The Russell Brunson Show - Update on Launching Secrets of Success to $100M Per Year

Episode Date: March 15, 2024

We've launched! A few episodes past, I made my plan public to create a $100M per year business from scratch in the next 24 months. This is an update on how that business is doing, from our initial launch to our weekly and monthly activities (including why marketing math sucks). We've made some adjustments and followed a lot of pieces to plan (with a few adjustments). Get all the updates and follow along with me step-by-step to build your business with me by joining the 2CCX Coaching Program at https://www.twocommaclubx.com/ Hit me up on IG! @russellbrunson Text Me! 208-231-3797 Join my newsletter at marketingsecrets.com ClubHouseWithRussell.com Magnetic Marketing Secrets of Success Learn more about your ad choices. Visit megaphone.fm/adchoices

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Travel moves us. Welcome to the Marketing Seekers podcast. My name is Russell Brunson, and I'm what you call a serial entrepreneur, but with a twist. You see, 50% of my time, I'm the CEO of ClickFunnels, helping over 100,000 brands to grow their companies with funnels. And the other 50% of my time, I'm actually in the trenches using ClickFunnels to grow the startups I believe in. During this podcast, I'll take you behind the scenes and show you how we are bootstrapping ClickFunnels and my other businesses from startup to nine figures and beyond.

Welcome to the show. What's up, everybody? Welcome back to the Marketing Secrets Podcast. Today is an update podcast. We're going to update you on some cool stuff. So a lot of you guys know, over the last little while, I've launched a brand new company called Secrets of Success, which has been so much fun.

It's fun to get back into getting my hands dirty and doing all the things again, you know? And really, the goal of this company was to create something that everyone else could follow along with, right? Inside of the Two Comical Bucks coaching program, literally, it's been fun because basically, I doing something launch the Miffy and come back and my kid guys here's what we did here's how we launch Miffy go volunteers and so everyone's kind of following along on the journey it's been really

really fun so I want to give you guys an update though cuz a lot of years were fun like you live and you talked about like my goal like me calling my shots how to go from zero to a hundred million dollars in recurring revenue by falling linchpin and so we're on the path of it right now. And it's growing, it's doing well. And so I wanna give you guys an update on the things that are happening. So number one, first phase,

like after Funnel Hacking Live, when I kind of called the shot, we came back and a month later, we launched the membership site, which was really fun, right? Putting it all together and thinking about how do we create a membership site that's sticky, that's gonna be unique, that's gonna be different.

And I think overall, it's been great. Membership site's been fun. But I had one thing that we tweaked in January that I want to share with you because I think it was important. So when you join Secrets to Success, it's like why is someone joining, right? Because they want to learn these principles. They want to like hang out with me. They want to talk about success and personal development and things like that, which has been fun, right? And so what's cool is like you go in there in the members area and right now there's like a success path, which is each month I teach a principle.

A lot of these principles are coming from the new book I'm writing. But it's fun because I get a chance, you know, from stage here to go deep into these different principles. And we do it live with the group. And so everyone gets to interact and hang out with each other. And then it becomes a module in the members area. And so right now we're going month by month, each month doing a new module. And that's been really fun and getting people to stick, getting people engaged in this stuff. And it's been a fun place for me to also test the material

for the book that I'm writing, right? So it's been multi-purpose. It's been really good. The number two thing we have, we have a library, right? It's a digital library where we're scanning and getting audio books out of all the most amazing lost files of all time, right? Like these books, these works, these manuscripts.

And so each month people go in, they got credits, they can unlock, kind of like Audible,, they can unlock book. So they can unlock a book and sometimes there's a PDF or an ebook or an audio book or both or all three things. Sometimes it's the course from Natan Gil-Khonan. Like there's just, it's an ever-growing library of just amazingness, right? I'm spending a hundred grand a month on books and courses, and then we're putting in the best of the best and putting them in there. And so this library keeps growing, which is really cool as well. And then we added a book club where every single month we're picking a book. We got Whitney Dixon,

our team, who's like the book facilitator or not, what do we call it? She's doing the book club and running the virtual mastermind. So every single week there's a virtual mastermind where we're all reading a book together. We jump in and basically she shows some best practices and we do these breakout rooms where everyone breaks out and you have a chance to discuss with other people in the community. And it's just, oh, it's been so cool. And so it's been building a really strong, really solid community, membership site, a really cool base. So, oh yeah. And I'm going to talk about, I'm kind of jumping around because I'm talking about membership. I'm trying to talk in a timeline, but I'm going to jump out of the timeline for a minute

because in January, one of the big things I saw, like as people were canceling, it's like, there's so much cool stuff here. I don't know how to keep up. Right. Or like, I don't have a chance to read a book every single month. Like there's just, there's a lot. So I was like, okay, how do I, for people like that? And I'm, I'm probably one of those people. Like I listened to a lot of audio books all the time, but at the same time, like I'm busy. So it's like, sometimes it's like, just give me the meat, give me the, give me the cliffhanger. It's like, what's the most important thing? And so in January, we started doing this thing where, thing where basically I look at like,

because I'm spending at least 100 grand every single month just on, in fact, most of the profit of this company is getting reinvested back into books. So thank you guys for supporting my addiction. But it's been fun. So basically what happens is I buy all these old books and courses, the magazines,

all these things are coming in. And so now I'm doing a newsletter each month. Basically it's like, hey, here's all the stuff. So I'm telling the stories of the treasure. Like I found this over here and this over here. So it's kind of a fun, the newsletter's fun because I'm doing a newsletter each month. Basically, it's like, hey, here's all the stuff. I'm telling the stories of the treasure hunt. I found this over here and this over here. So it's kind of a fun. The newsletter's fun because I'm telling the treasure hunts behind the scenes. You can see what I'm acquiring and how I found them, what they are.

So you see what the gold gems are. But then on top of that, I'm saying, okay, I bought this magazine. This is a $30,000 magazine. I bought it because here's the story why. And I read the whole thing. And it's great, but there's this one article that so-and-so wrote that's like, Orson Sweetmore did this thing on achievement it was amazing so i actually pulled out and having a newsletter and i'm like here's these this book

set i bought and the book that's amazing but like here was the golden nugget like these three principles like here they are so like i'm curating all the stuff and i'm making the cliff notes versions okay i don't have time for everything else but like what's the best of the best like now that newsletter is in there so So I've published January and February. I'm writing marches actually today and tomorrow. So that'll be in there soon as well. But it's just, again, it's curating the best stuff, finding the gold nuggets and handing it to you on a silver platter.

And people have been loving that as well too. And so those are some of the pieces that have been happening. Okay. Let me step back to the timeline now. So after Funnel Ike Live, got the membership site done. We created the MIFGI offer, which was insane. And then we launched it to my list, to everyone's list, affiliates list, and it was amazing. I think we ended up getting, I can't remember the exact numbers, it was like 3,000 or 4,000 people,

I think, during the launch who bought the MIFKI, who came to the membership site, which is awesome. And one of the coolest things for the funnel hacking nerds out there, if you go through the funnel, the uptake rate for yearly was insane, like 20% of people bought yearly. But if you do the math on that, it was like almost a million dollars in sales just came from people upgrading yearly. Uh, which was, which was amazing. We hit $2 on comic club just from people buying the yearly upgrade. So the funnel is converting really well, especially to warm traffic. And so, um, it was amazing. And a lot of affiliates made a lot of money. In fact, um, I'm flying out tomorrow to do, uh, the affiliate event for the top 10 affiliates. We were actually to Chicago why are you flying Chicago Russell's like well Chicago

happens to be the home of mr. Earl Nightingale Michael Conant's from there Earl Nightingale is one of the one of my favorite authors speakers from this time period he had a daily radio show for like 10 years or 20 I don't know forever he had he was the very first person to have a spoken word record go gold platinum right which is called the strangest secret like whole bunch of He was the very first person to have a spoken word record go gold, platinum, right? Which is called The Strangest Secret. Like, whole bunch of cool things. So the top 10 affiliates are going to Chicago

and we're gonna have like an Earl Nightingale day. I'm gonna be teaching them about Earl Nightingale. We're bringing a record player. We're gonna play an original record of The Strangest Secret so we can, as a group, like hear it together and we'll have a cool mastermind. Vic Conant, who runs Nightingale Conant, is gonna come and he's gonna do some Q&A.

And it's gonna be a really fun thing. And so, but all the top 10 affiliates made a bunch of money, and we had this really cool experience with them now. So that's kinda the next step in the journey. Yeah, and then after that I was like, okay, now we gotta figure out customer support, make sure everything, all the systems part, right?

It's kinda like, after you do the launch, then it's like the cleanup, the dust, find things that are broken, like we found a little tech error, so it was probably a month and a half half two months of just trying to fix everything save lives the members have a good experience making sure there's no problems happening getting all of our you know everything in a row all our ducks in a row and then it's like cool now it's working now it came back like

okay now how do we start growing this I'm sorry growing this right so the first thing we started doing as we were kind of cleaning things up is we don't want to spend my ads yet we didn't want like we wanted to just to kind of like start this process so we started doing as we were kind of cleaning things up is we didn't want to spend money on ads yet. We didn't want to like – we wanted just to kind of like start this process. So we started doing these like little mini dramatic demonstrations. So what we do is like each month in the membership site, we would do a book club, right? So for example, month number one was Elsie Lincoln Benedict's book set, which is called How to Get Anything You Want, which is one of the greats of all time. If you do nothing but join Secrets to Success for that book set alone and listen to the audio book and read the PDF, that alone is worth the value of a year worth of the membership. I'm not kidding. Of all the gold I found, it might be my favorite thing I found in $18 million now.

I don't know the exact numbers. A lot of money buying books, that is probably one of my favorite gems of all of them. The first month, that became the book club. And so what we did is we did a little mini challenge for three days. Day number one, I interviewed Joe Vitale about that book set because he knew about it. And then Eileen Wilder and then Annie Grace. So we just did these little mini interviews with each person and then basically called action. It was like, the book club's starting Friday. Go get in there, right?

And so we did that to the list and we got a handful, maybe 500 or 600 or more members that came in from that campaign. The next book club was Robert Collier's book, Secret of the Ages, which is another book set that's insanely cool. And so this time though, instead of doing a three-day challenge, I was like, I want to do a mini-reversion.

So we did a one-hour webinar. People registered. I talked about the book. Eileen talked about the book. Andy talked about the book. They pushed people to join the book club that was starting. And we got a whole other big slew of members coming in.

So each month we're doing basically, we know what's going to be fulfilled in the membership site. So we pull that out. We do a little mini dramatic demonstration talking about it, sharing the. So each month we're doing basically, we know what's going to be fulfilled in the membership site. So we pull that out. We do a dramatic, a little mini dramatic demonstration, talking about it, sharing the best principles,

why we're excited and push people to join. So they can be part of the book club to go deeper in it. And those little campaigns have been great. They've been great for us. It's been great for affiliates. You're not like we added 2000 members overnight, but it's getting a consistent stream of just members each month coming in because we're taking one gold nugget from the membership site,

bringing it out, shining a spotlight on it, talking about why it's so cool. And it gives people a reason to want to get access to jump back in. So that's been really cool as kind of a monthly thing to do is we're just kind of building things up. This last month then we decided, okay, now things are working. Everything's in place. We have email signals, we have a newsletter. Everything's, you know, all the linchpin steps are working really well. Now let's start turning on paid ads to the MIFGIA funnel. And so we turn on paid ads to the MIFGIA funnel. And you know how tracking is, how it never really tells you the truth.

Like it's like it doesn't matter. You know, we have like you have Facebook stats. You have ClickFunnels stats. You got Hyrosis stats. You got, you know, like all the stats. None of the stats ever match. People are like, why doesn't ClickFunnels stats match to here? Like, none of the stats ever match anywhere, they're all different. And then you have, like, Stripe stats on the sales, and you got the

counting, like, stats is the most annoying thing. When somebody actually makes stats flawless, you think, like, you think that this is just math, right? Like, how many people clicked on this link? And anyway, I'm not going to go on a rant right now. Anyway, so we had basically like 20 places we tracked stats. We tried to like sync them all together to figure out the best case scenario. So we had everything. We were running it. And based on what we thought was the correct stats, we were like a 1.4 to 2 ROAS, the return

on ad spend. So every dollar we spent on ads making $1.50, $2 back, which was amazing, right? So we started growing and scaling, right? Dumping money and like, this isn't saying like everything's hitting and then on my accountant you know who's looking his version the stats was different than all the marketing version stats is like hey this month you know we lost $60,000 like no we didn't like we're a two or two X row as like we're making money he's like well not according the bank account which is the

new staff so we're looking at bank I like these are not working like something is happening right it took us like almost two days to like reconcile everything. And we found out the problem. And I love Hyros. It's probably the best of the tracking platforms right now by far. But for everyone who signed up for free trial, it was attributing $97 towards the free trial because in a month now you build $97.

And so we were looking at, we had collected $100 that we hadn't, which made all the stats work on this side and not work on the actual money on the bank side. And so we had like, turn off the ads, slow everything down, like, so everything's like screeching to a halt, like everything stopped, like, okay, what do we do?

Like, what's happening? And we realized that the funnel we had, as great as it was for warm traffic, JV traffic, stuff like that, the average order value, the average cart value wasn't high enough for paid ads to actually work. And so it's coming back to drawing boards, saying, okay, how do we tweak this funnel now so that when it's going out to warm and cold traffic, it'll continue to convert profitably.

So this is the game, by the way, you guys. If you heard me talk about funnel audibles and things like that, this is the game we play all day long. It's always figuring things out, like looking at numbers and like, okay, it's working now or it's not. And then it's like, what's the next? How do we fix this? I don't know. Let's throw something against the wall and see what sticks. So yesterday was fun.

We actually had the entire marketing team out here in Boise for – not marketing team, but sorry, the funnel building team was here in Boise for the last two days for a funnel hackathon, which was really cool. And we had everybody here. And so it was kind of fun to be like, this is about time we realized it wasn't working. It's like, hey, all right, we need something different. What should we do? And so we started talking about other things. And the biggest thing we came up with was like, we just need one more upsell. One more upsell would get us over the numbers. And it's like, well, what can we sell? We have nothing to sell yet. So we're like digging through all the content in the archives, like what do we have? And all of a sudden we realized there was a product we created we were going to sell, but we haven't sold yet. And it was the Charles Handel Master Key Systems Home Study Course, which is another gold gem that I found.

And it's something we're going to sell for probably $2,000 in the future. It was going to be something where someone would pay like $500, then it's $97 a month. Then you get this newsletter in a month every single month. It was something really fun we were going to put together. But we'd already printed 1,000. We got 1,000 of these in the warehouse. What if we instead of selling these for $97 a month, what if we compressed it, made it $297,

and just see if that gets cart value to the point where we can make it work? Because if we can get cart value to where it works, now we can blow this company up again, right? For those who don't understand cart value, basic cart value, I call it average cart value. Other people call it average order value. It's the same phrase, same term, doesn't matter. But it's basically when somebody buys your product and they go through the upsell, downsell sequence,

on average, how much money do you make for every person who buys the front end, right? So for a book funnel, let's say it's Expert Secrets. For everyone who buys Expert Secrets, we have upsells and downsells. On average, how much do I make for every Expert Secrets book I sold, right? So let's say we make $50 on average for every book we sell in the Expert Secrets book funnel. It means I can spend $50 on ads to break even, right? So that's what average order value is, right? It's like if I spend $50 and I make $50, it means I have a one-time row ads, which stands for return on ad spend. I spent $50.

I made $50. One-time row ads. So these are some of the metrics we talk about, the marketing nerds talk about, if that makes sense. So right now, again, we thought we were spending, for every dollar we spend on ads, we thought we were making $1.50. So you spend a dollar and make $1.50, what do you do? You spend as much money as you can, like it's Christmas time all day, right?

But it turned out it was like we spent a dollar on ads and we're making 40 cents. That's what was actually happening. And it was just like, yeah. So the goal then is how do we increase the average order value? So again, if it was X for secrets, instead of spending $30, we're making $30 from every book we sold. How do we get to $40, $50, or $60? Because if I can get to $60 per book and I'm still spending $50, now I can scale this offer like crazy. So that's always the goal.

That's all we're doing in this funnel game, right? Is how do we lower ad spend, increase average cart value or average order value and so to the point where I'm making more than I'm spending and then we can blow it up. That's the game. It's a fun game. It's like, it's just you're tinkering,

you're trying things. As soon as you get to work, then it's like, boom, scale it and that's how you go from zero to building a ClickFunnels empire, right? You get the return on ad spend where you're spending way less than, anyway, so that's the goal. So we're coming back. So we decide we're at upsell number three. We figure the price point we need to make it work is about $297. So we made

a $297 version of this. And it was fun because people are like, well, how do you make funnels, Russell? So this is what we do. So all the teams here in the office, I was like, quick, grab the physical copies of the product. So we grab the product. We put it on this thing right here. I click, turn the camera. I'm like, what's up? This is Russell Brunson. I got one last special offer for you. And I told the story about the thing. Like, this is really cool.

I told the story about this thing I found. I'm like, we made a physical version. Check it out. I show the things. In the future, we're going to sell this for $500 one time, the $97 a month. It's a two-year program. So it's about, what, $2,997 for this. But right now, we're trying to get case studies and beta, you know, people to prove this is

actually a good product, a good course. And so what we're going to do is we're going to give you a huge discount. We'll give you a 90% discount. So instead of paying the $2,997 people in the future, you can get the whole thing for $297. If you want to add this to your order, click the link down below now. Boom. So that was like one take, you know, best case scenario, you know, actually, I think

it took three or four takes. But I finally nailed it. I was like, okay, we got it. Go. And then send it to the video team. I go, edit this. Get it online. Get it uploaded to Vroomly, which is our video hosting platform.

Upload it to Vroomly as quick as you can. And then we're running back like, okay, now for the page, we need some pictures. And so we get a camera out. So I'm laying out the things. And I get my iPhone out, taking some pictures. And then one of the guys on our team has got a better camera. He's taking pictures. And we finally get a picture.

I'm like, okay, cool. Get the picture. So he's running over on Photoshop. He's editing it. While he's editing it, I open ClickFunnels we finally get a picture, okay cool, get the picture. So he's running over on Photoshop, he's editing it. While he's editing it, I open ClickFunnels, I create a new page, upsell number three. Okay, I need a headline. One last special offer.

About that time, I get the edited picture back. So I throw the picture on the thing, boom, there's the picture. And about that time, the video guy sends the video back. I get the video, boom. And then I put an order form, or so you get one click upsell. It makes $297 for digital, or if you want physical, it's $497, and that was it. We just threw the page together. And then I handed it over to one

of the funnel builders who were better than me to go and connect the upsell to down. So make sure the mobile version works. And within like an hour, we had upsell number three that was in the funnel. And they were like, okay, turn the hats back on. Let's see what happens. And so right now, ads are on, and I don't know what happened. One of two things will happen. Number one, it'll increase cart value to the point where it's higher than their ad spin and now we're back in business baby starts growing and scaling and driving traffic so amazing or number two it's not gonna work and it's like hey why didn't work and you guys have been with me for a while now like why didn't work well it's

either the hook the story or the offer well the street things so we'll go back look at the upsell the matrice the caves of the hook right hook was like uses rare book I found so cool the story? Right, the hook was like, here's this rare book I found, it's so cool. The story, the story behind the book was great. The offer is the offer, right? So it's the hook, the story, and the offer. And we'll tweak those. If it doesn't work then again,

we'll try to, like, probably test the hook first. We'll tweak the hook. We'll tweak the headline. Did it work? Tweak the headline. Did it work? And if that doesn't change, okay, let's tweak the story.

Let me make a new video. I'll come back and make a new video, put it back in there. It doesn't work? No, tweak the offer. It doesn't work? You know, try three or four variations. If it doesn't work,

it's like, okay, upsell number three is not the right upsell. Delete it. What else we got? Okay. We run around like, what if we did this? What if we did this? And we figure something out, plug it in there, turn ads back on and see if I can watch. Okay.

It's going to happen. Hey, funnel hackers, let's be real. How many of you have forgotten about subscriptions and you keep paying for these things month after month after month? That was my wife and I before Rocket Money came along. Literally a couple months ago, we downloaded this app and within minutes, we found out a whole bunch of subscriptions. In fact, we had multiple Hulu payments, multiple Disney payments from accounts that my wife had set up and I had set up and we weren't even using one of them.

It was crazy. Rocket Money is a personal finance app that helps you to find and cancel your unwanted subscriptions, monitors your spending and helps lower your bills so you can grow your savings. Rocket Money showed us where all of our subscriptions were in one place. In fact, it was crazy how many recurring payments we had that we had completely forgotten about. With just a couple of clicks, Rocket Money canceled the ones we didn't need. And the best part is they even monitor unusual spending activity and they alert us if our bills increase. So I'm always in the loop. Rocket Money has over 5 million users, including my wife and I, and has saved a total of over $500 million in canceled subscriptions, saving members up to $740 per year when using all

of the app's premium features. In fact, my wife and I, we literally saved over $1,000 a month when we started using Rocket App. Now, their dashboard is amazing, and you get a clear view of all your expenses across every account you have. You can even create a personalized budget with custom categories and track your monthly spending trends to stay on top of your goals. You want to save for that dream vacation or pay off some debt? Their new goals feature automatically saves money for you, so you don't even have to think about it. So cancel all your unwanted subscriptions and reach your financial goals faster with Rocket Money. Go to rocketmoney.com slash Russell today. That's rocketmoney.com slash R-U-S-S-E-L-L. That's rocketmoney.com slash Russell.

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this is the hook, the story, the offer. Tweak, tweak, tweak, tweak, tweak, tweak, tweak. And either it works or it doesn't. It doesn't work, we kill it, start over again. And that's kind of the process over and over and over and over again. And that's the game we play here. So anyway, that's what's happening.

So the update on us getting to a million dollars, or excuse me, $100 million a year business, we still have a long way to go, but this is how we're doing. This is the game. This is how it plays. We get one good offer, we can scale this thing infinitely. That's what we're trying to get to. The MIFCI offer is getting better and better and better. If we can scale this thing correctly, if we get the numbers to work, we probably can be adding pretty consistently, I would say, 150, 200 people a day to the continuity, which is huge. The next phase for us is then,

what's the next big dramatic demonstration? And so now we're working on the big dramatic demonstration for this business and this brand, which will be happening in April. It's called the Think and Grow Rich Challenge. So that's actually a project I'll be working on the plane tomorrow as we're heading out to kind of get all the people and the places in place.

And as you guys know, then that's gonna be the next big affiliate push. Affiliates promote dramatic demonstration, it gets people to MIFKI. Then we'll promote it. Ads will promote it. We'll do the whole thing. Hopefully we double or triple the size of continuity. If that happens, then we go back and we evergreen thing, grow its challenge, and then we turn ads on that. And then the game starts again. Tweaking, tweaking, tweaking,

increasing average order value, decreasing costs, until the point where we got a winner. When it wins, then we start scaling it and we just sit back and watch it until that number gets back to normal. This always happens in a campaign. We launch a book. What happens? We launch Traffic Secrets. Initially, we get $70 average order value. Every book, we get $70, right?

We're spending $20. And that's the best. But over time, what happens is the ad cost our score goes from $20 to sell book to $30 to $40. And then the cart value, as you go from hot traffic to warm traffic, drops from $70 to $60 to $50. And some in the middle, they meet in the middle, right? And as soon as they drop the other direction, that's when you have to make new ads to get the ads cheaper so that it gets cheaper,

and I gotta go and make new, or I gotta increase the average order value of the funnel, I gotta tweak the funnel or tweak the ads, but that's the game we're playing all day long. As soon as you get some of this positive ROI, you just run it as long as you can. Like right now for ClickFunnels business, your first funnel challenge

is our number one converting funnel. Like it's positive ROI, and so we're spending millions of dollars a month just dumping it into that for as long as we can. And eventually that offer will stop working and then we'll go back

and tweak it, change it, it doesn't work, and boom, create a new offer. But that's the game we play here as funnel hackers. I hope you enjoy the game. I love it. I hope this episode

was helpful for you guys from a lot of different past standpoints. We talked about so many cool things. Hopefully you got something of value. If you did, please let me know. Please drop a comment wherever you listen to this podcast.

That'd mean the world to me. Share this episode with other people and that'd be awesome. So with that said, thank you guys so much. Thank you for being part of the Marketing Secrets Podcast. I love serving you guys and I hope this episode was useful. Thanks so much and we'll see you guys on the next episode.