YT YouTube2Text

YouTube2Text → Transcripts → YouTube transcript (uWdIgftpvBI)

YouTube transcript (uWdIgftpvBI) — Transcript

4,206 words · 580 segments · language en · Watch on YouTube

Open in transcriber Summarize with AI Download SRT/VTT

Full transcript

0:00In 2016, I had $1,000 to my name,
0:02sleeping on a gym floor. Nine years
0:04later, I broke the Guinness World Record
0:06for the fastest selling non-fiction book
0:08and generate over $16 million in sales
0:10in a weekend. In this video, I'm going
0:11to show you how I'd build a business if
0:13I started all over. So, first, either
0:15sell extremely expensive stuff to a
0:18select few or sell something super cheap
0:22to everyone. The middle is where people
0:25die. So fundamentally all businesses
0:26have the cost of getting customers and
0:28what you make from those customers as
0:30the core economic arbitrage that makes a
0:32business a business. You have a more
0:34efficient way of taking resources and
0:36allocating them to get superior
0:38throughput on the other side. That's
0:40literally what a business is. Why did I
0:42start with sell really expensive stuff
0:43or sell really cheap stuff? Let's dive
0:45in. So having worked with thousands of
0:46businesses now, I can tell you that it
0:48is significantly easier when you're
0:50starting to sell extremely expensive to
0:51a select few. And the reason for that is
0:54that you have to make enough money to be
0:56able to serve the masses. So if you look
0:58at Tesla as a great case study for this,
1:00Tesla started with a $250,000 Roadster,
1:03clearly selling to a select few, and it
1:06was like a beta test car. So like it
1:07definitely wasn't like completely street
1:09ready, all this stuff. But from the the
1:11few that they were able to make, they
1:13were able to get enough money or enough
1:14proof of concept to then eventually get
1:17to making the S, right? And then after
1:20making the S for a few years, then they
1:21were able to work their way down and
1:23make the Model 3. And so the idea is
1:25that you start high and then you can
1:27work your way down. And so despite what
1:28most people believe, one of the simplest
1:30ways to create an expensive offer is to
1:32sell your time one-on-one, even if it's
1:34unscalable. Now, I'll give you a
1:35personal story and then then I'm going
1:36to sell you on why I think this is
1:37actually useful. When I started my
1:39personal training business, which is a
1:40gym on Huntington Beach, I had a client
1:43who wanted personal training. Now, my
1:44gym wasn't a personal training gym. It
1:46was a large group training and
1:46semi-private training gym. I did all
1:48group. there wasn't any oneonone, but
1:49this one guy got referred to me because
1:51he had some like specific mobility
1:52things and like whatever he liked me and
1:54so he he ended up doing personal
1:56training with me. Now this guy would do
1:585 days a week of 90minute training
2:00sessions which is huge for a personal
2:01trainer, right? So I'm making I think I
2:03was I think I was charging 125 an hour
2:05or something. So I was getting almost
2:06like 180 a day for that whole period. So
2:08I just remember that I got something in
2:09the like $45,000 a month in cash. He
2:11paid me in cash. It was amazing. Um that
2:13I would get per month from this one
2:15client. And the thing is is that me
2:17having that one-on-one time gave me the
2:19cash flow that I needed nothing from the
2:21business so I could just keep
2:22reinvesting the business's money to
2:24growing it faster. And so a lot of
2:26people have this fear around like, oh,
2:28it's not scalable. It's like it doesn't
2:29have to be scalable. Like when I speak
2:31to business owners, they have a lot of
2:32limiting beliefs around charging a lot
2:34of money or selling their time. And so I
2:36want to drive this point home and give
2:38you a lot of reasons to show why it is
2:40superior, especially when you're
2:42starting out to sell your time
2:44one-on-one even if it is unscalable. So
2:47let me kind of sell you on this. So
2:49number one is that you will learn more
2:51from fewer highv value clients. All
2:54right? And if you're around those higher
2:56value clients, you will work with better
2:58people and it will shift your belief set
2:59about who really is in the market.
3:01Right? Like if you've ever struggled to
3:02sell a $50 membership as someone who
3:04has, it's insane when all of a sudden
3:06someone's like, "Here's 15 grand."
3:07You're like, "What just happened? 15
3:12grand? That's $3,50 sales that I'd have
3:15to make in order to get 15 grand."
3:17That's how absurd that is. But when that
3:19happens again and again, it shifts how
3:21you see money and what services you
3:23think about creating. The next one that
3:25people get hung up on is like, "Well, I
3:27don't want to sell my time because uh
3:28selling your time is what poor people
3:30do." Let me learn you some stuff. All
3:32right, which is every single person on
3:34planet Earth earns money per hour. They
3:37just don't necessarily denote it per
3:39hour, but all you have to do is take
3:40what you made last year, divided by
3:422,000, and guess what? Voila, you have
3:45your hourly rate, which means you worked
3:4740 hours a week, assuming you work 40.
3:49And so even if you work project-wise,
3:51you spent a certain amount of time on
3:53that project and you were remunerated.
3:55Little fancy word, you got paid based on
3:58that work. And so even something like an
4:00investment where people like, well, you
4:02know, investors don't trade their time
4:03for money. Of course they do because you
4:06think, oh, Warren Buffett bought this
4:08company. He just wrote a check and then
4:10that was it. He was done. But what we're
4:12not taking into consideration is the
4:14amount of analysis that he does on macro
4:15markets, the amount of research that
4:17he's doing on a regular basis, the
4:19thousand other deals that he did all the
4:20due diligence on then to say no to only
4:23decide to do this one deal. So when you
4:25take all of that work in aggregate, for
4:27sure he's working. Now, after he makes
4:28the investment, assuming he has no
4:30effort inside of it, which isn't always
4:32true, um, but assuming he had none, then
4:34at that point he would get increasingly
4:36larger returns, but still on a fixed
4:38amount of time that he put in. So, the
4:40proof point is you live in time and you
4:43earn money in time, which means everyone
4:45has an hourly rate. And so, the idea
4:47here is that as long as the thing that
4:49you sell your hourly rate for is more
4:51than you currently own, you will make
4:53more. Next point, when you were doing
4:55one-on-one, especially in the beginning,
4:57you have significantly more flexibility
4:58in delivery. That means because it's
5:00oneonone, you can change things on the
5:02fly. And also, when you have fewer
5:04clients, you can make these kind of
5:05quick iterations. So, this kind of
5:06relates back to the first point of like
5:08you learn a lot faster when you can just
5:09have these tiny little pivots. You don't
5:11have to change these systems. You don't
5:12have to retrain staff. You don't have to
5:13look, you don't have to recode, you
5:15don't have to have the scalable solution
5:16fixed perfectly. It's a great way to
5:17beta test ideas. The next one is that
5:20because you can still cap the time that
5:22you choose to spend with clients, you
5:24can still make sure that you're
5:25allocating as much time as you need to
5:27to do everything else. And one of the
5:28big lessons that I've learned in terms
5:30of making more money is that when you
5:31have demand, cut supply. And so when you
5:33cut supply, what does that do? Why is
5:35why is the acquisition.com logo two
5:37concepts? Leverage, which is a
5:38fullcrumb, and then a supply demand
5:40curve. Because those are, in my opinion,
5:42the two most powerful concepts in
5:44business. And so when you have supply
5:45and demand at work, which we do, the
5:47reason 101 is so powerful is because the
5:49supply is so is so contracted, so fixed,
5:52it's so small. And so it forces, as long
5:54as you don't have limiting beliefs,
5:55which is why I'm trying to make this for
5:56you, it forces you to raise your price.
5:59And so the next one, and this is
6:00controversial, you make the money.
6:02Nobody else does. If you trade your time
6:05for the money, you have a 100% margin.
6:07It's fantastic. Now, some people are
6:08like, well, hey, well, my hourly rate,
6:10it's not, though. You're awake. Your
6:12hourly rate is the food that kept you
6:14alive. That is your hourly rate. Beyond
6:16that, the rest of it goes in your
6:18pocket. And so what I think what people
6:20lack uh consideration of is like every
6:23business can have five one-on-one
6:25clients. Now, when you're like, how
6:27would I do this in a in a lawn care
6:29business? Well, it's just who's going to
6:31be your account rep? You can say some
6:33people get your cell phone and some
6:34people get the account rep's phone.
6:35Who's going to lead the you know, like
6:36who's going to actually design the whole
6:38garden? Is it just one of my guys or is
6:39it going to be me? There's always an
6:40opportunity to make yourself the super
6:43premium version of whatever it is that
6:45you have. Now, here's a fun one. This is
6:46I want to I want to break this loop
6:47because I know the next one that comes
6:48up, which is it's still just not worth
6:50my time, bro. It is worth your time if I
6:53give you a trillion dollars. And so, the
6:55idea here is not is it worth my time,
6:57it's you have to fix the price so that
6:59it is worth your time. Not you would
7:01begrudgingly do it or think to yourself,
7:02well, no one would ever buy that or no
7:04one would ever spend that money or I
7:05think someone would be crazy. Fine, let
7:07them be crazy. Let people live a little
7:08bit. Let them be wild. Let them be a
7:10little spicy. If they want to pay you
7:11more money, you should give them the
7:13opportunity to do so. That's the point
7:15here. Now, what else happens when you
7:18have a super high ticket unscalable
7:21premium one-on-one experience? You lift
7:24your entire brand because if you charge
7:27$10,000 an hour, something absurd, it
7:29doesn't matter. And the thing that you
7:30have is $100, you can then have a very
7:33natural narrative of, listen, a lot of
7:35people can't afford to work with me
7:36one-on-one, and that's totally cool.
7:37I've taken the lessons I have here and I
7:39put them in a scalable format for
7:40everyone. It literally increases the
7:42perceived value. Not just from the
7:44anchor effect, but from the narrative,
7:46the association, the branding that
7:47occurs as a result. Because even if you
7:50charge that and no one ever buys it,
7:52they still assume because that is the
7:54narrative and that's what you put in
7:55front of them. That that big price tag,
7:58the value associated with it still gets
8:00transferred to a degree to the lesser
8:03thing that you have that might be
8:04scalable. Every business can do this.
8:06Like, this is the action step before we
8:08get into like tactics on like how we can
8:09make something be perceived as more
8:11valuable. The action step is this. Just
8:13have the price listed wherever you sell.
8:16And if you don't list it anywhere, say
8:18the price when you offer. And here's the
8:20thing that people mess up about this.
8:22You must confront the high price. You
8:25have to confront it. If you just say
8:26like, "Oh, yeah. Working one means like
8:28$10,000." But anyway, what most people
8:30want to do is no. In order for an anchor
8:32to work, you have to allow the prospect
8:35to make a full consideration of the
8:37decision, which means you have to say,
8:39"Hey, would you like to work with me
8:41oneon-one? It's 10 grand an hour."
8:43Right? And that's, I think, the highest
8:44likelihood thing that I can do to help
8:45you get to where you want to go. Now,
8:46the thing is is at that point, what do
8:48we do? We shut up. We let them talk.
8:50Why? Because talking might result in
8:52them saying yes. And if they say yes,
8:54you get money. And that's amazing,
8:55right? And so, we're at this point right
8:58now. If they then bulk, you say, "Don't
8:59worry. I'm going to pull out a couple of
9:01the components of this and give you this
9:03thing that has 90% of the elements of
9:06this first thing, but it's significantly
9:08more scalable. How's that work for you?
9:09They're like, "Oh my god, thanks so
9:11much. This sounds amazing. This is
9:12exactly what I need." And they buy. But
9:13the thing is is even if and let me do
9:15the math for you because this is
9:16important. Let's say you have a $100
9:18thing and you have a $1,000 thing. And
9:19let's say of the 100 people, 10 of the
9:21hundred are buying the really expensive
9:22thing. So 90% of people buy the $100
9:25thing. What does that do to your
9:27business? Guess what it does? It doubles
9:29the revenue of your business. And not
9:31only that, all of that incremental
9:33revenue, the stuff that came from those
9:35top 10 people, is 100% margin. So let's
9:38say that on your 100, you make 40%
9:40margin. So you're actually making 40
9:42bucks on those 90 people. So you're
9:44making $3,600 in profit off of 90 of
9:47your 100 buyers. Now, of the other 10,
9:50you make 10 * a,000, so you make
9:52$10,000. So you actually make three
9:55times the profit on your expensive
9:57thing. and one times the profit on your
10:00cheaper thing. So threearters of what
10:02you make comes from this thing. That's
10:04why people miss it is they don't get the
10:06math behind it. You have the expensive
10:08thing because even in tiny tiny volumes,
10:10lots of zeros still add up. And so if
10:13you're getting started, I would strongly
10:15recommend if even if you have a scalable
10:17thing, even if you're on school, you
10:18have a community, you charge 100 bucks a
10:19month, whatever it is, have something
10:22that's $1,000 a month. Have something
10:24that's $10,000 one time. Have it up
10:26there. just make it available. And so
10:28I'm going to give you three different
10:29frames to working through this. The
10:31frame number one is what if we charged
10:3410x or 100x more than your current
10:37thing? What would you include? Just go
10:39crazy with it. Just think if instead of
10:41$1,000, if someone gave me $100,000,
10:44what would I do? Just write down
10:45everything you would do. And then look
10:47at the cost of doing all those things.
10:48What you'd be amazed by is many of the
10:50things that you have these ideas for
10:52don't actually cost that much. And so
10:54cross out the ones that have hard costs
10:56and then look at what's left and then
10:57say,"Well, I think I could do that." And
11:00then we ask the question, would you be
11:01okay doing that for a,000 or $10,000?
11:03You might say like, "Well, yeah, for 10
11:05grand I would do that." Make it
11:07available. The second way to think about
11:09this is if I had to make a service or a
11:12product that was only grown off of word
11:14of mouth alone and all you have is this
11:16one customer in front of you. And the
11:18only way that you will be able to get
11:19more customers is if you get that
11:21customer to tell their friends about
11:23your stuff. What would that customer's
11:26experience, what would the service, what
11:28would the components of the offer look
11:31like if that was the requirement? Write
11:33down all of that stuff. And if you're
11:35willing to do that for a higher price,
11:37present it. An amount greater than zero
11:40will say yes. And I'll give you a third
11:41frame. This is different than the other
11:44two, but I think that still very
11:45valuable when you're thinking through
11:46how do I make something um well more
11:48valuable. If we had to take everything
11:51out of it that is unscalable, but we
11:53have to make it worth 10 times as much.
11:55Now, how do we do it? So this gives you
11:57three different intellectual attack
11:59vectors to think through the value
12:02creation for making your more expensive
12:06101 unscalable thing that in many times
12:09will make you more money especially in
12:11the beginning than your less expensive
12:13thing. And the other part of this is
12:15that it's it makes for great marketing
12:17one because you can say this one of my
12:18clients, one of my private clients, one
12:20of my my individual clients. And what
12:22that does is people like, "Oh, this guy
12:23must be a little bit, you know, has more
12:25authority." Right? On top of that, when
12:27you share the learnings from those quote
12:28private clients, it gives you marketing
12:30material to actually talk about, right?
12:31And where do you think your best case
12:32studies are going to come from? There.
12:34And so, you're going to get amazing case
12:35studies. You're going to have amazing
12:37marketing materials in terms of the
12:38learnings and lessons that you're going
12:40to have. And then one of the things that
12:41I personally prefer is that these people
12:42are way cooler and they will be people
12:45that you actually end up being friends
12:46with that you like. and they're the ones
12:47who actually shift your worldview
12:48because you actually will spend more
12:49time with these people than all of these
12:51people and that will shift you in the
12:52correct direction. Now, let's
12:54deconstruct value in a tactical way so
12:56that we can take that the three frames
12:57that I just gave and do even more with
12:59it. Here are the two steps, very
13:00straightforward. Pick the right avatar.
13:02Do not try to make your unscalable
13:04expensive thing and then think about the
13:06person who is currently buying your
13:07thing for $100 and think what would this
13:08$100 person uh be willing to spend
13:11$1,000 for. Do not think that. Likely
13:13the person that's going to spend the
13:14$1,000 is a different person. So you
13:16have to think about that person, not the
13:18person underneath. Next, once you have
13:20this avatar, they have the money, they
13:22feel the pain, they're easy to reach,
13:23right? Then we have to think, how can we
13:25describe their pain more accurately than
13:28they can describe it themselves? And so
13:30the big hack, and this is also new with
13:31some of the AI stuff that's out there,
13:32is go into the books that people are
13:37buying in your niche and then extract
13:40the reviews and then get the quotes that
13:43are specific to their pain. And so one
13:46of the really interesting things about
13:47copy is that if you can articulate
13:49someone's problem better than they can,
13:52they will inherently believe that you
13:54can solve it. So this is what we're
13:56talking about the dream outcome. It's
13:57like make sure we're talking about the
13:58right avatar about what they really want
14:00in the [music] way that resonates with
14:02them specifically because pain and
14:06persuasion only exist in the specific,
14:08never the vague. And if you do this
14:10successfully, their pain and your
14:12description of their pain can be a
14:14better motivator of persuasion and
14:16action than a greater promise. So, how
14:19do we then reverse engineer what someone
14:21actually wants? They don't really want
14:22your time. They want to buy an outcome.
14:24Now, why is oneonone a valuable vehicle?
14:26Because the perceived likelihood of
14:28achievement when you do something
14:29one-on-one in an unskillable way
14:31actually goes through the roof. So, if I
14:33had a meal plan that I gave you as a PDF
14:35or I said, "I will talk to you oneonone
14:36every day." the outcome is still I want
14:38to lose weight, but the likelihood that
14:40they're going to get there is going to
14:41be significantly higher. The likelihood,
14:43the ease, how easy it is for them is
14:45going to go up. And all of these
14:47components play with one another. So
14:49that's the outcome side. Underneath of
14:52that, we have perceived like of
14:54achievement, which I touched on briefly
14:55within the vehicle of oneonone. But
14:57within this case, your reputation over
14:59time acts as almost an implied
15:01guarantee. and the nature of the
15:03delivery also has some level of
15:05implication that they're going to get
15:07the completeness of you. And so as long
15:09as they believe you are competent,
15:10number one, and two, have strong
15:12intention to help, the likelihood that
15:14they believe that giving you money will
15:15help them get what they want goes really
15:17high. And so that's why I like 101.
15:19That's why I like unscalable. And to be
15:21clear, just cap it. It doesn't mean you
15:22have to do it all the time because that
15:23will get in your way long term, but in
15:24the short term, it can it can allow you
15:26to live on this and then cash flow all
15:28the growth. And so this is me giving you
15:29kind of like the the bootstrap
15:31strategies to growing a big business is
15:33like be willing to take 5 10% of your
15:36time, charge 10 times more and make
15:38enough income from that that you can
15:39take all the other money and go
15:41aggressive, go on the offense with it.
15:42So third one is speed. Now if I had to
15:45pick one thing that I could do to
15:48maximize persuasion, it is speed or the
15:51inverse latency. How do I decrease
15:53latency? How do I increase speed so I
15:55can make sure the outcome happens as
15:57fast as possible? because latency beats
15:59magnitude 7 days a week and twice
16:02[music] on Sunday. The reason that this
16:03is important is that it will motivate
16:05someone's action to buy more than just
16:07about anything else. So, you're not
16:08going to sell someone who's wealthy on
16:10how much money you're going to save
16:12them. You'll sell someone who's wealthy
16:14based on how much time you're going to
16:16save them even more. Because money has
16:19an implicit value. Their time is the one
16:22that over time will become significantly
16:24more value than the money. One of the
16:25things that anyone can do to sell that
16:28expensive thing is just take whatever
16:29the delivery time you currently have is
16:31and cut it in half. Cut it in 2/3. And
16:34if you have a 101 service or a higher
16:36tier service, that should add a zero or
16:38more. You can just say, "You will always
16:40have priority. You will always be first
16:42in line. When I have a new thing, you'll
16:44be the first one to see it. Whenever
16:45there's an emergency, you'll be the
16:46first to respond. I'll pull someone off
16:48a job to come to your house." All of
16:49these things are about speed. those
16:52things like think about the vectors of
16:55value. The higher the number, the more
16:57done for you, the more turnkey someone
17:00expects something to be. This is how you
17:01reverse engineer ease. You go through
17:03the customer experience and you take a
17:05note every time you have to do
17:06something. Now, you might find out that
17:08in order for someone to get the outcome
17:09that you want, they might have to take
17:1010,000 actions. And so then what we do
17:12is we systematically go and reverse and
17:15delete friction point by friction point
17:17actions that they need to take. And so
17:19this is the process of making an
17:21exceptional product. Now it might cost
17:23you more money to make this product
17:25which is why you charge more money for
17:27it. So if you have of course there's
17:28technology that can automate some of
17:29this but for many services that exist in
17:31the real world which 70% of people or
17:3380% of people in the US at least are
17:34service based businesses then you're
17:36going to spend some more money. Now
17:37here's the magic of this. Well some of
17:39my business relies on other vendors or
17:41other parties. Guess what happens when
17:43you charge 10 times as much? You can pay
17:45them more to prioritize your customers.
17:47And so this allows you to make your own
17:49priority ring on top of that. That
17:52allows you to consistently out compete
17:54competition because you pay your
17:56vendors, you pay your partners better
17:57than anyone else does because you have
17:59this service tier. And so the TLDDR big
18:02picture is that no matter what, no
18:04matter how many customers you have, if
18:06you simply make a 10 times more
18:07expensive offer, you will have a
18:10percentage likelihood that is greater
18:11than zero that someone will buy it. And
18:13when that happens, you will be
18:14reinforced for doing so. And I think you
18:16will actually see how powerful adding
18:18one, sometimes two zeros to your price
18:21tag really is. Thank you for coming to
18:23my TED talk.

About this transcript

This page contains the full transcript of YouTube transcript (uWdIgftpvBI) , generated from the public captions YouTube serves with the video. The transcript has 4,206 words across 580 segments, with the original timestamps preserved so you can click any line to jump to that moment in the embedded player.

What you can do with it

Use the transcript to take notes, quote the speaker, build a study guide, generate a summary with ChatGPT or Claude via the YouTube Summary tool, or export it as a timed subtitle file with YouTube to SRT. You can also re-open it in the transcriber to translate the transcript into 100+ languages.

Free YouTube transcript tool

YouTube2Text is a free YouTube transcript generator — no signup, no daily limit. Paste any YouTube link and get the full transcript instantly, with timestamps, click-to-jump, translation to 100+ languages, AI prompts for ChatGPT, Claude, and Gemini, and exports to TXT, SRT, VTT, or Markdown.