The Game with Alex Hormozi Margin Madness | Ep 219
Jul 3, 2020
Learn how to protect your profit margins without sacrificing value. Discover the costly mistakes business owners make with discounts. Hear the importance of developing effective sales skills and avoiding a fixed mindset. Get strategies for negotiating intelligently, steering clear of tough tactics. Plus, explore the concept of payment plans to enhance sales while securing margins. This conversation offers valuable insights for anyone looking to boost profitability in their business.
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The 20% Discount
- Alex Hormozi recounts a story from his teenage job at Smoothie King.
- His manager gave a large group a 20% discount, wiping out the entire profit margin.
Stop Discounting
- Stop discounting prices, especially when starting.
- Negotiating with price-sensitive customers signals inexperience.
Price Calculation
- Determine your desired profit and calculate prices accordingly.
- Understand your margins and avoid a fixed-cost mindset.
