Why what style of fitness you practice doesn't matter...and the SECRET equation that our $1M+ facility owners understand that your sales people dont. | Ep 70
This episode reveals the counterintuitive truth for fitness businesses: the style of fitness offered is irrelevant. Success hinges on focusing solely on a clear, high-value outcome for the customer and optimizing pricing and promotions to convert cold traffic. Ecommerce operators can apply this "outcome-first" thinking to their product offerings and marketing to significantly boost sales and profitability.
Key takeaways
Prioritize the customer's desired outcome over your product's features. Alex uses the analogy of getting to 'Maui' – customers care about reaching the destination, not the specific plane ride (your fitness style).
Implement proven promotional strategies, such as a 6-week challenge, which offers a timeframe significant enough for perceived results but short enough for sustained commitment.
Optimize pricing: Aim for $150-$225/month for large group training and $500-$700/month for semi-private sessions. These price points are tested for profitability based on market elasticity.
Craft marketing messages that minimize 'cost' (the effort or pain involved) and maximize 'value' based on the equation: (Significance of Outcome * Likelihood of Achievement) / (Time + Effort) = Value.
Target a customer acquisition cost around $600 for initial cold traffic conversions, a price point validated by successful large-scale weight loss franchises.
Avoid discussing intricate product details (the "plane flight") during sales, as this increases perceived cost and can deter potential customers.
"You have to meet someone where they are." Today, Alex (@AlexHormozi) discusses how gym owners can succeed regardless of location or fitness style and emphasizes the importance of focusing on the outcome rather than the method. He also introduces a value equation for fitness and stresses the need to meet clients where they are in their fitness understanding.
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:
(1:42) - Fitness style and location don't matter for success.
(5:37) - Focus on outcome, not fitness style or details.
(9:03) - Value equation: outcome × likelihood ÷ time and effort.
(11:34) - Higher prices can increase earnings. Don't settle.
(13:13) - Start with psychological win. Introduce advanced techniques.
(14:05) - Psychological needs outweigh physiological perfection. Help progress.
Follow Alex Hormozi’s Socials:
LinkedIn | Instagram | Facebook | YouTube | Twitter | Acquisition
Prioritize the customer's desired outcome over your product's features. Alex uses the analogy of getting to 'Maui' – customers care about reaching the destination, not the specific plane ride (your fitness style).
What does this episode say about conversion & cro?
Implement proven promotional strategies, such as a 6-week challenge, which offers a timeframe significant enough for perceived results but short enough for sustained commitment.
What does this episode say about paid acquisition?
Optimize pricing: Aim for $150-$225/month for large group training and $500-$700/month for semi-private sessions. These price points are tested for profitability based on market elasticity.
What does this episode say about finance & fundraising?
Craft marketing messages that minimize 'cost' (the effort or pain involved) and maximize 'value' based on the equation: (Significance of Outcome * Likelihood of Achievement) / (Time + Effort) = Value.
What does this episode say about dtc strategy?
Target a customer acquisition cost around $600 for initial cold traffic conversions, a price point validated by successful large-scale weight loss franchises.
