WEBVTT 1 00:00:00.000 --> 00:00:04.400 Persuasion tool number five is authority. The reason it's so powerful is not because 2 00:00:04.400 --> 00:00:09.600 what an authority says is actually more persuasive in terms of the actual words they say, 3 00:00:09.600 --> 00:00:13.600 but because people put up fewer filters and accept more things is truth. 4 00:00:15.040 --> 00:00:18.480 Welcome to the game where we talk about how to sell more stuff to more people in more ways 5 00:00:18.480 --> 00:00:22.800 and build businesses worth owning. I'm trying to build a billion dollar thing with acquisition.com. 6 00:00:22.800 --> 00:00:26.960 I always wish pesos, musk and buffet had documented their journey, so I'm doing it for the rest of us. 7 00:00:26.960 --> 00:00:32.720 Please share and enjoy. You can get anything you want in life if you can get other people to get 8 00:00:32.720 --> 00:00:36.240 it for you, which makes persuasion among the highest leverage skills in the world. Think about it. 9 00:00:36.240 --> 00:00:39.920 If you just got one person to then just get everybody else to do things for you, 10 00:00:39.920 --> 00:00:44.240 then it means that's the only thing you'd have to learn in order to get whatever you want in life. 11 00:00:44.240 --> 00:00:48.480 And the good news is tons of research has been done on how to become more persuasive. 12 00:00:48.480 --> 00:00:53.440 And I have to give my nod to Robert Caldini the goat who made most research accessible to the masses 13 00:00:53.440 --> 00:00:58.320 in his book Influence. What I want to do is show you the most effective ways I applied his 14 00:00:58.320 --> 00:01:02.960 methods in my own business that now do over $200 million a year in combined revenue. And hopefully 15 00:01:02.960 --> 00:01:06.880 they work even better for you so that you can grow your business $3 million plus a year so we can 16 00:01:06.880 --> 00:01:12.160 invest in it and grow it together. Tool number one is reciprocity. Give that what you want to receive. 17 00:01:12.160 --> 00:01:16.800 When you show kindness and generosity towards others, they're more likely to return the favor 18 00:01:16.800 --> 00:01:20.560 and like you as a result. So for example, if you pay for your friend's lunch, 19 00:01:20.560 --> 00:01:24.240 that person now feels obligated to return the favor. They're like, hey, I'll get the next one, 20 00:01:24.240 --> 00:01:27.440 right? Now fundamentally, they don't have to do that. And we already assume that it works that 21 00:01:27.440 --> 00:01:31.040 way because we've just been doing it for so long. We've been humaning, right? But that like 22 00:01:31.040 --> 00:01:35.040 fundamentally, if you pay for it, there would be no obligation for them to pay you back. We just 23 00:01:35.040 --> 00:01:40.720 almost expect it because it's that deep in our cultural DNA. Now, Caldini gives a really beautiful 24 00:01:40.720 --> 00:01:46.160 example of how to leverage this in business. And he shows an example for a waiter. So if a waiter 25 00:01:46.160 --> 00:01:51.520 puts a mint on the bill, they get 3% more tips, right? People get something and they're more likely 26 00:01:51.520 --> 00:01:57.200 to tip them a little bit more. Now, here's a second version of that. The waiter gives the person 27 00:01:57.200 --> 00:02:02.720 two mints. All of a sudden, the tips increase by 14%. Significantly more. If you could get a 14% 28 00:02:02.720 --> 00:02:07.040 page up just by putting a second mint on every single thing, why wouldn't you? I mean, it's worth 29 00:02:07.040 --> 00:02:12.160 paying $5 a month for a big bag of mints just to make sure you get paid. But the thing is that in 30 00:02:12.160 --> 00:02:16.880 business, there are tons of these $5 mint bags that are laying around that you can immediately 31 00:02:16.880 --> 00:02:20.960 implement in your own business. And the third way they did the waiter example was that the person 32 00:02:20.960 --> 00:02:27.280 put a mint down, turn around and put another mint on the table. And that created a 23% increase in 33 00:02:27.280 --> 00:02:32.800 tips. And it's the same reason that outside of a retail store, as soon as you come in, they offer 34 00:02:32.800 --> 00:02:36.000 you cold water. It's not because they're nice people. It's because they know that you'll feel 35 00:02:36.000 --> 00:02:40.400 indebted to them and be more likely to a stay longer, be listening to them and see ultimately buy. 36 00:02:40.400 --> 00:02:44.560 So imagine how much it costs a store owner to give everybody who walks in the door a water. I 37 00:02:44.560 --> 00:02:49.440 don't know, $5 a day. And if they get one person to buy extra a week off of that, which they 38 00:02:49.440 --> 00:02:53.520 probably get a lot more, is that worth the investment? It's probably the highest return on investment 39 00:02:53.520 --> 00:02:58.240 thing in his entire business. So here's how it works psychologically. Reciprocity activates 40 00:02:58.240 --> 00:03:02.160 the brains for word system. All right. And so it releases dopamine, which is a response to 41 00:03:02.160 --> 00:03:06.880 pleasurable experiences or stuff you like, including reciprocity. All right. And so this house 42 00:03:06.880 --> 00:03:10.320 builds social bonds and creates positive feelings towards people you can reciprocate with. 43 00:03:10.320 --> 00:03:16.240 Right. Now, the main point is the reciprocity increases the feelings of trust and cooperation 44 00:03:16.240 --> 00:03:19.920 in social settings. So if you sell stuff or you want to persuade people, that's where you want 45 00:03:19.920 --> 00:03:23.680 to have the trust and cooperation. Right. Cooperation is just another way of saying that person does 46 00:03:23.680 --> 00:03:27.520 what you want them to do. So here's how you can implement this in your life without being a weirdo. 47 00:03:27.520 --> 00:03:32.800 So years ago, I actually had this done to me and I saw the effect and it was wild. All right. So 48 00:03:32.880 --> 00:03:36.800 there was this guy that I thought was a complete weirdo. Now, whenever I saw him, he would try and 49 00:03:36.800 --> 00:03:39.920 ask me like a hundred questions. So he was local to where I was. He was in like some entrepreneur 50 00:03:39.920 --> 00:03:42.880 networks and he would just like try and corner me and I was like, dude, just get away from me. You 51 00:03:42.880 --> 00:03:46.640 know what I mean? Like, he's like a hundred questions. He just will let me leave. So I started 52 00:03:46.640 --> 00:03:50.880 avoiding him entirely. Right. And so I, and so eventually I had to confront him, be like, 53 00:03:50.880 --> 00:03:56.480 stop talking to me. Like, go away. Leave me alone and be quiet. And so what happened is he was 54 00:03:56.480 --> 00:04:01.920 so ashamed of the whole experience, whatever he started sending me gifts every single month. So I'm 55 00:04:01.920 --> 00:04:06.560 talking about like $500,000 gifts every month, like cocoa knives and, and like clothing, which 56 00:04:06.560 --> 00:04:10.480 was kind of weird, but there was expensive aluminum stuff. Anyways, every single month, you would 57 00:04:10.480 --> 00:04:14.320 send me this stuff. And for nine months, say something birthday cakes that were custom made in 58 00:04:14.320 --> 00:04:19.040 ice cream, like, was wild. And I still never responded. But after a while, I just started feeling 59 00:04:19.040 --> 00:04:22.400 bad because he just kept sending them and it's saying like, so sorry, I hope everything's awesome, 60 00:04:22.400 --> 00:04:26.320 blah, blah, blah. And I was like, you know what? Maybe I just saw him the wrong way and I was just 61 00:04:26.320 --> 00:04:31.680 like, got him off on the wrong foot. And so even though I knew what he was doing, it still worked. 62 00:04:31.680 --> 00:04:36.480 And I ended up going out to meet him again, turns out still a weirdo. But the thing is is that 63 00:04:36.480 --> 00:04:41.360 it actually worked, even though I knew everything he was doing. And so that's to show you how powerful 64 00:04:41.360 --> 00:04:46.000 this stuff is. And to give you another one, me personally on the giving side, I tried to get in 65 00:04:46.000 --> 00:04:49.600 contact with Arnold Schwarzenegger when I was running Jim Much, and I thought it would make a lot of 66 00:04:49.600 --> 00:04:54.560 sense. And I wanted him to endorse my book. That was like my whole goal. All right. And turns out, 67 00:04:54.560 --> 00:05:00.320 nothing worked. It also turns out Arnold doesn't care about endorsing some kids book. But in order to 68 00:05:00.320 --> 00:05:05.200 get his attention, what Layla and I did was he donated a million dollars to his charity. And then 69 00:05:05.200 --> 00:05:09.520 we ended up sitting down with Arnold multiple times, right? And because he used to be one of the famous 70 00:05:09.520 --> 00:05:13.040 people in the world. I knew I had to really step it up because he gets custom made gifts all the 71 00:05:13.040 --> 00:05:16.560 time every single day. And so I knew I had to do something I was going to get his attention. And the 72 00:05:16.560 --> 00:05:19.840 thing is, I don't want to give him money because he doesn't need it. But I had to give a cause that 73 00:05:19.840 --> 00:05:23.920 he cared about money. And so that was ultimately the thing that did it for me. And out of reciprocity, 74 00:05:23.920 --> 00:05:28.960 he wanted to like meet me, et cetera. And so I'm telling you, this step works at all levels. Now, 75 00:05:28.960 --> 00:05:33.440 mind you, the gift you have to do is proportional to the person you're trying to give to, right? But 76 00:05:33.440 --> 00:05:37.200 in the beginning, you can just start by giving people free gum when you're in class, which is the first 77 00:05:37.200 --> 00:05:40.320 time I learned it when I was in middle school, is that it turned around, opened my thing, and I would 78 00:05:40.320 --> 00:05:44.000 hand everybody else gum. And turned out, people weren't as mean to me when I gave them gum earlier 79 00:05:44.000 --> 00:05:47.760 that day. And so it was tiny little thing that cost me almost nothing that made my life in middle 80 00:05:47.760 --> 00:05:52.720 school a little bit easier. Tool number two is consistency. We judge people based on their actions. 81 00:05:52.720 --> 00:05:56.720 All right. Consistency can be used in persuasion by asking someone to publicly commit to an idea 82 00:05:56.720 --> 00:06:00.640 or action. A public key can be just in front of you, but it can also be widely to the world. 83 00:06:00.640 --> 00:06:03.760 All right. So if you encourage someone to take small steps towards the commitment that they 84 00:06:03.760 --> 00:06:08.320 already made and reminding them of the commitment and asking them to remain consistent with it, 85 00:06:08.320 --> 00:06:12.640 then people are more likely to continue down that path. And if you set the original frame in the 86 00:06:12.640 --> 00:06:17.120 original commitment, then you can get them to be consistent with that thing in increasing larger 87 00:06:17.120 --> 00:06:20.560 steps. This is called the whole like foot in the door concept. All right. So it's the whole idea 88 00:06:20.560 --> 00:06:24.480 of like the salesman gets his foot in the door, like giving an inch, get a mile. It's all around 89 00:06:24.480 --> 00:06:29.680 that. And the old saying exists because it's true. Like you are more likely. It's slowly boiling 90 00:06:29.680 --> 00:06:34.160 the frog. It's the same concept, right? Something that somebody would never say yes to originally 91 00:06:34.160 --> 00:06:38.400 would definitely be more likely to say yes to earlier. And so they did a research study where they 92 00:06:38.400 --> 00:06:42.960 had people post little signs that said drive safely. It was a no card like this. And they had it 93 00:06:42.960 --> 00:06:47.040 put them in the window for their neighborhood. And then they asked them two or three weeks later, 94 00:06:47.040 --> 00:06:51.760 hey, because you're somebody who's so committed to this safety, commitment and consistency, 95 00:06:51.760 --> 00:06:54.880 reminding them of the thing. They said, would you be willing to put a big sign in your art? And 96 00:06:54.880 --> 00:06:58.800 people said sure. And they put a big sign in the art. Now they asked a different set of people, 97 00:06:58.800 --> 00:07:02.640 would you just be willing to put a big sign in your art that says this stuff? And way more people 98 00:07:02.640 --> 00:07:06.880 said no. And so just because they made the first ask and then the second ask in alignment and 99 00:07:06.880 --> 00:07:11.520 commitment and consistency, they're able to get way more yeses. So for example, a charity 100 00:07:11.520 --> 00:07:16.720 organization may ask someone to pledge a certain amount of money publicly, right? And then they 101 00:07:16.720 --> 00:07:20.320 encourage them to take small steps towards filling that pledge, like setting up automatic monthly 102 00:07:20.320 --> 00:07:24.560 donations. And then finally, maybe they remind them the commitment asked them to do it even more, 103 00:07:24.560 --> 00:07:28.480 right? Because because you're this type of person, you also want to sponsor this kid in China, 104 00:07:28.480 --> 00:07:32.480 whatever. So here's how it works behind the scenes. All right, no one wants to be known as 105 00:07:32.480 --> 00:07:36.800 inconsistent. It's a bad character trait among humans, like people don't like to be called flaky, 106 00:07:36.800 --> 00:07:40.880 a lot of people called volatile or erratic. It's kind of like craziness. So people don't like that. So 107 00:07:40.880 --> 00:07:44.960 they want to appear stable, consistent throughout their life. It's one of the problems that politicians 108 00:07:44.960 --> 00:07:47.440 have because as soon as they say something, they have to stick with it forever even if they change 109 00:07:47.600 --> 00:07:51.360 their minds. But people have a natural tendency to be consistent with their past behaviors and 110 00:07:51.360 --> 00:07:55.360 decisions, especially when they've made a commitment publicly. All right, that's why switching 111 00:07:55.360 --> 00:07:59.680 brains is so hard for some people. And the only way for commitments to work is that they have to 112 00:07:59.680 --> 00:08:02.880 be voluntary. You can't force someone to make a commitment, otherwise the persuasion doesn't work. 113 00:08:02.880 --> 00:08:06.000 They have to voluntarily do it, which is why you usually have to do it with questions. 114 00:08:06.640 --> 00:08:11.520 Get them to admit it, get them to label themselves as a certain way or a certain type of person, 115 00:08:11.520 --> 00:08:16.800 and then ask them to make an action in accordance to the thing they just voluntarily stated. 116 00:08:17.440 --> 00:08:21.120 So here's how I used it in my life, hopefully without being too much of a weirdo. So in 117 00:08:21.120 --> 00:08:24.720 sales scripting, you ask lots of questions during the discovery phase. All right, so that's really 118 00:08:24.720 --> 00:08:28.320 part of the sales conversation. Why are you here? What do you want? What is so important to you, 119 00:08:28.320 --> 00:08:31.920 et cetera? And you do that for two reasons. One, because you want to hear about the person's 120 00:08:31.920 --> 00:08:35.680 problem to make sure that you can actually solve it. But secondly, because you like commitment and 121 00:08:35.680 --> 00:08:41.360 consistency guidelines. So as soon as the person labels themselves a certain way, you then reaffirm it. 122 00:08:41.360 --> 00:08:45.360 So you say, Hey, just to be clear, are you the type person who x, y and z's and you want to make 123 00:08:45.360 --> 00:08:48.320 it a positive label? So you're the type person who sticks with their commitments. You're the type 124 00:08:48.320 --> 00:08:52.320 person who takes action. You're the type person who cares about their family. You're the type 125 00:08:52.320 --> 00:08:56.240 person who values reinvesting in their business. You say these statements because you're laying 126 00:08:56.240 --> 00:09:01.120 the commitment consistency that you're going to ask them to stick with later on in the conversation. 127 00:09:01.120 --> 00:09:05.680 And the key point is that once they agree to the label voluntarily, you then later can make the 128 00:09:05.680 --> 00:09:10.400 request in a course that because if they don't decide to do the thing, they have to either make 129 00:09:10.560 --> 00:09:15.440 an argument for why they are still the type person and yet still don't do the thing or they have 130 00:09:15.440 --> 00:09:19.600 to admit that they're not that type of person, both of which are much harder to do once you voluntarily 131 00:09:19.600 --> 00:09:23.600 stated you are. So for example, if I said, Hey, you're the type person. So like, let me get this 132 00:09:23.600 --> 00:09:28.800 straight. Are you the type person who like takes action is and is is willing to invest in themselves? 133 00:09:28.800 --> 00:09:33.520 If someone says yes, then later on, if I say, Hey, great, I think you should invest in yourself. 134 00:09:33.520 --> 00:09:37.040 Since you're the type person who's really willing to take action and really likes to invest in 135 00:09:37.120 --> 00:09:41.440 themselves, then I think this will be perfect for you. Boom. And then I can make the ask because I just 136 00:09:41.440 --> 00:09:45.760 reminded them twice of the commitments they made earlier and I'm asking them to be consistent with 137 00:09:45.760 --> 00:09:52.720 those later during the close. Real quick, guys, you guys already know that I don't run any ads on this 138 00:09:52.720 --> 00:09:56.720 and I don't sell anything. And so the only ask that I can ever have if you guys that you help me 139 00:09:56.720 --> 00:10:00.960 spread the words, we can have more entrepreneurs, make more money, feed their families, make better 140 00:10:00.960 --> 00:10:05.520 products and have better experiences for their employees and customers. And the only way we do that 141 00:10:05.520 --> 00:10:10.400 is if you can rate and review and share this podcast. So the single thing that I have to do is 142 00:10:10.400 --> 00:10:14.240 you can just leave a review, but take 10 seconds or one type of the thug that it means the absolute 143 00:10:14.240 --> 00:10:17.200 will to me and more importantly, it may change the world for someone else. 144 00:10:19.360 --> 00:10:24.320 Tool number three is social proof. People tend to confirm the actions and opinions of others 145 00:10:24.320 --> 00:10:27.440 that have been given social proof. And then the reason they do that is because it's safer. 146 00:10:27.440 --> 00:10:31.600 If a hundred people walk this way, well, they must have some idea and secret is they don't, 147 00:10:31.600 --> 00:10:36.400 but people are still wired that way, right? And so people look to other people for cues about how 148 00:10:36.400 --> 00:10:40.160 to behave or what to believe. And this is how we learn to be human, right? When we're little kids, 149 00:10:40.160 --> 00:10:42.880 we just look at other people and we say, I'll do what they do because that's what humans do and then 150 00:10:42.880 --> 00:10:48.480 you start becoming human. For example, if you see something on Amazon, it has 5,000 five star reviews, 151 00:10:48.480 --> 00:10:52.800 you're way more likely to buy it. Like, Amazon does this stuff because it knows it gets people to 152 00:10:52.800 --> 00:10:58.320 take action. It's a persuasive tool. And so if you've ever heard a laugh track on a show where 153 00:10:58.320 --> 00:11:03.040 it's like, ha, ha, in the background, people then laugh more than if there is no laugh track, 154 00:11:03.040 --> 00:11:08.480 which is wild. But we are so conditioned to behave in accordance with how everyone else does 155 00:11:08.480 --> 00:11:14.320 that that laugh track persuades us. And in other words, gets us to do something they want us to do, 156 00:11:14.320 --> 00:11:19.600 which is laugh better than anything else. And so here's how I used it in my own businesses. 157 00:11:20.400 --> 00:11:25.920 One, I printed out every single five star review guy got online. So if you ever get a five star 158 00:11:25.920 --> 00:11:29.520 review on trust pilot or your product gets a review or if you have a brick and mortar location, 159 00:11:29.520 --> 00:11:34.160 this is where it kills is that you look at all your Yelp reviews and you screenshot every single one 160 00:11:34.160 --> 00:11:37.920 of them. So I screenshot it all of them and I framed every one of them so that floor to ceiling 161 00:11:37.920 --> 00:11:43.520 my lobby was five star reviews. And then the other have was before and after pictures. So I'd have 162 00:11:43.520 --> 00:11:47.440 every single person. And this is how you can weave this into your business is that in the beginning, 163 00:11:47.440 --> 00:11:52.640 right when you take somebody on as a customer, et cetera, try and capture some sort of visual 164 00:11:52.640 --> 00:11:58.160 of their current state. And then later, when you have the opportunity, you can ask for the after 165 00:11:58.160 --> 00:12:01.920 and so that you can put those together and you can display those at the beginning of your sales 166 00:12:01.920 --> 00:12:06.000 cycle so that people are more likely to believe you when you say I can help you. Because imagine a 167 00:12:06.000 --> 00:12:09.920 world where someone says like, Hey, Alex, I don't think you can help me lose weight. Now, just like 168 00:12:10.640 --> 00:12:14.880 look around the room, be like, really? And then I would say, how much proof would you need to 169 00:12:14.880 --> 00:12:18.960 believe? And at what point is your requirement for proof more unreasonable than the amount of proof I 170 00:12:19.040 --> 00:12:24.320 have? And that crushes their belief of whether or not they could do it or at least that I was good 171 00:12:24.320 --> 00:12:28.960 enough to do it. If you struggle to get testimonials, there's two reasons. One is that you suck seconds 172 00:12:28.960 --> 00:12:32.800 that you don't ask. All right. And so one of the things that I do is I also try to give an incentive 173 00:12:32.800 --> 00:12:37.440 to people to leave a testimonial. And so you can do that with high levels of service for a temporary 174 00:12:37.440 --> 00:12:40.640 period, which by the way, can just give you give them a trial of something that's more expensive 175 00:12:40.640 --> 00:12:44.960 later. Great idea. Or if you're like in the digital space, you can give them access to exclusive 176 00:12:44.960 --> 00:12:49.520 media that like they might not otherwise have trainings, programs, stuff, et cetera. And you can 177 00:12:49.520 --> 00:12:55.120 just unlock it only for people who do the thing. Now, if someone doesn't want to freely give you 178 00:12:55.120 --> 00:12:59.760 testimonials, do not push it. The way that I got over that, I say, totally, like I immediately 179 00:12:59.760 --> 00:13:03.760 back off and like totally understand I didn't know we were like, we had not done, like I would go 180 00:13:03.760 --> 00:13:07.280 totally other direction. Like I didn't know we had done such a bad job that you wouldn't want to 181 00:13:07.280 --> 00:13:11.200 talk about as publicly. And they're like, well, no, no, no, no, no, like I'm not saying that. 182 00:13:11.200 --> 00:13:16.880 It's like either way, it's totally fine. What would I need to do in order for you to feel confident 183 00:13:16.880 --> 00:13:21.200 about being able to portray a public? Because now they have to answer the question. And if they'll 184 00:13:21.200 --> 00:13:25.840 give you whatever answer they will, if you can go do it, then do it and then come back. Because 185 00:13:25.840 --> 00:13:30.160 oftentimes it's like a tiny little thing. And it also gives you early indications that someone's 186 00:13:30.160 --> 00:13:33.600 not happy, which is also just great to have in business anyways. And so either you get more 187 00:13:33.600 --> 00:13:39.120 information or you get more testimonials, either way you win. Tool number four, liking or what 188 00:13:39.200 --> 00:13:44.560 people like to call it rapport. All right. So people like people who like them or who they perceive 189 00:13:44.560 --> 00:13:48.640 as friends. And the more you like someone, the more likely they are to say yes to you. Right. And 190 00:13:48.640 --> 00:13:51.840 so the liking principle states that people are more likely to be persuaded by those that they like 191 00:13:51.840 --> 00:13:55.760 and want to be like. And that's the second part's important. All right. Physical attractiveness, 192 00:13:55.760 --> 00:14:00.400 similarity and compliments of the three factors to get people to like you more. Right. Duh. 193 00:14:00.400 --> 00:14:04.720 Right. But people still don't do it. And even if people know that other people are being paid, 194 00:14:04.720 --> 00:14:09.520 and they even did a research study to test this, they told people that they paid strangers to 195 00:14:09.520 --> 00:14:14.480 compliment them. And so they then got complimented by a stranger who they knew were getting paid to 196 00:14:14.480 --> 00:14:20.560 compliment them. And guess what? They still like them more than strangers they did. And so even if 197 00:14:20.560 --> 00:14:26.000 you know what someone's doing, it still works. And they also found out that there's actually no 198 00:14:26.000 --> 00:14:31.120 cap to how much flattery someone will take provided its genuine. And so you can literally 199 00:14:31.200 --> 00:14:37.040 compliment someone endlessly over and over again, as long as it's genuine, and they will continue to 200 00:14:37.040 --> 00:14:41.200 take it and like you more. It's wild, but it works. And here's how I've tried to use this in 201 00:14:41.200 --> 00:14:46.080 persuasion. So I always use the ACA framework, which is acknowledged what they say, compliment what 202 00:14:46.080 --> 00:14:50.720 they did about what they said, and then ask another question. You can get basically anybody to like 203 00:14:50.720 --> 00:14:54.960 you in a sales conversation or in a social situation where all you just acknowledge what they just 204 00:14:54.960 --> 00:14:57.440 said, because it shows that you're listening and paying attention to them because the thing that 205 00:14:57.440 --> 00:15:00.720 people like more than anything that they pay people hundreds of dollars an hour or two is just 206 00:15:00.720 --> 00:15:04.880 to listen to them talk. What do you think therapists are? They just sit there and they just listen to 207 00:15:04.880 --> 00:15:08.560 you talk because your mom, your mom, your boyfriend, your whatever don't want to listen to you anymore. 208 00:15:08.560 --> 00:15:13.120 All right. So you pay people to talk. That's how much people value it. They pay more. They pay 209 00:15:13.120 --> 00:15:18.880 hundreds of dollars an hour just to get someone to listen to them. So they you listen, acknowledge what 210 00:15:18.880 --> 00:15:24.480 they said. See, you compliment them on what they just said and how it ties to them being a great 211 00:15:24.480 --> 00:15:28.720 person in some way, some positive attribute. If you want to be a super sad, you link it to something 212 00:15:28.720 --> 00:15:31.920 you want them to be consistent with later. And then you ask them the next question to move them 213 00:15:31.920 --> 00:15:36.240 down the conversation. And so the way that I actually was able to keep my spirit high because if you 214 00:15:36.240 --> 00:15:40.080 are ever front facing in a role, whether it's customer service or it's sales or anything, 215 00:15:40.080 --> 00:15:45.680 if you deal with customers all day, then you get tired. And so what I did was that I actually bought 216 00:15:45.680 --> 00:15:50.240 a mini trampoline and I put it next to my desk. And so I would meet with people and I was doing 20 plus 217 00:15:50.240 --> 00:15:54.400 console today in person. And I would be bouncing on this trampoline and they would look at me like a 218 00:15:54.400 --> 00:15:58.640 psycho path. But I would have this I'd be grinning ear to ear and I challenge you. You cannot be in a 219 00:15:58.640 --> 00:16:03.040 bad mood and on a trampoline. I've tried it. You can't do it. So you can be tired. You can't be tired 220 00:16:03.040 --> 00:16:06.560 because you just start jumping again and you're like, what am I doing? I'm fortunate idiot. And so you 221 00:16:06.560 --> 00:16:10.160 laugh. You don't take yourself too seriously. And then what ends up happening is people would close 222 00:16:10.160 --> 00:16:13.440 more because I like this guy set you good. And when I didn't have the trampoline before that, 223 00:16:13.440 --> 00:16:16.880 I actually used to do a cartwheel every single time before I shook someone's hand when they walk in 224 00:16:16.880 --> 00:16:20.400 my gym. So imagine you walk in the gym. Some guy does a cartwheel and is like, hey, 225 00:16:20.400 --> 00:16:23.280 welcome to United Fitness. Nice to meet you. My name's Alex. You would crack up. You're like, 226 00:16:23.280 --> 00:16:28.320 who is this guy? But you know what you did after that? You give me money. All right. And so because 227 00:16:28.320 --> 00:16:32.000 you liked me automatically, even if someone was a sourpuss, I could still turn the mood around. 228 00:16:32.000 --> 00:16:34.880 Because what they ultimately wanted to buy was the feeling that I was giving them during the 229 00:16:34.880 --> 00:16:39.360 conversation. If you want to be more advanced about this, you can actually ask prospects to fill out 230 00:16:39.360 --> 00:16:42.400 a small questionnaire before they get on the phone with you just so you have more information 231 00:16:42.400 --> 00:16:47.040 about them so you can make them call more valuable. And now you can actually use that information 232 00:16:47.040 --> 00:16:52.000 to build the similarity, find things that you have in common, show how you're similar, etc. 233 00:16:52.000 --> 00:16:55.040 And then ultimately compliment on those things much faster earlier on. 234 00:16:55.680 --> 00:16:59.200 Best hundred bucks you can spend on your mood is $100. I promise it really works. 235 00:17:00.160 --> 00:17:05.040 Persuasion tool number five is authority. The reason it's so powerful is not because what an 236 00:17:05.040 --> 00:17:10.560 authority says is actually more persuasive in terms of the actual words they say. But because 237 00:17:10.560 --> 00:17:16.400 people put up fewer filters and accept more things is truth. And so if a doctor says XYZ to you, 238 00:17:16.400 --> 00:17:20.640 you just take it as gospel and the reason we do that is because it actually takes less mental 239 00:17:20.640 --> 00:17:24.400 effort. Because if you are constantly determining whether something's true or not all day, 240 00:17:24.400 --> 00:17:28.080 as soon as you find a trusted source, what do you do? You just listen to it, right? Which is why 241 00:17:28.080 --> 00:17:32.080 mentors are so valuable because it actually decreases our speed to decision making and getting action 242 00:17:32.080 --> 00:17:35.280 done. Which is why we seek out mentors to begin with, which is maybe why you watch stuff on YouTube, 243 00:17:35.280 --> 00:17:38.960 right? It's like you want to learn stuff from a trusted source. And so if Warren Buffett gives you 244 00:17:38.960 --> 00:17:42.720 investment advice, you can move on it faster because you just trust that he's that he's right. 245 00:17:42.720 --> 00:17:46.320 Even if his advice is the same as a high school teacher, which means it has more persuasive 246 00:17:46.320 --> 00:17:51.040 ability independent of the message, which is why the messenger and the message are inextricably 247 00:17:51.040 --> 00:17:56.160 linked in terms of their persuasive power. So what do you have to do to this? Your established 248 00:17:56.160 --> 00:18:00.160 credibility is an authority figure and expertise. You show diplomas, credentials, awards, 249 00:18:00.160 --> 00:18:05.760 industry recognition, etc. And your track record, which is if you followed my channel at all, 250 00:18:05.760 --> 00:18:08.960 all I talk about is building your life resume and having a track record to stand on rather than 251 00:18:08.960 --> 00:18:12.880 puffing your chestening, having lots of charisma. Instead, you're saying, you can believe me because 252 00:18:12.880 --> 00:18:17.280 of what I've done, not what I'm telling you I'm going to do. And let me show you how powerful 253 00:18:17.280 --> 00:18:23.280 the authority frame is. Think about a man who can tell the president of the United States to drop 254 00:18:23.280 --> 00:18:29.280 his trousers and stick his finger up his ass. Well, a proctologist can do that whenever they want 255 00:18:29.280 --> 00:18:34.560 because they're a doctor and in that frame, in the doctor's office, they are the authority. 256 00:18:35.280 --> 00:18:39.520 Wild, right? In the same degree, if you go into a gym setting, your reason personal trainers want 257 00:18:39.520 --> 00:18:43.200 to hang out at the gym all day, isn't because they're fitness junkies, but because in the gym, 258 00:18:43.200 --> 00:18:46.960 it's the only place they have authority and status. Because everywhere else, they're just a poor 259 00:18:46.960 --> 00:18:51.440 trainer, but in that gym, they can get an executive of a Fortune 500 company to drop on the floor and 260 00:18:51.440 --> 00:18:56.800 give them burpees. It's wild, but it's true. So the way that I established authority is because 261 00:18:56.800 --> 00:19:00.560 of your track record, right? You show that you were good at this thing because of the things that 262 00:19:00.560 --> 00:19:04.720 you have already done, right? And you can show that through the experience you have and through 263 00:19:04.720 --> 00:19:09.040 how you your expertise in terms of how you can explain a concept, all right? But on top of that, 264 00:19:09.040 --> 00:19:14.400 if you had third party accreditation, then I printed out certifications for myself and everyone 265 00:19:14.400 --> 00:19:17.840 on my trainers. And so I was able, because people would come and be like, well, are your trainers 266 00:19:17.840 --> 00:19:22.320 certified? I would say like one, which ones do you want? They would never have any idea. And two, 267 00:19:22.320 --> 00:19:27.200 I would say, well, just to put your concern at ease, all of my trainers are double or triple certified. 268 00:19:27.200 --> 00:19:31.680 Now, mind you, certifications are not a credit in the United States, meaning I could have 10 269 00:19:31.680 --> 00:19:37.440 certifications that I certified them myself. No one knows, right? And so I'm saying this to say, 270 00:19:37.440 --> 00:19:42.080 I did pay for my trainers to get certified through actual ones, but I also internally certified them 271 00:19:42.080 --> 00:19:46.160 so that every one of my trainers was either double or triple certified. And that made them seem 272 00:19:46.160 --> 00:19:50.720 significantly more prestigious. So they had more authority. And so people would be formalized 273 00:19:50.720 --> 00:19:55.200 to listen to me. And I could transfer that authority to my trainer so that they could run the 274 00:19:55.200 --> 00:20:01.040 business on my behalf persuasive tool number six, scarcity and urgency, urgency is a function of 275 00:20:01.040 --> 00:20:05.760 time. So promotion ends tomorrow, scarcity is a function of units. I only have a hundred of them 276 00:20:05.760 --> 00:20:10.800 left. All right. So that's how you can talk about it intelligently. People value what is scarce. 277 00:20:10.800 --> 00:20:15.760 The reason gold is inherently valuable versus a rock is that there's just less of it. The reason 278 00:20:15.760 --> 00:20:20.080 deburs has become this diamond conglomerate, even though rubies and sapphires are actually 279 00:20:20.080 --> 00:20:24.240 rarer than diamonds is they actually control the amount of supply in the marketplace. They own all 280 00:20:24.240 --> 00:20:28.400 the diamonds. They keep them in vaults just so that they can keep the scarcity high enough 281 00:20:28.400 --> 00:20:32.320 on the diamonds to fetch a premium price. All right. And so the way that you implement this in 282 00:20:32.320 --> 00:20:37.840 persuasion is that you use limits, right? Limited time, limited supply. One time offers to create 283 00:20:37.840 --> 00:20:42.640 the perception of scarcity and ideally actual scarcity. All right. The other way to doing is 284 00:20:42.640 --> 00:20:47.840 talking loss language. So instead of like, don't you want to get, you don't want to miss out on, 285 00:20:47.840 --> 00:20:51.440 right? Different way of framing the same concept. And they've actually tested this and copy. 286 00:20:51.440 --> 00:20:55.040 Talking about missing out what people are not going to have, people have more loss of version 287 00:20:55.040 --> 00:20:59.360 than they have desire to gain. So they'd rather save or not lose a hundred dollars than gain a 288 00:20:59.360 --> 00:21:03.520 hundred dollars, even economically it's the same. So you can use that in your favor when you're 289 00:21:03.520 --> 00:21:08.720 trying to persuade someone. So here's an example you might have heard of in the luxury good space. 290 00:21:08.720 --> 00:21:13.520 So if you've seen Chanel or Gucci or Prada or whatever, right? They actually don't tell the 291 00:21:13.520 --> 00:21:18.960 stores how much of any item they'll send. So they'll have a new spring line and they'll send one 292 00:21:18.960 --> 00:21:23.360 or two or three purses and they won't tell the store how many they're going to send. And so in a 293 00:21:23.360 --> 00:21:28.320 real way, the salespeople have the same concept of urgency. They probably figured it out at corporate 294 00:21:28.320 --> 00:21:32.400 that even if they said, hey, say that we don't have them any purses, the salespeople like actually 295 00:21:32.400 --> 00:21:36.560 got more in the back. And so they just actually control the whole thing. Essentially they only send 296 00:21:36.720 --> 00:21:38.880 them and they're like, I don't know when I'm going to get the next one in or if I'm going to get 297 00:21:38.880 --> 00:21:43.280 another one in at all. And so people are more likely to buy. But then they took it even further. 298 00:21:43.280 --> 00:21:46.880 And during COVID, if you saw it, there were lines out the door because there's like one person 299 00:21:46.880 --> 00:21:51.520 and one person now, you know what stores kept that while everyone else let it go? The fancy stores. 300 00:21:51.520 --> 00:21:55.120 Why? Because they want to hold a scarce resource. They want to show that there's tons of demand. 301 00:21:55.120 --> 00:21:59.920 That's a little bit of social proof of people like you have to be special. It's exclusive in order 302 00:21:59.920 --> 00:22:05.600 to get in. And if people wait for it, it is scarce and therefore more valuable. Now a more 303 00:22:05.600 --> 00:22:11.120 common example is like a merch drop. So if I say I have a new hat available in my store, 304 00:22:11.120 --> 00:22:15.680 that's one thing. But if I say that I signed a hundred of them and that's all there are and 305 00:22:15.680 --> 00:22:19.920 I'll never make this specific color again, I've made them one of kind. And if you have even the 306 00:22:19.920 --> 00:22:23.760 slightest desire to have one of those hats, you're now more likely to get it if you know they're 307 00:22:23.760 --> 00:22:29.840 limited because you want to do it now before you miss out forever. Now the key to doing this is not 308 00:22:29.920 --> 00:22:34.800 being fake. It's the number one thing I can say. If you have scarcity and the thing is is that 309 00:22:34.800 --> 00:22:38.560 people want to have scarcity but they don't want they want to sell as many as as possible. I get that. 310 00:22:39.200 --> 00:22:44.400 I don't know how to say this to you differently besides trust me. If you actually put true scarcity 311 00:22:44.400 --> 00:22:49.280 on something, you will sell more. When I had my massive sales team when we were doing turnarounds. 312 00:22:49.280 --> 00:22:54.640 So we had eight sales guys that were launching locations. Whenever we would do half of our sales 313 00:22:54.640 --> 00:23:02.560 in the last 25% of the period. Sometimes even more than that. Sometimes like 60 or 70% of the sales. 314 00:23:02.560 --> 00:23:06.000 So when I had my gym lunch business where I would turn around, this is before I did licensing. 315 00:23:06.000 --> 00:23:10.640 I had eight guys out flat to location. We'd spend 21 days, three weeks on location. Here's the crazy 316 00:23:10.640 --> 00:23:16.640 part. Two thirds of the sales happened in the last one third of the time period. And the lead flow 317 00:23:16.640 --> 00:23:22.160 was the same. But here's the thing. The sales guys knew that their time was going to be over and 318 00:23:22.160 --> 00:23:26.800 they needed to leave and get the check they wanted. And the people that were coming in, the urgency of 319 00:23:26.800 --> 00:23:31.680 like you have to sign up now in the beginning was like it's three weeks away. But when it was two days 320 00:23:31.680 --> 00:23:37.760 away, everyone signed up back to back to back because it was limited in time. Now some of the locations 321 00:23:37.760 --> 00:23:41.920 also had a limit in terms of their actual capacity. So we could only sell 80 people. And so we knew the 322 00:23:41.920 --> 00:23:45.200 number and the thing is is it would be slow in the beginning and then it's speed up near the end 323 00:23:45.200 --> 00:23:49.920 because the scarce of the resource got the faster it sold. So if you can handle 20 people a week in 324 00:23:49.920 --> 00:23:55.200 your business or you have x amount of product, right now you probably have some sort of cap in units 325 00:23:55.200 --> 00:24:00.640 to be sold or ability to provide service. Tell people your limits and you'll increase their 326 00:24:00.640 --> 00:24:05.760 desire. The reason Amazon still says 23 left and stock is because they know that more people will 327 00:24:05.760 --> 00:24:09.280 buy it if they see that there's limits. So if I said hey, I can see you with thousand customers 328 00:24:09.280 --> 00:24:13.120 more, you probably can take them. So just be explicit about how many you have left and you'll 329 00:24:13.120 --> 00:24:22.720 actually sell more.