The Game w/ Alex Hormozi

When something becomes more expensive, people perceive its value in a higher way. Today, Alex (@AlexHormozi) talks about the steps he did in order to make over $5 Million in 8 weeks, why doubling your price is the best option to choose, and explains these steps using a hypothetical scenario at the end of the episode.

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 on his path from $100M to $1B in net worth.

Timestamps:

(2:21) - Imagine a business genie that can grant you 1 wish to grow your business: Double the number of customers every month? Double the price with the same number of customers? Or Double how long the customer stays? Which would you choose?

(3:54) - Alex dives into what would happen if you chose option 1 and option 3, these have good results. However, if you really want to double your profit, Option 2 is your best bet: double the price. This is what Alex also did for his business.

(6:36) - One change that Alex and his company did was they looked at the entire marketplace that they were selling a similar service to theirs, they did nothing but add 50% to the price and changed nothing about the product. Because of that, more people bought.

(8:09) - Pricing is very interesting because it’s very tied to emotions. A lot of people are very afraid of raising the price because they don't wanna break it.

(9:55) - Alex deep dives into the 3 Steps to doubling your profits: use the Van West Store Pricing Survey, communicate the results internally to the team, then communicate the price change to your customers.

(21:38) - Alex walks us through his hypothetical business on how he will double the price using the 3 Steps

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3 Steps That Will Double Your Profits in 8 Weeks | Ep 444