Throwback: Pricing, Positioning, and the Art of the Upsell | Ep 895

29 May 2025 · 46 min

Ask about this episode

Ask anything about it. ChatGPT or Claude reads this page and answers with the times it was said.

Connect VO and ask about every podcast you hear, including the moments you saved. Add to ChatGPT · Add to Claude

In short

Podcast Notes: The Game with Alex Hormozi - Episode 895

Overview In this throwback episode, host Alex Hormozi provides actionable insights on pricing strategies, positioning, and upselling techniques. He discusses these concepts while giving personalized pricing advice to Sam Earp, a content creator focused on helping people learn how to paint.

Host

  • Alex Hormozi: Entrepreneur, founder, investor, author, public speaker, and content creator.

Guest

  • Sam Earp: Content creator and art mentor who helps individuals improve their painting skills.

---

Key Concepts

  1. Pricing Structure
  2. Pricing Tiers:
  3. Free Community: Basic tutorials and resources.
  4. $29/Month Membership: Access to more tutorials and a weekly live painting class.
  5. High-Ticket Mentorship Program: Approximately $5,000/year, includes intensive one-on-one mentorship and personalized attention.
  1. Anchoring Pricing
  2. Alex emphasizes the importance of anchoring higher-priced offers against lower ones to make them feel more accessible.
  3. Example: Positioning the $5,000 mentorship program against the $29 membership to create perceived value.
  1. Deliverables Overview
  2. Free Community:
  3. Full-length painting tutorial catalog.
  4. $29 Membership:
  5. Extended tutorials plus weekly live classes.
  6. $5,000 Mentorship:
  7. Intensive classes and personalized one-on-one mentorship sessions as needed.
  1. Customer Journey
  2. Lead Generation:
  3. Use of free resources and community to attract potential customers.
  4. Transitioning from free to paid memberships through strategic conversations and discovery calls.
  5. Sales Funnel:
  6. Engage potential customers through direct messages and schedule sales calls for upselling programs.
  1. Improvement Strategies
  2. Alex suggests several enhancements to Sam's business model and marketing strategy:
  3. Increase Conversion Rates:
  4. Utilize better calls to action on social media and video content.
  5. Implement a video sales letter (VSL) for onboarding new members.
  6. Optimize YouTube Content:
  7. Improve video intros, thumbnails, and integration of CTAs throughout videos.
  8. Use A/B testing for thumbnails and descriptions to identify what resonates with the audience.

Sales Performance Insights

  • Current Metrics:
  • Approximately 150 members in the $29 tier; about 20 members in the $5,000 tier.
  • Conversion rates and sales metrics are not fully optimized, indicating potential for growth.
  1. Recommendations for Growth
  2. Short-Term Goals:
  3. Offer onboarding calls to each new member of the $29 program to convert them to annual memberships.
  4. Build a stronger sales pipeline by increasing the number of leads through better engagement strategies.
  5. Long-Term Goals:
  6. Aim to grow membership numbers significantly, targeting a goal of 100K per month in revenue by implementing the discussed strategies.

---

Conclusion In this episode, Alex Hormozi shares expert advice on pricing, positioning, and upselling, providing Sam Earp with actionable insights to scale his painting mentorship business. By leveraging strategic pricing and improving customer engagement, Sam can significantly increase revenue and grow his community of aspiring artists.

---

Resources Mentioned

  • Free $100M Scaling Roadmap: [Acquisition.com/Roadmap](https://www.acquisition.com/roadmap)
  • Alex Hormozi's Social Media:
  • [LinkedIn](https://www.linkedin.com/in/alexhormozi/)
  • [Instagram](https://www.instagram.com/hormozi/?hl=en)
  • [Facebook](https://www.facebook.com/alex.hormozi)
  • [YouTube](https://www.youtube.com/c/AlexHormozi)
  • [Twitter](https://twitter.com/AlexHormozi?s=20&t=J9vPh75tO3ow9xExYLsBDQ)

These notes provide a comprehensive summary of the podcast episode, outlining key concepts and practical strategies for improving business performance within a creative context.

Written by AI. May contain mistakes. Listen to the episode to check what was said.

Hear the part that matters, and keep it.Open this episode in VO. Double tap your headphones to save a moment as you listen.
Get VO free

Transcript

Automatic transcript. May contain errors.

0:02Because if you start with the five, you can downsell the 500 or whatever, 29 times, whatever that at 460 or whatever it is that probably anchors really well and just say like you're just not going to get the one-on-one component but you're going to get all these other things and i think that's actually fairly compelling so today is a deep dive what's up sam hey how's it going uh good great to meet you uh thanks for having me here really appreciate it pleasure's mine i'm coming in completely unknowledgeable and ignorant so it's we're going to derive these solutions in real time together I know Kirby is a admin on your community.

0:36So we actually get a little bit more stats that we can pull up on the screen, which I think will be fun. With that being said, give everybody the 60 seconds. What's the community about? So let's just start that. What's the community about? Yeah, absolutely. So the whole community is about teaching people to paint. So a lot of them are artists, as in they paint like landscapes. That's the thing that I like to do. Cool. I've been doing that on and off my whole life. But anyway, it's to help people improve their painting. So you could be a complete beginner or we've got a lot of experienced painters, but they've just they've just hit roadblocks with their painting.

1:12And this is exactly what happened to me many years ago until I got a mentor. So the aim of the group is to just help people to improve their painting so that they can start selling and making money from their art. I've got three communities in total. So we've got the free community. um i've got a high ticket um art mentorship program which is like a an art accelerator and then we've got the art school as well which is the uh the monthly low ticket group um i do a live painting class there every week and plus there's loads of uh painting tutorials got it what's the high ticket what's the price well it all didn't there's not really so much of a set price it depends on what you feel like well no not what i feel like it's it depends on how long you want to work with me for i recommend people like work with me for a year and i charge around five thousand us dollars for that so so we not only we not only help them with uh we do a lot of painting so it's like a two painting classes a week and they're thinking it one-on-one yep they get one-on-one with me as well and uh a lot of the people in there they they some of them just want to improve their painting skills and nothing else but some of them want to actually like make uh want to be able to make a career out there painting so we also help them with um you know building an audience on social media yeah at your price point of five thousand dollars if someone were to tell me hey you want to learn how to paint and it was five thousand dollars and you work with a guy for a year that seems like a reasonable price that doesn't seem like uh like i know you have the element some people want to paint so they can also sell their paintings i understand that but big picture, I don't think it doesn't sound like that's the primary hook.

2:56Correct me if I'm wrong now. Yeah. Yeah, probably. Okay. So$29 a month community, that's for people getting in, either learning to paint or trying to advance in their painting. And so for everyone listening, 29 bucks is the middle,$5 ,000 a year is the top and free is the bottom. Okay. So what's the delivery look like at like small, medium, large? So what does it look like for free? Just keep it as tight as you can because i want to dive in uh so the free community you're getting some painting tutorial videos and videos so they're longer than what you would get on youtube so i've got a youtube channel as well okay i'm going to get into the advertising side in a second but just tell me so you have your free tutorials what else are you doing there well i mean that's yeah it's mostly as in just in the group in general as in like the runnings of the group or as in just in terms of what deliverables does someone get for the free community they they basically get a catalog of full painting tutorial that's fine that's fine okay 29 bucks what do i get uh you get even more full painting tutorials but you also get more even more uh but you you get a live uh weekly painting class and and the painting class i've been running it as as courses so like eight to ten week courses uh so you could be just upload them as modules that continue to add to it is that correct yeah so it's like i'm making the courses like live on zoom and then adding them afterwards but you could be a complete beginner having never painted in your life to just attending one of my courses and already having a load of knowledge by the end of it and being able to make a start like a really good start with a solid foundation in your painting journey got it and then and then the five thousand dollar uh they get one how many one-on-ones do they get with you i i haven't i haven't set the number on one-on-ones it's just been as and when people need help so we do two painting classes a week so it's a lot more intensive but i what i've found over the last year of doing this is uh there'll be periods of time where people might need a lot help and i might have to do like a few one-on-one calls with them and then there'll be times where you know they they won't need any help at that time so i don't have a set number on the actual one-on-one to me and at this stage where i'm at i kind of don't want to say oh you know you can only have this amount of one-on-ones.

5:18I'm trying to sort of tailor that side of it to what that particular client needs, if you see what I mean. And everyone's completely different, especially as I'm finding. I understand. So you do it on demand or as an escalation, right? They have an issue that you escalate them. That's fine. Yeah, exactly. I'm going to say it back to you. So your YouTube is short videos. Your free group has long tutorials. your$29 has more long tutorials plus one live class a week with lots of people on it and then for five the$5 ,000 they get two classes a week which significantly fewer people on it and I'm guessing you're teaching cooler stuff I don't know um yeah and then if they need help you hop on with them one-on-one yeah got it and how are you selling how are you selling people from 29 to 5k so what we do is is I've got a few ways of uh gathering leads so uh I give away a freebie uh on my youtube channel on my website and instagram yeah and then we get them into the free community of yeah and then uh we get conversations going in the dm so i've actually now got someone doing a setting for me so i was doing it myself before and then the aim is to get them on a discovery call and and then we see if they're a good fit if if they're not a good fit or we find out if they probably don't have the funds at that point in time, then we try and sell them on the art school.

6:46The$29. Yeah, the$29, yep. And then if they are a good fit, then they'll get them on a sales call with me and then I see if they would like to join the, yeah, the art mentorship program, which is the Painters Mastermind. So the Painters Mastermind, it's their own private school group. Heard. Yeah. So right now, YouTube is your primary source of advertising yep okay followed by my website so youtube goes to website or youtube goes to community youtube goes to uh the sales landing page so they all get they all go to the same landing page which we built on um system.io got it so you have a little opt-in page copy my blueprint for paying your success cool the image get instant access to the blueprint for free got it valued at$97.

7:34I plan to start charging for it soon. Okay, next step, just let me know if you're curious from a compliance perspective, adding a value where it's not justified isn't compliant, just as a side note, you could say like, I just like it's free for now, I'm planning on charging for soon. And it probably will, it will probably do the same on a conversion basis, but it would probably be more compliant just as a side note. So then we put is it name and then email, okay, get instant access all of this i like if i were to run a split test on this i would add in three benefit driven bullets and and test it um and i would put them below the button and i would i would see how that does because oftentimes like i've just like you you've got you've got your 80 90 on that like it's a pretty clean page it's pretty straightforward i would just test that one it's just like an easy lift do you know your conversion on that page is uh actually you know what i haven't checked it lately uh let me just have a look while you look confirm with me the rest of the journey so youtube goes to or youtube goes to the lander lander they opt in then i'm guessing you thank you you know thank you page join the community and you email them to join the free free community is that correct yep that's right and then also we get them into an email sequence so i have a coo helping me he's also called them and uh he's created like an email sequence so i think we've got like about 100 like 100 emails so we we basically uh got a load of my old emails because i always try to send out value a lot of the time as well as well so we're able to like repurpose those how big's the list it's well over 9 000 uh email subscribers at the moment 9k on the list great love that all right so youtube lander follow-up and thank you page goes to uh free group.

9:16Great. When they join the free group, they fill out some sort of mini app. That's what you're saying. And then your guys hop on the phone with them and see if they're qualified. Does that sound right so far? Yeah. Yeah. Through the message in the DMs. Yeah. Okay. So they go DM to phone. Got it. And then basically they have an AB path, right? So path A, if you're qualified, you can talk to Sam. And if you're unqualified, are you trying to sell them into the annual for the$29 a month one? Yeah, I try and do that. Yeah. Okay, good. Because if you start with the five, you can downsell the 500 or whatever, 29 times whatever that at 460 or whatever it is, that I think would probably that probably anchors really well.

9:57And just say like, you're just not going to get the one on one component, but you're going to get all these other things. And I think that's actually fairly compelling. Like if I wanted to make the 460 my primary offer, I would probably present it the same way you are. Because basically the$5 ,000 just becomes like, if you're a whale and you want to, you really want to ball out and you want to have the personalized attention, you know, you can pay the$5 ,000, but the, but it's got basically like the four 60s, the core offer. Do you know what percentages go into each bucket of the people that you, uh, that your team talks to?

10:23I don't actually worth worth knowing, but okay, that's fine. So, and, and you've got, uh, was it like 300 ish in the, in the$29? Yeah. There's, there's a load of people in there that have that they did a one-time payment to start with yeah when i started the school group which was oh yeah it was in 2023 actually at the time i was completely broke and i moved over from patreon and i sold a lot of like uh one time you know lifetime access it got me back on my feet and and it's led me to where i am today so i love it i love it you're good um okay so now that I have a good lay of the land what's the goal what do you want to do my well my goal is to uh to carry on inspiring people to learn how to paint uh what I'd like to be able to do with with the with the whole what I'm doing now the whole community the school groups and everything is is I'd like to be able to sort of uh build out a team but I would like to also pivot in the long run to helping more artists to be able to make a living online from their art and obviously like helping them to improve their painting is is part of it yeah um so i mean one of one of the things i feel like i am qualified to do is to uh you know like help people like build an audience uh make like digital products from their art like i've sold painting tutorial videos as downloads from my website and uh yeah books and stuff and then and also like be able to show people how they could create their own like community their own school community where they can have a like a monthly membership that sounds like a totally different business yeah so you have three communities and you teach people how to paint so rather than teaching people how to teach people how to paint i think sticking with teaching people how to paint for now is probably the right strategic move so yeah yeah at the moment yeah definitely that being said what's the goal with this business.

12:23Numbers are helpful because you're already making an impact. So I can't change anything about that. So what basically you've got 20 people in your$5 ,000 things, that's$100 ,000 a year. And you've got 300-ish people at$29 a month. I know some of them are grandfathered from Patriot or whatever from the one-time payment. Let's say half of those are new. Would you say that's fair? Yeah, yeah. Yeah, definitely. So you got 150 people paying 30 bucks a month, right so you're looking at 4 500 5 000 a month that comes in in recurring from the membership base yeah got it so you're basically 100 yeah yes you've got like 8k that comes in from the from the the top i i know it's because you're charging 5 000 at a time that it's lumpy i get that but 8k a month on the top and you're averaging like 4 500 per month on the bottom all right yeah so So do you mean, I was going to say, do you mean in terms of financial figures, what are my goals?

13:20Yeah. Or if you were like, I want to get to a thousand, I mean, any of those would be. Oh yeah. I mean, I have those goals. Like, you know, I want to get, I want to get my, I want to get that low ticket group. I want to get to like, you know, 10 ,000 subscribers or more. You know what this is in some ways a bit, uh, I've been having to work a lot on my mindset in the last couple of years. Uh, and it's, it's something that I think has really helped, you know that's that's really been what's holding me back but thinking in bigger numbers for me as well is is still uncomfortable but you know is it wrong to say you know i'd like to be pulling in 100k a month or more nothing wrong with wanting to make more but for now you're doing 13 14 000 a month ish somewhere in there between the two groups yeah yeah between the two yeah let's just say you know 30 is kind of like milestone one it's a double double from where you're at and And then there's a triple from there that gets you to 100.

14:11So I think in doubles and triples, oftentimes, just in terms of like, what do we need to do in order to have that happen? All right. Yeah. So because the thing is, it's rare that one thing will turn out. I mean, if you find it, that's awesome. But a lot of times, like you'll get them from multiple doubles and triples. That's where like you get the big numbers. Okay. So now that I have an idea of what's happening, one of the data points that's really important here that's missing is what percentage of people who go to the free group or the paid group and what close rates are on on the phone for a or b i don't have solid metrics but i spoke to my setter this morning he reckons he's getting out of 15 people that he pitches a call to only two are like actually jumping on a call and one of the things he says he's noticed is that the artist kind of group is very different to say like a demographic of like you know entrepreneurs aspiring entrepreneurs so they're probably a little bit harder to get on a on a call with just the nature of artists and in a way i wouldn't i wouldn't subscribe too much to that i'll bet you there's a messaging thing just because like you want to talk about you know beliefs like that's probably not yeah yeah yeah exactly yeah yeah exactly yeah yeah that's true yeah that goes for everybody who's listening to this uh like explaining why this isn't at you say i'd be like like explaining why your group doesn't make you money or doesn't want to buy your stuff like yeah not going to serve you okay so i agree one out of so 15 people join the free group he dms all of them now is that when he gives you 15 turns into two calls right no no so it's it's as no so it would be way more that is is when when the conversations got to the point of would it be helpful to jump on a call yeah out of the 15 people that he gets to be able to like say that in the chat only two around two people actually like jumping on a call basically got it how many people join to get to that like i'm trying to get conversion metrics here so like yeah yeah absolutely i reckon we must be getting about at least 60 a week okay let me just check my metrics good 60 per week and then how many well we can reverse engineer this so if you're getting 60 a week i know actually more than that so in the last week we've had 151 okay in the last week great in the last week yeah let's just say 150 is the last seven days fine this 20 ish a day and then he tries to start conversations with all of them right how many of them get to like i would i would want to know how many respond because i don't know how many people respond but i would i don't know how many respond how many get to the basically the offer i reckon at the moment we're probably getting about two or three a week but it's it's really it's gone in waves basically we've had we had one day where he had like five calls booked in a day and we were like right let's see how we could do this so that we could do this every day but then it's it's really been yeah how much transparency do you have into like what he's doing this guy this setter because right now he's kind of like the choke point of the business because you got 20 you know 20 leads a day think about like this you got 20 leads a day that are coming in and per day how many appointments would you is like how many appointments would you say happen per day phone call when you say employment you mean messages that are sent no people who people who like schedule a call it really very you know probably probably about a couple maybe not maybe not even that at the moment i mean he he is new but he is like all over it if you see i mean he's you know actively messaging so i i believe totally in time uh that's that number's gonna go do you have any idea how many how many calls per week if that's easier i reckon i reckon he's probably getting about four a week at the moment calls like that he's taking he's like calls taken is four per week that sound right yeah just yeah as an natural discovery calls booked.

18:07Yeah. Yeah. Real quick, guys, I have a special, special gift for you for being loyal listeners of the podcast. Layla and I spent probably an entire quarter putting together our scaling roadmap. It's breaking scaling into 10 stages and across all eight functions of the business. So you've got marketing, you've got sales, you've got product, you've got customer success, you've got IT, you've got recruiting, you've got HR, you've got finance, and we show the problems that emerge at every level of scale and how to graduate to the next level. It's all free and you can get it personalized to you. So it's about 30-ish pages for each of the stages.

18:43Once you answer the questions, it will tell you exactly where you're at and what you need to do to grow. It's about 14 hours of stuff, but it's narrowed down so that you only have to watch the part that's relevant to you, which will probably be about 90 minutes. And so if that's at all interesting, you can go to acquisition.com forward slash roadmap. R-O-A-D map, roadmap. Okay, so here's the cool part. Like, I'll always keep asking as I go through this because I'm looking for big lifts. That's a big one because that means that right now you're getting 3 % of the people who are coming for free to get on a call.

19:19And I think that you might be, like, if I'm looking at kind of standards, you could probably get to 10 % buying. And so there's a huge amount of lift there. So that's it. And of the four that get on the call, do you know what percentage buy? at least one at least one well i mean it depends because because um so i'm i'm doing the actual sales call i mean i i closed someone last week for my high ticket but then at the same time i also closed well i mean i sold someone on an annual membership as well so they didn't buy the high ticket but they bought an annual membership you had two sales last week one high ticket one annual on the on the yeah and i'm pretty sure i only had two sales calls as well okay so that was a little even even a little bit less right so when he's setting though he's setting for you so he's setting via dms he's not taking a call you're taking the call and then you downsell you basically sort them yeah yeah absolutely yeah so yeah got it so you closed 100 last week what would you say your normal close rate is i reckon a good 25 and last week was just a good week though because you closed 100 % last year yeah yeah like I like definitely if I or when I get more calls yeah yeah when I get more calls I'll be able to get a lot more yeah so okay I'm gonna bet that like I mean there's a lot of things like I could go I could go into the advertising side but the thing is is that like if I find a massive win then I will probably just focus almost all my attention on that.

20:49So there's one huge one here and we'll get to it. But okay, let me just let me just quickly look at YouTube because that's where all your traffic's coming from. And then and then we'll go from there. So the vast majority of people are not buying the$29 thing on the page. 366 members. Can you look at conversions on that one for me? Yeah, sure. Yeah. I've only been advertising the paid group in in my free community and in my emails. Got it. So you have eight signups in the paid community that happened this last week. And that just happened straight from people clicking from one to the other. You sold one annual last week.

21:25So there's that. But besides that one, the other seven came just kind of organically ascending themselves. Yeah, from either email or the free community. I haven't been advertising this group publicly on YouTube. I've just been advertising a freebie. So yeah, my conversion rate for last week was 2.69%. Yeah, I'm less concerned about that right now because the traffic source is your free group. What are you doing to ascend people from the$29 group into the 5K? So when I'm on the call, I pitch the 5K one first. and I'll ask the question. So you currently have people come to the free thing because that's what you push them to.

22:06And then your guy sorts them. And if he sets them, he sets a call for you. You anchor at five. Then if they say no, then you downsell annual. If they say no, then you downsell monthly. That's how it is right now. Got it. But last week into your$29 thing, just because you have this large community, the 3 ,600 or whatever, and the free community, you got seven people who just went to the page and just chose to buy for$29. Yeah. What are you doing to talk to those seven people? Yeah, you're right. Um, I haven't been doing a lot. I do at the end of my painting class, ask if anyone wants, uh, help art mentoring or that's where I pitched the art mentorship program at the end of my, my lives, every will I class.

22:45Yeah. I, I, um, I mean, now that you said that I could be doing a lot more in my community. There's actually a load of, there's actually a load of um those people that paid for the lifetime access that i could go and yeah we got some stuff we got some stuff i'm still learning here man this is like up until you're doing great man you're you're an artist this wasn't the this wasn't the job it's fine that's uh no it wasn't i just i never imagined like if you'd have asked me 10 years ago when i when i first quit my job and i had no idea i was gonna make it work i i had no idea i'd be doing this if it makes you feel better i do this for a living uh so don't worry about it okay so um okay now let's go to the advertising and i'll bet you we can pick out some stuff there and then uh and then we'll go into the kind of the solutioning side all right yeah cool man all right sweet okay can you go videos uh yeah you know how i'm gonna do it okay recent okay good well you get some good views man you get really good views relative to your subscribers so that's good so you're yeah 56k subscribers you're getting it looks like call it 10k video it's really strong okay yeah yeah really good i've been working on my uh titles and thumbnails i i uh yeah uh you know been getting help from like harry and kai who've been helping me in my youtube videos so no it's great let's let's just click it okay how to paint loose but realistic coastal scenes all right let's do it struggling with stiff photographic landscapes that are just killing the life of your paintings and also making them look flat.

24:21Well in this video I'm going to show you how you can loosen up your brushwork by using the paint medium gouache and I'm going to be painting a coastal scene. Now what is gouache paint? Well basically it's opaque watercolor but you can get some really great results with it and some nice vibrant natural looking colors and I like to preface that I'm mainly an oil painter but I do sometimes paint with gouache and I've actually found that it's helped with my oil painting process and to loosen up my brushwork now I've only been painting with gouache for a few years and as I say I mainly paint with here so here's the here's the good thing you've got three things that are going well with the intro we just need to add a couple so you've got a you've got a promise right and you actually hooked with pain.

25:10So if you're struggling with this thing, I'm going to show you this thing. So that was like, you had those first two. A little bit later, you got into like, semi-proof, I think. And I think we can tighten the proof part up, which I'll explain in a second. There isn't a roadmap. And so I think that's, to me, that felt like the biggest thing that was missing. Because I'm looking at this video, and it's however many minutes it was, but decent length. And as me trying to put my viewer hat on, I'm like, where am I going from here? okay so i want to know kind of like what the road like what the road stops are and so i think it might be useful for you to you know maybe if you have like a fountain pen or so because it's a little artistic or you know you'd know this better than me but like yeah you have you have your pain and your promise great proof i would pull way forward which is like i help thousands of people uh paint every day and you know i've been painting for 20 years like you want to get it really tight like i would practice it so it's like my name sam i have helped over 2 000 people paint their first painting and i've helped people go from beginner to advanced and uh in this video i'm going to cover six things about gouache and i wouldn't even mention the like i normally painted oil because like you don't want to discredit yourself right like like it's like and so we're going to cover number one how to how to frame the the scene better number two how to how to hold the brush in a way for two different styles.

26:32Number three, you know what I'm going at. Yeah, yeah, absolutely. So I think lead with that roadmap, I think will make a big difference in video retention. And you want that to all be covered within the first like 15 seconds. We paused at 48. And we want all of that to be covered in 10. I'm okay with the fact that you're showing that you're painting. I would love it if it flipped to you for a second, though. I think that might be helpful. Just because also long term, it's like we want to build your brand. Right. And so I think that might be kind of worthwhile. On the thumbnails, you've been working with Kai and Kai's good.

27:05But something I would consider is I would consider having to learn to paint these. Think about it like this. The benefits that you have inside of a thumbnail are going to be something around risk. Stop messing up. Something around risk. Something around speed. Do it faster. Do it in less time. Maybe these are taking forever. Do it in less time. Or do it easier. right yeah and so i would i would experiment i would experiment just run one see see how how it does comparatively and you should be able to turn on i think it's turned on on all youtube but there's an a b testing um yeah yeah i've just found out about that yeah so i would i would split i would split tests no no copy uh because they are paintings is what your current thumbnails are so So the three kind of concepts I would be looking at are pure plain painting.

27:57Number one, plain painting with three words or less in terms of the words on the screen, because you don't want to take too much away from the painting, but you want it to be clear. When you're actually reviewing your thumbnail, text it to yourself on your phone, because that's going to be how small it is. And so what happens is a lot of people who design thumbnails, design them on these big screens, but that's not how people consume them. So you want to like, it's the easiest hack in the world. Just send yourself a text of the icon, and then you'll actually see how few words you can really put there where people can read them.

28:26And then the third concept that I would test is actually just a picture of your face, kind of maybe with a brush, and then the paintings in the background. Because then again, that's going to get you more exposure long term. Because this looks like a faceless YouTube channel. Yeah. No, it's not at all. In fact, actually, my older videos had my face. I'd do like an intro and an outro. And then, you know, I realized I was spending like two, three minutes doing an intro, by which time everyone's clicked off. So yeah, if you go to my earliest videos, I mean, when my hair was long. No, your hair was long.

29:01No, that's all good. Okay. So big picture, we need to double down on roadmap. You need to tighten up the time upfront. You need to know what your introduction is, like you personally, that you can frame for your proof. ideally ideally you want the proof to be relevant to the thing you're talking about so one is i've helped thousands of painters that's kind of one level of proof but if you're like i've helped thousands of painters paint gouache and it's one of the things that i enjoy doing in my free time or something like that then now i have more relevance to the proof right you want it to be as relevant as possible for example just an idea is you could also think about like have you sold i'm sure you've sold paintings before right yeah yeah yeah absolutely so um i think even just saying like and i've sold many paintings that are gouache right because then it's like not just i'm not just like saying i'm good like people have bought my paintings and i think that yeah that kind of helps uh kind of bridge that guy okay so that's that's youtube stuff can you uh kirby can you click in real quick to the video just i can look at the description free landscape painting blueprint okay so yeah so that's my call to action in the video yeah okay and do you do the uh do you integrate a CTA within the video?

30:11Yeah. I, yeah. What I do is usually about like halfway or three quarters through then, then, uh, yeah, there it is. Got it. Okay. Okay. So I'll, I'll say this. Um, we've found first third is, uh, cause you'll probably get twice as many people to see it. Okay. Cause you're, cause you've seen YouTube, you know, retention curves kind of drop slowly. I want to do it up front cause it's weird. You haven't done anything yet, but like at about a third. It's like you provided sufficient value that you can take 20 seconds and just be like, by the way, if you like this. And the key part is that you went with the CTA.

30:48Again, you want to integrate it to something relevant that you just talked about. Okay. No, it's not just like a commercial. You want to make it as... Basically, you don't want even to feel like a commercial. You want it to just be really natural. And inside the blueprint, what I would do, because you're showing the digital. Yeah. What I would do is I would print the blueprint out and I would flip to the page that, you know, corresponds to some technique or something that you're showing and be like, so what I'm doing right here is actually on page 17 and show you opening and be like page 17 of this blueprint.

31:24And you guys can have it. It's free. You can just click below the link. You'll get way more people who will choose to opt in if you start doing or integrating your CTAs like that. Kirby, let's go back to the... That's pretty. Yeah, that's a brilliant idea. All right, let's see here. Scroll down in this tutorial. I show you. So you do custom descriptions for each of them? Yeah, I've been using AI. I've been using AI. Yeah, I've been using AI to come up with titles and hooks for my videos and descriptions as well. That's fine. All right. Main website. The rest of this stuff is whatever. You could have a pinned comment, which you can do on every video.

32:04And ideally, you want to do it right after you post it, because then you're because if you're the creator, they're going to like yours the most and you can pin it. So the reason I like pinned comments for YouTube CTAs is because if you change your descriptions in the future, which I'm a bit I mass change all my descriptions at once. That's kind of how I do my stuff. So I feel like whatever I'm promoting, that's what's going to be in my description. But then the pin comment won't change. So it's like if you have stuff that's relevant to your video, I would just make it the pinned first comment.

32:29And then that way you can basically take the big wave of YouTube traffic and point it wherever you want, you know, when it's when it's appropriate. Does that make sense? Yeah, yeah, absolutely. Okay. Next thing is there's a feature on YouTube now that two things. One is that there's in video pop ups that you can now put in. And so I would put your lead magnet as a product that after you show it, it just stays in the bottom left corner so people can click it directly on the screen. and then secondarily you can incorporate products underneath underneath right and so i would at the very least do the the first one is just have this have the the blueprint uh sitting right and just leave it there for the rest of the video yeah okay yeah i mean it doesn't that youtube's i mean youtube takes care of their their audience like it's kind of it's tucked away to the bottom left yeah yeah okay so i would yeah so we'll do that as well all right great so let's go back to your landing page because the thing is is do you have any metrics around this you were pulling those up so what are the metrics for this page um so my coo uh manages the manages and i'm still i'm still finding my way around the system but unfortunately i can't so for the free yeah the free landscape painting blueprint until we've got 4 ,822 people from that.

33:54Okay. Yeah. But what's the conversion rate? Oh, as in conversion into the, into the free community. No, how, well, I mean, that would be great too, but like how many clicks go to the page, how many of them opt in, how many of them go to the free community? Like that's the funnel basically leading to your free community. Yeah. Okay. Uh, that I'm honestly not sure of, I'm not quite sure how to find that out. okay well whatever the landing page software is i promise you they have a conversion rate metric yeah that you can find i can see how many emails were opened and uh total clicks so it's like 65 and total clicks was 44 okay that's good that's um that's fairly normal for like a welcome sequence uh so you're not you're not missing anything big there uh i would want to know what the what the conversion rate of the pages though because that's where you're literally sending all your traffic there.

34:43Yeah, yeah, absolutely. One of the other considerations I'd have for that landing page, I told you the three bullets underneath. One of the other things I would consider is split test that because you have one image. Yeah. One thing I would do is show like show one image, but show like two, two behind it and above two behind it and below. So there's five images. So just show some of the some of the techniques. It's like, open it up a little bit, you know, I mean, rather than just the one image. And so I would test that out. And my second alternate would be you. Like if people recognize you from the videos, did your first like you will for sure, if you add your face to the page, you will increase conversions.

35:21If they're coming from you. Yeah, absolutely. Okay, cool. All right. So that's, that's conversion stuff. And I think all of those things could could measurably improve the amount of traffic that you're that you're getting. So let's let's talk about all right, good. So we have 15. So let's talk about the three big ones. So we did all the YouTube stuff. We did some tiny tweak stuff, but these are kind of going to be the three biggies, right? Yep. So big thing number one is we have to improve your conversion on your free offer to call. And actually, I'm going to say these in order of priority. Priority number one is those seven people per week that are signing on that you're not talking to for$29 a month, they should get an onboarding call for free immediately included with that$29.

36:12So that's how you book you seven more sales calls a week. Right now you're taking like two. So that can triple your business like that. And what we want to do is I'm sure you have some benefit for them subscribing to annual. Do they have some sort of bonus or thing that gets unlocked when they subscribe to and yeah usually i've been giving them a free coaching call with me like free hour-long coaching call sure so i would i would take so take that right and every one of those 29 people i would offer one two calls whatever in order for them to subscribe for the year and i think and if you wanted to if you wanted to be crazy here you give them a one month trial of your of your high end if you want to make like if we want to get these people they already paid 29.

36:58They already took their wallet out and said, I want to learn more. And so you say, how much more do you want to learn? Do you want more, you know, more time with me? Because here, think about like this, you're going to give them one or two calls, right? One-on-one. Each of those are basically sales opportunities. I said, like, you're not closing, but you're building trust, right? Yeah. If they also have the two live classes per week that are happening at the, at the 5 ,000 level, like they also have, like, you're basically using up the, the high level one on ones, figuratively, as using the two onboarding calls, or sorry, the two follow up calls as they just get a free month of that.

37:34Now, some of them might be like, well, shit, I want to keep doing this, in which case, then you can convert them in the back, downsell, you just get the annual. Cool. So that's still not not a loss. Okay. So that's like immediate money number one that can triple. So that could take you maybe from like, if none of the tweaks, if you didn't do any change in tweaks to the YouTube and all the stuff we just went over. If you just did that, that could take you to like 30 or 40. Okay. That's just number one. All right. Number two, you're getting four out of 150 people who are joining the free thing to get on a call or less.

38:08Right. So we have to fix that. So yeah. So what we need is, um, I'm assuming that he doesn't have, like, we need to sell the call. All right. And so, cause right now it just sounds like, how serious are you? Do you want to talk to Sam? That's what it sounds like. I could be wrong, but that's what it sounds like the script looks like. So, and given these kind of response rates, that's what I assume is. So we need to give something like you gave them a lead magnet, which was the blueprint to get them here. We got to give them something else to get on the call. So I think within the free community, what you can do is you can say, Hey, when you hop on the call, we're going to unlock half of the stuff in the free community.

38:45So half of it's locked, half of it's unlocked. And the reason we do that is because we want to show you the best place to start and make this a better experience, whatever. Now, you can bring that up to people after they have a pulse and a credit card or whatever. They answer the first couple qualifying questions. Then we say, cool, if you want to find out how to unlock that, we can do that for you. And you can hop on a call. So that could take you from four calls a week to 20. like that that could have a very big so literally in the classroom i'd have like a load of those modules like totally locked yeah until they've gotten the call and then you can manually unlock each person wow i never even thought that's brilliant so and this as i say i'm still i'm still need all this this is great you're doing great okay so number one is the really easy one to do that'll take you almost no time which is you just we start hitting the 29 people try to to send them.

Read the full transcript

39:39Those are going to be the highest likelihood, warmest people because they were in your brief thing for a while, elected on their own to sign up. That's great. If we want to increase the likelihood that that happens, though, I would put a little the first the first module that you have in there. After you have your introduction, do do a five video VSL. So video sales letter. Yeah, that basically part of their onboarding is to kind of go through and the five video VSL I've talked about in other stuff, but it's origin story. You had that mentor who taught you, like that's a perfect story. You walk through the journey as though you were them.

40:16And then you say, now that I've been on the other side, I can show you what I found. Right. Yeah. So this is for the$29 group, this one. This is actually for free. Oh, on the free group. Okay. You can also do the same thing for the$29 thing. So because both of these are just going to be sales conversion things that were, they're just forever salespeople sitting there that some percentage of people are going to go there. And then that that's video one, video two, three, and four are going to be the just basically the biggest obstacles that people struggle with for why they don't buy, but you're going to frame it as an educational thing.

40:45And then the fifth video is going to be basically an invitation to the next thing. And you'll mention again, whatever free stuff they get for the next thing in that fifth, that fifth thing and put the link below for them to schedule a call where they schedule, you can have them fill out like on the actual scheduler, have them fill out their stuff and you can just choose to disqualify people if you want to. All right. Yeah. Okay. Yeah. And you can put that qualification in the video so that doesn't feel like you're just, you know, canceling people. You just like, Hey, you have to meet these qualifications to get here, whatever.

41:15Okay. Those are just like easy things that we can do to the existing communities to just push more people through. So back to the, so that, so we're starting with the 29, uh, the 29 ascensions. Great. We're gonna add the VSL in. Cool. We're going to add that also into the free the free group. You're going to add the lead magnet to the call, which is that half of these things are going to get unlocked if they get on the call. So you can get way more at bats to book calls. All right. So the the last thing that I want to hit on is you have these 9000 people, right? If you want to if you want to have like a big cash pop, you know what, I could get into that.

41:51But like, I kind of want you to just do this stuff. I think this is enough because we talked about a ton of stuff on YouTube that you that you'll have to switch up we have the free to paid and then we have the paid to more paid we have the stuff that you're going to be making inside of the community we have the landing plate test that you're going to do we have the new intros yeah I think you've got I think you've got work so that should take you but let's let's sum it up though because right now I think you could very well go from five out of the, sorry, four out of the 150 to like 20. Like that's a 5X, right?

42:27Yeah. You've got a triple sitting on the$29 to 5K that you're not talking to the other seven people every week who've already paid you. So you got a triple there. So putting those together, it's a 15X from where you're at. So that's your 100K per month. Like we can do that. You can do that right now. And then in terms of increasing the top of funnel, the two big levers that we have are improving the intros and thumbnails for YouTube, adding the pin comments in, right? So that you have the CTA that's always sitting there. When you're doing the integrated CTAs, actually print it out and show it to them.

43:01And then when they get to the landing page, they should also see your face and some of the other images inside of it. And I would bet that that would increase the close rates. And so, sorry, the opt-in rates. And so the last piece that I'll give you is this. You need to put tracking in place so that you know, click all the way through. So basically, I'm going to say them quickly and you can watch this recording later. Yeah, yeah, absolutely. You need to know how many clicks are coming from YouTube, number one. So whatever clicks you're going to that link, we need to see that. You can put a UTM parameter on it.

43:33If you've got some tech guy, he can do it for you. All right, so that's going to go to your landing page. We need to know the opt-in rate or the conversion rate of the people who are taking in the PDF. So we'll get that piece of data. then we have percentage of people that are coming uh straight from the thank you page okay so right here put a picture so this thank you page put a picture of your community like your your community landing page yeah that they know where they're going because what it'll do is it's going to increase the opt-in rate of your community because they'll see where they're going so it'll be more congruent of a customer journey for them yeah that makes sense so we're not going to see it here you're just going to see a higher percentage opt-in on your community.

44:13Now, the next piece of data we need is two, because it's going to split, which is what percentage of people are clicking from emails and what percentage of people are clicking from here. Because that'll give you a good idea of like, okay, wow, most people are coming from the thank you page, not my emails. Okay, so I should focus on my thank you page more. Or, you know, everybody's coming from email over the long term. Maybe I need to make my emails better, whatever. Okay, the next metric that you're going to want is the conversion rate of the free page, the free about page, your free community.

44:43And then we want percentage of people who go basically through the funnel there, which is people who respond, people who book calls, people who show, and then people who close. That's what we want. Now, because you also have people who just choose to opt in straight for the $29 because they can just buy it on the page. I would just have a separate set of metrics that just like what percentage of people who opt in for the 29 book a call show and buy. That make sense? Yeah, absolutely. Okay, cool. I feel like we can make a lot of money. Absolutely. Thank you so much for this, Alex. I really appreciate it.

45:23You bet, man. You bet. I appreciate being on school awesome yeah this brought to you by school.com

From the publisher

In this episode, Alex (@AlexHormozi) gives pricing advice to Sam Earp, a content creator helping people learn how to paint. Alex shows Sam how to structure his high-ticket offer by anchoring it against his more affordable membership.

Welcome to The Game w/Alex Hormozi, hosted by entrepreneur, founder, investor, author, public speaker, and content creator Alex Hormozi. On this podcast, you’ll hear how to get more customers, make more profit per customer, how to keep them longer, and the many failures and lessons Alex has learned and will learn on his path from $100M to $1B in net worth.

Wanna scale your business? Click here.

Follow Alex Hormozi’s Socials:

LinkedIn  | Instagram | Facebook | YouTube  | Twitter | Acquisition

Mentioned in this episode:

Get access to the free $100M Scaling Roadmap at www.acquisition.com/roadmap

More from The Game with Alex Hormozi

All 342 episodes
Throwback: Pricing, Positioning, and the Art of the UpsellThe Game with Alex Hormozi · 46 min
Listen in VO