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So I'm calling this the old must die for the new to live and what's up Mel?

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It's it's a concept that I think a lot of people don't grasp when they're trying to grow or change or make some changes in their business

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Or improve themselves and it's it's a question that I get all the time because for a lot of the gyms that we work with

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We we recommend a radical switch in their model radical switch in how they train their sessions and how many sessions they train in terms of

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They're pricing and they're packaging and all of these things that they need to do and sometimes even the cost that they pay their trainers

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And so a lot of these changes obviously come with you know for the entrepreneurs like this huge fear of like well, what if everything

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bricks what if everything disappears and

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First off when we when we do these massive changes most of times nothing happens and it is fear

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But I actually want to come at this from a different side more from like the vibe of the business in general like the spirit of the business and it's that

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The reality is that the old business has to die in order for the new one to live and so a lot of times we don't want to confront that

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But we're in this vehicle this business model that we know

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Sucks right like if you're if you're if you're current experience your reality has been the last three years

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You know you've let's say let's say you grew the first year and then the next two years you pretty much stayed the same amount right

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You know that if something does not change it's going to stay the same

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Which means you know that the model the vehicle that you were in is not working

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The problem is not that you don't have more customers the problems that the customers you have are getting more customers because the model

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You have is not providing sufficient value for them to want to bring more people in and so you have more churn

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Then you can make up for on the front end and that's the problem right

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The issue is that and I can't so like here's an example

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This is like one of the the multiple stories that that happened is recently there's this girl who perhaps our food for us, right?

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So she makes all of our food

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like to the Macro personalized

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for us and

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It's it's great saves me a ton of time and food's good so like and she's a she's a cool cool girl. She's really young

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And she's like just getting her foot into the entrepreneurial door

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So I feel like I'm half donating to the charity of much better

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entrepreneurialism

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But she's like man, I'd really like to do this full time. I was like, okay, well

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I was like tell me your business model right she's sitting you know, she's in my kitchen cooking all this food and

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I was like, okay, let's look at what this looks like if your week is actually full and

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She still wants to make the amount of money that she wants to make if her week was full and so

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She currently had like three customers. We were one of them and then there's two other ones that she had as like legacy customers

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And so and one of them was asking for two days a week of prepping

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For the same pay as one day and so she's basically getting paid half on this one and then the first customer

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She had was like a legacy customer's first wish to get her side up and that one was paying like even less than the split person, right?

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and so I was like

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You have to change your pricing so that it actually makes sense that you can make a profit, right?

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And she understood fundamentally and so then she goes

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She changes her pricing what not she changes from

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Charging hourly to charging on a weekly basis puts it on recurring sells it as a package instead of selling her time etc

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And she emails everyone about the change, which was a big no-no. You should never do that

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You especially if you have a tiny little clientele like she should have gone on the phone or spoke with them in person

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But that was a mistake of her part, but that's okay

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Point is after that happened two of the three people left, okay, so we were the only ones who left

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So she's like my little nervous because I took your advice and two thirds of my customers left

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Right two thirds being two out of the three she had and I was like right now those people

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You know we're taking up two or three of your five days and we're not paying you in a way

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That would allow you to make the profit or revenue that you need to make in order to do this full time, right?

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She's like right. I was like, okay

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You need to let the old model die for the new one to live, right?

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And so this happens all the time for gyms where there's there's this fear of like well

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What if and the reality is even if that happens

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This model can grow and scale and be profitable at full capacity

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The model that you had before cannot do that and so it's a fools errand to keep trying to play that game

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When you know it doesn't work. You know it's going to lose, right?

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And so we keep telling her like we have this fear and it's a hundred percent irrational because at the bottom line we already know that doesn't work

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You already know it doesn't work and yet we still don't want to lose it

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But we know it doesn't work, right? And so

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Like this goes with personal transformations the season like if you want to change a part of your you know

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Like let's say like I don't want to start. You know, I don't want to drink anymore. Okay

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Well, you can't just like not drink

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Some of the time and then only drink on weekends or only drink after six o'clock at night and whatever right like

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Like those things like you have to let the old thing die for the new thing to live, right?

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You want to go to church you want to be a Christian you want to you want to act a certain way whatever it is

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Right, you can't just act a certain way five days a week and two days a week not act that way

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You have to go all in on that new thing

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Hey guys real quick if you're new to the podcast

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I have a book on amazon called one hundred million dollar offers that over eight thousand five star reviews

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It has almost a perfect score you can get it for 99 cents on Kindle the reason I bring it up

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Is that I put over a thousand hours into writing that book and it's my biggest gift for our community

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So it's my very shameless way of trying to get to you to like me more

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And ultimately make more dollars to that later on in your business career. I can finish the part with you

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So that's my give go check it out Amazon and back to the show

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And

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Sometimes there's a there's a hiccup that happens when you change but changes part of growth

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Right, and so if you're in your business, you know you need to make a change

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Don't fear the short term step back

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Be hopeful for the long term growth that's going to happen as a result and so

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Is that like you have to let the old die for the new to live and if you know you need to change your pricing

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Or you know you need to change your fulfillment because you're already a full capacity, but you're not making money

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That's a model problem

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Like that's a that's a problem with pricing. That's a problem with the fulfillment

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Like if your trainers are making more than you are there's a problem

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Right like these are these are issues and if you make those changes

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There will be a short period of time where maybe maybe if you if you if you cut your trainer pay for example

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And I'm not mind you I'm not for cutting trainer pay

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But I'm saying if it has to happen sometimes the economics the like sometimes a yogurt store

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Doesn't pay the people kind of counter $25 now. Why? Because it's just not in the economics of the business

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Just not right so if that is how you were set up you're paying your person behind the counter who's doing you know

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Who's who's dispensing yogurt

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25 dollars an hour. I'm saying this figuratively if you have to change that that means you might lose

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Some employees and it means you might have to go find some new employees

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But you know that if you don't do that you're guaranteed

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To stay where you're at right there's a point in the matrix where

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Um

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Neo gets in the car. It's raining. They stop under the bridge and they're like lift up your shirt

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So they can put this you know like to suck out the the bug that he had in his stomach or whatever and he's like

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What's going on? I'm freaking out and

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Um before he says yes, he they like stop they crack open the door and

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She looks at Neo and she's like don't go down that road

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You know you know where it goes and you know that's not where you want to be

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And so like I feel like that's the message for like the business model that you have that you know

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Doesn't work for you is that like you know where that road goes. You've been walking that road for the last two years

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And I know that's not where you want to be and so like take the switch take the new opportunity

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Like shed the old identity to get into the new one except the short-term loss or like discomfort that's going to happen with changing

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Habit changing a pay structure changing a model changing pricing the person who's like

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Like for example that girl the the customers who left her right

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Our good riddance for her right if you have people who are paying you 49 dollars a month for large group training

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right

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And then they're like well, I can't believe you'd raise this to a hundred and fifty dollars a month

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Good riddance their pain in the ass and they're not worth the revenue they're bringing in

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They're not right

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It just doesn't make sense for the model. So you have to accept that and accept that sometimes like

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I mean this I'm not trying to get biblical with you as on Sunday

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But like you'd have to prune the tree right like trees grow

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By pruning which means you have to cut off old branches and cutting things is painful

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And not only that you cast them into the fire afterwards like you get rid of it you burn it you're done with it

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Right and you go all in on the new direction you go forward

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Despite the the shatter the noise that's gonna happen for all these people who want to give you business advice

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Who are your customers right they're incentivized to stay at 49 dollars a month

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It makes sense for them to argue with you

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It makes sense for them to put doubt into your mind about that decision because for them

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They get less now, right

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Because you made it as you made

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Decisions in the beginning without the proper information you didn't know and that's okay

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You didn't know but now you do know and so if you if you act in ignorance no one can blame you didn't know

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But if you know and then you choose not to do what you know you need to do

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That's fear and that is your fault

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And so that's the difference you have to own it you have to own the decisions that are going to change

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There's going to be discomfort and you have to let the old die in order for the new to live because the new is the only thing

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That's gonna get you where you want to go. So what's a love

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um

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To my gym community and um if y'all aren't crushing it you should be

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If you're not with us

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Should totally comment and like hop on because the water's warm and we've got some things rolling out that uh

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That are going to continue to have all the gyms that are working with us crush it um with new offers

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That are already converting new new profit mechanisms new acquisition systems all the all the Gucci

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I'm so pumped there's so much good stuff coming out

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But um anyways, I won't ruin it. I won't spoil it as much as I usually do anyway. You guys on the flip side