You wanna double your sales?
And here's a crazy idea.
Try doubling your price.
Now I know that sounds backwards, but
stick with me, because what I'm
you, and let's go into today's episode.
So I wanna talk about a recent experiment
that we did that went phenomenally well.
We had a webinar that was doing okay, and
we were selling a $300 program, and the
focus of that program was to help people
make their first sale or welcome their
first paying member in their membership.
That's what we help people do.
We help people take their expertise and
turn it into recurring
revenue with a membership.
However, we kept hearing from beginners
that even a $300 price
point felt like too much.
Now the value was there.
When you can welcome your first paying
members in a membership, that is gonna
pay you every single month, and we showed
that, the value was there.
But yet, $300 still felt
like too much for this audience.
So we made a choice.
Instead of lowering our
price, we actually raised it.
We went from $300 to $3,000
and more than doubled our sales.
Let me just repeat that,
because it's kinda crazy.
We went from $300 to $3,000
and more than doubled our sales.
And instead of marketing to everyone who
might be interested in this program, we
got super specific about who it was for.
On our very first webinar with this new
approach, we more than
doubled our best sales day ever.
So let me show you how we did it.
So here's what's happening.
We had this $300 offer that was designed
to help people get
started with memberships.
And we were promoting it to anyone who
was interested in recurring revenue.
Now, as I'm saying that out loud, it's
just like, duh, I'm slapping my forehead.
I'm like, duh, the problem is that we
were trying to cater to everyone.
And the beginners were telling us that
$300 was too expensive.
And honestly, maybe they were right.
Not because the program wasn't valuable,
but because they
weren't ready for it yet.
So they needed
something completely different.
Now, here's what really got me thinking.
At the same time, we were also getting
messages from people
who were further along.
They didn't need help
making their first dollar.
They needed help getting to
$10,000 or more per month.
And our $300 program,
it wasn't built for that.
So we had a choice to make.
We could keep trying to serve everyone
with the same offer, or we
could create something specific
for that more advanced audience.
So we decided to rebuild the whole thing.
And we created a new
program at the $3,000 price point.
And it included personalized support.
It included all the software that they'd
need for an entire year and the training
to help get them to $10,000 a month.
Not making their first dollar, but making
$10,000 every single month.
Then we did something
that felt at the time risky.
We started specifically saying who this
presentation was not for.
So yes, we were saying who it was for,
but we were also
specifically saying who it wasn't for.
So we said, if you're just getting
started, this isn't for you yet.
And if you haven't made your first
dollar, you're not ready.
But if you're making some money and
you've got an audience and you want to
get to $10,000 a month in recurring
revenue, this is exactly what you need.
Now, our first webinar with this new
approach, as I said, we more than doubled
our previous best day.
We had fewer people on the webinar,
but it was a higher price point and those
people were far more targeted.
And therefore it led to better results.
So here's the bottom line.
We made more money with less people by
being specific about who we were serving.
So here's the lesson
for you and I from this.
Number one,
you've got to target the right people.
So let me share
something fascinating with you.
Research shows that targeted ads have
conversion rates of around 5%, while
broad, untargeted ads
conferred at just 0.2%.
So think about that.
That's 25 times better just by being
specific about who you're talking to.
So here's what's actually happening.
When you market to everyone,
your message has to be generic.
It can't speak to everyone's specific
problem because you're
trying to cover all the problems.
So therefore your
message starts to fall flat.
But when you get specific,
when you say this is for people who are
already making some sales and have an
audience of 10,000 or more and they want
to get to $10,000 a month,
well now
speaking directly to
someone's exact situation.
And when that happens, they
lean in and they pay attention
because you're talking
about their specific problem.
In that moment, they feel
seen, heard and understood.
Now hear me when I say this.
When someone feels seen, heard and
understood on that kind of a level,
it creates trust.
And trust is the thing that
leads to higher conversions.
Now here's what most people miss.
When you exclude people, the people who
are a fit, they pay even more attention.
Think about it like this.
Imagine you're at a party and someone
says, hey everyone, I
have something to share.
Well, you might listen or you might not.
But for me, if somebody said, hey, if
you've got a teenage daughter, I've got
something really important to share.
If someone said that,
immediately I'm gonna lean in.
Why?
Because I have a teenage
daughter and I'm a dad.
I wanna do everything to protect her, to
help her, support her and
certainly help her grow.
That my friend is targeting.
It makes the right
people raise their hands.
And the more targeted your audience, the
higher your conversions will be.
Point number two,
the premium pricing effect.
Let's talk about why raising our price
actually helped us sell more.
Now this might sound crazy,
but research backs this up.
Higher prices signal
higher value to your brain.
Now in my research for this, there was a
really cool study I came
across where a jewelry store owner
tried to sell some turquoise jewelry, but
they couldn't move it.
It was just sitting in a
store sitting on the shelves.
So the owner told her clerk to cut the
price in half, but the clerk
misunderstood and
doubled the price instead.
Now the next day,
everything sold out.
Why?
Because people don't know much about
turquoise jewelry by itself, so their
brain would just use a shortcut.
Higher price must mean better quality.
And the same thing happened with us.
When we were at $300, people
wondered if it was good enough.
But when we went to $3,000, they assumed
we could get them better results.
And you know what?
We could because we built a better
program for people who were ready for it.
Now here's the other thing
that happens at higher prices.
You attract different buyers.
The people who invest $3,000 show up
completely different
than people who invest $300.
Now I'm not saying that everybody who
invested in $300 is not
going to achieve success.
That's not what I'm saying.
But what I am saying is in general, the
more somebody invests,
the more action they take.
They do the work, they get the results
and therefore they end up way happier,
which means they tell other people, which
means you get more great customers.
It's a better cycle all around.
Now, point number
experiment.
You know what I see all the time?
I see business owners trying the same
approach over and over again.
Same offer, same price, same messaging.
And when it doesn't
work, they just try harder.
They buy more ads, more emails, more
webinars, push, push, push.
And they don't change the offer, they
don't adjust the price, and they
definitely don't change their messaging
or who it is specifically for.
Why?
Why don't they do this?
Well, it's because they're afraid.
They think, if I exclude somebody, I'm
gonna make less money.
The more people I target, the more people
I try to reach, the
more money I'm gonna make.
That's actually not true.
The opposite is true.
When you try to serve
everyone, you end up serving no one.
Your message is too broad, your offer is
too generic, and nobody feels like you're
talking directly to them.
Here's what you and I need to focus on.
We need to get crystal
clear on who we serve.
Not everyone who might be interested, but
the specific person with the specific
problem that we can solve right now.
And when you do that, your marketing gets
so much easier, your conversions get
better, and you make more money with the
same amount of work.
Heck, it might even be less work.
Does that make sense?
Okay, so here's what I
want you to think about.
I want you to look at
your current offers.
I want you to ask
yourself these questions.
Who is this really for?
Who might benefit the most from this?
Who is this a perfect offer for?
And just as
important, who is this not for?
Where are people in their journey when
your offer makes the most sense?
Then look at your pricing.
Are you afraid of charging more because
you think fewer people will buy?
What if charging more
actually helped you sell more?
And I'm not saying everyone should 10
extra prices tomorrow like we did,
but what I am saying is that being
specific about who you serve and having
confidence in your pricing can change a
whole lot in your business.
So let's recap what we covered today.
First, targeting
matters more than you think.
Getting specific about who your offer is
for will dramatically
increase your conversions.
The research shows it
and our results proved it.
Second,
higher prices can
actually help you sell more.
And when you raise your price and back it
up with more value, people assume you can
get them better results.
And when you attract buyers at higher
price points, they show up differently.
Now third,
stop trying to serve everyone.
The biggest mistake I see are people who
are afraid to exclude
particular segments of their audience.
When you try to serve everyone, your
message falls flat and nobody feels like
you're actually talking to them.
It is scary to raise your
prices and exclude people and
I get it, but my hope is that this
episode gives you the confidence to get
specific about who you serve
and charge what you're worth
because your offer
doesn't need more people.
It needs more of the right people.
Thanks so much for listening, my friend,
and if you'd be open to it, I would love
and be super grateful if you went and
rated and reviewed the show because then
that just helps us get
in front of more people.
And if you haven't subscribed to it yet,
make sure you do that.
I'm a great person who has built a
massive company serving literally tens of
thousands of creators.
He has a unique perspective in terms of
what is working right now, specifically
when it comes to email and how to use
email to effectively sell more of your
products, your programs, and services.