The $100 MBA Show: Episode MBA2664 - "Why I Hate Selling My Program But Still Do"

Release Date: August 15, 2025

Introduction

In episode MBA2664 of The $100 MBA Show, host Omar Zenhom delves into a topic that resonates with many entrepreneurs and educators alike: the paradox of selling educational programs. Despite his aversion to the sales process, Omar explains why charging for his $100 MBA program is essential for ensuring student commitment and achieving meaningful results. Drawing from personal experiences, research studies, and practical insights, Omar provides a compelling argument for the necessity of monetizing educational content.

The Value of Free vs. Paid Content

Omar begins by highlighting his preference for offering valuable content for free. With over 2,600 business lessons available at no cost, he emphasizes the benefits of free content in building trust, generating leads, and expanding his brand. “Your listening to this podcast which has over 2,600 business lessons. 2,600 episodes, completely free.” (01:20) However, he acknowledges that while free content is excellent for introducing ideas and fostering initial engagement, it falls short when it comes to driving significant change and ensuring the application of knowledge.

The Importance of Commitment

Transitioning to the core of his message, Omar discusses the critical role of commitment in educational outcomes. He cites a study from Harvard and MIT revealing that free online courses have a completion rate between 3% and 6%, starkly contrasted by paid courses that achieve completion rates ranging from 30% to 60%. “Let me hear you with some real numbers. A report from Harvard and MIT found that an average completion rate for free online courses is between 3 and 6%.” (02:15) This data underscores the idea that monetary investment correlates with increased dedication.

Further reinforcing this point, Omar references the Journal of Economic Psychology, which found that even a minimal price tag can elevate the perceived value of a product by over 80%. “A study from the Journal of Marketing Research found that even a dollar price tag on something increases the perceived value of the actual usage by over 80%.” (03:10) This phenomenon, often referred to as the "zero price effect," suggests that anything given for free is subconsciously valued less, irrespective of its intrinsic usefulness.

Personal Experiences and Data

Omar shares his firsthand experiences to illustrate the effectiveness of a paid model. When he initially offered free scholarships for the $100 MBA program, out of ten selected participants, none completed the course. “Out of the 10 people that were desperate for this program, you know how many people finished the program? Zero.” (04:30) In stark contrast, paying students demonstrated high engagement, completing lessons, asking questions, and taking actionable steps. This discrepancy served as a wake-up call, reinforcing the necessity of financial commitment for genuine effort and success.

He further elaborates on an experiment where a free mini version of the program saw thousands of sign-ups but less than 6% completion. Upon reverting to the original $100 pricing, completion rates soared to 61%, with participants actively engaging and implementing what they learned. “We had thousands of signups, but very few people actually completed the lessons and implemented what they learned. In fact, less than 6% of the people completed the free mini course.” (05:20)

The Structure of the $100 MBA Program

Detailing the structure and benefits of the $100 MBA program, Omar emphasizes its comprehensive nature. The program includes practical templates, workbooks, and robust AI tools designed to guide students through starting and scaling their businesses efficiently. “My pay program, the 100 MBA, is a full business training program to help people start, grow, and scale their business profitably from scratch, without fluff or theory, even if you're starting out with no money.” (10:35)

He also highlights the affordability of the program, priced at $100 a month, which strikes a balance between accessibility and ensuring that participants are invested enough to commit to their entrepreneurial journey. “So, yeah, I would prefer to give away everything for free, but I still don't, because I know that charging works, not for me, but for my students...” (11:15)

Conclusion

Omar wraps up the episode by reaffirming his commitment to providing valuable business education while maintaining the integrity and effectiveness of his programs through a paid model. “When you pay for something, it forces you to take it seriously, to commit, to finish, to actually execute on what you're learning. And when that happens, your business and your life will change forever.” (12:00) He emphasizes that while free content serves a vital role in brand building and initial engagement, charging for in-depth programs like the $100 MBA ensures that participants are dedicated to applying the lessons learned, ultimately leading to tangible business growth and personal development.

Omar concludes by encouraging listeners to subscribe to the podcast for continued free content that supports their entrepreneurial endeavors, balancing the free and paid offerings to maximize both reach and impact.

Key Takeaways

1. Monetization Ensures Commitment: Charging for educational programs significantly increases student engagement and completion rates.

2. Perceived Value Increases with Price: Even a minimal cost elevates the perceived worth and seriousness with which participants approach the material.

3. Balance of Free and Paid Content: Offering free resources builds trust and brand presence, while paid programs ensure dedicated participation and meaningful outcomes.

4. Personal Experience Validates Theory: Omar's transition from offering free scholarships to a paid model demonstrably improved program effectiveness and student success.

5. Comprehensive Program Structure: The $100 MBA provides practical tools and structured guidance, facilitating real business growth for participants.

Notable Quotes

• “Free feels good, but it doesn't actually work all the time.” (01:50)
• “People who pay pay attention. They value what they pay for.” (03:45)
• “When you pay, you show up. When you show up, you do the work. And when you do the work, things change.” (10:55)
• “The truth is, is that results don't come from free stuff.” (05:50)

Final Thoughts

Omar Zenhom's candid exploration of the intersection between free content and paid programs offers valuable insights for entrepreneurs, educators, and content creators. Balancing generosity with strategic monetization can lead to both widespread brand growth and impactful, results-driven education. This episode serves as a testament to the importance of aligning business models with the desired outcomes, ensuring that both the provider and the participants derive meaningful benefits.