3. Section A. Attract | $100M Lost Chapters Audiobook

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

Speaker names marked ? are inferred from speaking time and the show’s known hosts — they are not voice-verified.

• 0:00Alex Hormozi?

  Section A: Attract. How to Get People to Engage Who Otherwise Wouldn't Using Free and Discount Promotions. Lost Chapter Author Note. I cut the next three chapters from 100 Million Dollar Money Models because they were a little too theoretical. Although I love theory, concepts, and frameworks, I don't think a lot of people need them. People just need to know what to do. But if you like understanding the principles I cycle through to create promotions that crush, these next three chapters are for you. Free. March 2016. I stood to the side of the stage. I looked back at the thousands in the crowd. No one knew me. I was 26 at the time. Most were older than me. I checked the clock. I was up soon. My heart thumped so loud I could hear it in my ears. The emcee read his notes to introduce me.

• 0:44Alex Hormozi?

  I planned to talk about how I pre-sold each of my gyms to full capacity before opening with no money out of pocket. I repeated my talking points in my head. "Please welcome to the stage, Alex Hormozi." My name snapped me into focus. I was up. I stepped onstage. The bright lights shone in my eyes. One thought calmed me. At least I only have to talk about something I know. I began. My slides were bare, black and white text with a few images. I felt silly seeing all the other speakers' presentations. They were all so professional, and here I was, a kid in a neon-green fitness t-shirt who had been broke only a few years before. So, I explained the same process I had outlined in the beginning of the 100 Million Dollar Money Models book about our free six-week challenge. How it worked, and the numbers behind it. I told everyone exactly what we did and how we did it.

• 1:29Alex Hormozi?

  I'm pretty sure I did my speech with, "So yeah, that's it." When I got offstage, I exhaled a sigh of relief. As I tried to exit the venue, everyone was leaving too. To my surprise, I got mobbed. The talk transformed me from an unknown kid to someone worth listening to. People surrounded me several rows deep, firing questions. "Do you have a course? Do you have a coaching program? Can you do what you just went over at my gym? My friend has a gym. Is there something of yours I can send him?" It was unlike anything I'd ever experienced. It took me 60 minutes to make it from the door of the venue to the men's lavatory 30 feet away. And even there, someone followed me and asked me questions while I was peeing. My answer remained the same. "Nope, I'm only a gym owner. This is what I do. I don't teach it. That's not my business. Sorry." For the next two days, people asked an unending stream of questions about my presentation.

• 2:14Alex Hormozi?

  Every time I found myself alone, a new person would dart over. "Got a sec?" It felt pretty cool. No one had ever paid me that much attention. And as far as I was concerned, I didn't know anyone else liked this stuff. The marketing world was so new to me. To this day, I still don't know why folks at that conference took so much interest in me. But I was on my own. I had nothing else scheduled, and it was nice to be recognized as good at this. It was the first sign there could be something more for me here. The event was my first big exposure. It also went hand in hand with what my mentor at the time had suggested I do. You should be teaching other people how to do what you do. I walked away from the event with a pocket overflowing with business cards and tons of new contacts saved in my phone. John M., the guy with the beige jacket, supplements, and Marcy, owns weight loss clinics, Texas.

• 2:59Alex Hormozi?

  Once I got home, I plugged all the names into a spreadsheet. There were over 100. I had no idea what I was doing, but I knew I could probably help them. So I reached out to them in a week or two after the event. Many of them were in adjacent industries like chiropractors or dentists. Some were selling supplements online. Others had online fitness businesses. I didn't know anything about that at the time. I just knew how to help gyms. Ironically, the concept of selling a course or program seemed very foreign to me. I'd always sold services, but I had no idea how I would do that here. So I created my first offer that I would later become gym launch by giving something away for free. Me. I'll fly out to your gym. I'll spend my own money on marketing. I'll work your leads. I'll close them. Then I get the cash I collect and I'll give you the customers for free. I'll show you how to sell supplements. I'll give you my nutrition program. I'll show you how to fulfill them.

• 3:44Alex Hormozi?

  And I'll show you how to convert them into memberships, again, for free. I only make what I sell. Sounds like a grand slam offer, right? Yep. I did this for 33 gyms and it took me 18 months of flying around the country to do this model. As you can imagine, it was easy to sell. After all, it was free. It's how I made my first million dollars outside of my gyms. And I made it all, starting with a free offer.

• 4:06Alex Hormozi?

  Why I use free and discount promotions. Whenever I get into a new market, I almost always start with something free or massively discounted. I do this for a few reasons. First, I don't know what I'm doing it and don't want to sell people something until I'm certain it's exceptional. This gives me wiggle room and forgiveness if it's still a little rough around the edges. Second, I like having testimonials and the fastest and easiest way to do that is to work for free in exchange for testimonials. Third, if I haven't done something before, I tend to lack conviction. So offering it for free or at some massive discount helps me actually close the first few sales. Don't be mistaken, I still had to sell people on taking that offer. Fourth, when you start for free, it's also easy to get referrals and start generating demand.

• 4:47Alex Hormozi?

  Get flow, monetize flow, then add friction. Given those reasons, understanding how to promote your grand slam offer is core to getting initial traction and generating your first few leads. From there, you can add friction and monetize more aggressively. That being said, if I can continue to build in more grand slam offers to upsell someone over time, I'll keep my front end as low as possible to keep lead flow cranking. This is how I do business. I try to generate demand first, then I figure out how to make money on it. I feel like too many people try to put their cart before the horse. In almost every industry I profit from, I began with a standalone offer. Free offer or a discount offer. They live at the core of my get new client strategy. So I'll cover each of the three of those in that order. Just remember, free and discount are wrappers around a core premium offer that we create. I'm not saying you have to do this.

• 5:32Alex Hormozi?

  I'm saying this is how I do it, and it has served me well. If you want to make money fast, ironically, many times it comes fastest from giving things away. Those who give the most, get the most. Important. The point of creating a promotion is to enhance your grand slam offer, not change it. Think of these like wrapping paper. You can wrap a gift in recycled paper, or you can put it in a Chanel bag with matte black paper and a perfectly tied white bow. What's inside may be the same, but we're making it more inherently attractive. That is the reason for our promotional wrapper. This is especially important when entering cold markets, where you must give people a reason to move towards you.

• 6:10Alex Hormozi?

  It has to answer the critical question, what's in it for me? We're making it more attractive to a cold audience in order to generate demand flow. Over the next three chapters, we will break down premium, free, and discount offers in more detail. So, let's learn more about how to make those offers the right way.