The Game with Alex Hormozi - "The Ostrich Jacket" Price Overcome (how to sell anyone on anything at any price related to fitness...) 🔥💰One of the most solid price objections I know of...and why everyone loves to buy. | Ep 69

Episode Date: August 8, 2018

"Just because you are insecure about your pricing and value does not mean you should take that from them." Today, Alex (@AlexHormozi) discusses the importance of selling expensive items and how it relates to people's desire to buy and own expensive things. He also provides a price objection technique using a relatable comparison to help potential customers understand the value of their purchase.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:(0:37) - People spend more on enjoyable things(1:35) - Brain chemistry affects expensive item enjoyment(2:56) - Price objection example: Mrs. Johnson's items(5:40) - Insecurities should not prevent valuable experiences(6:47) - Cost per-wear breakdown for better comparisonFollow Alex Hormozi’s Socials:LinkedIn | Instagram | Facebook | YouTube | Twitter | Acquisition

Hey, what's going on, everybody. Happy Tuesday. I'm getting on a little early today. And it's mostly because I was eating breakfast and I thought of this topic that I wanted to make for you. And I was like, ah, maybe I go shower and then make it. I said, ah, it's all fresh on my mind. So I ran in my closet to get this article of clothing, which I'll talk to you about a second. And basically explain what I believe to be one of the most solid and fundamentally sound price objections that I'm aware of. So I don't know if the lighting is cool, but if you can see this, I'm wearing an ostrich skin jacket. And I'm wearing this because this is actually my favorite article of clothing. It's also the most expensive thing that I own, including all of like, well, all of.

I have like two suits. But it's the most expensive thing that I own bar none. And it's also like my most prized possession. And I just think it's like really cool and I like it. And I thought about it for a really long time. So I went to the store. I tried it on. And then I was like, ah, it's too expensive.

I'm not going to buy this. You know what I mean? And then I went back. And the next day I came back again because I was actually in Vegas when I bought it. And I tried it on again. And I was like, I don't know. I'm going to get like, it's still so much. And then finally, Lay was like, if I hear you talk about this thing again, like, I'm

going to go buy it. And I was like, all right, fine. So I want to go out. And I don't know if you're like me, but the things that we spend the most money on are a lot of times the things that we care the most about. And are the things that we get, like, excited about even thinking about because you have this huge dopamine, this huge surge. Tadone and release that's associated with purchasing, like people become buying addicts because

people like to buy things. And the more expensive it is, the more they enjoy buying it. And that's brain chemistry, right? Like, you can't fight that. And so the topic today is around why you should sell expensive stuff. And this is hopefully something that you might want to tag some of your trainers in or some of your sales managers in about some things that they might believe about, oh, this is too expensive.

It's like, think about the last thing. So here's my question for you is think about the last thing that you. you bought that was extremely expensive. Or think of the thing that was the most expensive thing that you've bought in the last five years, right? And then think about your association with that thing. Maybe it's an article of clothing. Maybe it's rims you saved up for your car. Maybe it's a stereo system. Like we all have our own flavor of thing, but there's a thing that you did a lot of research on and they're like, I'm not really sure. I'm not really sure. And they're like, I'm going to do it. I'm going to do it. And then you do it. And you're like, and then you get it and you own box it and you look at it and you're like, oh my God, this thing. So for me,

this and then my home gym are like the two things and I'll go you guys will walk through later this week at the home gym I just got finished but those are the things that I have such positive associations with and also a lot of time and emotion and money that's invested in it and so you have to think about if a prospect were to walk in the door right and and you have this high ticket thing a lot of people like to spend that money like this is something that's a priority for them now here's the phrasing that I would use in light of this osher skin jacket uh example that I gave you and so if If Mrs. Johnson were to walk in the door and you present the price and she's like, I don't know, you know, $2,500 that's a lot of money.

And you're like, absolutely. It totally is. Let me ask you a question. What's the most expensive thing that you owe? Clothing wise or accessories. Purse works. That's fine. What's the most expensive thing that you own?

And then you can say like besides your wedding dress if you want. Right? Because wedding dress is all this is the most environment. But like, so she might say, I have a purse that I spent, you know, $1,200. Right? And that's the most expensive thing. Or I have a pair of red bottom heels, just guys that why those are like expensive heels. They're like a grant, right?

And so you're like, okay. So you have those heels. They're $1,000, right? They're like, yeah, okay. How many times you've worn them? And she might say, well, I wear them, I don't know, special occasions, probably like two or three times a year. And you're like, okay, cool, how long you own them? She's like, uh, three years, right?

And you're like, okay, so you've worn them 10 times. So you pay $100 every time you put those shoes on because that's actually how many times you've worn it. like your price per wear on that is $100, right? Right. Okay. So if you spend $2,500 on this, right, on this program, how many times are you going to walk outside in your body? 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, 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 ask you do is you can just leave a review. It'll take you 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. Right. So this year, let's just say this year. Right now, just give me one year.

Like I gave you three years for the shoes. But in this one year, 365, right? You're talking about $8, right? $100 aware versus eight. and this one, here's the beautiful thing, is that this thing that you're going to wear, your body will make all of the rest of your wardrobe look better. Now, how worth it is that?

And you get to live longer and you're a better example to your kids and your husband looks at you different. And like all those other things, but like, let's just be real. You have your red bottoms and you pay $100 every time you wear them. But these are less than a meal, and you get to look like a bombshell every day. Is that worth it? Of course it is, right? And so I wanted to just juxtapose those two things.

The first one is just that like people like to buy expensive stuff. And the more expensive is the more excited they get about it. And you should not rob someone of that experience because you have your own insecurities about your own self-worth. Right. Like you should not rob your prospect of the ability to spend money on something that they should and want to value, which is why they walked in the door. And so just because you're insecure about your pricing and about your value does not mean you should take that from them. Right. So give them that opportunity and then here's the best part.

Back it up with amazing service because you now have the money to do amazing fulfillment. And so it's this virtuous cycle and I'm not going to get into that. But that's the first piece and the second piece is just ask someone candidly, what was the last thing you spent a bunch of money on? How many times do you use that? Once a day? Cool. Even if it's once a day, right?

Think about this. Like you could break it down. Like I told you the heels thing, right? If you want to break it down even more, she wore those things and you can break it into hours. Right. So okay. So you've worn that three times. How long were those events?

Two hours, three hours? Okay, cool. So you wear about nine hours a year. All right? You've been it for three years. So we got 27 hours of wearing in these shoes. Cool. In one day, we will match how long you wear this body.

You'll wear it when you go to work. You'll wear it when you drop your kids off. You wear it when you go to the gym. You'll wear it when you come home at night. You'll wear it when you're eating dinner with your husband. You wear it when you go out. Right? You'll wear it all the time.

So you can break it down even more. So it's not $8 a day, right? because she paid $1,000 to 27 hours, right? So I don't know what that is per hour. I don't know. Someone do the math. Four bucks an hour? No, $40 an hour.

There it is, is. Ish, right? So you're paying $40 an hour to be in those heels, right? Whereas with this, shit, I can do 40 divided by 365, and that's what the number is going to be in terms of what she's paying per hour by having the body that she wants, right? And you don't have to cover it up with clothing that's expensive because you can wear a Gap t-shirt and you're going to look like a bombshell. Wouldn't that be nice? Awesome. So

anyways, that's a price objection that you can use if you see someone who's like who has trouble with priorities compare it to something that they understand like heels or a purse or a jacket or a dress. You know what I mean? Dresses are the easiest because they only wear those like three times here because they don't want to have the same picture that they see on Facebook twice with the same dress on, right? You can even make that joke in the sale. But anyways, guys, I hope you guys have an amazing Tuesday. Tag of sales manager in that, I think it's a great comparison that you should use. Where's the white shirt? I don't know. Somewhere. But I think it's a, it's a great comparison that you can use to overcome price and make it, make it real for someone. Anyways, have an amazing week.

Have an amazing Tuesday. And if you are a launch person, you should take that my birthday offer. So grab your time sought. Sign up for legacy. Become a gym lord. Make lots of money. Save lots of lives. Help lots of people. All right. Bye.