if people are in the door and you do not ask them how you can help them, believe it or not, they won't give you any money because you didn't make it, you didn't make them. aware of all the things that you have. And so simply offering people, like, which is why I think everyone should have personal training on their price tag, right? Like, I don't offer personal training. It's America. Everything has a price. Would you do personal training for 101 for $10,000 a month? Yes. Cool. Then put it on your menu, because there will be someone who might take it. And then you're both better off because they get their personal training and you get $10,000 a month

and you're pumped. Right. And so like, just people have these morals around like selling stuff that's just like, It's insane. And these morals around marketing offers that just like comes from just out of nowhere, right? Like there are laws. Obey them. Like once you know the rules of the game, then play the fucking game. You know what I mean? Like business is a game.

The best people in business, when you hear them talk about it, they talk about the game because that's what it is. So anyways, I hope that gets anyone lit up on a Sunday morning. Money and morality. FitPro's greatest nightmare. whatever heck you want upsell them because it's as American as apple pie as American is capitalism and ultimately helps your customer achieve what they actually want which is a long-term outcome and so just give them the option and then let them take it for themselves all right have an amazing day guys hope you keep

crushing your goals and just keep paying awesome all right let's love