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What's going on everyone I'm here from downtown Austin and I want to talk to you about something that has been on my mind for a little bit and today felt like the day to do it a little bit extra coffee today so I'm trying to slow down my speech otherwise let's get right to it so I'm playing this never ending sale cycle and the balance of goodwill versus conversion so the first time I heard even the concept of goodwill was from a marketing frank heard he still markets now and he talked about how the amount of money that you make is directly proportional to the amount of goodwill you have in the marketplace

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multiplied by the amount of conversion points you have the amount of times you ask for money so the amount of offers you make what's interesting about that though is that the more offers you make the less goodwill you have and so it's the push and pull balance between how much goodwill you have in the marketplace and how many offers you have every time you make an offer your goodwill goes down but the more goodwill you have times the amount of offers the more money you make and so what does that actually mean right and so the way that we've I think that we've done a really good job of having goodwill in our in our audience and

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in our customer base by balancing this fairly well and putting a lot of attention to it and so I think it's it's kind of goes in contrast to the to the concept of like nickel and diming people so there's a lot of businesses that are out there that love the to upsell like well you know like let me let me give you an agency example right so if there was a company that was an agency and they were like well we have this is our base level and then for an extra 10% we'll do your creative and an extra 10% on top of that we'll do your

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copy and it's an extra 10% we'll top that blah blah blah right and so you're nickel and diming someone in order to get more money out of them but like I think what is happening there is you lose a lot of goodwill because every time you make an offer you lose goodwill so it's kind of like there's a psychological

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binary of every time you make an offer you're beating down goodwill but from a monetary perspective all offers are not created equal and the amount of money that you're going to make from every

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upsell or every offer is not equal right and so if you realize that I'm trying not to get too abstract here but

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the amount of money that you make varies widely from what you're actually selling but the amount of times

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you make an offer is set so an offer is a zero or one either you're making an offer you're providing that

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that's it right from a consumer standpoint but the but every time you make an offer that's not really

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that monetizable that doesn't make you a ton of money like a nickel and dime scenario you're still

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losing a decent amount of goodwill but you're not getting a proportional amount of upside from that

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from that offer right and so the way that I like see this from overall perspective is that most times

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a lot of the things that most people would argue that you should charge for you should still put

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in your marketplace but only as goodwill now here's where it gets more interesting this the fact

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that you're not going to ask for money for the thing that you are going to be making to add value

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whatever it is right if you're doing a business event are you doing an internal challenge or whatever

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it is right you still need to sell the shit out of it and what I mean by that is that like people

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still don't see the value of what you're doing unless you explain to them why it's valuable right

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and so this goes both internally and externally so when you're talking to your team about this new

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thing that you're going to start doing you want to sell them on how great it is right like you have

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to like otherwise they're not going to be into it and then they're not in turn want to

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emanate that enthusiasm to your clients right and so in the same in the same vein you need to

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sell the clients on why this thing is so good because if you're going to go through the the

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process of making something that's going to be good and fulfilling on it you want to make sure that

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you get your do goodwill right and so when we're doing this like the goodwill the way that I see

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it is that you're there's two interesting one is that you're depositing money into a bank account

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right you're depositing goodwill into a bank account for a later extraction right you're depositing

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depositing depositing depositing for later extraction or you can see it as building up pressure right like

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you're continuing to pump air into a defined amount of space which might be your defined amount

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of customer base you're pumping air you're pumping air you're pumping air and then the moment you

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release the valve like that's when all the sales start flowing in right most of the nation real quick

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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 million plus we would love to talk to you and if you like that would like to hear

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more about it go to acquisition.com you can plan anywhere on the page and talk to one of our team

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and see if we can help you get there. And so that's why like when we teach like that we want to fill

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people's base up before we start doing their high ticket or their semi private training is because

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we want to build up the pressure and the base of the business so that if we have 200 300 members

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when we say hey guys we're on be offering more exclusive service we've built up so much goodwill

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we've built up so much exclusivity that automatically that next level fills up without any effort

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and so that all comes from how much goodwill you're providing and so you know Gary Vee wrote his

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book jab jab jab right hook but basically it's you know what ratio do you go how many times do you

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have to give before you could ask right and it's not take it's ask and so I mean being very candid

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like this this video series this podcast is constant all the stuff is me trying to put goodwill

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out there and show that we're good at what we do and provide value for you in advance hopefully make

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you money before we get it okay so you see that the stuff that we have really works but understanding

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that you still need to sell at all points in the process to your team to your customers and then

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picking and choosing the select opportunities that actually have the most upside and so typically

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where you might have been just going jab ask jab ask right and then the asks you're not making

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much from them for two reasons one because you haven't built enough pressure up but also because

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not all of the asks that you have in your business are going to be huge revenue streams right like

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there's a million ways to try and nickel and dime our customers but we don't we just try and make

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stuff and keep providing value keep providing value keep providing value so that when it comes time

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where we actually want to make a move we've built up so much goodwill that it blows the gasket off

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the top and it becomes you know a an overwhelming surge of of business and it's business in a way

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that that is in in a maximal like convert that is being maximally converted in a maximally profitable

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man rather than continually doing these little upsells and things like that that in the long haul I

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think damage the brand damage the customer relationship and don't allow you to maximally profit

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in the big picture from your investment base so anyways I hope that provides some value for you

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I hope that when you are talking to your members talking to your gyms and if you're trying to

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innovate and create new things don't always try and monetize everything try and provide goodwill

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be cognizant of the fact that goodwill is what will make you the most money and pick and choose

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the balance that you want to monetize because that is how you're going to make the most money

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long run because you're going to have the most oil so you're going to have people talk about you

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they just keep providing value they keep over delivery and again I will just reiterate the reason

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that they think that there is goodwill is because you sell them or why it is valuable and so you can't

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just make this stuff and give it to them and just not like barely explain why it's cool you have to

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sell it as though you were going to charge it charge 24 and then only then and only then say

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that's it's I love you here it is right that's the key that's the difference and that's what

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will allow you to position yourself in such a way that when you do want to make your move

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you crush so lots of love hope you guys have an amazing 2019 and I'll talk to you soon