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Episode 87: Justin Bergh, GM of the CrossFit Games

 
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Incremental vs Exponential Growth

When Dan Martell was on TwoBrain Radio, he said:   “It’s easier to 10x your business than to 2x your business.”   And a lot of people thought he meant, “Aim for the moon and you’ll land in the stars” or something like that–just a basic “set your sights higher” message.   Those people are wrong. Dan was talking about the difference between Incremental and Exponential Growth.   When you sell a service, it’s not enough to be better; you have to be different.   You need to have a monopoly on your service. You need to be the only gym in town doing X.   As Peter Thiel hammered again and again in “Zero to One,” simply being better at something means incremental change. It’s incremental because most clients won’t change gyms for incremental change; most non-clients won’t be able to tell the difference. This is what starts price wars: when clients and future clients can’t see a difference that justifies a higher price, they’ll go with the lowest-priced option.   Now, you’re probably thinking, “Well, I’m way better than the next guy. Why does ANYONE go to his gym instead of mine?” And the answer is: the difference is mostly in your head. It’s not obvious to the client OR the future client. Sorry. You see apples to oranges: they see Macintosh and Braeburn.   Can you double your revenue by being incrementally better–by having cleaner bathrooms, better coaches and classes that start right on time? Yes. But you can’t 10x your revenue that way.   To 10x your revenue, you need something that no one else is selling. This removes price pressure, because you’re no longer competing with anyone.   I don’t sell gym access because other gyms can sell it for $19 per month. I sell coaching, because they can’t.   I don’t just sell group classes, because the spin studio on the next block does ...
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Stop the mop image

Stop Cleaning The Gym (By Yourself)

By Jeff Burlingame, Two-Brain Business Mentor If you own a gym and you are still the main cleaner, or if you’re spending more than 10 minutes per day cleaning, something is backwards and the reason why comes down to roles. A CEO should be valuing their time at $40/hour or more because if you, as the CEO, can spend an hour working on your business, you can easily generate more than $40 in revenue. If you’re spending your time cleaning instead of generating new business, you’re losing money. You are a $40+/hour worker doing a $10-$15/hour task within the business when you spend your time cleaning and that doesn’t help you grow. In fact, every role below the CEO level including cleaner, coach, general manager, and bookkeeper comes with a lower hourly rate and they are in the business instead of on it. The CEO should really be spending his or her time working on the business to grow it. That’s not to say that these tasks aren’t important, because of course having a clean gym matters. Ideally what you’ll do is hire out, delegate out, or hire a virtual assistant to do the tasks below the level of CEO. In fact, you can look within your membership to find people to help you out with this. If a member has a teenager that is looking for a job, bring them on for a few hours per week at $10-$15 to clean and disinfect the gym. When you’ve handed that task off to someone else, you get those hours back to focus on revenue-generating tasks as the CEO. Outsourcing and delegating tasks actually frees you up to generate more revenue, grow your brand, and become more profitable. Those tasks that you should be outsourcing and delegating include coaching and that can be a hard one for gym owners to give up. You can’t be the CEO and grow the business ...
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How To Build A Funnel

How To Make Your Own Funnels This is our mentoring model: 1. Tell you what to do 2. Show you exactly how to do it 3. Link you with someone who can do it for you if you can’t.   The first article on this site was called “How To Build Your Own Website.” It angered a lot of web designers.   In our Incubator program, there are over 95 modules that walk you step-by-step through the processes we teach. But sometimes your time is better spent elsewhere, so we also give you a “Do It For Me” option.   This post will be more in-depth than I normally write for free, because I HATE when knowledge is held hostage by companies who prey on gym owners. Building funnels isn’t tricky, but it DOES take a lot of time. If you know what’s involved and THEN decide to hire someone else, great–that’s exactly what I do. I want to give you the power to choose, that’s all.   First, my usual disclaimer: most CrossFit gyms don’t need help with marketing; they need help with sales (not lead generation, but signing people up and keeping them.) So I dislike “funnels”–you can read my article, called “F Your Funnel”, on EliteFTS.com here:   https://www.elitefts.com/education/an-introduction-to-affinity-marketing-f-your-funnel/   But if you need a new way to talk to a niche audience, or you want to guide people to specific information, funnels can work.   Let’s start with the bottom of the funnel and work our way up.   The Goal: Conversion.   You want a client to sign up for your gym. We’ll call that a “conversion”, because it’s all that matters.   Facebook “likes”, comments and shares…these are cute, but only beneficial for your ego. In some cases, they’re like footprints to follow, but they’re not actually tools.   Facebook lets you define a “conversion” as a purchase (mostly used for product sales) or ...
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Episode 86: Kate Foster

 
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How Many People Should Be On Your List?

The business community is OBSESSED with lead generation and lead capture. Here’s why you shouldn’t be. If you’re a CrossFit gym, I’m sure you’ve seen the ads on Facebook: “Endless funnels! Download our free guide.” “Guaranteed 100 new leads!” – there are more, but they all sound the same. Very soon, a reliable marketing company will become the obvious choice for our gyms. Lead generation and SEO and ad targeting will be taken off our plates. And I can’t wait for that to happen. But what most gyms need is NOT marketing at all. What MOST gyms need is SALES. Here’s the difference: Marketing puts your name in front of people for the first time. It guides them to your door. And then it stops, and sales take over. Marketing starts with a very cold audience (they’ve probably never heard of you) and warms them up to the point of interest. Marketing won’t get anyone to pay for your service (Virtually no one enters their credit card online before visiting, do they? Maybe one in two hundred.) Marketing gets them to book the free consultation or No-Sweat Intro. At the very least, marketing puts people on your email list. Then Sales takes over. Yes, “Sales” is a dirty word. I get it. When I say “sales”, I’m not talking about the used-car-salesman stuff (or worse, the gym-membership-sales stuff). If you’ve read my books or anything I’ve published in the last 5 years, you already know that. In our case, “sales” means telling the person what’s best for them–in other words, coaching. But for the sake of this post, it’s important to differentiate the two parts of the process. You’ll see why in a moment. Marketing gets people to pay attention. Sales gets people to pay money. The thing is, you probably already have ENOUGH people paying attention…even if you don’t have enough people paying you money. Let’s look at your ...
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