The Game with Alex Hormozi What To Do When Your Pricing Model Doesn't Match Your Avatar | Ep 865
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Apr 7, 2025 Discover how misaligned pricing models can lead to customer churn and hamper business growth. Explore real-world examples to understand the importance of tailoring services to match customer expectations. Learn actionable strategies to refine your pricing and enhance customer retention, ensuring sustainable success in your business journey.
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Two Paths for Scaling
- Either sell templatized, high-volume products/services.
- Or, offer customized solutions to higher-paying clients.
Shopify’s Churn Rate
- Shopify, a successful prosumer business, retains about 50% of customers after year one.
- This highlights the inherent volatility of small business customers.
Low-Price, High-Value Agency
- An acquaintance built a successful agency by offering low-priced ($200-$300/month) services.
- He focused on essential but often neglected tasks, achieving a 38-month average customer lifespan.