How to Price Your Offers to Hit $50k/mo Profit As Fast As Possible — Transcript

Full transcript

1. 0:00I want you to stop thinking about
2. 0:01pricing as this static thing that you
3. 0:04got to get 100% right or else the entire
4. 0:07business is going to break and you
5. 0:08really got to do a deep analysis on what
6. 0:11the best price is and you know,
7. 0:14sometimes
8. 0:15especially pricing, but sometimes there
9. 0:17are things in business where if you
10. 0:18measure too much, you might miss.
11. 0:22Don't overthink pricing. I I'll I'll
12. 0:26give you the short synopsis in that when
13. 0:28it comes to pricing,
14. 0:30the best mentality to have is to just
15. 0:32always be testing.
16. 0:34There isn't a price that
17. 0:37I'm in love with or that I would
18. 0:38recommend you to fall in love with. If I
19. 0:40were to recommend you a price,
20. 0:43it would just be on a whim.
21. 0:45But my supporting advice there would be
22. 0:47to just test within that range of
23. 0:49prices. Now, there are certain different
24. 0:51bands that
25. 0:53attract certain groups of people. For
26. 0:55example, if you price something between
27. 0:58$1,000 or $1,500, somewhere around there
28. 1:00and $3,000, you're going to tend to
29. 1:02attract the same kind of person. The
30. 1:04same like the the person who's going to
31. 1:06pay you two grand is the same person
32. 1:08who's going to be able to pay you three
33. 1:10or $1,000, give or take, right?
34. 1:14None of this is an absolute. None of
35. 1:16this is 100% of the time.
36. 1:18But the thing that's allowed me to
37. 1:20become a lot more confident with pricing
38. 1:22is just always be testing and typically
39. 1:24I'm always testing upwards.
40. 1:28If you are hesitant on what to price,
41. 1:30now I'll give you my numbers to make the
42. 1:3250K a month profit and above math work.
43. 1:35But
44. 1:37if you are struggling with pricing, I
45. 1:39would say start low
46. 1:41and then you increase it as people tend
47. 1:44to say yes. Now,
48. 1:48pricing depends on
49. 1:51where the prospect and the client is at
50. 1:54in their journey and in their
51. 1:55relationship with you. For example,
52. 1:58in the last couple of videos, I've been
53. 1:59focusing more on offers because I think
54. 2:01that's really the
55. 2:03one thing that trumps all things in
56. 2:04business.
57. 2:07When it comes to things like intro
58. 2:09offers or recurring offers, very rarely
59. 2:11are you going to get into the 20K plus
60. 2:15ranges.
61. 2:16Unless you're selling to someone super
62. 2:18specific and super niche and you have a
63. 2:20very, very unique solution. For example,
64. 2:22if you're selling
65. 2:23some sort of like machine to heart
66. 2:25surgeons,
67. 2:27then you know, you can justify a higher
68. 2:29price. But if you're selling something
69. 2:30that's a bit less unique or a bit less
70. 2:33hyper niche, then there are certain sort
71. 2:35of ranges that we can follow through on.
72. 2:38So, for example, if it's an intro offer,
73. 2:40an offer, the first offer you are making
74. 2:43uh for in exchange for payment to your
75. 2:46prospect or client,
76. 2:50especially if it's for cold traffic,
77. 2:53typically you are okay within the sub
78. 2:55$5,000 range.
79. 2:58Of course, the higher you go, the more
80. 2:59you're going to have to articulate
81. 3:00[clears throat]
82. 3:01why the value is there and you're going
83. 3:03to have to do a lot of things in the
84. 3:05name of building trust cuz it's not so
85. 3:07much about being able to prove the value
86. 3:09anymore. I think a lot of the offers
87. 3:10that I see folks making, especially on
88. 3:12the cold email side or on the lead
89. 3:14generation side, the math makes sense
90. 3:16and the prospects understand that.
91. 3:19Where the resistance tends to come from
92. 3:22is in a lack of trust.
93. 3:25And there are other routes to go about
94. 3:26doing that, but just know that like I I
95. 3:28want you to start seeing
96. 3:32and and I'll I'll dive deeper into this
97. 3:34analogy in a moment, but I want you to
98. 3:35start seeing
99. 3:37price
100. 3:39as a meter
101. 3:41and trust as its own meter and those two
102. 3:44meters kind of go hand-in-hand with each
103. 3:46other. And I'll get into that in a
104. 3:47moment. But intro offers typically sub
105. 3:495,000 and then we get to ascension
106. 3:51offers and premium offers and continuity
107. 3:54offers. But like
108. 3:55don't
109. 3:58I'm going to I'm going to be on here
110. 3:59always encouraging you to increase your
111. 4:01price because
112. 4:02as you increase your prices, good things
113. 4:04happen. That being said, sometimes the
114. 4:06prices
115. 4:08and the price increases are better
116. 4:09suited for another offer entirely.
117. 4:12I say that to say
118. 4:14don't price yourself out of a market
119. 4:16just cuz you might you know
120. 4:18really want to make the sale. And also,
121. 4:21don't ever discount your prices. So,
122. 4:23intro offers typically sub 5,000. Then
123. 4:26after that, you can do whatever you want
124. 4:28really.
125. 4:30I don't think there's ever a situation
126. 4:32which you you should be selling anything
127. 4:34for
128. 4:36less than a grand
129. 4:38one time. Or if it's recurring, less
130. 4:40than I don't know, less than a few
131. 4:41hundred dollars a month. I I hesitate to
132. 4:43speak in absolutes cuz people take this
133. 4:44and run with it forgetting the most
134. 4:46important piece of of this
135. 4:49whole context, which is to always be
136. 4:51testing.
137. 4:53Hormozi said that you typically want to
138. 4:56exist at the very low end or the very
139. 4:59high end, but never in the middle. And
140. 5:00it's usually more in your favor to price
141. 5:04yourself highly, and I can
142. 5:05wholeheartedly agree agree with that.
143. 5:07One of the things that has allowed me to
144. 5:10leap very quickly to these levels of
145. 5:12revenue and profit is higher prices. And
146. 5:15so, if you want to make 50K a month
147. 5:17profit, math work. And when we say
148. 5:18profit, that typically means you're
149. 5:20doing more than that in revenue.
150. 5:22That goes without saying. But if you
151. 5:23want to make those numbers work, you're
152. 5:25typically looking at something north of
153. 5:26$5,000. So, if you can do the math,
154. 5:29that's some 10 clients that you close
155. 5:31every month. Or not just 10 in absolute,
156. 5:34but maybe you have some other recurring
157. 5:36offers happening and other revenue
158. 5:37streams that allow you to cross that 50K
159. 5:40a month threshold.
160. 5:42Now, the analogy I wanted to make is
161. 5:46sometimes we're throwing out offers and
162. 5:48people aren't biting and we feel like we
163. 5:50did a great job on the pitch and we
164. 5:51can't understand why they didn't close
165. 5:53and
166. 5:54we handle every objection we can think
167. 5:56of. We actually leave them alone to go
168. 5:58do their further due diligence.
169. 6:01And we think have we have all the right
170. 6:02pieces in order
171. 6:04and we can't figure out what's
172. 6:06happening. Why are they not buying our
173. 6:07offer?
174. 6:09I promise you my friend that the the
175. 6:11price isn't telling the whole story. In
176. 6:13fact, it's one of the least important
177. 6:15parts of the equation. Price is one of
178. 6:16those things that you can literally just
179. 6:18make up. It's almost a figment of your
180. 6:19imagination. When I make my prices, I
181. 6:21don't look at the competition.
182. 6:23I don't look at what anyone else is
183. 6:25charging. I honestly just ask myself how
184. 6:26much I want to make.
185. 6:29I take a look at my expenses. Sometimes
186. 6:30I might say, "You know what? This offer
187. 6:32should pay my rent. This offer should
188. 6:34pay this. This offer should pay my
189. 6:37outings for the You know what I mean?"
190. 6:38Like you can get creative with it. I say
191. 6:39all that to say,
192. 6:41pricing isn't the thing we should be
193. 6:43attached to.
194. 6:46But if you want to know what really
195. 6:47makes offers convert, besides the
196. 6:50fundamentals being in place and when we
197. 6:52talk about fundamentals, I mean like the
198. 6:53risk reversals and all the hundred
199. 6:55million dollar offer stuff, what really
200. 6:57makes it convert is the trust.
201. 7:00And so,
202. 7:01if I were to help you make more money,
203. 7:03I'd do it the same way that
204. 7:05I do for myself and the clients that I
205. 7:07work with in that number one, we make
206. 7:10more offers and number two,
207. 7:13we focus on building more trust. So,
208. 7:16imagine all the work that you're doing
209. 7:17on the content side or on the sales
210. 7:19calls, in your VSLs, in your webinars,
211. 7:22that is in the name of increasing their
212. 7:24trust meter from wherever it is at a two
213. 7:26out of three out of ten when they first
214. 7:28discover you to maybe a six to where
215. 7:30they have they're then willing to get on
216. 7:32a call with you and then maybe like a
217. 7:33nine or a ten to where they buy from
218. 7:35you.
219. 7:36Give or take obviously a couple points.
220. 7:39When you make an offer, i.e. when you
221. 7:41are asking someone to buy something from
222. 7:43you,
223. 7:44that trust meter, it's almost like
224. 7:45you're you're cashing that out, right?
225. 7:47You cash it out and you can have the
226. 7:49price wherever you want. The higher the
227. 7:51price, the higher the trust has to be,
228. 7:53right? You make them the offer and they
229. 7:55buy from you and now you got to show
230. 7:57them proof and that's fine. It's not the
231. 7:58It's not that big of a deal and that's
232. 8:00your job as a service provider.
233. 8:03And then ideally you do a good job and
234. 8:05the trust meter actually increases.
235. 8:07One reason as to why
236. 8:09a lot of folks, and this might be
237. 8:10something you're going through, I know
238. 8:11it's what I went through many times
239. 8:13over, is we're making all these offers
240. 8:16and we're we're increasing our price,
241. 8:18we're actually lowering our price. We're
242. 8:19not understanding that this actually
243. 8:21exists, pricing and making offers and
244. 8:24sales
245. 8:25exists in a direct relationship with
246. 8:27that trust meter. And if you were to
247. 8:29just focus
248. 8:31completely
249. 8:32on the trust meter and gear all your
250. 8:34actions towards keeping that as high as
251. 8:36possible, then you can charge whatever
252. 8:39you want, my friend. This is when you
253. 8:41get into the into
254. 8:43the realm and you unlock the doors of
255. 8:45people charging $20,000 plus offers that
256. 8:48you thought were crazy expensive, but
257. 8:50there's a lot of people out here willing
258. 8:52to pay you that. A lot of
259. 8:54a lot of your prospects actually just
260. 8:57want the most premium option.
261. 8:59And I would argue that one of the
262. 9:00reasons or
263. 9:02why
264. 9:05or I would invite you to consider that
265. 9:06one of the reasons why maybe someone
266. 9:07hasn't paid you paid you $10,000 to
267. 9:10$20,000 a pop is just cuz you haven't
268. 9:12given them the opportunity to.
269. 9:14One of the things that broke my brain
270. 9:16was
271. 9:17when I realized that I was selling these
272. 9:19build-outs, these cold email
273. 9:21infrastructure build-outs, you know, for
274. 9:25$1,000 a pop and there's people out
275. 9:27there selling it for 30, 40 grand, like
276. 9:29done-for-you offers.
277. 9:31And
278. 9:32again, the only reason why someone
279. 9:33hasn't paid you that is cuz you just
280. 9:35haven't priced it that way. You just
281. 9:36haven't set the price.
282. 9:40Price is one of those things that's
283. 9:41pretty on par with self-esteem.
284. 9:44And that's a that's another
285. 9:46conversation, but I think if you
286. 9:49can remove
287. 9:51how much weight you place on the price
288. 9:53itself and more so on the trust you seek
289. 9:56to develop and how and all the actions
290. 9:58you take to go about doing that, and
291. 10:00then also
292. 10:03how you articulate the value,
293. 10:05I promise you the price won't matter. I
294. 10:06think all those other things, especially
295. 10:08just making more offers
296. 10:09and testing more prices will solve all
297. 10:11of your problems.
298. 10:13Now, I think
299. 10:15for the sake of your business, you
300. 10:17should have an offer that's sub $5,000.
301. 10:20Let's just call that your intro offer.
302. 10:22It could be whatever.
303. 10:24You should also have an offer that's
304. 10:26somewhere between
305. 10:28uh somewhere north of $5,000 or
306. 10:29somewhere between 5 and $20,000, and
307. 10:32then consider having a recurring offer
308. 10:35that's maybe in the
309. 10:36between 500 to a couple thousand dollars
310. 10:38a month as a floor for your price or for
311. 10:41your revenue.
312. 10:42And then have a premium offer, right?
313. 10:44And sometimes the premium offer takes
314. 10:46graduating, too. That being said, you
315. 10:48only get richer if you think about this
316. 10:50stuff, and
317. 10:53you get richer as a direct byproduct of
318. 10:56just slinging more offers out there.
319. 10:58More offers and see what works, see what
320. 11:00goes well, uh what doesn't go well, what
321. 11:03you like, what you don't like, and then
322. 11:05continue to parlay
323. 11:07whether it's the testimonials or the
324. 11:08work experience that you're getting,
325. 11:09continue to parlay that into new offers
326. 11:12and to and into reasons to be able to
327. 11:13justify your price.
328. 11:16I want you to take note of the fact that
329. 11:17like
330. 11:19I didn't come into this with any sort of
331. 11:21rule book. This sort of casual nature
332. 11:23that I have towards
333. 11:26uh business is the same
334. 11:28approach that I have towards pricing and
335. 11:30pretty much everything else in business.
336. 11:33A lot of times like you don't want to
337. 11:36have a standard
338. 11:38sort of rule for pricing. A lot of times
339. 11:40you can operate on a case-by-case basis.
340. 11:42You can do things a la carte and say,
341. 11:44you know what? We can include this and
342. 11:46this and this and this and this for you,
343. 11:47but it's and and just charge extra.
344. 11:51I think the moment we let business get
345. 11:52super cookie-cutter is is when
346. 11:55things start to, you know,
347. 11:57get noisy and chaotic and get confusing.
348. 12:00Now,
349. 12:01there are some instances where I'll I'll
350. 12:03draw a hard line on pricing. For
351. 12:05example,
352. 12:08so I'm doing a webinar and I'm selling
353. 12:09some sort of info product. Very rarely
354. 12:11am I going to go above $3,000. You know,
355. 12:14and if I did want to go above that,
356. 12:16then I'm really gearing it towards a
357. 12:18sales call.
358. 12:20As as we increase the price, there may
359. 12:21be there may have to be some changes
360. 12:23that we make in and around the funnel.
361. 12:24So, as you can see, the price doesn't
362. 12:25exist in isolation,
363. 12:27right?
364. 12:28As as I'm increasing the price here,
365. 12:32what we got to do is we got to
366. 12:33compensate for that by
367. 12:36keeping that trust meter high. So, we
368. 12:37might instead of just selling over a
369. 12:39presentation, we got to,
370. 12:41you know, sit with them on a call and
371. 12:42get to understand the situation and make
372. 12:44sure that we can really articulate the
373. 12:46offer and articulate how we can help
374. 12:47them and that maybe we've done this
375. 12:48before and done this with someone like
376. 12:50them, so on and so forth, right? So,
377. 12:52price does not exist in isolation. If
378. 12:55you're selling anything under $2,000,
379. 12:57you really don't got to think about it.
380. 12:59I'll put it that way.
381. 13:01Once you get north of like that two,
382. 13:03three thousand dollar range, then you
383. 13:04might have to give it some thought.
384. 13:06As for like the
385. 13:08should it end in 95 or 97 or just a flat
386. 13:11number or, you know, .5 thousand,
387. 13:13whatever it it that the stuff does not
388. 13:15matter.
389. 13:16So,
390. 13:17general principles or general
391. 13:19strategies,
392. 13:20the more you charge, the more you'll
393. 13:21tend to make. The more you charge, the
394. 13:23better things will get.
395. 13:24As you increase pricing,
396. 13:27you're going to have to ad- make some
397. 13:29adjustments so that we're continuing to
398. 13:31build trust. Typically, that means more
399. 13:33proximity or more education for the
400. 13:35prospect.
401. 13:37And allowing them to spend more time
402. 13:39with you.
403. 13:42And that's really the meat of the whole
404. 13:44thing.
405. 13:45And if you
406. 13:47follow those strategies and you
407. 13:53just keep the have like have the like
408. 13:55there there should be I was going to say
409. 13:57have the discipline to charge
410. 13:59um higher.
411. 14:02That being said,
412. 14:05if there are any sort of reservations as
413. 14:06to why you as to why you can't charge
414. 14:08$10,000 plus,
415. 14:10that's probably a good place to start
416. 14:12for whatever it is, $5,000, $10,000,
417. 14:16then that will take some internal work
418. 14:18and perhaps you should try and figure
419. 14:20out why that is or where that resistance
420. 14:22is coming from. And if the answer is,
421. 14:24"Well, I straight up have never sold
422. 14:26anything at that amount." That's fine.
423. 14:27There are other things that you've
424. 14:29never done before that you ended up
425. 14:30doing for the for the first time. Prices
426. 14:32Prices are one of those things that you
427. 14:34just have to say.
428. 14:36There's no difference in the way that
429. 14:37you pitch it in the in the way that you
430. 14:39pitch a $10,000 offer versus a $1,000
431. 14:41offer. There's no difference. There's no
432. 14:42special magic or script changes that
433. 14:45happen here. You just say a different
434. 14:47number.
435. 14:48And perhaps some people will say no.
436. 14:51You don't even know if it's more people
437. 14:53that are going to say no. Sometimes more
438. 14:55people say yes to the more expensive
439. 14:57option. You don't know if they're going
440. 14:58to say no or yes. Sometimes they say no.
441. 15:01All you need is one yes.
442. 15:03And then you know that this is possible.
443. 15:04And if you're already doing this, then
444. 15:05why, you know, the work here is
445. 15:07typically to make that offer convert
446. 15:09higher.
447. 15:10I.e. adjust the trust-building
448. 15:12mechanisms
449. 15:13or to raise a price and or create new
450. 15:16offers around that. That that that offer
451. 15:19can ascend to. Cool?
452. 15:21If you do those things and you you
453. 15:22accordingly,
454. 15:24then 50k a month profit becomes
455. 15:26relatively relatively
456. 15:29easy versus whatever else you might have
457. 15:31been doing prior and it also becomes
458. 15:33that much more within reach, right? If
459. 15:36you sell three $8,000 offers, you're
460. 15:38already halfway there.
461. 15:39You know, and that's a subset of life
462. 15:41and that's a function of having enough
463. 15:43traffic coming through, right? So as you
464. 15:45can see, there are other things that
465. 15:46connect to this, but just as pricing as
466. 15:48a whole, this isn't the thing that I
467. 15:50want you to be so concerned about cuz it
468. 15:52doesn't deserve that much weight.
469. 15:54It isn't the thing that you have to like
470. 15:57calculate. It's um
471. 15:59the only time you might have to give
472. 16:01this some more thought is if you're
473. 16:02running ads cuz then you got to you have
474. 16:03a lot more metrics to think of, right?
475. 16:07But
476. 16:09I would argue that
477. 16:10I would think the vast majority of folks
478. 16:12aren't running ads knee-deep.
479. 16:14And if you are running ads, then you're
480. 16:15going to need something high ticket
481. 16:16anyway to make it work. That being said,
482. 16:19high ticket is still king, but you
483. 16:21should also have perhaps some lower
484. 16:23recurring revenue offers as well.
485. 16:25So that's pricing, short and sweet. If
486. 16:27you have any questions, just leave a
487. 16:29comment below. Uh it's it's that simple.
488. 16:32You know, it is it is that simple.
489. 16:34Business
490. 16:35is not meant to be complicated. And one
491. 16:37of the things we're trying to do is is
492. 16:39bring back
493. 16:40the simplicity and the fun in business
494. 16:43and
495. 16:44just think about like underneath all
496. 16:47things,
497. 16:48design your business around the life
498. 16:50that you want. You know, I think about
499. 16:52that a lot. When I'm coming up with new
500. 16:53offers and pricing, I'm like, "Okay, at
501. 16:56at at its peak, when this goes really
502. 16:59well and like we're making I don't know,
503. 17:00a million couple million dollars a
504. 17:02month, who knows, how many clients am I
505. 17:04managing? What does that mean for the
506. 17:05rest of the business?
507. 17:07How often do I have to check in with
508. 17:09these folks? Like what is the what is
509. 17:10the labor on my part? Always plan for
510. 17:13the optimal best case scenario and then
511. 17:16adjust your pricing from there. Maybe
512. 17:18you only want to be working with
513. 17:20I don't know, five clients, so then you
514. 17:22charge 10,000 a pop. Maybe you're okay
515. 17:23with a few different clients, right? So,
516. 17:25think of the best case scenario, and
517. 17:27then you only there's only so much you
518. 17:29can see from like a standstill, so test
519. 17:31it with a few clients,
520. 17:34and see if it is really what you thought
521. 17:36it was. And then from there you'll know
522. 17:37if you got to raise your price or not,
523. 17:38cuz sometimes I'll make an offer and I'm
524. 17:40like, "Damn, I should have charged way
525. 17:42more for this." Or who I'm attracting is
526. 17:44not the kind of person I want to be
527. 17:46working with, and typically price is a
528. 17:47good filter for that.
529. 17:50Anyway, I'll leave it there. I hope this
530. 17:51helped. If you have any questions, just
531. 17:53leave a comment. Otherwise,
532. 17:55uh if I have anything for you, link will
533. 17:57be in the description. Otherwise, see
534. 17:58you in the next video. I'm out. Peace.