When you speak, when publishing books, when you put out content, video, whatever it might be, podcasts, et cetera. When you put all that content out into the world, you transcend from selling to serving to prescribing. So if you’re already doing advertising and marketing, it’s possible that you’re not asking for people to take action. You know, people say, Oh, you should do content marketing, you should do education-based marketing. And they do. They go out there and they teach the people how to new stuff and they’re educating them or they’re telling them all about their business or whatever it is, and in the end, nothing. Well, just what, when you asked for nothing, you’d get nothing. There is no meeting here. If your business, if your marketing is working and your company’s growth and you’re getting new customers, that you would only spend a certain fixed amount of money on that or that doesn’t even compete with me. It’s like as long as it’s working, why wouldn’t you just keep doing more of it? I often liken it to, you know, going out into a field and you decide you’re going to get into archery and you have the bow and you have the arrows and somebody walks up to you and they said, well, okay, so now what I want you to do is hit the target and you’re like, look around in the field and there’s no target. And they’re like, hit the target. And you’re like, well I don’t know where to shoot. Do you know? And they’re like, we’ll just shoot out there anyway. Maybe you’ll hit something. And that’s how a lot of people treat their marketing is they haven’t clearly defined the target.
They got the product, the arrow right there, the marketing and the advertising and they’ve got money. So they got the strength to pull the bow back. But they don’t know where to aim. And so you have to define the target audience first or else none of the rest of it matters. You can literally go out there and fire arrows into a field all day long and never hit anything. And there actually might be a target out. Yep. I find entrepreneurs are throwing money, you know, it’s like, Oh, sling mud against the wall and sees what sticks. How’s the graph out of my pocket? Look like? Your salary right here. What? I call them, fun coupons. Well, before the internet and internet advertising, it was, it was possible, but a lot more challenging to track what works. It was a different scene then underground only true believers. Right. That’s one of the things I love about the internet. In 2004 when I went full and all in with the internet, that was one of the number one things that attracted me was that every click was measurable. Every visitor is trackable. I mean you could, you know who’s coming to your website and it’s just gotten better over the last 10 years, 2012 years or so. So here’s the deal. Wally Wattles said many years ago, he said, half the money I spend on advertising is wasted. I just can’t figure out which half. Right? Well on the internet that’s not actually true. You know what’s working and what’s not working. And so even in the offline world, if you’re spending money on advertising and you’re not putting a mechanic or a piece in that makes that trackable. So like a coupon code or something they have to bring in or a certain phone number that they call, you can go to Twillio or whatever. You can go to services like that and get tracking phone numbers and have a different phone number on every ad that you put out in the market. So it’s even in the offline space nowadays, there’s almost nothing in terms of marketing or advertising the campaign. I ask people all the time and say, okay, what’s a client worth? And we worked through a formula and we have a worksheet for that that we can give people on the pillars of profit side, but how much is a client worth? You figure that out. And then I asked them how much could you spend in order to get a new client before you lose money? And people are like, they go back and forth and let’s say it’s$5,000 is the value of the client just say, well actually it’s quarter $4,999 and99 cents right now nobody in their right mind would ever spend the entire lifetimes.
I have a client to get a client, but you can understand that it makes sense to invest in getting more clients. And that’s the one thing. Once entrepreneurs get over that and they go, Oh, wait a minute, if I put money here and I attract new prospects, new leads, and then those two are a certain percentage of those turn into new customers and I can do that at a cost that’s lower than what that client’s worth to me within that, I’ve made a profit. You know, I was taught years ago that, you know, you spend this much, you make this much, the difference is proper, but how do you execute on that ina business and how do you do that? In a consistent and regular way. And you gotta go through the formulas. You’ve got to figure out what is a client worth, what are you currently spending to get a new client? So you got to know the numbers of, or if you’re out there spending $10,000on advertising and you’re getting 10 new customers a month, guess what? Whether you like it or not, those clients are costing you $1,000 to get them. So if you could figure out a way to get a lot more clients at $1,000 or get clients at less than a thousand dollars, that’d be a bargain. And so I often liken it, putting money in a well, you take a $10 bill and put it ina well and drop it down in the well in a bucket and then you roll the bucket back up and there’s a hundred dollar bill there. Well, how many times would you be willing to put a $10 bill in the bucket and lower down in the well? And a lot of people say, well, I’d do it as many times as I could possibly get another $10 bill. That’s the writing overtraining all over the place. Once you understand that, you can invest, and that’s the key. It really is an investment. It’s an investment of money today to get an asset, which is a customer, a buyer, a client for life.