At 21, He's Already Making $600K a Month — Transcript

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1. 0:00Hi Alex, my name is Arthur. I'm 21 years
2. 0:03old and me and my wife are currently
3. 0:05running a VSL funnel
4. 0:07>> Yeah.
5. 0:07>> selling a subscription program on the
6. 0:09love relationship niche.
7. 0:11>> Okay.
8. 0:11>> And it's regenerating around like
9. 0:14600,000 per month in revenue.
10. 0:16>> Super cool.
11. 0:16>> with a 3:1 ratio.
12. 0:19>> Great.
13. 0:19>> And our goal is to make a million dollar
14. 0:21per month.
15. 0:22>> Sure.
16. 0:23>> However, we are only using Facebook ads
17. 0:26and the revenue tends to fluctuate a lot
18. 0:28on a daily basis.
19. 0:30>> Yeah.
20. 0:30>> And when we put a lot of money on the
21. 0:32CPAs goes up like a lot.
22. 0:35>> Yeah.
23. 0:35>> So my question is on three key points.
24. 0:38The first, how would you solve this to
25. 0:41make like the result as consistent as
26. 0:44possible? Second, how can we scale from
27. 0:47the
28. 0:48500k, 600k to 1 million per month?
29. 0:52>> Uh-huh.
30. 0:52>> And third, what is the difference
31. 0:54between the mindset between someone who
32. 0:56makes a million dollar per month versus
33. 0:59someone who makes a 500k?
34. 1:05>> So,
35. 1:08rather I'm going to put a pin in the
36. 1:10mindset thing for a second.
37. 1:12Um
38. 1:12So, big thing number one is that most
39. 1:14people underestimate, wildly
40. 1:15underestimate how much more creative and
41. 1:16how how much better the creative needs
42. 1:18to be to continue to scale. And so,
43. 1:20where's my Old Spice?
44. 1:23Right? The the level of So, that that ad
45. 1:25campaign, so you made the Old Spice ad,
46. 1:26which is like one of the legendary ads
47. 1:28of all time.
48. 1:30Um
49. 1:31that ad was so good that it converted
50. 1:33everyone.
51. 1:35And so, I just see it as very much you
52. 1:37have the levels of awareness. Uh Eugene
53. 1:39Schwartz talks about this in
54. 1:40breakthrough advertising in terms of
55. 1:41what types of hooks you're using. And
56. 1:42so, at the at the highest level you have
57. 1:44unaware people.
58. 1:45Then you have problem aware.
59. 1:47You have solution aware. You have
60. 1:48product aware. And then you have most
61. 1:50aware, which is typically your your your
62. 1:51your most recent customers, right? And
63. 1:53so, when we think about scaling ads, we
64. 1:57write hooks to those different
65. 1:59audiences. And so if you run an Where's
66. 2:02my uh so you guys do your uh
67. 2:04reactivation campaign to uh home
68. 2:06services. So you just go to most aware
69. 2:08people and you just make them an offer.
70. 2:11So they don't have to educate them on
71. 2:13what home services are. They don't need
72. 2:14to explain why it increases the value of
73. 2:16a house. They just make an offer,
74. 2:17period. And that's their advertising.
75. 2:19But the issue there is that that doesn't
76. 2:21work at all for anyone who doesn't
77. 2:23already know who this person is.
78. 2:24And so that's the kind of equal opposite
79. 2:26extremes where on this level there's
80. 2:28just a hilarious ad and when you're
81. 2:30doing at the top level it's based on
82. 2:32curiosity and entertainment.
83. 2:35A level below that when you're uh when
84. 2:37you're at pain based, if you've ever
85. 2:38seen the ads that are like
86. 2:40Do you have trouble sleeping at night?
87. 2:41Do you pee six times a day? You know,
88. 2:43whatever like like whatever the thing
89. 2:44is. Is that they that hook could lead
90. 2:47you to ashwagandha root? It could also
91. 2:50lead you to a sleep program. It could
92. 2:52also lead you to orthotics. Like it's so
93. 2:54broad but it starts with the pain. Now
94. 2:56solution aware is what you might not
95. 2:58have known about ashwagandha compared to
96. 3:00compared to these orthotics is that
97. 3:01ashwagandha blah blah blah. So now
98. 3:03you're comparing things, right? And so
99. 3:05you the hooks are based on the audience
100. 3:07that you're going after
101. 3:10and the quality of the creative itself.
102. 3:12So those would be the two variables
103. 3:13which typically most people need to make
104. 3:14significantly more creative
105. 3:17to expand your ads. Like many people
106. 3:19here who run ads have this artificial
107. 3:21limit that you guys have hit. Who here
108. 3:23has run ads and is like I'm good up to
109. 3:24here and then after that I can't. Right.
110. 3:27The difference between here and here is
111. 3:29just the quality of creative.
112. 3:33Number two, CRO, so conversion rate
113. 3:35optimization. And so you have a VSL
114. 3:37funnel. This is what I would test in
115. 3:40order, the first two things, is I would
116. 3:42test You probably already tested the
117. 3:43headline on the on the VSL funnel a
118. 3:44bunch. But have you tested the first
119. 3:46five minutes of the VSL?
120. 3:49It will give you one of the biggest
121. 3:50lifts in conversion rates. Basically
122. 3:52just slice out the first 5 minutes,
123. 3:54reintroduce it tighter, package it, put
124. 3:57some more proof up front, make sure they
125. 3:58know they're in the right place,
126. 4:00and run two, three, four, five variants.
127. 4:02You will be able to see 20%, 30% lifts
128. 4:05to uh cost to acquire, or decreases,
129. 4:08rather, um in CAC just from running the
130. 4:12actual VSL
131. 4:13uh slicing out the front end and then
132. 4:15testing the intro.
133. 4:16Um the last piece is that you're in a
134. 4:19bidding war.
135. 4:20And so, these things, these first two
136. 4:22things, will get you lower CAC. That's
137. 4:25what this is, right? Better creative,
138. 4:26CRO that lowers the cost to acquire
139. 4:28customers.
140. 4:29The other one, the back end, is
141. 4:31increasing how much you can spend,
142. 4:32right? And so, do you have a back end
143. 4:34for the VSL that you have?
144. 4:36You do.
145. 4:37>> I have two upsells. One is 97, and the
146. 4:41other one is 67.
147. 4:42>> Yeah, it's a phone team, though. You
148. 4:44you're doing low-ticket upsells. You
149. 4:45need a high-ticket upsell.
150. 4:47>> Okay.
151. 4:47>> Yeah, you need like a $5,000, $10,000
152. 4:49thing.
153. 4:52And so, the big difference between
154. 4:53people like
155. 4:54who can get, you know, and the and the
156. 4:56number of 600K versus a million doesn't
157. 4:58really matter. It's more about uh
158. 5:02just more,
159. 5:03>> [laughter]
160. 5:04>> fundamentally. So,
161. 5:06whenever you add phones, you always can
162. 5:07get a double or triple in terms of LTV.
163. 5:10And so, it's just like, when do you pull
164. 5:11that lever?
165. 5:12And so, you got to here on 600,000, you
166. 5:14might be able to get to 2 million a
167. 5:15month just from doing these three
168. 5:16things.
169. 5:17Does that make sense? If you're a
170. 5:18business owner and you were not growing
171. 5:20as fast as you'd like, I'd like to give
172. 5:22you a free gift. So, my team and I put
173. 5:24together the $100 million scaling
174. 5:26roadmap, which is basically 200 hours of
175. 5:28us looking over all the portfolio
176. 5:29companies we've had, and what stages of
177. 5:31growth they went through, and more
178. 5:33importantly, where they got stuck and
179. 5:34how they got past it. And so, we broke
180. 5:36it into these 10 stages, and we made
181. 5:38this little kind of quiz thing where if
182. 5:39you put in your business information,
183. 5:40it'll tell you where you're at, and the
184. 5:42most important part for you, what to do
185. 5:44for each of functions of the business
186. 5:45across product, marketing, sales,
187. 5:46customer success, recruiting, IT, human
188. 5:49resources, and finance. And so, no
189. 5:50matter what you're struggling with,
190. 5:52someone else has already struggled with
191. 5:54it and solved it. And so, I'd like to
192. 5:55give you this thing absolutely free. You
193. 5:57can go to acquisition.com/roadmap,
194. 5:59plug in your business information, and
195. 6:00if you want us to actually help you
196. 6:02deconstruct the business and you're
197. 6:04trying to scale, we'd love to help you
198. 6:05out. On the thank you page, you can just
199. 6:07book a call with my team, and we will
200. 6:09look at the business, see if we can
201. 6:11help, and if we can, we'll invite you
202. 6:12out to Vegas, and we'll do this in
203. 6:13person, live.