← Travis Makes Money
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A
The world moves fast. Your workday even faster. Pitching products, drafting reports, analyzing data. Microsoft 365 Copilot is your AI assistant for work built into Word, Excel, PowerPoint, and other Microsoft 365 apps you use, helping you quickly write, analyze, create and summarize so you can cut through clutter and clear a path to your best work. Learn more@Microsoft.com M365 copilot. You're listening to the Travis Makes Money podcast presented by gohighlevel.com for a free 30 day trial of the best all in one digital marketing software tool on the planet, just go to gohighlevel.com travis. What's going on, everybody? Welcome back to another episode of the Travis Makes Money podcast where it's our mission to help you make more money. Eric is in studio with me today. What's up, man? Can I say you're looking real relaxed over there.
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B
Well, I'm actually in deep pain because you put me in this uncomfortable cardboard chair.
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A
How many times we talked about this.
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B
It hurts.
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A
So we have so many other chair options.
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B
Oh, now you're going to flaunt your wealth in my face? In my home? If I'm uncomfortable in a chair, that's it.
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A
Because of the wide variety of chairs
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B
that we have, I actually have 1, 2, 3, 4, 5 different kinds of chairs in my home.
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A
Talk about being braggy. Hey, these six things that the Lord hate.
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B
Let me ask you a question, Travis.
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A
Okay.
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B
Do you like getting overpaid?
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A
Yeah.
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B
Okay, now here's my real question. Do you agree with this statement? If you've never called.
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A
So far, so good.
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B
If nobody, if nobody has ever called you overpaid, you're under monetizing your skill set. Do you think that's true?
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A
I like the concept.
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B
Yeah.
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A
I don't think that it requires other people to say that you're overpaid, but yeah, I like the concept.
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B
Can I ask you a follow up question?
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A
My, my grandpa has notoriously said that I'm overpaid.
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B
I, I put that in his ear, I'm going to be honest.
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A
But he also said that about my dad because he, he's just a very traditional, you know, manual labor, hard work, sweat of your back kind of a guy.
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B
And, and you're like a very, like
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A
barely work at all, very lazy scumbag. Yeah, right. Exactly. No, he thinks the oppos, it's more just that he doesn't understand how I make money. And he sort of looked at my, even my dad being a real estate Age him was like, he doesn't understand how he makes like for him, it's like if you're not working with your hands, you're not actually working type of a thing. So he thinks anybody that do does those things is overpaid.
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B
Well, let me ask you a follow up question since we are on a podcast. Do you think, what do you do when you feel like you're being over? Do you, do you ever sit there and go like I'm getting overpaid for this. Do you just go like awesome. Or do you go like I shouldn't charge this much. How do you navigate that?
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A
It doesn't make me feel like I shouldn't charge this much, but it does make me feel like I need to over deliver. There's been a couple of client relationships where it's like, I can't believe they agreed to this. I guess we now need to make sure that we really deliver on this. But then I remember I had this one conversation that was paradigm shift for me with a friend of mine, Jonathan Kendall, who's I think one of the most underrated entrepreneur, I guess thought leaders out there. But I mean he's not really thought leaders and really do much in terms of like content and stuff, but he's sort of like a behind the scenes savage, like been a part of a few multi nine figure businesses and he's directly responsible for like their marketing and their ops and dialing offers and messaging and those types of things. But anyway, I was having a conversation with him one time about pricing our agency services and he gave me a really good frame to look at it through and he was talking about how his assistant was who had just started working with him. She was looking at this software that, that she was claiming was going to make her job easier basically. And she was like, I found the software, I think it would really help me do this thing better. And, and then he was like, okay, well go ahead and get it. And so she, she got the version that she felt comfortable buying that was like 70 or 80 bucks a month or something for the, you know, beginner package or whatever, the first level of subscription. And he then found out later that she actually really next one that the next level of subscription was going to be the version of the tool that actually really helped her unlock this level of efficiency. And when she, when she brought it up to him, he could tell that she was very timid about talking about this number. And she was like, sort of building this up as like, here's the use, here's the Use case and here's what I would do for. And so he's like, well, how much is it? And he was expecting this like, massive number. And she was like, it's. It's a. Whatever. It was $180 a month. You know, it was, it was significantly more pricey than the original tier, but still as a whole, not a lot of money. And when he heard that, he was like, oh, what are we talking about? Yes, just. You should have gotten that one from the beginning, like the get go. And I, you know, I should have explained that better to you. That, like, that the, the doubling of the cost of that service means almost nothing to me if it helps you be better at your job and do this task more efficiently. And so he was like talking to me about my pricing, because I was looking at, I was like, we, we can't scale up this at this, you know, pricing. And he was like, well, it just means that you have to talk to different clients because, like, the right client for you is going to be somebody who just wants the job done, wants it done well, and wants somebody to do it without them having to interject or intervene or think about it all the time. So he's like, the difference between you charging 3,500 bucks a month for this service and 5,000 bucks a month, when one of them allows you to build a scalable business and one of them does not, it's like to your client. This episode of the show is brought to you by Mars Men. So look, guys, I don't know if everybody listening knows this, but a couple years ago, I was diagnosed with cancer. And around that time, I also noticed that my testosterone levels were dropping like crazy. 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And since I've started taking stuff like this, I noticed increased physical performance, especially recovery in the gym, which as I am getting older I'm starting to realize is a real thing. I I have to like stretch a lot more, I have to like take breaks more, I have to have rest days and things like that and, and Marsman has helped me to be able to recover a little bit faster. Plus more consistent natural energy. It's different than having a cup of coffee or an energy drink or something. It's a steadier sense of drive throughout the entire day. It supports healthy T levels, energy and stamina with eight natural clinically dosed ingredients made in the USA and third party. Plus it's got a 30 day money back guarantee so there is absolutely no risk to you. Worst case, you don't absolutely love it and you get your money back. But over 91% of users report higher energy levels. Thousands and thousands of guys are feeling incredible results from this. So just check out the reviews on the website to see for yourself. For a limited time our listeners get 50% off. That's 50 50% off for life plus free shipping and three free gifts. @men gotomars.com that's mentioned gotomars.com for 50% off and three free gifts. When you check out after you purchase they'll ask you where you heard about them. Just please support our show and tell them that we sent you. That's mengotomars.com Are you stuck staring at your W2? Are tax refund worries holding you back? You probably have FOMO the fear of messing up the fix. Using TurboTax on Intuit credit Karma they find every credit and deduction to help you get every refund dollar you deserve or your money back. It's time to overcome your fear of messing up and get your taxes done right. Start filing today in the Credit Karma app Ideal client. It means nothing. They're not like the person that's clocking eight figures a year, doesn't care about the extra 1500 bucks a month as long as you actually deliver on the service that you say you can deliver on. And if you can do it on a level that nobody else can because you charge more for it, then they are willing to pay that and will not bat an eye at the pricing difference between those two levels. It was a big eye opener for me to kind of the whole, you know her mosi quote of solve rich people problems. They pay better. It's more. It's it's not necessarily like, if you think you're charging too much, it's probably only because you personally would not be able to afford your own services or would not be able to justify paying for the service that you provide because you are not in a position to be able to afford that service. But that does not mean that there are not a bunch of other people out there who just don't give two shits about it. You know what I mean? Like, they're looking at it like, you know, there's. There's actually plenty of data on this where. Forget the study. There was a fascinating study that was done where there were people set up in a room and they were trying to choose between a service that they were looking at. And the, the. The wealthy people actually ended up skipping over this one product because the pricing was not high enough. Because in their mind, with a price that low, they just couldn't possibly bridge the gap in their mind for, like, they, they clearly can't provide the value then, you know what I mean? So they would immediately just go to the highest price person because they just automatically assumed that that meant that that person was the one who could actually take care of the problem more effectively. It's like, you cannot price the things that you are selling based on what your ability to pay for those things is. You have to price it based on what your ideal client is looking for. And then just make sure you deliver on. Like, if you get somebody to pay a high price, that's not that. That's the beginning of the relationship. That's not the end of the relationship. That's them getting in the door. Now it's up to you to overwhelm them with the value or the quality of the service and make sure that it's a good experience for them. But the, you know, in your mind where you're thinking like, this is overpriced or I'm getting paid too much, you know, there's a great quote from the Alchemist, which is a, which is a great book. It's sort of written like an allegorical style where it's just the, you know, author telling a story. And there's a point in there where the, the main protagonist of the story is interacting with this alchemist who's basically paying everybody in this group of people for a service that they provided to them. And he, and, and he, they agreed upon a certain price, and then he started paying everybody. And one of the people that he paid, he overpaid them for the service that they agreed upon. And Then the, the person who got paid basically said something along the lines of like, this is too much. You, you know, you, you, you're paying me too much for this. And the alchemist reply to him was bas the universe for less. Because if you do, it might hear you and give you less next time. And it's sort of like this, this whole like, you, you don't, it is not up to you to decide whether or not it's too much or too little or too little. It's up to the person who's paying. And if you're solving a real problem for the person who's paying, then it's not too much. It's what does that person value the thing that you are selling to them? Like what, what, what additional values are going to create? Which is why the best businesses are the ones that typically solve those types of problems where there's, you know, a great example is this company Hiros that I think it's Hyros that Alex Becker started. It's basically like an ad attribution software that helps you make your ads more efficient. And it's like it's a no brainer type of a service for the people, for his ideal client or his ideal prospect. Because if you purchase the service that he charges for, it will inevitably save you money on your ad spend and more money than you're spending on the ads to make them more efficient. Right? So like, there's no reason why that person is a customer. So like could he deliver that software to them at 99 bucks a month or some sort of like set fee maybe, probably. But yet he still has people who are on a $25,000 annual subscription because they're like, look, why would I not pay for this? It saved me $82,000 in ad costs this year because of the attribution that I got from that, that Meta wasn't giving to me. So yeah, of course I'm going to continue paying for this. So it's like, is it overpriced or is it undervalued? You know what I mean? Like they're the only person that gets to decide that is the person who's paying you. You should not be the person who's deciding that. So you might be shooting yourself in the foot because you think, you think that these other people that do the same thing that you do, they're overpriced or like they're, they're, they're charging an unfair amount or whatever. And it's like you're not the person that Decides that the person who's paying you decides that if they feel like the value is there, then who are you to stop them from paying you more money for that thing? You. And ultimately, and I heard it put another way one time where somebody said to me, charge enough. Charge enough to over deliver for your customers or charge enough to over deliver for your clients. It's like, the more you charge, the better of an experience that you can have for the people who are paying you the higher price anyway because you can afford to bring on an additional whatever account manager, you can afford to have another software subscription, or you can afford to send them a gift once a quarter or something. Like you can afford to make the experience overall better because they're paying that much more money for the thing instead of you being like, well, technically, you know, my cost to deliver is actually a little bit less than that, so I could probably get away with, you know, doing it like this. And I don't want to be unfair on what I'm charging. It's like those are all, you know, good things to be thoughtful about and considerate about. But ultimately, if you're delivering the value that the person is looking for, then it's up to them to decide how valuable that thing is or is not. So, like, you know, I feel that sometimes even with some of our, like, our coaching stuff, it's like, man, somebody's really willing to pay me this much money to do like a coaching day with them, or somebody's really paying, willing to pay me this much money on a monthly basis to just like, talk to them for an hour every once in a while. It's like, the answer is, yes, they are because they desire the thing that I have learned and therefore I have to make it worth my time to be able to share all the information that I've taken nine years and spent hundreds of thousands of dollars to accumulate, and that is a hundred percent worth it to them. And in a lot of ways they might be looking at it as like, wow, what a steal. Yeah, you know what I mean? Because think of all the things that we're going to do with this. Think of, think of all the money that we're going to make by using, by applying this knowledge that this person's giving to us. You can't think of it in terms of what you're willing to pay. You have to think about it in terms of what the value is for the end user. And how can you just throw more value in there. It's not about just charging more arbitrarily just to be able to charge more. It's more about thinking more through your offer stack and making it a more valuable experience so that when you do charge higher, nobody's complaining about it and they're actually really happy and they want to send their friends and, you know, family to you because you took care of them so well. So yeah, most people are probably underpriced because of that one reason. They're taking their own preconceived notions of what they would be able to afford and then casting that onto the perception of the person that they're talking to. When in reality it's like, well, that person might be operating a $200 million business and you're sitting there operating a seven figure marketing agency thinking that like, oh, these prices are too high, there's no way they're going to pay this. But then in their mind they're like, like, oh yeah, that's a steal. Yeah, sure, let's do it. You know what I mean? So don't, don't shoot yourself in the foot, man. Like just be willing to play with those, those pricing metrics a little bit and, and then once you win the contract, once you get the wire over, deliver like you can't, you know, you can't just not deliver on what you talked about because then it's just a really bad experience.
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B
When you were saying that, I thought about this Alex from Mozzie quote, you probably never heard it, but he says solve rich people problems. I ever shared that.
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A
Literally already said that.
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B
No, I think I'm just showing you this for the first time.
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C
Probably solve rich people problems, they pay.
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B
You never heard that before. Do you like this clip here? Let me show you this clip and see if you agree with that.
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A
Okay.
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Solve rich people problems, they pay better. And if you solve rich people problems, they will make you one of them. When you solve rich people problems, you get to charge rich people prices. Part of the reason that a $50 person is saying, well, what exactly am I be getting? If somebody's got a hundred dollars in their bank account, you're asking for 50% of their net wor. So for them it's a very important decision. And unfortunately, this still might be half the population doesn't mean necessarily you should sell to them. And to the same degree that $50,000 might have been less than 1% of that other person's net worth, so they just didn't even care. It would have been the equivalent of trying to sell a dollar to that person who's $100 in their bank account. You can only go to zero. Like, you'd only be so poor, but you can be infinitely rich. So your upside is uncapped, but your downside is zero. And so when you deal with rich people, you have unlimited upside, which is why they are better customers.
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A
That's why he's a good content creator. Because all the stuff that I just talked about in the last 12 minutes, he said in 30 seconds. Much more digestible way.
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B
Don't you wish you had heard him say that before you did this episode?
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A
Yeah. Yeah, we should have just. We should. We just. We should just stop the show and tell people to listen to Alex Mosey.
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B
Well, I was just gonna say, like, you never heard that quote, the solver triple problems.
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A
Oh my God.
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B
So I just tied it up.
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A
I literally already quoted that on this episode while you were looking for that video to show me.
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B
Yes.
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A
Quoting that, you said.
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B
You said solve virtual problem. And I googled it.
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A
Yeah.
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B
And it was he.
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A
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B
By golly. Did it.
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A
Pretty sure I nailed it word for word because it's not that long of a quote. But yeah, that's. That's ultimately what it is. It's like there's been some times where I feel like I'm being overpaid, but then you look at it from their perspective and it's like, oh, well, it makes a lot of sense for them to pay me this much.
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B
Sure.
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A
So that's right. And in some scenarios it's like it's just the number that I'm willing to do it for. You know what I'm saying? That's like. It wasn't even necessarily that I was chasing to solve rich people problems. It was just like my time kept getting more and more scarce, and I felt bad because I wanted to help the people that were reaching out to me. So I kept my pricing the same, you know, and then after a while, I was like, beating my head against a wall just to help these other people for a price that no longer made sense for my time. So eventually it was just like, all right, well, here's the number. And then a lot of people opted out of that and did other things, which is totally, totally, totally, totally fine by me at that point. But then some people were like, yeah, that's an acceptable number. Let's do it. And then the first time that anybody ever agreed to that, I was like, are you. Are you sure? You know, but, you know, like I said, even in that scenario, it makes me, as the provider of the service, take the relationship more seriously when they're paying the price that I threw out as a number that it was meant to scare them away, and then instead of scaring them away, they engaged with it, paid the money, and probably would have paid more. I remember when we first started selling, I think it was podcast production services on the back end of the courses that we were selling and stuff. One of our clients that we did a done for you opportunity with, I think I remember this was the first time, I think that you started stepping in and doing some of the coaching stuff for me. And I remember, I remember doing it that way on purpose because I was like, if I price it based on what I can do, nobody's going to take this offer. It's like, too expensive, you know what I mean?
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To discounted cheap me. So I was saying.
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A
So I was trying to outsource the part that was the most expensive part so I could give them a more reason, reasonable price. And then one of those clients, like, I want to say, I don't know if it was after we stopped working with them, and I was talking to him about his experience or maybe it was like during or something, but he literally brought up to me later, he was like. I said something about working with me, and he was like, I would have really liked. I really would have liked to work with you in this scenario. Is that an option? And I was like, well, you know, it could have been, but, you know, I would just charge. I would have had to charge this much instead of this much. And he was like, I would have been willing to pay that. And I was like, ah, damn. You know, like, I'm. I'm. I'm making the assumption that this person is looking at this number the same way that I was looking at this number. But in reality, it was some person that was running, like, a financial services company that was doing eight figures in revenue. And it was like, the difference to them for whatever it was. I don't remember exactly what the prices were. 6 grand versus 12 grand to them was completely inconsequential. It did not matter to them. A drop in the bucket. They just wanted. They wanted the. They had saw. They had seen my content, so they wanted my hands on it, and they were willing to pay double to be able to do that. And I didn't even look at it as an option at that point because I was so much in my head about like, well, this is. We're already kind of pricey here. We're getting kind of expensive because I would never pay this as much. It's like, okay, but that doesn't mean that a bunch of other people aren't willing to pay that much. So you're. You might be completely limiting your own earning power because you are casting your own assumptions on the prospect instead of allowing them to dictate to you what the value in the, you know, relationship is going to be. So that was rude.
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B
Well, I mean, you guys just heard Travis say in 20 minutes what her mosey said in a minute. So sorry about. Oh, man.
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A
Well, I'm gonna start yawning every time you talk.
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B
I gotta go to. I have a. I have to go. I'm going to an acquisition.com group right now, so I gotta go. So if you could just wrap it up, I'll be quiet as I leave.
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A
Good. That, and I know that's not gonna be the case because you're never quiet.
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B
We actually have one more episode, so I can't leave.
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A
Anyway, that's it for this episode of the show. Remember, money only solves your money problems, but it's easier to solve the rest of your problems with money in the bank. So let's solve that one first here on the Travis Makes Money podcast. Thanks for tuning in. Catch you next time. Peace.