Becoming a 'category king' involves creating and dominating a new market category rather than competing in existing crowded markets. This strategy, inspired by the book 'Play Bigger,' focuses on identifying and solving a single core market problem to establish leadership in a newly defined category.
Creating a new category allows businesses to avoid crowded 'red oceans' where competition is fierce. By defining a new category, a business can become the leader, or 'category king,' and dominate the market before competitors enter, making it difficult for others to dethrone them.
ClickFunnels became a category king by creating the category of 'sales funnels.' Instead of competing in existing markets like email automation, ClickFunnels defined a new category focused on helping entrepreneurs build sales funnels, which allowed them to dominate the market and establish themselves as the leader.
Identifying a single core problem is crucial in category design because it allows businesses to focus their efforts on solving one clear issue for their market. This clarity helps in creating a compelling category and positioning the business as the go-to solution for that specific problem.
An 'improvement offer' focuses on making an existing product or service better, faster, or cheaper, often targeting ambitious individuals. A 'new opportunity' introduces a completely new solution or approach, encouraging people to abandon existing methods and adopt the new one, which can lead to greater market dominance.
Structuring an offer differently can significantly impact its success by increasing perceived value. For example, ClickFunnels shifted their offer from selling a product to giving the product for free when customers purchased a higher-value item. This change in positioning led to a massive increase in sales, from $3 million to $200 million annually.
The 'opportunity switch funnel' is a marketing funnel designed to move customers from their current solution or method into a new opportunity offered by the business. It focuses on presenting a compelling new solution and convincing customers to switch, often leading to higher conversions and market dominance.
Hey, I'm Ryan Reynolds. Recently, I asked Mint Mobile's legal team if big wireless companies are allowed to raise prices due to inflation. They said yes. And then when I asked if raising prices technically violates those onerous two-year contracts, they said, what the f*** are you talking about, you insane Hollywood a**hole?
So to recap, we're cutting the price of Mint Unlimited from $30 a month to just $15 a month. Give it a try at mintmobile.com slash switch. $45 upfront payment equivalent to $15 per month. New customers on first three-month plan only. Taxes and fees extra. Speeds lower above 40 gigabytes. See details. What's up, everybody? This is Russell Brunson. Welcome back to the podcast. This episode, I'm going to share with you guys a really cool presentation about becoming the category king of your market.
I actually posted part of this, the first 14 minutes or so as a YouTube video talking about one of my favorite books called Playing Bigger, which teaches you the concept of being a category king. And then from there, I transitioned over to a presentation I did at my inner circle. It was right after one of the authors of Playing Bigger came out to my category king group and did a whole four hour long presentation about how to become the category king in your industry, which was really, really fun and really cool.
And then after that, I did a presentation for my inner circle kind of going through the highlights of it. And so this episode is all about becoming the category king in your market. You can hear me talk about it.
directly from the book. And then from there, we're going to dive over to the inner circle presentation where I went deeper on how to become a category king. Hope you enjoyed this presentation. If you do, make sure you guys come to Funnel Hacking Live. We're like less than a month away from Funnel Hacking Live. If you want to become the category king in your market, make sure you come and do not miss it. If you go to funnelhackinglive.com, you can get a ticket before they're sold out. This is the last dance, the last Funnel Hacking Live ever. We've done nine of them. This will be number 10. And then we're taking, who knows, five-year break.
I'm tired. So do not miss this show. It's going to be insane. It'll be the biggest and the best one we've ever done. So go get your tickets at FunnelHackingLive.com. With that said, we're going to jump right into the presentation on how to become a category king. In the last decade, I went from being a startup entrepreneur to selling over a billion dollars in my own products and services online. This show is going to show you how to start, grow, and scale a business online. My name is Russell Brunson, and welcome to the Marketing Secrets Podcast.
One of the biggest mistakes that new entrepreneurs make happens to be the thing that the biggest companies in the world have mastered yet they never talk about. And this book is the first book I've ever found that actually explains it in a really cool way. This book is called Play Bigger, and you may or may not have heard this book. It's one of the more rare books out there, yet this is the one that gives you the key to how to be successful. It all has to do with figuring out how to dominate your market. Now, a lot of people think dominating the market is all about figuring out, like,
what's the market you're gonna go into, right? And that's actually the exact opposite of what you should be thinking about. In fact, I wanna walk you guys through a really quick process. This is something I talk about in my book, Expert Secrets. I talk about figuring out what market you're gonna be in, okay? What we're gonna be figuring out today is how can you become a category king? So when you think about markets, there are three core markets almost every business falls into, okay? These are the three markets.
This is health, wealth, and relationships. If you go back in time like 100 years ago, back when business was first getting started, every business kind of fell into one of these three things, right? And there weren't a lot of entrepreneurs doing businesses, right? You gotta have a lot of money, startup capital, but almost every business fell into one of these three things.
And then over time, everyone was in the health market, the wealth market, the relationship market. These markets were growing, they were thriving. And this is when entrepreneurship here in America started sprouting, started growing. And from there, people started saying, well, how can I be successful? I want to start a business. So what happens is they go to the market, right? So health, wealth, relationships. And the first thing you do is start creating what's called sub-markets. So this example, let's just pretend like it's the health market and you want to become a health influencer, right? So first thing looks like, hey, there's these big companies having success in health, but they're very, it's kind of big, it's broad.
The first thing is moving down from the three core markets. So these are three core markets. The next phase is called the sub-markets. So instead of health, you might have, for example, maybe you've got...
weight loss, right? Because that's part of health, but there's weight loss. But there also could be, you know, some want to get stronger, weight gain. There could be people inside of the health market who are trying to get their skin to look better, right? So you got skincare, like there's all these different sub-markets and there's literally...
of sub-markets now. So you come back here, we have the three core markets, health, wealth, relationships, then you have sub-markets, every single thing. Now you notice initially I painted these all in blue, right? Because these are blue oceans. Now blue ocean's nice because when you first get into it, you're the only person and you're able to throw your, uh,
your fishing pole in and start pulling out fish like crazy. What happens is when a bunch of people say market, that market starts getting red and gets redder and gets redder, okay? And the ocean gets bloody because there's 10, 20, 30, 50, 100 people all trying to be successful in the health market. And so the only way to be successful then is to shift
to the sub-market. This is where you figure out your own blue ocean, right? So the very first person inside the health market who broke out and said, "I'm just gonna focus on weight loss." All of a sudden they're in this blue ocean and all of a sudden they get all the money thrown there, fishing poles out and all the fish are coming in really, really simple and really easy. And someone else is in the next one, the next one, right? These all become blue oceans.
Now, this was business 30, 40 years ago. The reality is what's been happening now is that every one of these submarkets have all become red ocean, right? How many people do you guys know in the weight loss niche? How many oceans do you guys know people in the weight gain, in skincare? All these oceans have become red and bloody. And so for you guys right now, the next phase people do is say, okay, what's the next thing? What's the next direction? And it's coming back here. Say, okay, now that weight loss is...
is it's a red bloody ocean. I wanna move to the third level and the third level is the niches, right? So that's the third level. So inside of weight loss, it's like, well, what do we have in here? We've got, there's the keto diet, right? And then there's a brand new blue ocean. Then there's the paleo diet. And then there's, and then all of the different diets start popping up as well, right? Now this is the world we live in today, okay? There's the three core markets, tons of sub markets, and now we're in the niches. But the problem with the niches
is the niches have also become bloody, right? And so this is where most of you guys who are beginners are getting into business, okay, I wanna start a business, I'm gonna be in the keto market. The problem though is the keto market is a red bloody market. There are millions of people literally competing inside this market. So how do you stand out? How do you be different? How do you become successful? And that's what Play Bigger is all about. Playing Bigger, if you read the title here, it says how pirates, dreamers, and innovators create and dominate their markets. They're not coming in and dominating, they are creating and then dominating, okay? That is the key.
To become a category king inside of a market, it's all about going and creating a brand new category. So for a good example for this, when we launched our company ClickFunnels a decade ago, right, where does it fit into? Okay, three core markets. ClickFunnels is in the wealth market, right? Helping you make more money, okay? You come down here, the sub-market's probably gonna be websites, and then from there, it's gonna be sales funnels. Now, we were the very first people to come in here, right? When we carved out this market, we didn't come into like, okay, there's email automation, there's email autoresponders, there are all these different...
I didn't come in and say, okay, here we have this thing called ClickFunnels. It does email automation because there was already a bloody market. We came in and we were the very first people to say and to put on this crown, right? And say, okay, we are sales funnels.
The person who is the category king, it's very difficult to dethrone them in the future. So for you, when you're figuring out what market you want to be into, what you want to do is you want to create your own category. After you create your own category, you instantly, by default, become the category king and then you have time to go and become the biggest person in the industry before all the wannabes and knockoffs start jumping in.
Okay. And so that's what this book play bigger is all about. It's one of my favorite books. Um, I think the title should have been how to become a category King. Um, but it's called play bigger and I highly recommend reading it. But if you like, um, I actually for, um, I have a group, one of my higher mastermind groups, it's called the category Kings. And we had a day Peterson, who's one of the authors actually come and speak to us. He spent four hours talking to us, going deep into how to become a category, how to do category design, how to become that person. And what's crazy to me is he said after the entire, um,
10, 15 years he's been focusing and teaching this. He said, of all the things in this book, there's one thing that was the very most important. And I want to spoil what that is for right now. This was taken from a presentation inside my inner circle. Every single person who's in the room spends $50,000 a year to be in there. And normally we do not let these presentations outside of the walls of that room. But I want to take this clip because it'll help you understand how to figure out what the problem is. You can design a category around. It is the secret. And one of the craziest things that Dave told us that he...
He learned this process after he wrote the book. So this part's not even in the book, yet it's the most important thing to understand and to master if you want to create your own category. So that said, let's jump into my inner circle room and watch this presentation about how to become a category king.
I'm guessing most of you have a spot where you're trying to grow the company you've got. You're trying to relaunch, rebuild, re-something. Or maybe you've got a new idea you're working on or something. And so that's kind of the phase of my business I'm in right now, which is hopefully be helpful for you guys because I'm thinking through things at a different level. So these are the conversations I'm having myself and my team. I'm going to have with you guys to start looking at how you look at it. It's like literally the same things.
you know, as soon as we acquired Magnetic Marketing, these are the exact same things we're doing with them right now to get this company back from where it is to where it used to be again. And so hopefully this will be really useful for you guys. Okay. I'm going to pull up my slides. So the first thing, the first question that I want you guys thinking through is,
And this was interesting for me. So on Monday for the Category King group, we had Dave Peterson, who's one of the authors of Play Bigger, the book about how to become a Category King. He actually came and spoke to us, which was really cool. And what he taught us and what I thought he was going to teach us were two different things. You ever had that before? We're like, I read the book. This is what we're going to do. And then he's like, talks about this for four hours. We're like, oh, ho. And at first, I'm not gonna lie, for a second, I was like kind of disappointed. And then all of a sudden I was like, oh my gosh, this was like...
the thing that I needed. It was really interesting. Um, for me, the, the world that I like, the lens that I look at the world through is always offers, right? Like I always leave like, what's the offer we're going to create? What's the offer we're going to create? How many guys lead with an offer? Right? I think for most of us, that's the lens. That's the lens that I was taught through from like Dan Kennedy. If everyone's like, what's the offer you're going to create? And then we try to make the best offer. And we go from there with category Kings, with what Dave Peterson thought it was interesting. He stepped one step back. And the first question he asked us all was like, what is the problem do you solve?
Now, instinctively for all those entrepreneurs, like, oh, easy, got it. Right? Like, I don't solve all problems. I solve thousands of problems. I solve this and this and this and this and this. And that was my first instinct. I'm like, oh, like, can we skip to the good stuff? And he ended up spending two hours on this question. And by the time it was done, there wasn't a single person in the room who was actually able to answer their problem. It was really fascinating, including me. I was like, what is the problem I solved?
And the problem I solve is different now than it used to be. So this is what we spent two of the four hours of them is just trying to answer this question, which was really, really fascinating. And so let me step back a little bit. So if you, how many of us have read the book, play bigger?
Okay. If not, it's an amazing book. It's all about how do you become a category king? All right. He talks about most businesses, most industries, when they start, there's a category king that owns a category, right? They mean about Apple, like they own the cat, they own the smartphone category, right? And the category king typically sucks up like 80 to 90% of the business and all the competitors come in and they fight over the last 10 to 15, 20% of the business and over the scraps. Okay. It's really hard to throw in a category king after they're in their spot. And so the question is like, well, how do we become a category king? How do we do that?
And I pulled a couple of slides from his presentation because I think they're really useful. He was talking about how if you think about categories, the easiest way to think about it is when you go to a grocery store, right? You don't walk in a grocery store and wander around hoping to find stuff. You're like, okay, I need canned soups. So you walk to the canned soup section. That's the category. And you see all of the different competitors, all different options. You pick your thing, right? Or if you're like, oh, I need pillows. You go to that section of the store and there's all the pillows and you get it from the, so the category is there and there's all the people inside the category are kind of in the thing, right? Okay.
And so it was interesting because people don't think about the product first. They're like, okay, I need to get green beans from, I haven't bought green beans. I don't know. What's the giant, the Jolly Green Giant? You don't think about the product first. You think about the category first. Like, oh, this is the thing I need. You go there and you start figuring it out. Now, if you've read any of my books, it's interesting because I look at it through a similar lens, right? I think about, you guys have probably seen me draw this doodle a million times, but like all of our
All of our customers looking for a result, right? All they know is that they want this thing. They want to make money, lose weight, whatever the thing is, right? This is the category, the result, the thing that they're looking for. That's what they want. And then there's a whole bunch of options, right? There's like, well, you can do it through the Atkins diet or the paleo diet or like there's all these different vehicles that can get you there, right? And so the result, the problem that has happened, this is the category. And then these are all the different things inside the category, right? Right.
And so it was taking kind of what he was saying. I was like, how does this fit into the lens that we look at the world through? Right. And so I want to, I'm going to come back to this in a minute, but that was kind of first thing talking about categories. And then as they went through category design, the very first thing he says, we start with the problem. And he started looking at the big companies that we know. And he's like, they can all articulate their, their big prop, the problem that they solve for the marketplace in 10 words or less. And notice this one, it's one problem, not a whole bunch of problems. Cause I guarantee if I said,
On a pad of paper, write down all the problems you guys have. How many of you guys can write down 3,500 problems you solved in your business? Right? That's not the question. The question is like for the market, for people, like what is the problem you solve as a whole? And these are some examples he shared, right? Taxi stink. Who, like that's the problem. Who solved that one? Uber, right? The end of software. How many of you guys know who solved that one?
Salesforce. You go through. My favorite one of this list was, I want to surf in cold water longer. That was the problem this person was supposed to solve. And they invented the wetsuit. Okay? But they're all simple things. And they said that all of the problems, the problems you have to try to identify it in 10 words or less, ideally. If you go 11 or 12, that's probably fine. But it's got to be a short thing where you can say that really quickly and really easily. Now, what's interesting is that he was telling us
in the meeting that what he he uh one of his close friends he got a he was hanging out with his friend like once a week his friend owned a big company and he asked his friend said hey hey uh really quick what is the big like what's the big problem that your company solves and the friend told him he's like oh cool and then he secretly wrote it down next week went to hang out with him again he said hey uh remind me again real quick like what's the big problem your company solves and the guy's like told them again kind of annoyed and they did it again through the third week the fourth day after five or six weeks his buddy's like dude quit asking me that question i told you every single week for the last five or six weeks
And then he said, ah, check this out. He pulled out his notepad. He said, every single time I've asked you, you've answered a different way. He said, what's the problem you solved? And the guy looked at him and said, they all were kind of counteracting. Right? Right?
The next thing he said that when they do category design for companies, he said the first thing they do is they go to the executive team. They ask everyone in the executive team, like, what's the biggest problem you solve? He said every time, not like most of the time or once in a while, like every time, every single person in the executive table had a different problem they thought they were actually solving as a company. It was fascinating. And so we had a couple people who were like in the category Kings group, email their teams, like, what's the problem we solve? And all people had different problems coming back. And it was fascinating. Like most of us can't articulate what is the problem we solve. In fact, it's interesting because...
as I was sitting there with ClickFunnels, I know what the problem I solved seven years ago was. The problem I solved seven years ago was basically entrepreneurs don't have technical abilities. So it's like we freed entrepreneurs so they could build things on their own. That was this problem we were solving. That was seven years ago. Today, fast forward to 2021, is that the problem entrepreneurs have?
No, I'm not a moron. I understand there's like a million different places that have dragged around builders now that you can build websites. Like that's not the problem I'm solving today. If I'm still trying to solve the problem, the entrepreneurs are free and now you can go and build your own funnels and websites. Like the market has shifted. The category has shifted and I'm going to lose, right? He talks about the category Kings who don't maintain their status is because they're solving the wrong problem. So with ClickFunnels 2.0, this is the question I'm asking myself. This is why I sat there for three or four hours on Monday trying to figure out what's the, what's the problem I solved today. It's different. It's different.
Right? And I was emailing my team and everyone's giving different ideas back. And it was interesting. So for you guys, I want you to think about like, what is the problem you actually solved today? This is another one that was interesting. So just because I'm tired doesn't mean I'm thirsty. Can anyone guess what? That's the problem. Can we guess the category king of this one? Boom, five hour energy. I don't want to drink a big energy drink. I'm not thirsty. I'm just tired. And that became boom, the category and blew up.
Okay. Interesting. So he said, problems move people, features do not. The thing he said was interesting because we thought the meeting with him for the four hours was going to be us designing our category. And he totally said, he's like, everything I learned about category design, I learned after the book came out. And he said, what was interesting is he said that he used to focus on like category design up front. He's like, now with companies, we focus on figuring out what is the problem they solve and then the category appears. Okay.
Isn't that interesting? We didn't talk about categories once in the four hours. It was figuring out what's the problem we solve. It was fascinating. So what I want you guys to do right now is I actually want to workshop this out. I'm going to leave this slide up so you guys can kind of see some ideas. But I want you guys to try to write, and this is going to be harder for
Again, I thought it was going to be easy. We spent 15 minutes in the group doing it and I could not figure out why I was at 15 minutes. Some of you guys probably won't figure it out. Some of you guys are going to be like, no, and nail it really, really fast. But we're going to spend, we'll spend three minutes. We're turning some music up and I just want you to try to in 10 words less, what is the problem that you actually solve in your business? Sound good?
Ready, set, go. All right, who here feels like they nailed it? Like, I know my problem so clear. Yeah, Robbie, throw it right here. We got a catch box for you. Okay, these are mics. You just talk into it and it, yeah. Okay, so mine is personal change takes too long and it doesn't last. I love that. Super good. Okay, love it. Anyone else feel like they nailed it? Robbie, right down there. Lindsay? Human resources sucks. That is so true.
If your dream client's like, oh yeah, then boom, that's the problem. Perfect, perfect. Someone over here. Pick someone. I don't even know. I feel all nervous. The fear of not being enough. The problem is the fear of not being enough. Cool. Okay. Can I just do one more? Advertisers want more digital billboards and there's not enough because of government regulation. Government. Cool. Okay. Okay.
All right, this is something that, again, some of you guys can be super easy. Most every single person, funny enough, in the category king group struggled trying to figure out exactly what this problem was. So don't, again, this is not just a three minute exercise. For me, I'm still churning this through for ClickFunnels 2.0. What is the problem we solved today that we didn't solve before? So question number one was, what is the problem we solved? Question number two, how are others trying to solve this problem right now as well? Okay, this comes down to here. This is the category that you are in. The problem creates the category.
Right? And there's a whole bunch of other vehicles, other people who are trying to solve that right now. So how are other people trying to solve this problem? Okay? They just walked into the grocery store. They're looking for beans. You're selling beans. There's a whole bunch of other bean sellers. What are all the other things, all the other vehicles, all the other ways that they could possibly get this result, how they could solve this problem? What are those? How many can you think of? Let me see. Yeah, let's spend...
two minutes, just listening to as many other, as many other competitors, as many other, um, not, it's not so much competitors, but other vehicles, other opportunities, right? So again, let's say I'm doing a certain diet plan. It's like, okay, this is my thing. There's people who do keto, paleo, if it's, if it's my result in click funnels initially was like, okay, we're trying to help entrepreneurs make more money. How else can they make more money? They can make money on Amazon. They can make money on Etsy. They can make money doing Google ads. It's like a million different ways. They can do real estate. They can like, there's a ton of other things. So if they're at the
the grocery store of your category that solves this problem. List out as many as you can. Let's do it for two minutes. Ready, go. What's up, everybody? This is Russell Brunson. I've got something really cool for you today from my friend Taylor Wells. Taylor spoke at our last Funnel Hacking Live because I wanted him to share a really cool concept about what he calls the revolving pricing method. And today he decided to sponsor the podcast to give you guys more access to this super cool strategy that you are going to love. It's something we've been implementing into our high-end coaching program as well, and it is amazing. But to kind of give you some context about
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Okay, so now after you figure this out, you figure out this is the problem we solve. The next tier now is figuring out the offer. Again, for me, for the last...
20 years of my life, this is where I've always started at. In fact, it's interesting because I think with ClickFunnels, as I'm looking back in time seven years ago, we led with the offer, the offer, the offer. And it wasn't until, and you see me as I'm going to tell a story. It was the sixth time we, the sixth funnel thing that we'd done to launch ClickFunnels that it worked. And the reason why is because my problem was incorrect. Looking back in hindsight, the problem we tried to do initially was like, I need to figure out a way that people can, it would, I
uh, explain better. The, the problem, the, we have the problem and we positioned it as, as a, as an improvement offer versus a new opportunity. When I, when I, when we changed that and made that tweak, that's when it took off. Right. And so we come to the second phase, which is offers. And as you guys know, especially if you're an expert secrets, you know, there's two types of offers, right? There is an, who knows this one improvement offer. Um,
And most people in the world, I'd say if you look at Facebook ads, 95% of all Facebook ads, if you look at them, are selling an improvement offer. And so this is what...
We see all the time. So people, for the most part, by default, create that, right? When you're a kid, you learn like, okay, if you want to make money, all you do is make a better mousetrap, right? I mean, has heard that before? Like that's kind of what people do. And so by default, this is where people go is improvement offers. If you're selling an improvement offer, it gets really, really difficult to get past it. You know, from one to $3 million, it's hard to ever break past that, that window. You can make some money, you can pull some cash off the table, you can do things, but
The problem with improvement offers is a couple of things. Number one, improvement offers are focused on people who have this word called ambition. How many of you guys in this room have ambition? You guys actually do. You can say that. Yes. Raise your hand. You all have ambition.
And I'm talking about where that actually fits because there is one time that I will allow you to sell an improvement offer, but it's not yet. Okay. Um, improvement offers are focused on people to have actually have ambition. Now the, the reality, if you understand this is that most people do not have ambition. Almost everybody does have desires, but they don't have ambition. And so when you sell, um,
When you sell an improvement offer, you're looking for like people are coming to you who are trying to get better, stronger, faster. Typically, if there's like an ER, an ER after like what you're selling, like this is a faster way to do this. This is a better way to do this. This is a, it's traditionally, it's some kind of improvement offer, right? A new opportunity is different. A new opportunity is coming back to what we talked about here earlier.
Right? And you have all these other vehicles, all these other people that claim they can get the same result that you can for your client. Right? It solves the exact same problem. An improvement offer saying, hey, this is the car...
I can make this car faster. I can make this car better. I can make this car, whatever it is, right? A new opportunity is saying, whoa, these all suck. These are all horrible ideas. Don't do any of them. This is the new opportunity. This is the vehicle. This is the thing that works the best. Seven years ago, when we came into the marketplace, there were so many vehicles people were using to get money. And so I didn't come in and say, oh yeah, this is a better way to do Google ads. Oh, this is a better way to do an email autoresponder. Oh, this is a better way. This is faster. Whatever it is, right? I came in saying, look,
these are all stupid. Like, why would you sell stuff on Amazon? You don't get the lead. You don't get the client. You don't get anything. Why would you do this? Why would you just like, like we talked against all these things and we're able to come back and say, look, this is the new opportunity. This is the thing. And I'm literally trying to get people to shift from, from the vehicle there. Like get out of that car, come into my car and shift over. Okay. And so that's what these are. And so new opportunity.
Okay. And so this is the second phase because, um, my guess is for any of you guys who are in this world, again, if you're here, you've got, you've won at least two comic clubs because you made at least a million dollars. You're here. Um, my guess is I would say 50 to 60% of you guys are probably still selling an improvement offer. And your goal is not to say a million is to get to five to 10 to 25 to a hundred and beyond. Right. And the way to do that is not by an improvement offer. There's always a ceiling here. In fact, it was interesting. Dave Peterson, the category Kings guy, uh, I wrote this quote down. He said, um,
He didn't call them improvement offers, but he had a different name for them. It was interesting because he said the same things. Like anytime you have something with the ER, um, um, he says, he said the biggest problem with, with any kind of thing like that, he said, um, in the mind of the prospect, there's no discernible difference, right? You're like, Oh, well, I'm a better, I'm a better version. I'm better. And like everyone says they're better, right? So in the mind of the prospect, there's a whole bunch of options that are basically the same. And when there's no discernible difference between the different options, then they always default to price.
Ooh, isn't that suck? Who here wants to default to price? So when you're an improvement offer, you are literally basically in this, this race to the bottom, right? Like, Oh, I do what they do, but I do better. Like, well, everyone says that I do it faster. Well, everyone says that. And all of a sudden you're in a race to the bottom. Look at click funnels. Competitors come out, right? What are they all say? Oh, our pages load faster than click funnels and we're cheaper.
Okay, good luck. We're still winning, right? And 2.0, it's way faster than you now, so eat it. Anyway, not that I'm bitter or annoyed or angered. Anyway, but do you notice that? Like, look at, like, I remember Josh Forty did an interview with, I can't remember the dude. Some guy was a competitor of us. And the guy was like talking about how he beat us on all these features and all these different things. And Josh was like, you missed the point. Read Russell's books. Like, the reason why he's still destroying you is because of this.
Like only way you can compete on improvement is by lowering your price. Um, I don't know about you guys, but I'm not in the business lowering pricing, right? Lindsay went from three 997 to 997 and made way more money doing the exact same amount of effort, right? Such a better way to do it. I do not want any of you guys to be a commodity because if you're a commodity, you will be, will wear yourself out and then eventually you'll just be done. So we've got to create new improvement or excuse me, I create an improvement offer. Um, okay. So some of the, some of the things to think about, like
Improvement offers. The reason why these don't work is, um, again, for somebody to say, look, I want to, I want to get better or faster or whatever it is. They have to admit that they failed in the past. This with a new opportunity. They don't, they don't admit that they failed. They have to admit that the other, the last opportunity they tried failed. Okay. When Caitlin Poland was here last time, it was interesting. She said that the average woman, uh, in America goes on eight diets a year, eight. That crazy.
So they're coming here. It's not that like, if you're like, hey, you should do another diet. This one's better. Like, oh, like they failed over and over and over and over again. And for them, it's just like, like I'm a failure. And it becomes very, very hard. You have to get the ambitious people who are like, oh, I can work through that. I don't care. I can do it.
to get them to say yes, right? But if you come back and say, look, the opportunities, paleo sucks, keto sucks, whatever the things are, like all these different options suck. This is this new opportunity, right? Like Kayla's new opportunity when she launched Lady Boss was fascinating. Like you looked at what was happening in the market and everyone had, you know, pills and powders and like all the stuff there. And they have like all the different diet plans. And her unique opportunity, she came basically, initially when she came out in the marketplace was weightlifting for women, right?
If you actually look at the offer and how she structured it, it was like, look, if you lift weights, you're not going to get big and bulky and stuff. You're actually going to lose weight and this is the differentiator. She was the first person in the industry I saw who that was her, that was the new opportunity, the way she positioned it. Right? And then inside of that, she could sell supplements, all the things, but that was how she positioned it. So for you guys, the question is, in fact,
Really quick, I'm gonna get a poll. Think about your core offer, the front end offer, the core thing that drives the rest of your business right now. How many of you guys have an inkling or a thought that you're probably selling an improvement offer right now? And it's okay if you do raise your hand.
Awesome. How many of you guys are like, nope, I got a new opportunity. I figured this out. Okay, about 50-50. So this is awesome. Okay. So what I want you guys all to do is I want you to spend a couple minutes on this because if you have an offer that you're like, I think this is an improvement offer, I want you to think, how can I...
Like, how can I change that? How can I tweak that? Or is it a positioning thing? Because Kaylin's, if you look at Kaylin's fulfillment of what she does, not that it's the same as other people's, but it's similar, right? There's a lot of similarities. But she found one piece that she's able to position as a new opportunity, right? Which was like, women should be lifting weights because it's going to burn calories. It's going to do all these different things. And so like, that was the piece of her offer she was going to take and turn it into a proven offer. So I want you to look at your thing. Like, how do I change this so it's not a better, faster, easier way to do it, but it's actually like,
Get out of that vehicle, get out of this thing and try this instead. Okay. And again, this is, we're gonna spend three minutes on this. This is a conversation of thought that you have to have for a long time. In fact, right now it's interesting. If I look at ClickFunnels, okay. Um, the new opportunity back then was you need a funnel. This is the big secret seven years ago, right? Okay. Fast forward to 2021. Is that the big secret? Is funnels a new opportunity? No, no.
It is not. And I'm fully aware of that. My brain power over the last three months has been, what is my new opportunity? I'm in the same, I'm in the middle of it with you guys right now. So don't stress like, oh crap, it's all going to fail. Russell's in the same spot. For me to get from where I am today to where I want to get, I have to create a new opportunity for ClickFunnels.
Okay? I'm trying to cross the chasm right now to get to the masses. And so I have to do this. I'm doing the same exercises as you. This is why it's top of mind. It's why I don't want any of you guys to discount. It's like, oh, I already know this stuff, Russell. I already have a new opportunity. I read the book. Like, no, I'm doing it today. Okay? Because going from, like, from zero to a million, you got to figure out this thing. And then you got to redo it again and go from a million to 10, from 10 to 100, from 100 to 250, to 250 to a billion. Right? Like, that's what I'm trying to get you right now. So I'm doing the same exercises you guys are doing. Why do you guys understand that? Like, this is not something like, oh, this is beginning. Okay? I think I...
How many of you guys remember the story about Vince Lombardi? Best football team in the world, right? First day of practice, came every day and said, gentlemen, this is the football. The foundation. Okay? Who would have thought that going from $200 million to a billion, the first question I'm asking myself is like, crap, what's the problem we solve? And I can't even answer it at this point. So don't feel bad because it shifts. It changes. You got to think back through these things, right? This is the football. This is the problem. This is an offer. The correct way to do an offer. Okay? I told category Kings, I probably, anyway. Okay. How many of you guys want to hear how stupid I am?
Okay. Funnel Hacking Live 2018. How many of you guys were there in Orlando? Very first time we launched the Tucomo Quebec's coaching program. We launch it. Biggest table rush I ever had. Eight figures in a day. I think it was 13, $14 million. First time I was like, oh my gosh, like this is amazing, right? We offered a new opportunity to ClickFunnels audience. Okay. Fast forward a year later, we're in Nashville. I was like, okay, it worked last time. I'm gonna do the same thing. Boom. Same offer, same pitch. Tweet a couple of things, but for the most part, same offer. Guess what happened? Boom.
Boom, my second 10 million plus dollar day. I'm like, this is amazing. And then Funnel Hacking Live Nashville last year, I was like, hey, I'm going to make this better. I'm going to change this. I'm smarter than, and I changed the program. I changed the name of the program. I changed, because it works so well, I decided to change everything, right?
So I get on stage at Funnel Hacking Live, Nashville. Russell should know better this time. I get on stage. I'm doing the pitch. I'm doing the presentation. But halfway through, I feel something. He hasn't ever spoken on stage. And he's like, something's not right. And I'm like, as I'm going through and I'm doing it, I'm like, oh my gosh, this is not, like, okay, something's not right. I'm like, I'm not feeling it. Nobody, like, it was just the weirdest feeling. And I do the close. And two years prior, I do the close. And he has seen Funnel Hacking Live. Like, there's this line that wraps all
all the way around. And me and Todd were doing pictures for like 14 hours and the line keeps getting longer the longer we're there. This time, we get down to look over, it was on this side this time, the line went to about there and it stopped. And I was like, oh crap, we spent a lot of money on this event. If that line's not at least to there, we don't break even. If it's not to there, we make no money. And it was there. And then we get home and I'm like freaking out because we didn't make our money back on the event. I'm like, what happened? What happened? And all of a sudden I was like, oh my gosh. I turned my offer into an improvement offer and that's what nobody bought.
And I freaked out and then COVID hit. And I was like, we need to fix this. So the two comic club live happens. And I stole bills on the event that we just, the three plus million dollar event we'd just done. And so what do I do? We do two comic club live virtual event. And guess what? We reverted back and we launched two comic club X again. And guess what? It crushed it. And I paid for the event and saved Christmas. It was amazing. Okay. So yeah.
So the key to this is understanding like some of you guys may have nailed it and then you faded away even though you think you're so smart like I do. I keep making the same mistakes over and over and over again. So gentlemen and ladies and everybody, this is the football. This is the foundation. Okay, that's why we're spending time here because it's important. All right.
Okay, oh yeah, sorry, workshop, three minutes. Okay, so you have three minutes. If you feel like you are here, I want you to figure out how can I change these positions, what I need different to make this actually a new opportunity where they are not just making this vehicle that they're already in trying to get the result better, but I'm stepping out of it into a new thing. What is that for you? Number two, if you are here, I want you to look at it again and say, wait a minute, because I bet you half of you think you're here are actually here or you transitioned or you're there.
and make sure you're still there. Okay. What can I do to make that even stronger? Does that sound good? Okay. Three minutes to think through this. Ready, set, go. All right. How many of you guys feel, how many, like who are my introverts in the room right here? That's amazing. I love it. So for those of you guys who are introverted and are nervous about like, what do I talk to other people about? These are the questions inside this group.
Like, cause we'll understand it. Like if you see something like, Hey, so what, uh, what's the problem you solve? Hey, so what's the, um, what's your new opportunity? How does it work? How do you structure it? Like, like this is the group that would understand that. It wouldn't be weird. Okay. Okay. Next phase. If you can hear the sound of my voice say, Oh, you guys are so much like me. It's amazing. I keep trying to explain to people. I'm like, no, they're just like me. You guys know. Okay. Um,
All right. So the next phase of this, so now we have, we figured out the problem we've got, we've created a new opportunity. And now this is where like this whole funnel world starts coming in. Right. Back in the day, we would create new opportunity and all it was, was basically a product, right? Like, here's my product. I sell it. Um, man, I look fat 20 years ago. I'm getting old. 20 years ago, I can't have potato gun DVD. All we sold was the product. That's all. I was like, Oh, there's a product.
And it worked because there was no competition. It was way easier. We're all jumping in 20 years later. We're men. Now everybody's trying to figure out how to make money and the competition's up. And so we've got to become better. So we went from having a product to shifting to what? To an offer. So here's what we used to sell. Now it's like we need to increase the perceived value to as high as humanly possible. So we shifted from an offer or from a product to an actual offer. So not only did we get this, you're going to get this, this, this, this, and this. Now it became an offer. And this was the first phase. Sorry, behind my slides.
There we go. And this is like for me, shortly after I launched Potato Gun, this is the very first time I started studying Dan Kennedy. And this was the quote. I remember him saying, like, whoever can spend the most money to acquire a customer wins. You guys heard of FHL? If you listen to him, he brings books, says it all the time. And honestly, I did not understand it when he first said it. It didn't make any sense to me. I was like, I'm not spending money. Like, I'm spending a buck 50 a day on Google selling Potato Gun DVDs. Like, that's all I'm doing.
And I'm like, I'm not going to spend any more than that. I didn't understand it until Google slapped me, everything shifted and I had to figure out a new way. And so the first phase was product.
Second, you're taking this new opportunity and creating a product. Second phase, take your opportunity and creating an actual offer to increase perceived value. Third phase then said, okay, well now it's getting more expensive to do this. Now I need to be able to spend more money to acquire a customer. Now we have to transition to the next phase of the business, which is where we started creating funnels. And what are funnels? Funnels are multi-step offers. There's one offer and there's a second offer and there's a third offer. And now we shifted to a funnel, right? And for the next, man, 10 years of my business, this was all we had. We had funnels and that was it.
But then guess what? Ad costs kept going up. Things got harder and harder. And then we shifted from, from a funnel to what does this look like? A value ladder, which is basically then, uh, another funnel here. And then there's another funnel here. And so this is kind of the, the evolution of, of how this whole world, at least in my, in my 20 years of doing this business, this is the evolution, right? From product to an offer, to a funnel, to a value ladder.
Okay. And so for me, as I was, as I was going through this, again, I've been doing, as I've been going through this, it's been fun. Cause I'm going through like, what did I do when I first started my business? What did those things look like when I launched click funnels? What did it look like? And then today, what did it look like? Right. And so a lot of you guys have pieces. How many of you guys have a value ladder right now? How many of you guys have a one funnel is killing it for you and not a value ladder? Totally cool. Either way. How many of you guys just have a product that
Very few of those anymore. Yeah. All of us have had to advance as we've kind of gone through this. So this is the principle I just wanted to touch on because I know we know this, but this is where these things come from. You take our new opportunity and then, again, it used to be a product, now it's an offer, now it's a funnel, now it's a value ladder to be able to actually acquire the customers we need to serve. That's the market we've inherited today. Okay.
Number five thing that I've learned a lot that I want to share with you guys is how you structure this offer right here matters a lot. A lot more than I think I realized or understood. In fact, most of you guys won't have to even change your offer, but by tweaking some stuff, it could exponentially blow up your sales. A good example of this, first off, was the ClickFunnels offer. In fact, let me make sure my notes, this is where I want to go first.
So when we first launched ClickFunnels and I made my very, the very first offer, the way that I structured this offer was, Hey, um, uh, what I want you to do is you're going to sign up and I'm going to give you guys, uh, 12 months of ClickFunnels. I'm going to give you guys my funnel hacks masterclass. I'm going to give you the traffic thing. I'm going to give you the thing. And that was the offer, right? And I launched that and it did. Okay. I probably could have made, I don't know, three to $5 million off of that offer.
Okay. And I tested that. We test that. And then one day during one of our webinars, I had this idea and I was like, wait a minute. What if we change the structure of the offer? The offer is still identical. We don't change it, but how we position the offer is going to shift. And I shifted how we position the offer from, um, when you sign up now today, you're going to get quick phones for 12 months. You're going to get, uh, the funnel hacking master course.
class, a little of those things like that. I shifted to saying, look, when you sign up today and you buy the funnel hack secrets masterclass for a thousand bucks, I'm going to give you click funnels for free for the next 12 months. Who wants click funnels for free for the next 12 months? Same offer, how we position the offer shifted just a little bit and boom, it went from a thing, probably three to $5 million a year to a thing that'll do $200 million this year, right? Shifting like how we structure the offer. So, so, so important. How many of you guys have read Hermosi's new book, a hundred million dollar offers?
Okay. If you haven't, it's like 10 bucks on Amazon. Go get it. Um, he's, as long as the timing works, he's planning on being here in the room next April to go deeper with all of us on this, which would be really, really fun. Um,
But this is, and if you read the book, the first half gives a lot of context and teaching stuff. It's good. It gets really good towards the end. We start diving into offer structure and how he structures things and how little tweaks went from him having a business in two or $3 million a year to him having a business that did $100 million in three years. It was all just tweaking the structure of the offer. Okay. So offer structure is a big deal.
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that's interesting. Some of you guys know that recently we bought Brad Callen's company. It was called Brixen at the time. We changed it. But how many of you guys are aware of that? So some of his products, one of them is called Doodly. It's a little, it's hand doodle software. You guys seen that? There's a doodle one and then there's this one called Toonly, which is this cartoon one. There's little cartoons and there's a new one we're about to launch called Claymately. That's literally claymation figures. Like you guys remember Rudolph the Red-Nosed Reindeer when you were a little kid? You can make that. VSL is out of claymation now soon. Anyway,
So what's interesting is if you look at this, this is a lesson in offer structuring. So I have two friends that had hand doodle software. Both of them, he might watch this someday, my other friend, but he launched his hand doodle software. And after they launched it, I think they did like $1.5 million a year. And then since then they launched, they probably make 500K-ish a year off of this product that doodles, the doodles videos, right? Which is good, right? Maybe it's like, yeah, I had a killer offer to Comic Club. Ooh, this is amazing. Right?
And the offer was pretty traditional. You come here and you buy the product for $97 and then there's an upsell for something. It was just a very traditional funnel, very traditional offer to Comic Club. You look at that and think, man, it was a winner, right? How many of you guys are pretty pumped about that?
Okay. All right. Now, and this was, he did this with JV partners and really everyone email on the list. So Brad, who's more introverted, doesn't have a bunch of JV partners, things like that. Um, he was actually joined inner circle. Oh man, probably four years, five years ago. He joined inner circle five years ago. He just sold his, his old company and nothing. In fact, he came on stage. He's like, Oh, I just sold my company. I don't really have anything. It was really weird. Um, after the inner circle meeting, he went home and he's like, I want to do hand doodle software. I remember telling him like, why would you do that?
Our, our, both of our friends did this, did a million and a half. Like it's not, it's not a level 10 opportunity. Like, I knew you could do more. And he's like, I think he, I think he structured the offer wrong. I'm going to try. Okay. Now this is fascinating. This is how we structure the offer. So if you go to doodly.com right now, .com, you'll notice that the, the offer here, it is, I think it's like 67 bucks a month or something like that. Sign up for it. Right.
Now, nobody has ever, well, that's not true. Some people find this and pay for that. But he doesn't sell it for $67 a month. He has a page, it's a secret page, it's like dooly.com slash Facebook or something like that. And on this page, he says, hey, if you go to the homepage, I sell this for $67 a month. How would you like lifetime access for $67 because you found this page off of Facebook, right? So the offer, the decoy is $67 a month. He sells it for $67 one time, okay? Same product, different way to structure the offer.
Okay. From there, he has an upsell for $97. We says, okay, uh, you bought the software for lifetime access, $67. We have a whole bunch of templates. We can give you things like a thousand, a thousand templates, right? Some bucks. We'll give you these templates. And then after that, he's got kind of more traditional upsells here, right? So Brad takes this, he launches it and it becomes a grand slam offer. The way he, that her Mosey talks on books, a grand slam offer. Um, this thing started pop, started pumping out 500 plus buyers a day. Um,
The average cart value is like $180 plus. So he could spend $150 to sell a $67 product and it still worked. I don't know if I'm allowed to tell or not. Anyway, this company was doing somewhere between $30 and $40 million a year, four years in a row. And then we bought it because I wanted 500 buyers a day, super profitably, then we can tell them about this thing called ClickFunnels. Same product, $50.
different way to structure the offer, right? He did this with Dudley and he's like, Hey, I figured out this offer structure that's unique that nobody else is doing. And so then Tunely came the same thing. He just took it new software, same offer structure, get the software lifetime access, get the upsell. Boom, right? I claim mainly will be the exact same thing. You want to claim aly.com. We're going to sell you a monthly thing, but here lifetime, boom, boom, 500 buyers a day, all coming into the click funnels world eventually. Right? Isn't that fascinating?
So what you guys think about right now is like right now I'm betting that most of you guys have a very traditional style offer, right? How many of you guys feel like I have a traditional style offer?
Most of us do and we're like, oh, it's working. I made a million bucks. It's good enough. But man, these little tweaks, like how you structure your offer can matter a lot. And I showed you this because some of you guys may have software and it's a really good model. But some of you guys are different. Some of you guys are more like my funnel hacks. Like right now I have an offer and it's like, man, if I just changed it from here's what you're going to get me to sign up to like, what's the thing they want the most? Let me give that away for free when they invest in this thing here. For me, that took it from a $3 million webinar to $100 million webinar, just how we structure the offer differently.
Does that make sense? Okay. So I wanted to open this conversation in your guys' head. Again, you're probably not going to solve it right now, but I want to spend three minutes just thinking through your current front end offer. Like how can I structure this differently to get it from a good offer to a grand slam offer? Like what can I do? What's the positioning? How can I tweak some things around? Think about any other examples I was going to share for just those two.
Yeah. And again, outside of this, again, my job here is to raise questions in your head. If you start thinking about talking about as a group, but highly recommend getting this book and especially the backstart. When he starts talking about how they structure their offers and all the different things he's done, just help stimulate your thoughts and your ideas more. So let's spend three minutes writing out, just take use this offer and what ways you can tweak it. You think could, could take it from a good offer to a grand slam offer. Ready? Set, go.
Now, each of you guys in this room probably have a different mechanism for what I call the opportunity switch funnel. Okay, the opportunity switch funnel is the funnel that you lead with where you're taking somebody from the current opportunity they are and moving them into a new one, right? So I'm gonna write that right here. I'll write in blue because it'll look cooler. So opportunity switch funnel, okay? And the goal is to take this off right here and then to turn it into something that we can start driving traffic to, right?
We're going to take them from their existing, whatever the existing vehicle is over here that they're in and switch them. So the keyword is switch, right? Um, now for each of you guys in this room, you probably have a different mechanism for this. Um, how many guys is the mechanism that you use to get people into your new opportunity? How many guys is it a webinar at the front end? Okay, very cool. Me too. Thank you. How many guys is like, no, it's not a webinar. It's a challenge funnel. How many guys love challenge funnels? That's the mechanism you use to get somebody a new opportunity.
How many, how many guys is the virtual events? How many guys is it a trip, like a book offer to get somebody in? Okay. Everyone's got something different, right? And I don't really care what this is. It does not matter to me. There's so many good, it's funny because I can sit in a room with all you guys and debate. Like Pedro was here the, during category Kings and he obviously is like challenge funnels is the greatest thing in the world. It's the best, like only do challenge funnels. Everything else sucks.
Right? I'm like, well, that's true. They're really, really good. But then me, I'm like, no, just do webinars. Webinars are the greatest thing in the world. And Allison Prince is like, no, you need to do both because she was doing her, this is fascinating. She was doing her webinar funnel and she was getting three times, three X ROAS on her webinar. So three times return on ad spend. And then she started doing once a quarter to do a challenge into her webinar funnel. And she was getting 36 times ROAS on that one.
And so once a quarter she does a challenge into her funnel and then the rest of the time just goes into her webinar funnel. So that's the blend. So I don't care what mechanism you use, there's a whole bunch of them out there, but we gotta have one. And this becomes the focal point of our business. Okay, typically the opportunity switch funnel that you have, this is the one that for most of you guys it got you into the Two Comma Club. It's the one where you figured out exactly what it is people want, you figured out the structure to sell, so the what and the how, and typically when you figure out those two things you go from wherever you are to Two Comma Club very, very quickly.
Right? Typically, this is going to be your highest converting thing because you have a true opportunity switch and a really good structure to offer. It's the easiest thing to get somebody out of their current vehicle into whatever the new vehicle is. Okay? So this is like the thing that the majority of your traffic is probably going to be pushed to at least for the first two, three, four, five years of your business.
Okay. So if you don't have this yet, when you start thinking like, what is, like, what is my opportunity switch? Well, the goal of this funnel is to present the new opportunity with a really cool offer. They get somebody out of their old, whatever their old thing was and into the new one. Okay. Um, I'm gonna jump ahead and backwards cause I feel like I need to talk about number seven real quick and I'm gonna come back to six. Um, the one thing I want you to understand from a number seven point was that every business needs one and only one opportunity switch. Okay.
You don't need two or three. In fact, it'll hurt your business so bad if you've got more than one. And I know some experience. So anybody here been following me for more than 15 years? Oh, good. I know in the category, he's Joe McCall. I was like me. I'm like, crap. So let me tell you about old little Russell who was learning this business. Thank heavens. None of you guys knew that Russell. So I got really good at this.
Figuring out a new opportunity and creating an offer. I got really good at it. If you guys saw my slides back in the, you know, I had 100 plus funnels we launched before ClickFunnels. And this is what I would do. I got really good at like, what is a new opportunity that is different than what everybody else is doing? It's going to be amazing. Okay. So for example, anybody in this room remember my micro continuity offer? A couple. Okay. Okay.
Some of you guys. So this is an example. It was, it was a new opportunity. It was a new way to do a funnel, to do a membership site. Like it's this new opportunity, right? And so I got so excited about it. I created a course, created a product and we did this product launch and it was amazing. And we sold, man, we sold. That was...
of all my, that was like my biggest one. We sold, I can't remember, 15, 20,000 units, this thing. And people came in because I'm like, this is the new opportunity. It's called micro continuity. It's going to change life. It's amazing. We sold tons of people into it. Right? And then all the people came in, they bought it. I made a bunch of money. I'm like, sweet, this is awesome. And what did Russell do?
Making a new opportunity made me a lot of money. So I decided to make another new opportunity. So I made a new one. And three months later, I launched a new, new opportunity. And it was just amazing. It's the greatest thing in the world. The greatest thing in the size spread. I told all the people and all the people who bought microcontinuity, like, wait, but you, you told us that this was the best. I'm like, oh no, that was really good. But this is the new best. And then I go, okay. And so they all dropped that and they came over here and they started having success. I did the big launch, made a bunch of money. I'm like, this is amazing. And then what did I do? I'm still good at this. So I made a new, new opportunity.
30 days or a month later, every quarter I was doing these. So three months later, I want some new one. And people are like, wait a minute, but if I said that was it, and this is, and eventually my customers started getting schizophrenia and they stopped following me. And my list went from like really active to less, to less, to dead. Okay.
Your audience wants to know that this new opportunity you're presenting in, that you are sold on at 100%. And this is the most important thing in the world. We launched ClickFunnels. This was really hard for me because I like to create a lot of stuff. It's so much fun to talk and to create and stuff like that. How many of you guys have problems like me? Okay. And Todd, I remember telling me, saying, Russell, I spent so much time on this. You have to swear to me for the next 12 months you only sell ClickFunnels. I was like, 12 months? Oh my gosh. Like, okay.
Okay. And so we did. And I started talking about how funnels are the greatest thing since sliced bread. How it changes like everything. And then if you notice every day for the last seven years, that's all I've talked about. Okay. And it's congruent. And you see the results of it. Funnel Hacking Live, 600 people, 1,200, 1,500, 5,000. I think last one between virtual and live was 6,000 people, right? The community grows. The following grows. People, because they trust you. You're not saying, oh, this and that and that. And like, no, no, no, no.
Okay. This is the reason why most of my competitors have lost. Okay. I got to pick my new opportunity and I got to die with that thing. Right. 50 years now, I guess I'll be talking about funnels are the greatest thing in the world. I don't care. Even if we're in Zuckerberg's metaverse, there's going to be some version of a funnel we're going to build in there. It's going to be amazing. Right. Um, but I stick to this. So every company has one and only one new opportunity.
But you're like, but I want to create a bunch of different things, right? And so, oh man, I'm jumping way off my slides. It's okay though. Is this direction okay? Okay, we're going to keep going then. This is probably bullet point number, I don't even know. Okay, so then the question is like, well, how does this work? Okay, and I want to, I've never mapped this out until last night I mapped it out and I had my own aha and it's like, oh my gosh, this is really cool. I've talked about parts of this, but if you look at it, if you look at, how do I keep losing my markers? All right, if you look at a traditional value ladder, right?
Down here, your front end offers. And in the middle here are some kind of offers. And then back here is something else, right? If you look at everything in this phase right here, this is like these phases right here where you're selling your new opportunity. This is where you're focusing on. So this is new opportunity and you're focusing on people with desire, right? And so...
typically whatever our lead thing is. So for me, this was my webinar funnel. So it's your challenge funnel. You're bringing people in and they come in. So like, let me explain this better. Let me fast forward or rewind back six years ago. So we launched ClickFunnels. There's new opportunity. People came in and were like, this is the greatest thing since I spread. It's amazing. Funnels are the, are the future. This is how you can get the result you want, right? They came in and then I was like, I want to, I want to make more money. I want to serve people more. What's the next thing? And so I didn't do new at another opportunity switch.
instead I did an opportunity stack I talk about some expert secrets there's an opportunity stack like what's the next thing right so I stack it and from here I can stack the next thing okay but they're all inside of the confines of my new opportunity so Funnel Hacking Live 2000 whatever the first one in Vegas anyone here for the Vegas event
I think Mike and AJ were there, like three or four other people. Anyway, so we're there, everyone's funnel builders and we have an audience. I'm like, I could sell them something. I had people pitching me because right then Amazon selling machines, you guys remember amazing.com? It was like blowing up. I think one affiliate did 10 figure or eight figures in sales to 10 plus million dollars sales affiliate. And they're like, Hey, let's come to your event and you can sell Amazon selling machines to your audience and make a quick like, you know, 5 million or whatever it was. And I
And I was like, oh, that's tempting, but I'm the funnel guy and that's not funnels. Therefore I'm going to speak congruent. And I was like, but what do they need? Like inside of this new opportunity that I created, what's the next thing? What's the stack? What's the next thing they needed? And the time what we said is like, well, they, they have funnels, they're doing things, but what's the new opportunity inside of this? And I was like, oh, the new opportunity you have funnels. New opportunity is that how many guys would you like to be a funnel consultant? And you can take this, these things, funnels and make your own business out of it. And that became my opportunity stack.
Okay, and I knew it worked because in that room, I thought for the way we priced it and the size of the room, I thought we were gonna sell 50. That was the plan. We did the pitch and everybody ran back. It was crazy. Like we didn't have room. They were like throwing credit cards back and forth and people were accounting to 50 and they're like, oh, and they walk away. But there's probably two or 300 people that wanted to buy it.
Uh, and so I remember like, I mean, I said 50, I meant 150. We got more. Keep coming. But like, it was insane. And that first certification program blew up because I wasn't changing. I said, they aren't even sold on this thing, but like inside of my world, what was the next stack inside of this world? What's the next stack. Okay. Two comma club X was an opportunity stack.
Right? They're in the funnel world, but they're struggling. It's like, okay, well, here's, here's the process. Here's the path. Here's the coaches. Here's the thing that they're going to actually hold your hand and take you on that journey. Right? And so this whole section of your value ladder is all about, um, again, presenting you opportunity. Then inside of that, you start stacking and kind of shifting. Okay. Now I told you guys only one time you're ever allowed to sell to ambitious people. Only one time you make an improvement offer. You guys know where it's at?
Yeah, it's back here. So back here, I will allow you to sell an improvement offer because this is for people who have ambition. Okay. How many of you guys remember how hardcore I sold you on this group? Okay. This is my big secret. All the people who have ambition in this room have already won a two comma club award. Let's give them a private luncheon and we'll have lunch with them and we'll feed them. It'll be cool. And then I'm going to tell them that there's this improvement offer where they can come to Boise and we're going to talk about stuff and they'll get better.
And I was like, it's going to be awesome. Who wants to come? And you guys all came. I didn't have to sell anything because you're all ambitious people. You just want to improve. You are the freaks. We're the weird ones. We're the ones at the bottom of the funnel who fall through, who then, Annie talked about last night, become the hourglass, right?
So I didn't have to sell you guys a new opportunity. You're here, you understand it. It was like, who here wants to improve? Like you guys are the improvement. Okay. The pool is much, much, much, much smaller. People that are that way, but they're spending a lot more. So this is the one time only allowed to sell an improvement offers at the back of your value ladder, but who wants to improve? And then your ambitious people will raise their hand. But because you're looking at 90% of the audience in 10, that's kind of the transition. Also, if you do this correctly, these people will become ambitious through the process.
So they come in on desire. If you cultivate them and you work with them and stuff, they will become ambitious and they will send up and eventually make sense. How many of you guys seven years ago were not very ambitious? How many of you guys now you're like, we need to talk about funnels. This is so cool in Boise. Anyway. Okay.
So coming back to opportunity to switch funnels. So we all have one. This is like the thing we need to be focusing so much time and energy on. And I'm one of the biggest problems with this. I have so much fun creating funnels. We create a funnel, make next one, make next one, make next one. But this one right here, where the majority of your traffic is coming into is one that we've got to spend so much time because like that's the gatekeeper of like what's going to happen? How's it going to grow from there? Right?
And so we have to spend so much time. It's interesting. When I used to, when I first got into the Dan Kennedy world, Dan talked about us from stage, which was so cool. I don't know if he has caught this or not, but he's talking about, um, when he would take on clients like a dentist, for example, he said, they start looking at every single step in the journey. Like what was happening every single step? Like, okay, ran the ads at the phone ring. If the ads, you know, phone and ring ads wrong, fix the ads. If the phone rang, did the secretary answer it? And he's like nine times out of 10, she didn't even answer it. Right. And then, uh, and then
this next step and like, what'd she say on the phone? Did it create a point? And they look at every single like micro step in this, in this journey and they start fixing it. Like, Oh, well she's, you know, the three girls are going to lunch at the same time. So the phones aren't answered your lunchtime, which is when most people are at lunch and they're actually calling to schedule appointments.
It's like forced one of the people to be there at all given times. And all of a sudden like that little metric. Now it's like, you know, every phone call is being answered. They have three times more appointments than everything else in the rest of the, the rest of the funnel works. Right. And I remember hearing Kennedy and Bill Glazer talk about this in my mastermind groups with all these offline businesses over and over and over again. And after hearing it three or four times in a row, I started thinking about that in my business. Like, Hey, what's the customer journey in my business that they're going through? In fact, if you've read the.com secrets book, um,
The chapter about... It's been a while since I've opened this one. The chapter about... Well, somewhere in here. I don't think I pulled that one out. Seven phases of a funnel. There it is. Boom. Um...
page 95. Um, first time I ever did this is I did a presentation at the, at, uh, at Dan Kennedy's peak performers group. And I said, you guys always talk about this in your weird businesses. Let me show you how it works on the internet business. And this is where I started like really thinking through like, okay, hot traffic, cold traffic, warm traffic. Phase number one is to qualify subscribers and buyers. And I started like mapping out my customer journey. And after I mapped it out, then I was able to go and start like tweaking little things to increase it. Um, and so for you guys, what I want you to think about is this,
again, this piece of your value ladder, the core funnel, that's the opportunity to switch funnels, bringing people in. For me, it's a webinar for each of you guys is something different. This is where we'll be focusing our attention on like every single step in the process and little tweaks and the changes because, um, a one or 2% change here can shift everything for the rest of the value ladder, right? It's, it's huge. Like me shifting the offer, um, in my funnel hacks webinar from the one thing to next one from, you know, a $3 million a year business to a lot more just by, by,
tweaking that. That's why when those guys are in webinars, you've heard me say all the time, like you need a webinar every single week for at least a year to make tweaks and tweaks and tweaks. Because again, it was probably five webinars in before I made that tweak. And I stopped at the fourth webinar, automated it. ClickFunnels would not be what it is today. It'd be much smaller room, like three of us be hanging out. Right? So what I want you to think about is just like looking at this and going through every step of the process.