The Game with Alex Hormozi Scariest Decision I Have Made | Ep 343
Nov 4, 2021
Discover the pivotal moments of decision-making that can turn profits upside down! Small tweaks lead to big changes in business strategy. Learn how a transformative pricing strategy not only boosts value but also enhances customer loyalty. Hear about the remarkable trial offer that retained most customers and strategies to increase lifetime value through upselling and cost reduction. It's all about selling with confidence and understanding your worth!
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Tripling Gym Prices
- Alex Hormozi tripled gym membership prices from $99 to $299.
- Two-thirds of customers stayed, doubling revenue and profit, while servicing fewer clients.
Lowering Prices, Losing Millions
- Hormozi lowered prices for a $42,000/year program by 25% to reduce churn.
- Churn remained unchanged, resulting in a $5 million annual profit loss.
Boosting LTV
- Increase customer lifetime value (LTV) by raising prices, cutting costs, or boosting resales.
- Use upsells, cross-sells, and downsells to encourage more purchases.