The Game with Alex Hormozi - No Half Measures | Ep 596

Episode Date: October 5, 2023

"If you're making a change, go all in. Don't let it be incremental. Don't dip your toe in…” Today, Alex (@AlexHormozi) emphasizes the importance of going all in and making big changes instead of incremental ones, even if it requires sacrificing comfort for more. He shares his own experience of making a major pivot in his business and encourages listeners to confront hard decisions with no half-measures.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:(1:25) - Old must die for the new to live; commit fully.(4:00) - Act boldly now to dominate future markets; no half measures.(6:50) - Procrastination leads to bigger problems; take action now.(8:30) - Embrace change for growth; no other option.Follow Alex Hormozi’s Socials:LinkedIn | Instagram | Facebook | YouTube | Twitter | Acquisition(This episode is a re-run. Original airdate was June 20, 2019)

Do not go half in. There are no half measures. You can't half impregnate someone. You can't half marry someone, right? You can't dip your toe in the water. It does not work that way. The wealthiest people in the world see business as a game. This podcast, The Game, is my attempt at documenting the lessons I've learned on my way

to building acquisition.com into a billion dollar portfolio. My hope is that you use the lessons to grow your business and maybe someday soon, partner with us to get to $100 million and beyond. I hope you share and enjoy. One of the lessons that I've learned, and I feel like I repeatedly learned and I learned in different situations is the power of going all in and cutting your ties, earning your boats. And so right now, obviously, we've talked about hybrid and the new model that's coming out.

And I want everyone to know, and I'm saying this half to my audience as well as half the people who don't know who we are, that it's scary when you make changes, right? And the time to make changes is not when your back is against the wall, right? But when the stock market is going well is the time that no one wants to sell, right? That's when no one wants to sell. And then it crashes. And then that's when everyone wants to get out and they lose everything. Right.

And so like the cost of having foresight, of having vision of seeing what's going to come is the courage to break something that isn't broken and sacrifice good for great. Right. That's the sacrifice. It's sacrificing good for great. It's sacrificing comfort. for more, right? And it's almost like a spiritual experience. Like you have to, the old must die for the need to live. Like you can't do this half asked. If you want to commit to something, you have to go all

in. And so like for us at gym launch, like I told our entire team, I was like, we are going all in on this. And that's the job of the CEO. That is your job is to look at your team even when they think you're crazy and say like, this is where I believe we are going. This is where I believe the market is going. And for these reasons that support this decision, this is what makes sense and this is where we're going to go. And there are short periods of discomfort that follow those types of decisions that ultimately grow you and will grow your business. And when you endure through those, you will break through the other side. Now, the amount of people who laughed at people in 2007, right, right before the crash, who were like, I think things are going to happen. I'm selling everything.

They're like, you're going to miss out. This thing's a bull market. We're going like this, right? Those guys seemed like fools except a year and a half later when everyone had lost everything. Right. And so I'm telling you right now that the market for gyms is about to contract. The market for large group training specifically is about to contract. It's already happened. You look at in the stock market, there's a whatever. I won't even get into that stuff.

But like there's there are leading indicators, right? There are more gyms that are closing than are opening right now. Hmm. Why? Right? Because in a competitive marketplace, once there are too many players in a marketplace, it begins to contract. Price pressures increase and drive down pricing and commoditization increases, which means it's harder and harder to compete offering an equivalent service, right? And when profits go down or pricing gets driven down, profits almost disappear,

and that is why people start going under. Okay. So how do you combat against that? It's not incremental changes. It's not, it's not, it's not, it's not one point one point two, one point three. It's not incremental changes. It's massive changes. It's one to zero or zero to one new things, new models that are going to have to emerge from this. Right. And so I'm saying this because like we at gym launch as of 628 are not going to be selling gym lunch anymore. Right. We are not even doing legacy anymore. Everything is all in on hybrid. Right. Because I believe through and through that this is where everyone needs to go. And I also believe that in 24 months, people will look back and I'm going to have these videos saying that this is what's what the new

models would be. Right. And this like the people who get in now are the ones who are going to be able to ride the ride that no one else is going to be able to do because they were afraid. And then everyone else is going to try and commit a copy after we have yanked all of the profit. We've dominated all of the market share with this. Right. And so I beseech you, right. I'm begging you for your own good. Do not go half it. There are no half measures. You can't half-impregnate someone. You can't half-marry someone, right? You can't dip your toe in the water.

It does not work that way. It requires burning your boats and making the full decision all in on what you believe is right. And what is right, a lot of times, is not what's popular. And it's not what's easy. It's easy to do nothing. It's easy to stay the same. It's easy to stay comfortable, right?

But the thing is, so many people stay comfortable, stay where it's easy. stay in the road that is trotting, right, that has been walked on. And those are the people who find themselves in the same boat as everyone else. Right. And so it's like, I want to achieve what no one else has achieved. Then you have to do the things that no one else is done, right? Or no one else is willing to do. And more times than not, it's fear. It's pure fear. And so what I will beseech you to do is that you have to walk through the logical outcomes of what happens. What happens next, right? What are my fears? Right. And you, you,

you have to paint out your worst case scenario. Real quick, guys, you guys already know that I don't run any ads on this and I don't sell anything. And so the only ask that I can ever have of you guys is that you help me spread the words so we can out more entrepreneurs, make more money, feed their families, make better products and have better experiences for their employees and customers. And the only way we do that is if you can rate and review and share this podcast. So the single thing that I has to do is you can just leave a review.

It'll take 10 seconds or one type of the thumb. It would mean the absolute world to me. And more importantly, it may change the world with someone else. And Layla and I go through this exercise all time whenever we make a big pivot, right? Mind you, we just made this change, right? And we're in the middle of it and on 628, it will be 100% done. But like, I am taking a 25% hit on my cash flow. Significant, right?

Businesses don't run on 100% margins, right? So right now, if you think about your business, if you took 25% of your gross revenue and kept your cost the same, what happened? You probably would make less. You might even lose money. Why would I make such a drastic decision? Because I'm all in, right? Because I believe that the truth will always win and that the best model will always win, period.

Just given time, right? And so there's my word for everybody today is like no half measures. If you're making a change, go all in. Don't let it be incremental. Don't dip your toe in. Don't say I'm not really sure because when that happens, you will not succeed and you guarantee it. And then you start to tell yourself the story of like, well, you know, maybe it just wasn't for us or something like that. You tell yourself that story, but it's because you did not go all in. You went chaff it. And that is why

you did not succeed. So you have to be willing to burn your boats. You have to be willing to make sacrifice. You have to be willing to have hard conversations with your staff, with your clients, with yourself, with your spouse, because that is what's required, not what's desire, but what is required to get to where you want to go. All right. Sorry, we'll feel it today. So anyways, I hope you guys are having a great start to your week. Maybe look at some of the things that you've been putting off that you know are the right decisions. And, and not doing them because I can tell you like they only they don't go away they don't go away they come back and they bite you the ass with interest right the more time you let

something to do let something not change that you should have changed stay that way the bigger the bite gets and that happens in stock markets that happens in real estate happens in business right and so right now I'm telling you this is where it's going like the market will change right now lifetime fitness is goals 24-hour all of them have group training classes with highly skilled trainers because they're pooling from the same talent pool as we are. But my community is so great, everyone's is. Whenever you have humans in a room, you have a good community, right? As long as you're not dead. Right. And the thing is, is you're not even there. Your trainers are there. Right. So you're not even involved in.

Right. And that means that you have the exact same environment that they do, except they're offering parking, amenities, pools, everything, right? Better equipment. And they're doing it at half to a quarter of the that we are because they have the square footage and they can do that right they have 10 million dollar facilities so how do you compete with that you do not you play a different game and that is why I'm so so passionate about this because I'm telling you this is what's going to happen so anyways guys I hope I hope maybe one person hears this and decides to not not dip their toe in not think I'm not sure you know what I mean sounds like a big change it is it's huge it's a massive change it's enormous it's entirely new way a new core offer a new way of doing business

this, right? It's a new way to do business for me. I don't need to do this. You know what I mean? Like, I don't need to do this. But if I stay awake at night and I think to myself, what do we stand for? What I don't want my life to be about? Then you're left with no other option. And then you take yourself down the logic path. You're like, well, then I guess the only thing I have to do is we have to change, right? We got to grow or die. We say that's our poor tenant. Then we got to walk in, right? And growing or dying is painful. Right. Dying's painful too. And so is growth.

Both are painful. It's just which kind of pain do you want. Right. So anyways, have an amazing day, guys. I hope, I don't know, this inspires somebody who's delaying a decision that you need to make. Maybe you need to let a trainer go. Confront it. No half measures.

Don't try and lean it off. Confront. Right. Maybe you'll climb. Sucks. Confront. No half measures. You have to make a change.

You got to cut classes. Right. Do it. Make the change. All right. No one's going to wait for you.