WEBVTT 1 00:00:00.000 --> 00:00:03.600 The highlights that they have at Harvard are not the income, 2 00:00:03.600 --> 00:00:06.240 but the experience and the network and the relationships 3 00:00:06.240 --> 00:00:07.920 and the character development, etc. 4 00:00:07.920 --> 00:00:09.840 Now, if you're thinking to yourself, 5 00:00:09.840 --> 00:00:13.040 man, it would be harder to sell people that way, right? 6 00:00:14.080 --> 00:00:16.640 Because it would take longer to do it. 7 00:00:16.640 --> 00:00:20.800 But if you do it that way and you only let in really good people, 8 00:00:20.800 --> 00:00:21.920 what do you think happens? 9 00:00:23.680 --> 00:00:25.760 Welcome to the game where we talk about how to sell more stuff 10 00:00:25.760 --> 00:00:28.720 to more people in more ways and build businesses worth owning. 11 00:00:28.720 --> 00:00:31.360 I'm trying to build a billion-dollar thing with acquisition.com. 12 00:00:31.360 --> 00:00:34.320 I always wish pesos, musk and Buffett had documented their journey, 13 00:00:34.320 --> 00:00:35.600 so I'm doing it for the rest of us. 14 00:00:35.600 --> 00:00:36.480 Please share and enjoy. 15 00:00:38.160 --> 00:00:41.920 You've probably seen these make $10,000 a month and 30-day 16 00:00:41.920 --> 00:00:44.240 scam businesses marketing all over the internet. 17 00:00:44.240 --> 00:00:48.080 And on the same degree, you've probably seen Harvard market and say, 18 00:00:48.080 --> 00:00:50.320 you might maybe graduate from Harvard. 19 00:00:50.320 --> 00:00:53.600 And that's the only promise they make and you can pay us $250,000 a year. 20 00:00:53.600 --> 00:00:56.080 And so what's the difference between this clearly scam business 21 00:00:56.160 --> 00:00:59.120 and this incredibly legit 100-plus-year-old business? 22 00:00:59.120 --> 00:01:01.200 It turns out there's only four things. 23 00:01:01.200 --> 00:01:04.240 And if you're a student and you're trying to decide between different educators, 24 00:01:04.240 --> 00:01:08.160 you can use these four things to make a filter to make the right call in my opinion. 25 00:01:08.160 --> 00:01:11.840 And on the flip side, if you're an educator or an education business owner, 26 00:01:11.840 --> 00:01:14.240 you can reverse engineer what legitimacy looks like. 27 00:01:14.240 --> 00:01:17.120 So you can stop being a scam artist and actually be a legitimate educator 28 00:01:17.120 --> 00:01:19.440 and build a brand that's valuable that compounds in time. 29 00:01:19.440 --> 00:01:21.040 So that hopefully 100 years later, 30 00:01:21.040 --> 00:01:22.720 they're talking about your business rather than Harvard. 31 00:01:23.280 --> 00:01:26.800 And I can speak about this with deep credibility 32 00:01:26.800 --> 00:01:29.040 because of three important things. 33 00:01:29.040 --> 00:01:31.600 Number one, I graduated from Vanderbilt University, 34 00:01:31.600 --> 00:01:32.800 Madagam Laudi in three years. 35 00:01:32.800 --> 00:01:35.280 And I got the super high SAT score. 36 00:01:35.280 --> 00:01:37.120 And my GMAT was above Harvard's midscore. 37 00:01:37.120 --> 00:01:38.560 So I know that world. 38 00:01:38.560 --> 00:01:40.800 And I got a management consulting job right after that. 39 00:01:40.800 --> 00:01:42.560 So I know where those worlds lead. 40 00:01:42.560 --> 00:01:46.480 On the flip side, I've owned an internet marketing direct response business. 41 00:01:47.040 --> 00:01:51.680 And three, I've made the transition from this world to that world. 42 00:01:51.760 --> 00:01:53.840 And I know exactly what steps to take 43 00:01:53.840 --> 00:01:55.680 because I had to figure this out for me. 44 00:01:55.680 --> 00:01:57.760 Because when I wanted to sell my company, 45 00:01:57.760 --> 00:01:59.280 people didn't want to buy it. 46 00:01:59.280 --> 00:02:01.600 And then I was like, well, why do they think this is valuable? 47 00:02:01.600 --> 00:02:02.400 And this isn't. 48 00:02:02.400 --> 00:02:04.000 And that's what I'm about to share with you. 49 00:02:04.000 --> 00:02:07.360 And I apply this strategy in building acquisition.com. 50 00:02:07.360 --> 00:02:08.960 So I'm walking this walk. 51 00:02:08.960 --> 00:02:10.960 I'm not talking about it in theory. 52 00:02:10.960 --> 00:02:13.680 Like, think about each of the four frameworks. 53 00:02:13.680 --> 00:02:15.200 As it applies to acquisition.com, 54 00:02:15.200 --> 00:02:17.040 a portfolio that only buys companies. 55 00:02:17.040 --> 00:02:18.880 As you can imagine, because we have lots of, 56 00:02:18.880 --> 00:02:21.200 you know, we have a footprint across all different social media channels 57 00:02:21.200 --> 00:02:24.080 that we get lots of people who have influencer type businesses 58 00:02:24.080 --> 00:02:26.320 that apply to work with us, have us invest in their business. 59 00:02:26.320 --> 00:02:28.960 And oftentimes those influencers are disappointed 60 00:02:28.960 --> 00:02:31.200 when we don't want to invest in their businesses, 61 00:02:31.200 --> 00:02:32.720 which can kind of feel tough, 62 00:02:32.720 --> 00:02:34.480 because it's like calling someone's baby ugly. 63 00:02:34.480 --> 00:02:36.320 But what we do is we tell them the steps 64 00:02:36.320 --> 00:02:38.080 that they could take in order to become legitimate. 65 00:02:38.080 --> 00:02:39.200 And so what I want to do is make this 66 00:02:39.200 --> 00:02:41.200 so that you know the steps we would tell them 67 00:02:41.200 --> 00:02:43.040 so that if you're in this opportunity, 68 00:02:43.040 --> 00:02:45.360 you could actually make yourself legit. 69 00:02:46.080 --> 00:02:49.200 There are multiple levels of legitimacy for education. 70 00:02:49.280 --> 00:02:51.440 Because if you think about it on the polar extremes, 71 00:02:51.440 --> 00:02:53.200 on one side, you have Harvard. 72 00:02:53.200 --> 00:02:56.000 Most people don't call Harvard a scam, right? 73 00:02:56.000 --> 00:02:59.040 But they fundamentally sell education, right? 74 00:02:59.040 --> 00:03:00.880 And on this side, you've got a guy 75 00:03:00.880 --> 00:03:03.360 who tells you how to start an ATM business 76 00:03:03.360 --> 00:03:07.360 and promises that you're going to make $100,000 a day in five seconds, right? 77 00:03:07.360 --> 00:03:10.080 So like, this is one side of the polar extreme 78 00:03:10.080 --> 00:03:11.280 and this side is the other. 79 00:03:11.280 --> 00:03:12.880 They both sell education. 80 00:03:12.880 --> 00:03:14.720 And on the scam index, 81 00:03:14.720 --> 00:03:17.440 why is this one maxed out and this one's is zero? 82 00:03:17.520 --> 00:03:21.200 What we can do is we can reverse engineer what Harvard does 83 00:03:21.200 --> 00:03:25.840 in order to say, well, if we apply the same concepts and principles 84 00:03:25.840 --> 00:03:29.120 to a different or alternative skill, 85 00:03:29.120 --> 00:03:31.920 we can still give it the same level of legitimacy. 86 00:03:31.920 --> 00:03:35.200 So ITT tech that teaches people how to become mechanics. 87 00:03:35.200 --> 00:03:37.360 Why is that not a scam, right? 88 00:03:37.360 --> 00:03:38.560 It teaches a niche skill. 89 00:03:39.200 --> 00:03:41.200 It takes, now here's one difference. 90 00:03:41.200 --> 00:03:43.360 It takes a couple of years, not six weeks 91 00:03:43.360 --> 00:03:44.720 in order to get the skill. 92 00:03:44.800 --> 00:03:48.400 But here are some of the elements that create legitimacy. 93 00:03:48.400 --> 00:03:52.320 Number one, Harvard turns people down. 94 00:03:52.320 --> 00:03:55.360 If every single person who applies to work with you, 95 00:03:55.360 --> 00:03:57.120 you immediately try and take their money 96 00:03:57.120 --> 00:03:59.120 and the only requirements to become a customer of yours 97 00:03:59.120 --> 00:04:01.760 is a credit card and a pulse, ding, ding, ding. 98 00:04:01.760 --> 00:04:03.280 You might have red flag number one. 99 00:04:03.280 --> 00:04:05.600 Because by the way, legitimate business practice 100 00:04:05.600 --> 00:04:09.120 that I can give you is that most people probably aren't qualified 101 00:04:09.120 --> 00:04:10.080 to become customers. 102 00:04:10.080 --> 00:04:12.080 And if you define a qualified lead 103 00:04:12.080 --> 00:04:14.000 as somebody who has the highest likelihood of success 104 00:04:14.000 --> 00:04:16.880 with your program or service or education, 105 00:04:16.880 --> 00:04:19.200 then you should have screening metrics 106 00:04:19.200 --> 00:04:20.480 for who is not a good fit. 107 00:04:20.480 --> 00:04:22.720 Because it means that it's very unlikely 108 00:04:22.720 --> 00:04:25.680 that somebody who is not a fit succeeds with your program. 109 00:04:25.680 --> 00:04:28.320 And means it's more likely that they'll be upset, 110 00:04:28.320 --> 00:04:30.400 leave you bad reviews, call you a scam, 111 00:04:30.400 --> 00:04:31.360 all of that kind of stuff, 112 00:04:31.360 --> 00:04:32.720 which you can easily avoid. 113 00:04:32.720 --> 00:04:35.840 Number one, by selling qualified customers only 114 00:04:35.840 --> 00:04:37.600 and having filters you apply to your leads 115 00:04:37.600 --> 00:04:39.520 based in automatically filter people out. 116 00:04:39.680 --> 00:04:43.360 If you have an SAT score or ACT score of whatever 500 is 117 00:04:43.360 --> 00:04:45.600 or 20 on the AC, I don't know the scores, 118 00:04:45.600 --> 00:04:47.440 but whatever, whatever low score is, 119 00:04:47.440 --> 00:04:49.440 Harvard's not gonna look at, they're not even gonna read it. 120 00:04:49.440 --> 00:04:50.800 They're just gonna push it right out. 121 00:04:50.800 --> 00:04:53.360 And the same degree, if someone doesn't have two nickels 122 00:04:53.360 --> 00:04:56.360 to rub together and they're dead up to their eyeballs, 123 00:04:56.360 --> 00:04:58.240 probably might not be a good person 124 00:04:58.240 --> 00:05:00.320 that you wanna sell your thing to, right? 125 00:05:00.320 --> 00:05:01.880 Just as a baseline. 126 00:05:01.880 --> 00:05:06.640 Number two is that Harvard doesn't give income expectations. 127 00:05:06.640 --> 00:05:08.840 They don't say become a Harvard graduate, 128 00:05:08.840 --> 00:05:11.200 make money tomorrow, right? 129 00:05:11.200 --> 00:05:12.040 Of course not. 130 00:05:12.040 --> 00:05:14.520 Number one, there's the delay between when you start 131 00:05:14.520 --> 00:05:16.240 and when you actually even graduate 132 00:05:16.240 --> 00:05:18.360 and get the endorsement of their brand, 133 00:05:18.360 --> 00:05:20.480 which to be fair is really what Harvard sells 134 00:05:20.480 --> 00:05:22.960 is the brand endorsement that you get to put on yourself. 135 00:05:22.960 --> 00:05:26.120 The second thing is that instead of showing testimonials 136 00:05:26.120 --> 00:05:28.800 of students on income, right? 137 00:05:28.800 --> 00:05:30.960 Like I graduated Harvard and I got my first job 138 00:05:30.960 --> 00:05:33.120 at $185,000 at Goldman Sachs. 139 00:05:33.120 --> 00:05:35.640 Like you don't see that anywhere on their site. 140 00:05:35.640 --> 00:05:39.640 What you will see is testimonials around experience 141 00:05:39.640 --> 00:05:41.000 of the program, which is fine. 142 00:05:41.000 --> 00:05:42.400 Those are what I would consider soft testimonials 143 00:05:42.400 --> 00:05:43.520 that can't be refuted, 144 00:05:43.520 --> 00:05:46.360 but what they will publish is data. 145 00:05:46.360 --> 00:05:48.800 And this is fucking huge. 146 00:05:48.800 --> 00:05:51.560 This is what allowed Jim launched to go from, 147 00:05:51.560 --> 00:05:53.920 I would say, a middle on this index 148 00:05:53.920 --> 00:05:56.280 to over here where a private equity firm would be happy 149 00:05:56.280 --> 00:05:57.720 to buy them because they see it 150 00:05:57.720 --> 00:05:59.280 as a very legitimate business. 151 00:05:59.280 --> 00:06:01.280 You need to pay attention to what I'm about to say. 152 00:06:01.280 --> 00:06:04.760 If you do not track your customer success metrics, 153 00:06:04.760 --> 00:06:06.960 meaning when someone buys, 154 00:06:06.960 --> 00:06:11.240 what percent of them succeed at 30, 60, 90, 12 months, 155 00:06:11.240 --> 00:06:13.880 24 months, what are the averages 156 00:06:13.880 --> 00:06:16.400 for whatever the thing that you educate them on? 157 00:06:16.400 --> 00:06:20.520 Now mind you, this naturally predisposes itself 158 00:06:20.520 --> 00:06:23.440 to be-to-be stuff where people are learning to make money. 159 00:06:23.440 --> 00:06:25.800 But if you teach people how to use Adobe 160 00:06:25.800 --> 00:06:27.960 and you have a course on that, awesome. 161 00:06:27.960 --> 00:06:31.640 If you teach people how to take pictures for homes 162 00:06:31.640 --> 00:06:34.040 as real estate agents, awesome, right? 163 00:06:34.080 --> 00:06:37.040 Those are what I would consider indirect income earning skills 164 00:06:37.040 --> 00:06:38.640 versus direct income earning skills, 165 00:06:38.640 --> 00:06:41.040 which are usually businesses in a box of some sort. 166 00:06:41.040 --> 00:06:42.840 If you track the data, 167 00:06:42.840 --> 00:06:46.320 then you don't add any sensationalism 168 00:06:46.320 --> 00:06:47.960 to what you are reporting. 169 00:06:47.960 --> 00:06:51.040 Harvard publishes what the top 20% 170 00:06:51.040 --> 00:06:54.120 with the average with the median person gets 171 00:06:54.120 --> 00:06:57.840 and what industries their graduates go into 172 00:06:57.840 --> 00:06:59.480 because that's data. 173 00:06:59.480 --> 00:07:02.000 They're not setting false expectations 174 00:07:02.040 --> 00:07:04.520 and they're not saying this is what you can expect 175 00:07:04.520 --> 00:07:05.680 in six weeks. 176 00:07:05.680 --> 00:07:08.480 They're saying four years ago these people started 177 00:07:08.480 --> 00:07:12.240 and today they graduated and this is what they got. 178 00:07:12.240 --> 00:07:13.760 The important thing is that 179 00:07:13.760 --> 00:07:16.560 just like what makes financial funds legit 180 00:07:16.560 --> 00:07:18.640 is they say past performance 181 00:07:18.640 --> 00:07:20.440 isn't a prediction of future performance 182 00:07:20.440 --> 00:07:23.560 and they say that very clearly, just like you should. 183 00:07:23.560 --> 00:07:26.240 And the highlights that they have at Harvard 184 00:07:26.240 --> 00:07:29.360 are not the income but the experience and the network 185 00:07:29.360 --> 00:07:31.920 and the relationships and the character development, et cetera. 186 00:07:31.920 --> 00:07:33.840 Now, if you're thinking to yourself, 187 00:07:33.840 --> 00:07:36.360 man, it would be harder to sell people that way. 188 00:07:36.360 --> 00:07:40.680 You're right, because it would take longer to do it. 189 00:07:40.680 --> 00:07:42.520 But if you do it that way 190 00:07:42.520 --> 00:07:44.800 and you only let in really good people, 191 00:07:44.800 --> 00:07:46.480 what do you think happens? 192 00:07:46.480 --> 00:07:48.680 You start to develop a brand. 193 00:07:48.680 --> 00:07:50.960 You start to develop a good reputation. 194 00:07:50.960 --> 00:07:53.560 And so for example, I was having the discussion 195 00:07:53.560 --> 00:07:54.960 with Jacob, my neighbor, 196 00:07:54.960 --> 00:07:57.440 because he was saying he was considering starting a sales school. 197 00:07:57.440 --> 00:07:59.400 Whether he does that or not at some point in the future 198 00:07:59.400 --> 00:08:00.200 is irrelevant. 199 00:08:00.200 --> 00:08:02.440 But I said, if you were going to start one, 200 00:08:02.440 --> 00:08:04.080 then you want to be legit about it. 201 00:08:04.080 --> 00:08:05.640 Because you see everybody in their mother 202 00:08:05.640 --> 00:08:06.840 has a sales school right now 203 00:08:06.840 --> 00:08:08.360 because they start selling high ticket, 204 00:08:08.360 --> 00:08:09.840 they immediately make 20 grand a month 205 00:08:09.840 --> 00:08:12.240 and they start a course on how to make 20 grand a month 206 00:08:12.240 --> 00:08:13.560 as a high ticket closer, right? 207 00:08:13.560 --> 00:08:14.600 So does everybody. 208 00:08:14.600 --> 00:08:17.040 Now, if you want to be legit about it, 209 00:08:17.040 --> 00:08:19.000 what you would do is you would do, 210 00:08:19.000 --> 00:08:21.920 you give tons of content away for free. 211 00:08:21.920 --> 00:08:23.400 This is pillar number three. 212 00:08:23.400 --> 00:08:25.200 Pillar number one is that you sell better customers 213 00:08:25.200 --> 00:08:26.560 than you have filters. 214 00:08:26.560 --> 00:08:31.240 Pillar number two is that you set proper expectations 215 00:08:31.240 --> 00:08:33.560 only based on data and the testimonials 216 00:08:33.560 --> 00:08:36.440 provider about experience rather than income or outcome. 217 00:08:36.440 --> 00:08:40.120 The third one is that you can monetize the education itself. 218 00:08:40.120 --> 00:08:41.120 You can sell education. 219 00:08:41.120 --> 00:08:42.840 But I think the smart move, 220 00:08:42.840 --> 00:08:44.400 and if you've consumed any of my stuff, 221 00:08:44.400 --> 00:08:45.880 is that you give away the secrets, 222 00:08:45.880 --> 00:08:47.960 you sell the implementation. 223 00:08:47.960 --> 00:08:50.840 And so the smart move is take all the content 224 00:08:50.840 --> 00:08:52.720 you would normally sell as your course 225 00:08:52.720 --> 00:08:55.240 and give it all away for free. 226 00:08:55.240 --> 00:08:57.040 Where do you think some of the best 227 00:08:57.040 --> 00:08:59.200 smartest materials get pumped out from? 228 00:08:59.200 --> 00:09:01.560 Harvard Business Review, people cite their stuff. 229 00:09:01.560 --> 00:09:05.200 They make content to market that they are thought leaders 230 00:09:05.200 --> 00:09:06.520 in the space. 231 00:09:06.520 --> 00:09:09.920 The implementation they sell is that we will hands on, 232 00:09:09.920 --> 00:09:11.200 teach you how to do it. 233 00:09:11.200 --> 00:09:15.120 And so if I were selling the ability to sell, 234 00:09:15.120 --> 00:09:18.720 then I would give away the course as content 235 00:09:18.720 --> 00:09:21.080 through all the different platforms I possibly could, 236 00:09:21.080 --> 00:09:23.160 and the implementation would be, 237 00:09:23.160 --> 00:09:25.240 let me listen to your sales calls, 238 00:09:25.240 --> 00:09:27.040 give you feedback in real time, 239 00:09:27.040 --> 00:09:29.920 and then monitor your performance over that period 240 00:09:29.920 --> 00:09:31.840 so that you become a sales person. 241 00:09:31.840 --> 00:09:33.200 Pillar number four. 242 00:09:33.200 --> 00:09:35.800 Harvard doesn't graduate everyone. 243 00:09:35.800 --> 00:09:38.560 Some people fail and they get grades. 244 00:09:38.560 --> 00:09:40.720 And the reason for that is because Harvard 245 00:09:40.720 --> 00:09:42.720 wants to maintain their brand. 246 00:09:42.720 --> 00:09:44.400 Because what they say is sure, 247 00:09:44.400 --> 00:09:48.320 Johnny graduated from Harvard with a 1-6 GPA. 248 00:09:48.320 --> 00:09:51.480 And so you can expect to the employer 249 00:09:51.480 --> 00:09:52.800 that he's a 1-6 person. 250 00:09:52.800 --> 00:09:54.560 Now he was smart enough to get in. 251 00:09:54.560 --> 00:09:56.240 But through the four years, we saw 252 00:09:56.240 --> 00:09:58.560 that he didn't have some of these other character traits 253 00:09:58.560 --> 00:10:00.680 that led to success for GPA. 254 00:10:00.680 --> 00:10:02.400 And this is the score. 255 00:10:02.400 --> 00:10:05.440 And so I was telling Jacob, if you want to be smart about it, 256 00:10:05.440 --> 00:10:08.120 number one, you would just show the data. 257 00:10:08.120 --> 00:10:11.760 Number two, you would probably not accept 90% of people 258 00:10:11.760 --> 00:10:12.760 who want to be sales people. 259 00:10:12.760 --> 00:10:14.160 Because you could immediately tell the interview, 260 00:10:14.160 --> 00:10:16.040 just like Harvard does, that you're probably not 261 00:10:16.040 --> 00:10:17.640 going to be a good salesperson. 262 00:10:17.640 --> 00:10:19.400 And so rather than accept everyone and say, 263 00:10:19.400 --> 00:10:22.120 we're going to make everyone Harvard smart, which you can't, 264 00:10:22.120 --> 00:10:26.560 they got smart and realized it's much easier to pick smart people 265 00:10:26.560 --> 00:10:28.840 and then do a standard education than it 266 00:10:28.840 --> 00:10:31.400 is to take dumb people and try and make them smart. 267 00:10:31.400 --> 00:10:34.720 So it's easier to find people who have a proclivity for sales 268 00:10:34.720 --> 00:10:38.080 who naturally have the characteristics of good sales people 269 00:10:38.080 --> 00:10:42.160 and then just get them this much better and then endorse them. 270 00:10:42.160 --> 00:10:44.000 But before you have the endorsement, 271 00:10:44.000 --> 00:10:48.240 you still rank order them on who you think has succeeded 272 00:10:48.240 --> 00:10:51.520 the best and have the possibility that someone pays 273 00:10:51.520 --> 00:10:53.480 and does not get your endorsement. 274 00:10:53.480 --> 00:10:56.400 Because that is how you long-term maintain the brand. 275 00:10:56.400 --> 00:10:57.760 And so let's play this out. 276 00:10:57.760 --> 00:10:59.000 Imagine two companies. 277 00:10:59.000 --> 00:11:01.360 You've got company one who sells everybody under the sun 278 00:11:01.360 --> 00:11:03.080 who has a credit card who responds to an ad, 279 00:11:03.080 --> 00:11:06.240 which is basically everybody in that space right now, all right? 280 00:11:06.240 --> 00:11:07.920 And they just say, you have a credit card? 281 00:11:07.920 --> 00:11:10.120 I've got an opportunity and they sell them, right? 282 00:11:10.120 --> 00:11:11.520 Most of them don't succeed. 283 00:11:11.520 --> 00:11:14.000 They don't publish their stats because they'd be abysmal 284 00:11:14.000 --> 00:11:16.200 because many of those people don't even log in, 285 00:11:16.200 --> 00:11:17.920 which sucks. 286 00:11:17.920 --> 00:11:19.840 How much is that is the fault of the business? 287 00:11:19.840 --> 00:11:21.200 100%. 288 00:11:21.880 --> 00:11:23.560 What are alternative do you have? 289 00:11:23.560 --> 00:11:24.640 If you say it's all their fault, 290 00:11:24.640 --> 00:11:26.800 then you take no responsibility and you don't get better. 291 00:11:26.800 --> 00:11:30.720 So what could we have done to get 100% like answered that question? 292 00:11:30.720 --> 00:11:33.520 How could we get 100% of people who graduate from my thing 293 00:11:33.520 --> 00:11:35.200 to be the best sales people? 294 00:11:35.200 --> 00:11:37.600 First thing is we pick people who are naturally good at sales. 295 00:11:37.600 --> 00:11:42.000 Second thing is we automatically cut out the people who are not. 296 00:11:42.000 --> 00:11:45.800 Third, we set expectations that are appropriate only based on data 297 00:11:45.800 --> 00:11:48.240 and the remainder of our testimonials and stories 298 00:11:48.240 --> 00:11:50.320 are based on the experiences of people who've gone through 299 00:11:50.320 --> 00:11:52.120 our system or program or implementation. 300 00:11:52.120 --> 00:11:55.760 Third, I establish far more demand for my service 301 00:11:55.760 --> 00:11:59.240 than I have supply so that I can keep my prices high 302 00:11:59.240 --> 00:12:01.320 by generating more content that is better 303 00:12:01.320 --> 00:12:03.120 than everyone else's paid stuff. 304 00:12:03.120 --> 00:12:06.320 So if your free stuff is better than their paid stuff, 305 00:12:06.320 --> 00:12:09.320 you maintain thought leadership and all they do is copy 306 00:12:09.320 --> 00:12:12.000 what you have and everyone else can then make a judgment. 307 00:12:12.000 --> 00:12:14.680 Wait, their free stuff isn't as good as your free stuff. 308 00:12:14.680 --> 00:12:17.400 So then your paid stuff must be better than their paid stuff. 309 00:12:17.400 --> 00:12:20.200 That's the natural logic that the marketplace will always do. 310 00:12:20.240 --> 00:12:22.520 So when you have that supply demand curve in your favor 311 00:12:22.520 --> 00:12:23.600 and you have all these people want 312 00:12:23.600 --> 00:12:25.560 in this tiny little amount of supply, 313 00:12:25.560 --> 00:12:26.880 you control the market. 314 00:12:26.880 --> 00:12:28.240 And when you market in a business, 315 00:12:28.240 --> 00:12:30.320 you do control both demand and supply 316 00:12:30.320 --> 00:12:32.960 because you can stimulate demand and you can cut your own supply 317 00:12:32.960 --> 00:12:35.000 to drive the price exactly where you need it to be 318 00:12:35.000 --> 00:12:36.760 to deliver the outcome that you want, 319 00:12:36.760 --> 00:12:38.640 which is if you want to make the best fucking sales people 320 00:12:38.640 --> 00:12:41.280 in the world, these are the steps you'd have to do. 321 00:12:43.280 --> 00:12:45.200 Aimos and Asian, quick break just to let you know 322 00:12:45.200 --> 00:12:47.040 that we've been starting to post on LinkedIn 323 00:12:47.040 --> 00:12:48.520 and want to connect with you. 324 00:12:48.560 --> 00:12:50.000 All right, so send me a connection request 325 00:12:50.000 --> 00:12:51.640 and let him know that you listen to the show 326 00:12:51.640 --> 00:12:52.920 and I will accept it. 327 00:12:52.920 --> 00:12:54.880 There's anyone you think that we should be connected with, 328 00:12:54.880 --> 00:12:57.280 tag them in one of my or Laila's posts 329 00:12:57.280 --> 00:12:59.400 and I will give you all the love in the world. 330 00:12:59.400 --> 00:13:01.000 All right, so let's get back to the show. 331 00:13:03.360 --> 00:13:04.760 Now let's play it out. 332 00:13:04.760 --> 00:13:07.240 Let's say you did it and you had a really high standard 333 00:13:07.240 --> 00:13:09.280 and you've only been making content for let's say a year. 334 00:13:09.280 --> 00:13:11.360 Now if you're like, wait, only a year, 335 00:13:11.360 --> 00:13:13.400 yeah, it takes time to build big shit. 336 00:13:13.400 --> 00:13:15.320 So if you build it for a year 337 00:13:15.320 --> 00:13:18.200 and let's say you only got 25 people to graduate, okay? 338 00:13:18.200 --> 00:13:20.400 But they're all killers, savages. 339 00:13:20.400 --> 00:13:21.880 What do you think's gonna happen 340 00:13:21.880 --> 00:13:24.800 to the companies that they go get jobs at? 341 00:13:24.800 --> 00:13:25.640 You got any more? 342 00:13:25.640 --> 00:13:26.960 Sure do. 343 00:13:26.960 --> 00:13:30.360 Now you have even more demand on both sides 344 00:13:30.360 --> 00:13:32.400 and what do you think's gonna happen to the friends 345 00:13:32.400 --> 00:13:34.320 of those people who start making twice 346 00:13:34.320 --> 00:13:35.960 with the industry averages for sales guys 347 00:13:35.960 --> 00:13:37.440 because they're that much better. 348 00:13:37.440 --> 00:13:40.040 They're top 20% top 5% sales guys 349 00:13:40.040 --> 00:13:42.400 rather than just run of the mail sales guys. 350 00:13:42.400 --> 00:13:44.240 Well, their friends are gonna be like, well, fuck it. 351 00:13:44.240 --> 00:13:46.880 If I can wait a year to get three times the earnings, 352 00:13:46.880 --> 00:13:48.120 it's totally worth it. 353 00:13:48.120 --> 00:13:50.640 Well, if I'm gonna make $300,000 a year 354 00:13:50.640 --> 00:13:53.640 rather than the industry average sales guy making 60, 355 00:13:53.640 --> 00:13:55.120 I make five times the income. 356 00:13:55.120 --> 00:13:57.560 How much more valuable is this one year education? 357 00:13:57.560 --> 00:14:00.520 Well, we know Harvard charges people 250,000 358 00:14:00.520 --> 00:14:01.600 for their four years. 359 00:14:01.600 --> 00:14:03.880 So for a year, you could probably charge a lot 360 00:14:03.880 --> 00:14:06.280 because you have the data to support the fact 361 00:14:06.280 --> 00:14:07.720 that one, you don't let everyone in. 362 00:14:07.720 --> 00:14:10.040 Two, when people graduate, you also have a rank order. 363 00:14:10.040 --> 00:14:12.280 Because of the 25 guys, there is one guy 364 00:14:12.280 --> 00:14:14.120 that you said no matter where this guy goes, 365 00:14:14.120 --> 00:14:15.520 he will fucking murder everyone. 366 00:14:15.520 --> 00:14:17.040 And the guy is number 25. 367 00:14:17.040 --> 00:14:19.160 You can say, he got into our program. 368 00:14:19.160 --> 00:14:20.440 He's still a Harvard student, 369 00:14:20.440 --> 00:14:22.160 but he wasn't the best Harvard student. 370 00:14:22.160 --> 00:14:24.200 And what happens is they start to believe you, 371 00:14:24.200 --> 00:14:25.600 the businesses start to believe you, 372 00:14:25.600 --> 00:14:28.840 and then the customers, someone leaves a review, right? 373 00:14:28.840 --> 00:14:31.640 This guy leaves a reviewer like, yeah, you got C's. 374 00:14:31.640 --> 00:14:33.320 You didn't show up, you didn't do your homework. 375 00:14:33.320 --> 00:14:35.000 Obviously, you weren't as good, right? 376 00:14:35.000 --> 00:14:37.160 But you have the data to support that. 377 00:14:37.160 --> 00:14:38.000 And you feel like, man, 378 00:14:38.000 --> 00:14:39.480 this takes time to build something like that. 379 00:14:39.480 --> 00:14:41.880 Sure does, Harvard's over 100 years old. 380 00:14:41.880 --> 00:14:43.520 That's how you build a brand where 381 00:14:43.520 --> 00:14:44.960 is that an education business? 382 00:14:44.960 --> 00:14:46.160 Apps of fucking Lulee. 383 00:14:46.160 --> 00:14:47.200 Is it legit? 384 00:14:47.200 --> 00:14:48.480 Apps of fucking Lulee. 385 00:14:48.480 --> 00:14:51.120 Is it a scam in no possible fucking way? 386 00:14:51.120 --> 00:14:53.480 And so if you want to go from scam 387 00:14:53.480 --> 00:14:56.400 to 100% legit, look at what Harvard does 388 00:14:56.400 --> 00:14:58.880 and model that thought process. 389 00:14:58.880 --> 00:15:00.200 Because if you do it that way, 390 00:15:00.200 --> 00:15:01.880 you can't enter what I believe 391 00:15:01.880 --> 00:15:03.920 is one of the best industries out there 392 00:15:03.920 --> 00:15:06.480 if done the right way. 393 00:15:06.480 --> 00:15:09.920 And one of the keys to making Harvard's thought leadership, 394 00:15:09.920 --> 00:15:11.840 and if you look at the highest brands out there 395 00:15:11.840 --> 00:15:13.640 that are in the business consulting or business space, 396 00:15:13.640 --> 00:15:15.760 look at McKinsey, look at Baine, look at BCG, 397 00:15:16.280 --> 00:15:19.040 look at JP Morgan, like the banks, the reason, 398 00:15:19.040 --> 00:15:21.800 like why do you think they make these white papers? 399 00:15:21.800 --> 00:15:24.480 Why do you think they spin out these incredibly 400 00:15:24.480 --> 00:15:26.640 in-depth reports that they spent millions 401 00:15:26.640 --> 00:15:28.440 of dollars gathering data on? 402 00:15:28.440 --> 00:15:31.360 Because once they do it, if you're an investor 403 00:15:31.360 --> 00:15:33.920 and you're making decisions based on their data, 404 00:15:33.920 --> 00:15:36.720 you assume that they are good. 405 00:15:36.720 --> 00:15:39.240 And it makes you more likely to like and trust them 406 00:15:39.240 --> 00:15:42.000 and ultimately long-term do business with them. 407 00:15:42.000 --> 00:15:44.400 And to respect people that are from their business 408 00:15:44.400 --> 00:15:45.920 who reach out to you, et cetera. 409 00:15:45.920 --> 00:15:49.520 And so it's a self-fulfilling marketing strategy. 410 00:15:49.520 --> 00:15:51.120 And so Harvard invests their stuff, 411 00:15:51.120 --> 00:15:53.200 the Harvard Business Review, they put out books, 412 00:15:53.200 --> 00:15:54.920 they have a massive email list, 413 00:15:54.920 --> 00:15:57.040 like there's all these things that they do 414 00:15:57.040 --> 00:15:59.640 to position themselves as number one. 415 00:16:00.560 --> 00:16:02.040 If you look at the stuff that we're doing, 416 00:16:02.040 --> 00:16:04.000 agquisition.com, it's like there's a free course 417 00:16:04.000 --> 00:16:05.240 on my site that you can take, 418 00:16:05.240 --> 00:16:06.280 you don't have to opt in anywhere. 419 00:16:06.280 --> 00:16:08.080 There's downloads that you can use immediately 420 00:16:08.080 --> 00:16:10.400 that many people take and immediately just sell 421 00:16:10.400 --> 00:16:11.400 to other people. 422 00:16:11.400 --> 00:16:13.320 All right, and I have a course right now 423 00:16:13.320 --> 00:16:14.640 that's coming out on leads. 424 00:16:14.640 --> 00:16:16.200 And you guessed it, it's gonna be free 425 00:16:16.200 --> 00:16:18.080 for the next book, $100 million leads, it comes out. 426 00:16:18.080 --> 00:16:21.520 And the whole goal is it has to be so good 427 00:16:21.520 --> 00:16:25.920 that it becomes the textbook, it becomes the canon, 428 00:16:25.920 --> 00:16:27.760 it becomes the go-to resource 429 00:16:27.760 --> 00:16:30.000 that I had multiple business owners reach out to me 430 00:16:30.000 --> 00:16:32.840 and say, I was gonna write something on this, 431 00:16:32.840 --> 00:16:34.520 but then I saw yours and realized 432 00:16:34.520 --> 00:16:36.640 I was just gonna copy and paste everything you had. 433 00:16:36.640 --> 00:16:38.680 So can I just like send it to my list? 434 00:16:38.680 --> 00:16:40.880 And I was like, sure, of course. 435 00:16:40.880 --> 00:16:43.120 And so that's what you want. 436 00:16:43.120 --> 00:16:47.160 And the thing is is if you're not selling your education 437 00:16:47.160 --> 00:16:48.720 and you're selling the implementation, 438 00:16:48.720 --> 00:16:50.400 you get way more of those opportunities 439 00:16:50.400 --> 00:16:51.880 because people don't see you as a threat. 440 00:16:51.880 --> 00:16:53.280 If you're thinking about thought leadership, 441 00:16:53.280 --> 00:16:55.440 sure, like they're packaging as a white paper 442 00:16:55.440 --> 00:16:58.200 or it's a review or whatever meta analysis, 443 00:16:58.200 --> 00:17:00.040 like, sure, maybe they could use some help 444 00:17:00.040 --> 00:17:01.800 on like making it more palatable, 445 00:17:01.800 --> 00:17:04.040 but you can still take the concept of like, 446 00:17:04.040 --> 00:17:05.440 how can I review all the data 447 00:17:05.440 --> 00:17:07.680 that I exclusively have access to? 448 00:17:07.680 --> 00:17:10.560 All of you, if you have a business, have customers. 449 00:17:10.560 --> 00:17:12.360 Imagine how valuable it would be 450 00:17:12.360 --> 00:17:15.040 to actually publish your success data publicly 451 00:17:15.040 --> 00:17:18.400 and just say, hey, the bottom 20% of students at Harvard 452 00:17:18.400 --> 00:17:19.760 don't shop to class. 453 00:17:19.760 --> 00:17:23.000 Now, you might think, oh, I don't wanna publish my bad stuff. 454 00:17:23.000 --> 00:17:25.640 Transparency always wins long term 455 00:17:25.640 --> 00:17:27.880 because if, like, no one, it's like the M&M thing, 456 00:17:27.880 --> 00:17:29.240 like no one can hold against you 457 00:17:29.240 --> 00:17:31.120 what you put out publicly, right? 458 00:17:31.120 --> 00:17:33.800 And so if you're like, dude, bottom 20% of people 459 00:17:33.800 --> 00:17:35.840 who sign up for my sales thing don't graduate 460 00:17:35.840 --> 00:17:38.400 because they don't shop and they never even make a dial. 461 00:17:38.400 --> 00:17:39.240 Boom. 462 00:17:39.240 --> 00:17:40.720 So on the front end, when you're qualifying people, 463 00:17:40.720 --> 00:17:43.040 like, don't be one of these people, right? 464 00:17:43.040 --> 00:17:44.880 And so then you're always upfront and always legit 465 00:17:44.880 --> 00:17:48.320 and that's what prevents you from being in the waste bucket. 466 00:17:48.320 --> 00:17:51.680 And all the PhDs that go and teach at Harvard 467 00:17:51.680 --> 00:17:55.640 and Stanford and whatever, their main job is content creation. 468 00:17:56.480 --> 00:17:57.600 Think about that. 469 00:17:57.600 --> 00:17:59.760 Their job is to create net new content 470 00:17:59.760 --> 00:18:00.760 that no one's ever made before. 471 00:18:00.760 --> 00:18:02.320 They just call it research. 472 00:18:02.320 --> 00:18:05.000 And so they do a study that lasts three years 473 00:18:05.000 --> 00:18:07.160 or five years and they get funding for their study 474 00:18:07.160 --> 00:18:09.280 and they make truly one of one content. 475 00:18:09.280 --> 00:18:12.520 And the university benefits because everyone then 476 00:18:12.520 --> 00:18:16.000 cites that study and where it says 477 00:18:16.000 --> 00:18:18.240 done at Harvard University by XYZ doctor 478 00:18:18.240 --> 00:18:20.920 so it reinforces their brand and makes them 479 00:18:20.920 --> 00:18:22.440 because of all the backlinks they get to 480 00:18:22.440 --> 00:18:24.400 and all the citations that that study gets 481 00:18:24.400 --> 00:18:26.280 as a more legitimate study. 482 00:18:26.280 --> 00:18:28.080 And so if you think about your content the same way 483 00:18:28.080 --> 00:18:29.720 they think about their research which is 484 00:18:29.720 --> 00:18:34.040 I want as many people to cite my research, my content 485 00:18:34.040 --> 00:18:35.880 then that's how you know you have high quality content. 486 00:18:35.880 --> 00:18:38.160 Guess what, that's also how Google figures out 487 00:18:38.160 --> 00:18:39.480 what content is good or not. 488 00:18:39.480 --> 00:18:41.400 They see how many people share this thing, 489 00:18:41.400 --> 00:18:43.680 how many people link to it because many people 490 00:18:43.680 --> 00:18:44.920 link to it from diverse sources. 491 00:18:44.920 --> 00:18:47.440 It's probably pretty good and as high authority, 492 00:18:47.440 --> 00:18:49.760 high expertise, high depth, et cetera. 493 00:18:49.760 --> 00:18:51.440 And so if you make content like that, 494 00:18:51.440 --> 00:18:53.640 you make it too good to fail. 495 00:18:53.640 --> 00:18:55.880 And fundamentally from the expectation settings 496 00:18:55.880 --> 00:18:58.760 it comes down to the term unsubstantiated claims. 497 00:18:58.760 --> 00:19:01.320 That's fundamentally almost all marketing laws 498 00:19:01.320 --> 00:19:03.920 and FTC compliance, all of that comes down to that one term 499 00:19:03.920 --> 00:19:06.960 which is people make promises that they can't back up. 500 00:19:07.000 --> 00:19:09.800 And so if you have no data, guess what? 501 00:19:09.800 --> 00:19:11.360 You can't make any promises. 502 00:19:11.360 --> 00:19:15.000 So the best thing to do is collect data so that 503 00:19:15.000 --> 00:19:17.120 you can make substantiated claims. 504 00:19:17.120 --> 00:19:19.480 That's the key here and it's not really a claim 505 00:19:19.480 --> 00:19:21.520 because you're just saying this is what happened 506 00:19:21.520 --> 00:19:24.120 caveat past performance isn't a predictor 507 00:19:24.120 --> 00:19:25.560 a future performance. 508 00:19:25.560 --> 00:19:27.960 This is what happened with our last graduating class. 509 00:19:27.960 --> 00:19:29.640 It might not ever happen again, 510 00:19:29.640 --> 00:19:31.280 but you can use that to make your own decision. 511 00:19:31.280 --> 00:19:33.440 It also gets you out of the rat race of the best. 512 00:19:33.440 --> 00:19:36.120 I was having, there was a company that I was looking at 513 00:19:36.120 --> 00:19:37.480 and they were a little bit smaller so we ended up 514 00:19:37.480 --> 00:19:39.640 not wanting to invest in the company, 515 00:19:39.640 --> 00:19:42.240 but she, the owner of the company asked me, 516 00:19:42.240 --> 00:19:43.760 I said, what makes you different 517 00:19:43.760 --> 00:19:44.720 than everybody else in the space? 518 00:19:44.720 --> 00:19:45.840 And she said, well, we're the best. 519 00:19:45.840 --> 00:19:48.040 And I was like, you were smaller than a ton of people 520 00:19:48.040 --> 00:19:50.800 in the space and so objectively I think that's false. 521 00:19:50.800 --> 00:19:53.320 And she looked really defeated and I said, 522 00:19:53.320 --> 00:19:55.480 you wanna know how you can get around that question 523 00:19:55.480 --> 00:19:57.080 because prospects actually ask you that 524 00:19:57.080 --> 00:19:58.480 because she was like, it was one of the big issues 525 00:19:58.480 --> 00:20:01.920 they had coming up and I said, you don't need to be the best. 526 00:20:01.920 --> 00:20:05.000 You just need to show and you just need to demonstrate 527 00:20:05.000 --> 00:20:06.920 a high return on investment. 528 00:20:06.920 --> 00:20:10.200 So that way I don't need to compete against six other people 529 00:20:10.200 --> 00:20:12.720 because it's like saying, don't invest in that fund, 530 00:20:12.720 --> 00:20:13.960 only invest in my fund. 531 00:20:13.960 --> 00:20:15.600 Well, that's silly, invest in both. 532 00:20:15.600 --> 00:20:17.840 You, you might, if you get a good return on both, 533 00:20:17.840 --> 00:20:19.160 get a good return on both. 534 00:20:19.160 --> 00:20:20.680 And so it stops making you competitor 535 00:20:20.680 --> 00:20:22.440 from everyone to be like, I'm the best, 536 00:20:22.440 --> 00:20:24.160 but you can't really objectively prove, 537 00:20:24.160 --> 00:20:26.440 but what you can say is these are the expectations 538 00:20:26.440 --> 00:20:29.720 you can have given the data that I have to support this claim. 539 00:20:29.720 --> 00:20:32.920 And then the prospect can make an informed decision 540 00:20:32.920 --> 00:20:34.520 to buy your thing or not. 541 00:20:34.520 --> 00:20:36.280 And guess what, when they make informed decisions, 542 00:20:36.280 --> 00:20:37.200 they tend to stick with them. 543 00:20:37.200 --> 00:20:39.040 If you're in the waste basket right now, 544 00:20:39.040 --> 00:20:41.080 you're in the bucket of sewage right now 545 00:20:41.080 --> 00:20:43.440 and you can stuff identify and you might get bought hurt by this, 546 00:20:43.440 --> 00:20:44.600 but like, I don't really care. 547 00:20:44.600 --> 00:20:45.880 I'm trying to do this long term for you 548 00:20:45.880 --> 00:20:47.360 rather than short term for you. 549 00:20:47.360 --> 00:20:49.160 I'm trying to be kind rather than nice. 550 00:20:49.160 --> 00:20:51.560 You have to take a big humility pill 551 00:20:51.560 --> 00:20:54.080 because you can either, you can continue to kind of 552 00:20:54.080 --> 00:20:55.960 like go on this on this treadmill 553 00:20:55.960 --> 00:20:58.000 and never really break through that barrier 554 00:20:58.000 --> 00:21:00.560 because there's a reason that most of these businesses cap 555 00:21:00.560 --> 00:21:02.360 like they can't get beyond a certain size. 556 00:21:02.360 --> 00:21:04.720 Whereas legitimate businesses can. 557 00:21:04.720 --> 00:21:07.480 And it's because they consistently overdeliver 558 00:21:07.480 --> 00:21:08.800 and exceed expectations. 559 00:21:08.800 --> 00:21:10.880 This company, when taken to its national end, 560 00:21:10.880 --> 00:21:12.320 will either go out of business 561 00:21:12.320 --> 00:21:14.080 because things will stop converting. 562 00:21:14.080 --> 00:21:15.280 That's what going out of business means 563 00:21:15.280 --> 00:21:16.480 because you have to change your entire offer 564 00:21:16.480 --> 00:21:17.880 just because you have the same employees 565 00:21:17.880 --> 00:21:19.560 doesn't necessarily use the same business, right? 566 00:21:19.560 --> 00:21:21.960 You have to constantly reshuffle and recycle offers 567 00:21:21.960 --> 00:21:23.440 which means that you never actually get 568 00:21:23.440 --> 00:21:25.240 any compounding to work in your favor 569 00:21:25.240 --> 00:21:28.120 which means you constantly have to start back at ground zero 570 00:21:28.120 --> 00:21:30.640 every 24 months with your new big idea 571 00:21:30.680 --> 00:21:33.280 because you've over-promised and under-delivered 572 00:21:33.280 --> 00:21:34.560 to everyone in one marketplace 573 00:21:34.560 --> 00:21:36.720 that you have to switch marketplaces and do it again. 574 00:21:36.720 --> 00:21:37.880 And I want to be really clear, 575 00:21:37.880 --> 00:21:39.160 you can make money doing that. 576 00:21:39.160 --> 00:21:40.520 You just won't make big money. 577 00:21:40.520 --> 00:21:42.320 And for everybody's in Mosination, 578 00:21:42.320 --> 00:21:44.400 my hope for you is that you want to make big money 579 00:21:44.400 --> 00:21:46.560 because that's all we try to do at acquisition.com 580 00:21:46.560 --> 00:21:48.920 is we help companies make this transition. 581 00:21:48.920 --> 00:21:49.840 Obviously, if you're all the way here, 582 00:21:49.840 --> 00:21:51.240 we don't talk to you, but like if you're over here, 583 00:21:51.240 --> 00:21:52.720 we're like, okay, let's add a company's 584 00:21:52.720 --> 00:21:55.320 other elements of legitimacy because here, 585 00:21:55.320 --> 00:21:56.400 hear me out on this. 586 00:21:56.400 --> 00:21:58.800 If you have a company that's doing $10 million in top line 587 00:21:58.800 --> 00:22:00.240 and $3 million in profit 588 00:22:00.240 --> 00:22:01.080 and there's two companies. 589 00:22:01.080 --> 00:22:03.040 One is kind of in this scam bucket 590 00:22:03.040 --> 00:22:05.240 and the other one's in this very legitimate Harvard bucket. 591 00:22:05.240 --> 00:22:07.440 This thing might be worth $30 million. 592 00:22:07.440 --> 00:22:10.880 This thing isn't worth a $5 bill. 593 00:22:10.880 --> 00:22:14.840 And so you can make yourself $30 million wealthier 594 00:22:14.840 --> 00:22:16.960 by adding these elements of legitimacy. 595 00:22:16.960 --> 00:22:19.160 And if it takes you a year or 24 months 596 00:22:19.160 --> 00:22:22.360 in order to go through those steps, it's worth it 597 00:22:22.360 --> 00:22:25.040 because you got $30 million wealthier 598 00:22:25.040 --> 00:22:28.480 in that 24 month period tax-free. 599 00:22:28.520 --> 00:22:30.920 So this is where you have to expand your time horizon 600 00:22:30.920 --> 00:22:32.840 and say, like, do I want to be really wealthy 601 00:22:32.840 --> 00:22:34.360 or do I just want to flex on Instagram? 602 00:22:34.360 --> 00:22:36.800 And that's a real question, you know what I mean? 603 00:22:36.800 --> 00:22:38.440 And like some of you guys just want to flex on Instagram 604 00:22:38.440 --> 00:22:40.240 which is fine, then like go do that. 605 00:22:40.240 --> 00:22:41.920 But like this is, like I make my shit 606 00:22:41.920 --> 00:22:43.880 for the people who want to go big. 607 00:22:43.880 --> 00:22:46.160 And like to go big, you have to be legit. 608 00:22:46.160 --> 00:22:47.240 And I'll give you the little math 609 00:22:47.240 --> 00:22:49.920 and maybe my team will cut this out because it's a little deep. 610 00:22:49.920 --> 00:22:52.960 But what happens is when you go into a marketplace, 611 00:22:52.960 --> 00:22:55.560 it only becomes more expensive to acquire new customers 612 00:22:55.560 --> 00:22:57.720 because in the beginning you have your warmest audience, 613 00:22:57.720 --> 00:22:59.800 right, the people who know you, like you trust you, whatever. 614 00:22:59.800 --> 00:23:02.280 And then you expand one circle outside of that. 615 00:23:02.280 --> 00:23:04.200 And what happens is there's two forces 616 00:23:04.200 --> 00:23:05.680 that compound against you. 617 00:23:05.680 --> 00:23:07.800 One is that it often costs more 618 00:23:07.800 --> 00:23:09.640 to reach those colder audiences. 619 00:23:09.640 --> 00:23:12.800 Two, the percentage of people in that cold audience 620 00:23:12.800 --> 00:23:14.600 who respond and buy your thing is less 621 00:23:14.600 --> 00:23:15.920 because they're less of a fit. 622 00:23:15.920 --> 00:23:18.680 If I'm selling dog food and I only target people up petco, 623 00:23:18.680 --> 00:23:19.680 I'm probably gonna have more people buy 624 00:23:19.680 --> 00:23:21.680 than if I just target the United States, right? 625 00:23:21.680 --> 00:23:23.200 It's just more people are a fit. 626 00:23:23.200 --> 00:23:25.400 And here's the third really insidious one 627 00:23:25.400 --> 00:23:26.400 that works against you. 628 00:23:26.440 --> 00:23:30.000 Is that advertising costs only go one way up. 629 00:23:30.000 --> 00:23:31.280 If you look at Facebook ads, 630 00:23:31.280 --> 00:23:34.400 cost per impression for 2014, 2015, 2016, 631 00:23:34.400 --> 00:23:35.960 it's just a straight line going up. 632 00:23:35.960 --> 00:23:38.960 And so you've got, you're going to colder, colder audiences 633 00:23:38.960 --> 00:23:40.600 that convert less and less and less 634 00:23:40.600 --> 00:23:43.320 and the net cost of advertising only goes up. 635 00:23:43.320 --> 00:23:46.240 So then how do you scale a business over the long term 636 00:23:46.240 --> 00:23:48.280 if you have three forces working against you? 637 00:23:48.280 --> 00:23:49.520 You have to have the people 638 00:23:49.520 --> 00:23:52.200 who come into your business send you other people. 639 00:23:52.200 --> 00:23:55.920 It's a non-linear thing that can compound in your favor. 640 00:23:55.920 --> 00:23:59.000 And so for example, if your cost to acquire a customer 641 00:23:59.000 --> 00:24:02.960 has gone up faster than the cost increase 642 00:24:02.960 --> 00:24:05.600 on cost of impressions on whatever advertising platform 643 00:24:05.600 --> 00:24:09.240 you have negative word of mouth working against you. 644 00:24:09.240 --> 00:24:11.200 People who otherwise would have bought 645 00:24:11.200 --> 00:24:14.640 who didn't know you at all have been convinced not to buy 646 00:24:14.640 --> 00:24:17.040 because someone did buy and said they're a scam. 647 00:24:17.040 --> 00:24:19.600 And so the only way to really scale long term 648 00:24:19.600 --> 00:24:22.720 is to have net goodwill from your customer base 649 00:24:22.720 --> 00:24:24.000 that gets you more referrals 650 00:24:24.040 --> 00:24:25.920 so that when you go to that coldest market 651 00:24:25.920 --> 00:24:26.760 that costs you the most, 652 00:24:26.760 --> 00:24:28.120 that conversely amount of people, 653 00:24:28.120 --> 00:24:31.120 that one guy brings you five and never leaves. 654 00:24:31.120 --> 00:24:34.400 And that's how you can continue to market and expand over time. 655 00:24:34.400 --> 00:24:35.600 But if you don't do that, 656 00:24:35.600 --> 00:24:38.600 you constantly have to reinvent yourself every 24 months 657 00:24:38.600 --> 00:24:40.440 and remark it to that little warm audience 658 00:24:40.440 --> 00:24:42.440 who knows who you are and you sell a new widget. 659 00:24:42.440 --> 00:24:43.640 It's a tough life. 660 00:24:43.640 --> 00:24:45.680 And so the only things that get really big 661 00:24:45.680 --> 00:24:47.400 are things that grow unto themselves. 662 00:24:47.400 --> 00:24:50.560 They compound and compounding takes time. 663 00:24:50.560 --> 00:24:52.120 And the strategy is outlined 664 00:24:52.120 --> 00:24:54.840 is the longest term play of making a legitimate education 665 00:24:54.840 --> 00:24:56.200 business into something that's valuable 666 00:24:56.200 --> 00:24:57.480 and actually helps people.