We sell sales coaching and lead genen to financial advisors. We're at 6. 6 million.
We'd like to be at 20 plus. Okay. Um, appbound, paid ads, events.
How do you sell? Paid ads. Okay.
Yeah. Straight to VSL to phone team. Correct.
Cool. Yep. Correct.
Yeah. Biggest thing is churn as with pretty much all agencies. Um, so we've basically transitioned from lead genen company to sales coaching company because we know that advisors can't close.
No offense to any advisors in here, but um, yeah, so we're we're doing a lot of sales coaching now. So we have like the big head longtail where we can sell the lead genen on the back end. Okay.
Okay. So yeah, the main question is have you seen other agencies successfully pivot from lead genen to sales coaching or you know in like very non-sales uh or industries where founders or business owners are sales deficient? Have you seen companies successfully train their clients on sales?
Yeah, sure. So like a gym launch, how did you guys successfully do that across thousands of gyms? We had something called boiler room.
We trained their trainers and front desk people every morning and drilled them, role played and separate them in the groups the same way we would our own team. So, we just did it every morning for them and it was just an add-on, just group group roleplay basically. Just like you'd have a sales manager meeting where you'd role play whatever particular part of the script they were all struggling with.
And so, we break we break sales training from the team side, not on the one-on-one side, into five parts. We've got intro, we've got disco, we've got offer, and then we've got uh you know, objections and looping. And then fifth day is basically whatever is kind of the hot topic of what's the thing that we think is going to benefit the team the most.
And so that's kind of how we rotate through because we have to keep each part of the script crisp otherwise they'll [ __ ] up something. And so that keeps the short you know the the the sword sharp. Um and that's what we did you know across the team.
We still we do that for our teams too. Um but I think it's likely that it's under basically you need to provide more value or you need to lower the price. And so if you want to tackle churn, it has to be like there are for sure businesses that work in the space that you're at.
I think big head long tail is a great model like charge the upfront and then just make the continuity much much smaller. So it's a no-brainer. Like they'll almost pay that just to be kind of in the network.
Sure. And so this is I'll just I should have said this earlier, but it's like I try to answer the question so that it affects as many people as possible in this room. But the problem with information and kind of quote coaching or education type businesses is that um people try to make continuity out of the front-end value that you're providing and then the value drops once you have the skill.
And so you have to separate out the consumables from the one-time things. The one-time things also have significantly more value than the consumables do. Now sometimes they don't have the money to pay for the onetime thing because they don't have the skill the onetime thing would give them.
Yeah. Right. That's kind of the issue.
So um in order to separate it's like you just have to think what are the things that they get on an ongoing basis and if we only sold that what would the price point be likely significantly lower and if we got them that skill it would be significantly more but once they have the skill assume they have the skill on the ongoing basis. Yeah. What would they still pay for?
Now you have the lead genen thing. Um really I mean the lead genen Oh everyone wants it. No one can deliver.
When they learn how to sell using our process they stay. Okay. So, the biggest thing is just making sure they actually they don't know how to coach.
So, it's so it's like it's activation as well. So, like getting them to come in and actually engage because most advisers is it all remote? It's all remote.
And they don't they also don't like sales like the word sales like they like cringe inside when they hear it. So, we literally like ban the word sales. Like we we just say consulting.
We don't call them sales calls. We call them consults. So, like you know like that.
But um yeah, I'm just curious. So it sounds like you just have to get better at training them. Yeah.
Yeah. So so what did your team structure look like as well? So I was I was curious like is it is it possible at scale to do that and then what sort of team did you have on the sales training or coaching side?
It is possible but the answer to my question isn't the answer. So the answer to your question isn't the answer to your question. Me answering with what our team structure looked like does will not help you because we're different business.
And so for us the fundamental arbitrage that existed by and large was kind of two main things. So one was the network and the community that was a big component of it. You know being a gym owner is very lonely.
It sucks. The other component of it [snorts] um was lead generation but not in the way that most agencies kind of do it. We were not an agency.
So the one skill that I taught gym owners how to do was how to run ads in a local market. And then the thing they would need on a regular basis was the creative. And so I licensed the creative every single month because they needed that every month.
But they already had the skill. So I didn't have to use the operational I didn't have to have a hundred [ __ ] account reps uh to deal with it because they knew how to run their own ads and running ads in a local market is very easy. Drp a pin female go you know what I mean?
Like as long as the creative's good and they were running it to our pages that we already tested and so all we had to do is feed the black box with the creative and then after that they just run our process. Got it. So, okay.
Your issue though is that if someone gets activated, they stick for sure. For sure. Well, then all of the all of the effort we have is how do we get them activated like better faster, which is going to be a function of two things.
One is going to be are there some avatars that are better than others, right? So, we only sell those avatars. And we split that into three buckets.
You've got demographics. What do they look like? Right?
You've got the quantifiables, which is like what are the uh what size business do they have? Whatever. Um, and then you've got the ethnic the um, uh, I said demographics and there's quantifiables.
There's a third one, I can't remember. But those two at least get you on a head start um, in terms of segmenting the traffic. So you can be like this is who the avatar is.
These ones have a significantly higher likelihood of converting. And what'll happen when you do that is your CAC will go up, but then your stick problem will get fixed. Okay?
So like for example, if I sold everybody who identified as a fitness person, then gym launch would never have been able to exist. because I would have had too many shitty customers who are personal trainers who've got 10 clients whatever and they can never pay and it doesn't matter what I do and so for me to deploy the resources required to actually get them up to snuff I have to have somebody who at their onset can pay more so that I can actually help them okay because below a certain extent it just needs to be DIY which is a different business not the business I wanted to be in so there's probably some advisors that are better that you need to basically scan out and say all these people we're not going to service because they have a low likelihood of actually working and maybe you need to adjust price to only accommodate those people and that newer avatar that's better. So this is fundamentally an avatar issue and then obviously the ops on the back end in terms of activation is what do oh yeah that's the third bucket the behaviors.
So what did the people who have the right demographics and the right quantifiables what behaviors did they do that cause them to activate and stick and what did the other people who look like them not do and then that becomes the activation process we reverse engineer. Makes sense. Quick last question.
How did you how did you optimize for for time to value ad launch and how can we potentially do something similar because for us deal cycles are yeah we'd email their list they make a sale in the first seven days. Okay. So just reactivation.
Okay. Sweet. Appreciate you.
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