Podcast Summary: REAL AF with Andy Frisella – Episode 806

Title: Q&AF: Competing On Price, Scaling Your Company To The Next Level & Pushing Through Setbacks
Host: Andy Frisella
Description: In this episode of REAL AF with Andy Frisella, Andy engages with his audience through a Q&AF (Questions & Answers and Feedback) segment, addressing pressing issues faced by entrepreneurs and business owners. The discussions delve into strategies for competing on price, scaling businesses effectively, and overcoming significant setbacks.

1. Introduction and Show Format

Andy Frisella kicks off Episode 806 by welcoming listeners to the Q&AF segment, where he answers questions submitted by his audience. He outlines the various components of his shows, including:

• CTI (Cruise the Internet): Discussing trending topics and global issues.
• Real Talk: Short segments where Andy shares candid insights.
• 75 Hard Verses: Featuring individuals who have completed the 75 Hard program, discussing their transformations.

Andy emphasizes his commitment to providing valuable content without the interruption of advertisements, instead urging listeners to support the show by sharing it within their networks.

Andy Frisella [00:44]: "We don't run ads on the show... I ask very simply that you trade us something for that. Trade us helping us grow the show."

2. Competing On Price

Listener Question:
A listener shares his struggle as the owner of a landscape business that also installs professional-grade Christmas lights. His competitors are undercutting prices to the extent that he cannot cover his costs, despite offering superior quality. He refuses to lower his prices and seeks advice on maintaining his business's integrity and profitability.

Andy’s Response:
Andy begins by addressing the fundamental issue of perceived value versus market reality.

Andy Frisella [07:28]: "You don't determine your worth. The market does."

He explains that even if a business owner believes their product or service is superior, it must be communicated effectively to the customers. Simply asserting higher quality isn't enough; entrepreneurs must educate their market about why their offerings are worth the premium.

Key Points:

• Market Perception: Understand that the market defines worth. Superior quality must be clearly demonstrated.
• Storytelling: Develop compelling stories that highlight the unique benefits and superior aspects of your services.
• Customer Experience: Enhance the overall customer experience to justify higher prices, making clients feel valued and special.
• Niche Targeting: Accept that charging a premium might mean catering to a smaller, more dedicated customer base willing to pay for quality.

Andy Frisella [08:33]: "Any product that you serve that is a superior product... you need to display how it's superior and why it's worth more money."

Andy encourages business owners to think creatively about adding value through customer experiences, such as offering professional photographs of the installed lights or providing additional personalized services that set their business apart from cheaper competitors.

3. Scaling Your Company To The Next Level

Listener Question:
A listener is preparing to scale his company and faces challenges with key team members who cannot handle the increased workload. He expresses concern over maintaining personal connections while ensuring the business grows efficiently.

Andy’s Response:
Andy emphasizes the separation between personal relationships and business performance.

Andy Frisella [15:35]: "Loving guys and them being effective is two different things."

Key Points:

• High Standards: Maintain high performance standards regardless of personal relationships. Effective scaling requires a team that meets these standards.
• Self-Development: Team members must be willing to develop their skills independently. Andy cannot instill discipline or knowledge; it must come from within.
• Natural Attrition: As a business scales, it's natural for less effective team members to leave, making way for more capable individuals.
• Culture is Crucial: Establishing a strong, intentional company culture before scaling is vital. This ensures new employees align with the company's values and standards.

Andy Frisella [19:07]: "Ideally, if you could set a cultural standard before you have to scale, it's going to be that much easier to scale."

He further discusses the importance of creating a living, breathing culture that enforces standards through peer accountability, reducing the burden on leadership to manage every aspect personally.

4. Pushing Through Setbacks

Listener Question:
A 20-year-old listener recounts a harrowing experience where he fell asleep behind the wheel after exhausting himself with work. Caught in a dilemma of needing more money while recognizing the unsustainability of his current pace, he seeks guidance on maintaining progress without derailing his life.

Andy’s Response:
Andy highlights the importance of mental resilience and the ability to endure hardships without giving up.

Andy Frisella [27:58]: "The game is longevity. The game is endurance. The game is consistent progression regardless of what's going on."

Key Points:

• Endurance Over Perfection: Success often comes to those who persist when others quit. Longevity in effort provides a competitive edge.
• Learning from Setbacks: Use difficult experiences as tests to build mental toughness and confidence.
• Balanced Progression: While ambition is essential, it's crucial to balance effort with self-care to avoid burnout and catastrophic setbacks.
• Rejecting Myths: Andy criticizes the glorification of overworking, emphasizing that neglecting health and well-being is counterproductive.

Andy Frisella [31:54]: "Don't believe all these people online to tell you don't have to sleep. That's bullshit."

He advises embracing the inevitable challenges of entrepreneurship with a resilient mindset, transforming obstacles into opportunities for growth and fortitude.

5. Additional Insights

Public Speaking Tips

Early in the episode, Andy shares valuable advice on becoming an effective speaker:

Andy Frisella [04:41]: "The number one tip... have the right intent."

Key Points:

• Value-Driven Intent: Focus on delivering value to the audience rather than seeking personal accolades or perfection.
• Authenticity: Being genuine resonates more with audiences than rehearsed or overly polished speeches.
• Continuous Practice: Regular speaking engagements, such as hosting a podcast or leading meetings, enhance speaking skills over time.

Andy Frisella [04:41]: "If your intent is to deliver value and help people, it really doesn't matter what you say or how you say it, because they're going to feel it and they're going to remember it."

Establishing Company Culture

In response to scaling, Andy delves deeper into the significance of company culture:

Andy Frisella [19:43]: "If you can set a cultural standard before you have to scale, it's going to be that much easier to scale."

Key Points:

• Intentional Culture Building: Define core values, mission statements, and visions clearly and communicate them effectively within the organization.
• Peer Accountability: Foster an environment where team members hold each other accountable to uphold the set standards.
• Long-Term Commitment: A strong culture ensures longevity and stability, contributing to both employee satisfaction and customer experience.

6. Conclusion

Throughout Episode 806, Andy Frisella imparts pragmatic advice grounded in real-world business challenges. He underscores the necessity of:

• Defining and Communicating Value: To compete effectively, businesses must clearly articulate the superiority of their offerings.
• Maintaining High Standards During Scaling: Successful scaling is contingent on having a team that meets elevated performance standards.
• Fostering Mental Toughness: Overcoming setbacks with resilience is pivotal for sustained success.

Andy empowers entrepreneurs to navigate the complexities of business growth and personal development with integrity, strategic thinking, and unwavering perseverance.

Andy Frisella [37:11]: "Hard things have a hard path. Easy things have an easier path. Hard things are more valuable than easy things."

Listeners are encouraged to adopt a mindset that embraces challenges as stepping stones toward greater achievements, ensuring their ventures not only survive but thrive in competitive landscapes.

Notable Quotes:

• On Perceived Value:
  "You don't determine your worth. The market does." [07:28]

• On Public Speaking:
  "If your intent is to deliver value and help people, it really doesn't matter what you say or how you say it, because they're going to feel it and they're going to remember it." [04:41]

• On Scaling and Culture:
  "If you could set a cultural standard before you have to scale, it's going to be that much easier to scale." [19:43]

• On Mental Resilience:
  "The game is longevity. The game is endurance. The game is consistent progression regardless of what's going on." [27:58]

• On Overcoming Challenges:
  "Hard things have a hard path. Easy things have an easier path. Hard things are more valuable than easy things." [37:11]

Final Thoughts:

Andy Frisella's Episode 806 serves as a powerful guide for entrepreneurs facing the dual challenges of maintaining quality in a price-competitive market and scaling businesses without compromising on standards or personal well-being. His no-nonsense approach, combined with actionable strategies, provides listeners with the tools necessary to thrive amidst adversity and achieve lasting success.