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Everybody happy Tuesday, man, I'm doing two in a row on a content tier

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But I wanted to make a short video so I don't think this will be as long as the last one was

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But this one's just a very tactical video just kind of an understanding of the business model that you have

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With in a local market and so one of the questions that we get all the time is like my market's different or this

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I don't know if this will work in my market

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so there's there's probably

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Two main points that I want to make and then kind of an example of how this

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Applied with our jokes. So

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Why your market shouldn't matter if your model is designed properly is the title of this and how my two best locations were in polar opposite markets

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so

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Why your market shouldn't matter if your model is designed properly is that the model should be able to adjust to a given market

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And so what I mean by that is that my

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Two best or you know the locations that make the most money were in polar opposite locations

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So let me give you just numbers to back that so my la Habra location was in my probably

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We could argue my poorest market and so the poorest market. So this is Southern California median income was

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31,000 and the Southern California that is not a lot a lot of gang gang activity in the area like it was

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I mean considered a lower. It's a lower

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Socioeconomic status area on the flip side the best location ahead was

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the second best location ahead that was in

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Lake Forest California and so you have these two polar opposite

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facilities right and

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The the way and the reason that these work and my hundreds of these locations was actually almost the same there too and

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Huntington Beach probably sits closer to the lake forest in terms of demographics and income that one median income was like 90

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Body forage lake forest was

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120 I think is the median income there. So you have 31,000 you got 120 on this side and you got 90 in the middle and then I think we had another one in

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That was like 60 60-year-old median income, but the point is this is that

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The reason that they were able to do so well is that we had a bifurcated model, which is a hybrid model

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And so the reason that a flexible model can be flexible is that

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Independent of the market that you are in is provided you are not super super super high-tech

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And for me what I would I would define super super super super high-tech it as is you know if you're doing

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$2,000 a month probably yeah, I mean if your minimum ticket is a thousand dollars a month

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That's going to be very high-tech it and that would lend itself better to a

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Truly very wealthy market right now that being said

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The hybrid model that we espoused, which is what all the gyms that we have and go into gym legacy end-up adopting is the hybrid model

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Which means that their first level of service is going to be large group

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Which is between a hundred and fifty and two hundred and twenty five dollars a month and then their second level of service is going to be

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semi-private which is one on four and then the ticket price there is going to be five hundred to seven hundred dollars a month now

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Why did this apply to the store that are the examples that I was giving earlier my the hybrid location had way more

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In the large group and way less in the small group and broker markets tend to have more people

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It's just denser. There are more poor people than there are middle income and wealthy people and so when you are in a poor market

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The advantage that you have is that your ads will go further you will get more leads

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They will be cheaper that being said the lifetime value of those customers may be slightly lower and so you're going to have a larger large group

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Right, you'll still have people who have who this is a high priority for I can't tell you the amount of times I have people who had

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The hubcap missing on their car and had like you know their doors a different color

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paying

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four hundred five hundred dollars a month for semi-private training because it was a priority for them

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It mattered a lot to them and those guys were the types of people who would work the extra shift at their job would pick up

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Uber on the weekend so that they could do it because it was a priority for them, right?

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So in La Habra that was the way it broke down and like forest is they totally opposite, right?

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It's going to be major majority semi-private training clients

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But we still obviously had people who were staying at the the lesser price, right? It's anything you'll learn to be sure

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Most of the nation real quick if you are a business owner that has a big old business and wants to get to a much bigger business

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Going to 50 hundred million dollars plus we would love to talk to you

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And if you like that and would like to hear more about it go to acquisition.com and you're planning more on the page and

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Talk to one of our team and see if we can help you get there

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And so if you have a flexible model that is designed well

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It can adapt to the market because you have more people who will ascend but less of them or you have more people who will not ascend

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But more of them and then your ads will be responsive in the cheaper markets

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That should be more responsive because you're just going to have more people per demographic that's why that's the nature of

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I don't want to use term ghetto, but like but poorer I say you know so it's your economic status areas, right?

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And more people per capita period is what it is. So your seven-mile radius is gonna get you further, right?

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Whereas here you just got to squeeze more out of each person and so your model has to be able to do that

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If your model does not do that then you have a less flexible model which makes you not optimize

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Which means you are less likely to win in a competitive environment, which this is right and so

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Your market should not matter for your model. It shouldn't and so I

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Mean I could obviously lead on for anybody who was it was on you know, who's who's not actually in our world yet

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You know, just look at the bazillion testimonials we have from super rich markets to super poor markets

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But if the hundred thousand testimonials doesn't do it for you then hopefully this theoretical explanation should make sense to you

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Like no matter which you do there are going to be people who respond to either level of service that your marketing period

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That's true, right?

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It's just that some of them are gonna be more apt to ascend

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Which means that if you are not allowing them the opportunity to ascend if you're not asking for money more money

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Pass the first sale if you are in a wealther wealthy or middle high income market

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Then you were leaving money on the table and you're not utilizing your marketplace for the optimal outcome that that marketplace can provide

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Right now the people who can get away with it better believe it or not are the ones who are really broke markets

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I love broke markets broke markets are the fastest to grow. They're the easiest

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To get in because most people don't even have a second level service because they're afraid to do it and so

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most people because

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Most models are

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Just large group when they start with us

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Those ones tend to be more

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demographically dense right and so those ones get cheaper leave custom they get more of them

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But when they try and do semi-private right, they're not going to get as big of a body

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But they also have a huge client base that they can pull from so if they have 300 people on EFT

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Then getting 20 or 30 of them to pay 500 is only 10% so it's actually really not that bad

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Whereas maybe in a Huntington Beach tight market, you're going to get maybe 30% that are going to be willing to upgrade to

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$500 or $600 a month, but you're going to be pulling from maybe

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180 or 200 EFTs and so the numbers will kind of work out

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Accordingly, but I hope that makes sense for everyone

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Why your market really shouldn't matter for you if your model is defined properly

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The advantages of four markets versus rich markets and ultimately

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If you are like on the fence either way, you need to market your business

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You need to have an acquisition strategy and if you're like, I'm not sure if this would

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You know or like the gym launch way would work for me

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It's kind of silly because there is no gym launch way like it's just profitable acquisition

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We just market the best promotions that are out there and we just know that we're making money on the acquisition

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Which means that everything after that is lifeline value is all profit. That's the point

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And so it just doesn't really matter

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And if you want you can lean on the bazillion testimonials good. I don't hate money.com

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If you're like man, I really need something to pump me up do that

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But it should make sense to you from a

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From a theoretical standpoint you should understand that

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Yeah, hope that helped anyone who is not sure or like man my market is xyz

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It doesn't matter it never matters

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And the thing that really does matter is how good your people are

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It's how good your services and everyone thinks that

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That might be the next video I make

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Everyone thinks that they're good, but they're really not

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Um, I think I'm gonna make that my next video

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But

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I hope this makes sense you guys

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Have an amazing Tuesday and Brian Stevens. I always appreciate you running. Thanks for always adding. All right