Customers are more likely to maintain their subscriptions if they feel the value provided exceeds their worst-case scenarios. Awareness of the difference between what people will pay under extreme necessity versus their normal price sensitivity is crucial. Offering high value can lead to customer retention even at premium price points, as seen when one significant purchase can justify ongoing costs. Additionally, businesses can thrive when they identify the optimal price point where customer willingness to pay aligns with the perceived value, potentially increasing sales significantly. Focusing on providing real value can lead to higher lifetime value (LTV) and maximize profitability, with small group engagements proving to be particularly lucrative.
"Customers are bloodhounds for value." In this episode, Alex (@AlexHormozi) explains a framework for different ways that you can make your offer more attractive and ultimately drive to more positive word of mouth, repeat purchases, and higher conversions.
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 and will learn on his path from $100M to $1B in net worth.
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