The Importance of Acquisition

“My holiday was like my life. An absolute, beautiful mess.”

“They’re looking at the 1 customer when we are looking at the 20 who are connected”

“I woke up and our volume was 30x what it normally was.”

“Basically people can pack it in from now until the first of the year and you just can’t let that happen”

EPISODE INDEX:

  • Welcome Back/Holiday Recap: 00:30
  • Acquiring Customers vs. Cashing In on Black Friday: 3:40
  • The Exposure That Comes With The Insane Discount: 17:00
  • Preparing For Something Like Black Friday: 22:00
  • Classic Black Friday Stories: 28:20
  • Closing Remarks and A JOHN FOSCO TIP: 33:30

KEY TAKEAWAYS:

Max Effort Muscle just ran a huge Black Friday deal where products were severely discounted. Discounted so much so that it actually costs the company money. The point of the sale is not to make money however. It is to get the product in the hands of the people who have never or would have never tried it otherwise. Black Friday is a day where more consumer money is spent than anywhere else. People have mentally prepared and committed to spend money on this day. While everyone else was trying to cash in, Max Effort decided to give deals so good that the competitors can’t even afford to touch, because we want to use it to steal customers from every other company. Because there is such confidence in what Max Effort puts out, we know that if the customer tries it, we have just scored a new loyal customer. Gaining new customers is so key because of the massive retention rate Max Effort has. The way you utilize days like Black Friday can change your business for years. Losing money on a day like Black Friday is an investment in acquiring customers and it is worth it when you are gaining the amount of customers Max Effort is. A space like supplements is highly saturated, so you have to show your customer that you are willing to fight for them! By doing deals like this you are trying to spark that light bulb in some one’s head that says ‘today is the day I give them a shot.’ No matter where you are in your business, always plan for these days. Days like Black Friday and Cyber Monday can drastically help your business. Customers don’t forget and if you treat them well, they will have your back. For those loyal customers that you do have, they will appreciate the discount as a sort of reward for their loyalty throughout the rest of the year. Not only acquiring new customers but showing love to everyone who has been buying all year round. Even if someone buys up for 5-6 months, it isn’t a loss. This just shows how big a part of their life the company is. Then several of that persons friends will be exposed to the brand both visually and verbally because of this customer. People who think this is a bad thing are short sighted. You should be looking at the grand scheme rather than focusing on the individual. Even people that don’t buy can tag their friends on social media. There is enormous amounts of content that can be created that demonstrates how many people are taking advantage and it makes people wonder why they haven’t given it a shot yet.

The difference from last year’s Black Friday sale to this years was unreal. Last year it was real messy because the company was only one month old. This year, Max Effort was able to take steps to prepare and plan for the massive volume. There were systems in place that enabled everything to go much more smoothly. Not to mention faster. One thing that could have been improved upon is the confidence to buy more product prior to the sale. Everyone thought that it was stocked up fully and ready to go but all pre workouts were sold out by early afternoon and we were left with very few shirts and incredibly limited sizes due to the insane volume. Once you get to a certain point, if you want to play with the big boys, you have to constantly be doubling and tripling down on yourself. We could have doubled and tripled down on our inventory better, but this was also a lesson for Max Effort. Growing in business is about continually learning and making adjustments to become better in the future. Now we can adjust processes and inventory planning to make sure we are even better set up for next year and that is exactly what is going to happen.

Buying cycles and patterns these days are so predictable because of the media. They have everyone’s brains so locked in on when they are going to spend their money that they actually do exactly that. A lot of people need that giveback on Black Friday so they can make their family Christmas what they want it to be or in order to set themselves up for a couple months without breaking the bank.

After Thanksgiving, you probably aren’t feeling the best going into the new week, at least not physically. What we all must do is look at the time we have just spent with our families and take the positive feelings and lessons learned and apply them to our normal routines. After the holidays it is hard to get started again so lets dial back in to our habits that have made us who we are and not shut off until the new year, as many people do.

THE PODCAST CANNOT BE STOPPED!

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