Hey guys I have Alan Martinez here from Noble Digital You guys know him he's on the school pro

Group He's gonna tell us a little bit more about what he does I have

no idea so this is gonna be a real treat I'm gonna learn something You're

gonna learn something so let's check it out You are watching the process You guys recognize the

sales funnel You guys have seen this before Um what's in the sales funnel Sales funnel is just you

know the the journey between top of funnel to the bottom of the funnel which is like I've never heard

of you to I'm kind of interested or what is this to OK I'll find out a

little bit more To OK I'll give it a shot so I'll buy it and then and then uh this

is more about the the the money part but then the delight and referral part and people sharing

we're gonna actually put numbers to this We're gonna sign a number so cost per customer acquisition

cost per customer acquisition to get someone to buy your service Now your service if you don't mind me asking

is like maybe break down tiers Our most expensive product is $1200 That's core 360 right And then going

down from that individual module sell for $500 Then we sell um a subscription annual subscription is 250 sub

right Then we sell AIB which is I believe $200 AIB and then a monthly

membership for $25 OK so that's the lowest entry point yep And and below that is

we'll do it's a $0 it's YouTube right We're subscribing to YouTube Yeah that's right

What's that worth to you Let's put a dollar figure on it $1 Let's put $1 down OK $1 Well

we're not selling that You're not That's what we're paying to get it correct So it should be here

Well we're talking about the value uh we're gonna get to the value right but that that is

like something that's a goal right So the your goal these are your goals The most important goal is to

make as much money as possible Let's be honest here right So if we can't get

you're asking me not Jose if you're asking me Jose's to have fun and make friends As far as

margins it's not like you made a hard product that costs you $5 to sell for $10 for example So

it's really 100% margin all the time you spent developing you you still got to get paid for that But

let's just say for intents and purposes let's say it's free Sure alright now what so What are your goals

for this year to increase our monthly reoccurring revenue right now we're doing about 8K OK

write that down I wanna get to let's write that somewhere over here So per month monthly

reoccurring revenue MRR is about 8K right now OK We want to get to 20K OK

so you want to triple new So by end of 2016 2017 we need to get to 20K

OK so what else What's the next step And here's the part and I'm gonna share this is what

direct marketers do They they would go to a company and they say how how

many do you want to sell in a year And like usually it's a bigger company They

would say OK we have we want to sell a million units to make you know Whatever

$2 million right They would then say OK so that's our budget They would say that

that is our budget $2 million of ad spend to to go for it and what

you're trying to do is get the CPA as low as possible the cost per acquisition

So if you spend $2 million and you make $2 million Right you broke even and that's not ideal So

what all you're trying to do is drive down the CPA You're hoping that you're gonna spend a million dollars

to take make $2 million or hell $500,000 to make $2 million It's never gonna be

zero obviously but it's gonna be something Let's talk about let's talk about the people who you're where's the top

where's this money coming from Like where's 10 or 20 or 50% of the money coming from

Like what a person or a city or what I'll tell you the market from the data The single biggest

uh traffic driver is probably from YouTube onto our landing page right And our audience is broken

up like this it's US it's India and then it's the UK OK is there kind of an

age group you're seeing That's standing out 20s to 30s or or is it more

seasoned people I would say it's the late 20 to 40s somewhere in there And then

we we check this is YouTube data then we compare to Shopify data and they they

set together right now yeah OK cool just manually though you know how we look at it there's

no there's there's no there's no automation doesn't Shop Shopify have a way to integrate

your analytics So guys tip number one guys tip number one since we're using Shopify we wanna tie our

Shopify analytics to our YouTube analytics to see what patterns are happening right now we don't That's

why I reached out to you and said somebody help me with some basic analytics creative

videos right That's like top of funnel messaging branding messaging to get to the website That's

little you know now they're interested right And as you get to the IT stuff that's when you have

like the data all the stuff has to go into buckets so you have like hm Your Java

code right And uh your segmentation of buckets you you you guys know what a bucket is It's

basically the personas These are the personas but I wanna start with our personas We know what they are right

But you know what they are from your limited data and then then there's the marketplace

speaking which is actually gonna tell you what actually is happening and then you have to make adjustments according

to the actual data So it's like you're testing And the reiteration comes from oh wow it's like

these people in India maybe we need to do something that has that kind of slant to it so people

we can attract them or maybe they deserve their own video maybe bring in like

an influencer from India to speak on one of your things and suddenly that lights up

the Indian audience for example These are these are some really big let's break these apart

This is your really big winners right These two Well I'll tell you what our

best sellers are Yes our best sellers are here like percentage wise percentage wise uh I would

say it's split between core And AIB Right let's make a new CPA We invent this

one Chris Doe how much would you spend to get someone to pay $1200 As much

as possible as much as necessary not as much as possible as much as necessary 50% 50% OK so we'll

say 600 bucks That's a CPA for that uh for this one I would think they're

all like about half I'd spend about half so you'd be OK so we just that's

a 2 to 1 conversion man Yeah I'll do that all day night OK You would

average all those together right 1200 plus 500 plus 250 plus 200 I'll leave out the YouTube

for now Yeah leave out the YouTube You'd actually you'd actually have to add 500

The number I came up with is not too far off It's 507 we'll just flat we'll make it

of them right YouTube is an awareness but like we'll say uh if they get

to the Shopify page OK I would consider a lead That's the data I'm looking at now So

on average we get about 80 people hitting the shop and buy page There's an email isn't there an

email uh Like uh a newsletter to sign so we're talking newsletter And Shopify Page

is worth something to get that far YouTube and what else we got besides YouTube for awareness

Facebook Facebook OK what else we have Facebook uh Instagram and Twitter and LinkedIn The

the usual social media channels my fingers what's going on Fingers aren't working YouTube is

not working Twitter LinkedIn yeah So Uh so we have shop by patients Is there anything else for leads

that you have There's no phone call obviously There's no is there a chat thing Yeah people might instant

message me I am I am They will instant message me and talk to me about

stuff and then I do close sales that way So they reach out specifically asking about this

You know how on Facebook you can message somebody directly That's what I'm talking about I

am on Facebook That's usually how they reach out to me and I forgot there's other

things that we do We we do lectures and workshops absolutely so that should be in there And we have

press We get press so we know that there's a spike when we do press or there's other or

we do cross channel promotions Should I put that up here too Yeah yeah So what

would we what would we consider a trial I already have an idea What do you mean

The next one's trial What do you I don't uh I don't know When you wrote that up there we

don't have a trial a trial subscription Does this feel like a trial to you

It is That's why we created that Yeah we created the lower tier low tier otherwise there's too much of

a gap Yeah that's true and we are finding out that when people sign up on

this they very quickly buy a product What's the conversion rate on this Please tell me I'm

only gonna guess right now but I would say it's at least 50% Really Yeah

that's amazing I see they they buy and within 1015 2030 days they're buying something else They're probably gonna go

in OK so now we have a cycle so 50% 10 to 15 days OK let's just

say 15 to 20 days OK Sometimes they buy it in 3 days It's it's really

weird because they just wanna know that we're real So what you're talking about really

is that yeah I think so So these are two different cycles These are two different kinds of people a

on this side than they are on this side They're more on this but how like 80/20 Yeah Who are

these people The 3 days do you know anything about them Yeah they're usually business

owners They already know us OK Business owners that know you or were referred by someone in you

they they know us through the community right OK it's not gonna be some some uh kid in Turkey

It's so then there's everybody else then there's everybody else yeah So this is like the realistic cycle

for the world for the the the global domination of school right This is good This is good

So I I wanna I'll let you do the writing I wanna consider monthly subscription your

trial and anything else you wanna Well we've been thinking about this right Aaron and others yeah that we

have we're gonna give sample docs You can download some sample documents like the ones from the

from the kits You just download them look at them So you know how Amazon does like 20 pages

We'll give you the 1st 20 pages Check it out It's legit That's it So we that it's good for

you OK Mhm Anything else That's all we got for now OK And then for delight and referral

what are we talking about Well how we delight the customer is the people that are brave enough to

join us and share the decks we start to have real conversations and they're getting free business coaching for

me Oftentimes when I'm driving I would just call up a random member whoever wants to give me their phone

number I call them up I I check in on them like high touch Customer service

from me and Jose because we're on the forums and we're commenting and giving people feedback all the time

yeah That's how I that's customer service yeah exactly that's it yeah So from calls To emails

To documents You get it and how do we delight you You know what You make money Our customers

make money So if this is 500 maybe we'll work our way up backwards So

This is like 100% of what you'll pay And of course you could spend less great How much you pay

for a trial of the 500 bucks how much you know would you pay for a trial

A trial subscription of $25 Yeah What's it worth to you Let me ask you another question Let me let

me do this a different way actually the cap forget about this Of the people

you said it was 50% to do this I think about 50% who buy the subscription become customers

so Would 250 make sense to get someone to do a trial to allocate some

of that That's a lot though because they're gonna buy probably AIB or this um you're saying

I'm spending half of it already Well what I'm saying I'm I'm I'm trying to see it might be part

of this whole CPA like this is like this stage Just this stage alone To get

to a purchase it's like part of the 500 bucks I don't know Let's say 200 bucks I'll just throw

out a number OK because we're getting half of a half because we're spending half of

our budget and only half of them are convert so I have to kind of be mindful

But what we what we're talking about here is it's a scale thing It's a scale

issue and my question to you is like you know when you get to more users

do you have other items to sell them We will You will I will Great

then you definitely want to scale OK so 50% we'll say 200 bucks So then what's

the lead worth to you How much Less obviously of course of course but how

much Well it it depends on the conversion ratio dude What percentage of of these these

people convert to here What's the total conversion rate It used to be 1% and now it's about 2.5%.

It's great That's that's the average actually That's but that's good 1% or 2.5% 2 to

you're doing above you know you're doing really well If someone comes to your to your

website learns about you from YouTube Out of 100 people how many people actually might do the $25

Or do we like talk about 1000 people 2.5%. OK Out of 100 people that hit the Shopify

page 2 2.5% are converting to buying something So the minimum they're going to spend $25

and sometimes they'll drop $1200 with the core 360 So what I'm doing here this is

just the website Facebook has its own little funnel YouTube has its own funnel TV whatever you're gonna do right

everything has its own little funnel before they get to the website right And so you know this is what

we can control the most This gets harder to control and that's that's the art of advertising and

digital all that but I'm gonna make this up So we're at 200 bucks and you

were kind of not happy about that number either But I would say for a lead

you should be able to pay like I don't know 25 bucks Sure I we're

making this up because we don't know but we I think we need to plug a number

in just to start with and you'll know right like oh this doesn't work after time after we start pumping

some volume up this may this number might be too low or too high we'll know right away Right now

we don't really know So for awareness maybe it's worth 1 $1 to get someone to sign up

right Or it's worth that I think that or maybe $10 Is $10 too high A little bit maybe

gonna go to and sign up for the newsletter or watch our episode and subscribe or something

like that Then it's worth it So once they purchase that is your CPA so

technically you actually have 500 bucks to work with here All right I understand So

we have to redo these numbers You have 500 bucks to distribute per per person so that we're

talking about as they go down the funnel they're worth more Right So how much per person Maybe

it's 300 200 and no it's got to be different than that Um Maybe 50 100 and then

the the remainder 350 So 50 For awareness right you're saying add all those up

to be 500 right And then 100 and then 350 So yeah when you start getting someone down this funnel

they're they're worth more and more and so maybe these things start becoming they should

become more valuable to keep the flow going The point is it's like when we're when

we're spending money on media spend and they're clicking through to this point and then they're clicking through to here

to this point and then they're clicking through to download this like every stage we're gonna be having drop off

drop off drop off and now we're left for 100 people or 110 100,000 people and now

we're down to like 10,000 now we're down to like 1000 and now we're down to like 100 people when

we're down here and that's your 2.5 So we have that means so if you want 50% 250 If

I want 2 X ROI I have to spend half right By the way you might wanna go

minute Sure I I I can leave that but I was just saying the normal model Yeah that's

where we want Look the reality is we want to start with the 500 bucks

and drive it down to $250 over time but we we want to be everywhere and

go OK that's not working This is working Let's put more money here and we want to start just

crunching this down to start getting uh metrics that are performing This is performance takes time and

money and you know and we can speed that process up as much as you want

But as long as we're not losing money we can speed up even faster If you're below

like if you're not if you're not up upside down we should be increasing the budget every

month until it starts to break or fall apart or not make sense right OK let's

review here So if you guys wanna bring him in just for this now I'm not talking about all the

other work because there's still a lot more work to do just to get started so

that you guys can get me thinking Alright guys thanks for tuning in hope this

was helpful to you I learned a lot myself and there's a definite way that you

guys can integrate what Alan is doing with Noble Digital into what you're offering and I think it's

gonna be valuable to your clients as well