The Game with Alex Hormozi

Episode 956: Helping Business Owners Reinvest Into Their Businesses
Date: October 13, 2025
Host: Alex Hormozi

Episode Overview

In this episode, Alex Hormozi dives deep into one of his core entrepreneurial philosophies: reinvesting profits back into your business to accelerate growth. Through live coaching calls with three business owners at varying levels, he shares frameworks and actionable tactics for scaling, generating leads, managing ads, building sales teams, and maximizing the ROI of both organic and paid channels. Hormozi's guidance is practical, direct, and laden with real-world examples from his own career that listeners of all stages can implement.

Key Discussion Points & Insights

1. Reinvesting Profits into Learning and Growth

• Alex on reinvestment:
  • Reinvesting in the early stages means investing directly in your own skill set.
  • Don’t be afraid to spend profit (and expect many investments not to have immediate ROI).
  • “I take all that profit and I just see that as this is my opportunity to reinvest in the business. When the business, small reinvestment, is you. You are the reinvestment.” (00:02)
• Framework: Treat your learning budget like a venture bet—expect 9 out of 10 investments in education to not pay direct returns, with the remaining one yielding outsized value.

2. Content & Leads: The Back Pain Program Case (John)

John’s Business:

• Online back pain program
• $95k/month revenue, 1M IG and 200k TikTok followers
• Concern: Inconsistent leads/sales

Hormozi's Core Advice

• Use TikTok as a traffic source for Instagram DMs.
  • "The best call to action for TikTok if you want to sell higher ticket stuff, is actually make the CTA ‘DM me on Instagram’ and then put the link to your Instagram.” (01:13)
• Create more content, not less. Challenge the ‘audience fatigue’ myth:
  • "You’re fatiguing your editor, not your audience. Your audience has an insatiable demand for value." (02:05)
  • Comparing the reach: Posting more doesn’t hurt; each post captures a different 1-2% of your audience due to how algorithms work.
• Vary your lead magnets and switch them up weekly or even daily.
  • Don’t keep asking the same “book a call” CTA; alternate with lighter lead magnets (e.g., cheat sheets) to broaden your funnel.
• Shorten CTAs within your videos/posts.
  • ”I would shoot for like 3 seconds or less for your CTA. Because the thing is, it'll kill the view through rate." (04:29)
• Stagger strong and light calls to action throughout the week.
  • Two direct ‘book a call’ posts/week; the rest should focus on providing value and softer asks.
• When to start ads?
  • Scale organic first (double your content output); ads and sales teams move “forward revenue,” but without new organic leads, you quickly plateau.

Relevant Timestamps:

• TikTok to IG CTA: 01:13
• Content frequency mythbusting: 02:05, 02:50
• CTA best practices: 04:29

3. Building Authority as a Beginner

• Should you post before you have authority?
  • Hormozi: Build proof through effort-based achievements (e.g., "I've published 35,000 pieces of content"), then supplement with reputation/testimonials from free work for initial clients.
  • ”Every single business to this day, I still start with free stuff because I want to get feedback from people. I want to know what they like, what they didn’t like, what their pain points are.” (10:16)
• Embrace your position:
  • Compete on personal attention and effort, not scale.
  • "Own that. Of course I'm not better than Alex, but I am better than the third rung down on his company. And you're going to get my phone number, and I care about my reputation, and that person doesn't. That's where you compete." (11:50)

4. Paid Ads and Owner-Operated Marketing (Steven, Local Insoles/Podiatrist Business)

Steven’s Business:

• Podiatrist, local insoles, $54k/month, £3k/month Google Ads spend
• Blocker: Can’t seem to spend more on local ads; relies on agency for campaigns

Hormozi's Core Advice

• Learn media buying yourself.
  • Do not outsource control; learn enough to test and optimize, even if you “suck” at first.
  • “The constraint of the business is under someone else’s control. That’s a tough position to be in.” (14:09)
• Set a personal ‘learning budget’.
  • View educational investments as a percentage of income—try many things, expect most to fail but those that work will compound.
• Direct agency engagement:
  • New hack: Pay the agency, but insist coaching sessions are live, and you run the mouse.
  • "I want to be the one who controls the mouse, and I want them to tell me what to do and why they're doing it." (17:36)
  • Rapid-learning: Screen-recording, question-asking, and intense immersion lead to independence in 6 weeks.

Relevant Timestamps:

• “Learning budget” framework: 13:40
• The ‘you run the mouse’ method: 17:36

5. Content and Story for Ecommerce: Jewelry Brand Question

• Own your brand story.
  • Combine visual content (unboxing, trying on, comparing jewelry) with strong storytelling behind the meaning/design.
  • “You need to do that within your content…Pair this commodity of jewelry with the meaning that you then ascribe to it or the narrative or the story that you put on top of it.” (18:53)
• Repeat messaging is fine:
  • “You need significantly less variety in your content than you think you do.” (19:45)

6. Scaling Paid Ads in High Ticket B2B (Liz, ManyChat Funnels)

Liz’s Business:

• Marketing automation for ecommerce, $600k/month, $150k/month ad spend
• Blocker: Ads break scaling from $5k to $10k/day. Unsure if campaign structure or creative is the issue.

Hormozi's Core Advice

• Media buying structure isn’t the constraint.
  • Don’t obsess on campaign settings; improvements here are minor (5% differences).
  • “I don’t think your bidding strategy is the limitation for all your businesses not getting to a million dollars a month…It’s going to be strategic in nature.” (24:03, 27:20)
• Creative and hooks are king.
  • Researching hooks with AI and copying others is common, but real scale comes from targeting all levels of awareness (not just most aware).
  • “If you have a hard ceiling on your advertising spend...the nature of the hooks and the content that you’re talking about only really relates to the bottom of the funnel.” (24:29)
• Use lead magnets and educational offers to move up funnel.
  • Direct “book a demo” CTAs hit a cap fast; offer value up front (how-tos, checklists, frameworks).
  • “You have to make it easier for someone to take a step. They don’t know who you are.” (25:52)
  • “Give away all the secrets in your lead magnets. They’ll pay because they want you to do it for them.” (27:17)

7. Media Business Monetization Strategies (Podcast Listener Q&A)

• Monetization choices by risk:
  • Affiliate (lowest risk), sponsorships, white label, minority deals with brands, own branded product (highest risk/reward).
  • "If you want to…think about it like this, there’s a couple ways you can grow the business. Number one: you can sell more media spots. That’s the easiest…” (28:00)
• “More eyeballs” trumps everything else if you don’t want to change core business model. (29:13)

Memorable Quotes

| Timestamp | Quote | Speaker | |-------------|--------------------------------------------------------------------------------------------------------------------|------------------| | 00:02 | "I take all that profit and I just see that as this is my opportunity to reinvest in the business." | Alex Hormozi | | 02:05 | "You’re fatiguing your editor, not your audience. Your audience has an insatiable demand for value." | Alex Hormozi | | 04:29 | "I would shoot for like 3 seconds or less for your CTA. Because...it'll kill the view through rate." | Alex Hormozi | | 10:16 | "Every single business to this day, I still start with free stuff because I want to get feedback from people." | Alex Hormozi | | 14:09 | "The constraint of the business is under someone else’s control. That's a tough position to be in." | Alex Hormozi | | 17:36 | "I want to be the one who controls the mouse, and I want them to tell me what to do and why they're doing it." | Alex Hormozi | | 18:53 | "...pair this commodity of jewelry with the meaning that you then ascribe to it or the narrative or the story that you put on top of it." | Alex Hormozi | | 24:03 | "I don’t think your bidding strategy is the limitation...It’s going to be strategic in nature." | Alex Hormozi | | 25:52 | "You have to make it easier for someone to take a step. They don’t know who you are." | Alex Hormozi | | 27:17 | "Give away all the secrets...it will not matter. Give away all the secrets, all the sexiest stuff, put it in your lead magnets." | Alex Hormozi | | 28:00 | "...there’s a couple ways you can grow the business. Number one is you can sell more media spots..." | Alex Hormozi |

Important Segments & Timestamps

• [00:02] - The principle of reinvesting profits/learning
• [01:13] - TikTok-to-IG lead generation strategy
• [02:05 & 02:50] - Content output and audience fatigue myth
• [04:29] - CTA duration and view rates
• [10:16] - Starting with free work and building proof
• [13:40] - “Learning budget” for owner education
• [17:36] - Owner-driven learning from agencies
• [18:53] - Storytelling in visual brands (jewelry)
• [24:29] - Creative vs. campaign structure in ads
• [25:52] - Funnel design & scaling
• [27:17] - Lead magnets and giving away value
• [28:00] - Media business monetization models

Conclusion

Alex Hormozi uses live case studies to hammer home universal truths for entrepreneurs:

• Always invest in your skill set and be relentless in understanding the mechanisms of sales, marketing, and product delivery.
• Double down on content and creativity; the limit is rarely the platform, but more often your own output or approach.
• Never outsource learning—own the levers that drive your business, especially paid acquisition.
• In both organic and paid growth, continually test, educate, and nurture your audience at all levels of awareness.
• Monetization is a continuum of risk; choose strategies that align with your resources and intended involvement.

Throughout, Alex’s tone is candid, encouraging, and action-oriented—a must-listen for business owners at any stage seeking to break through their current plateau by “staying in the game.”