Cover of $100M Offers: How to Make Offers So Good People Feel Stupid Saying No by Alex Hormozi - Business and Economics Book

From "$100M Offers: How to Make Offers So Good People Feel Stupid Saying No"

Author: Alex Hormozi
Publisher: Acquisition.com, LLC
Year: 2021
Category: Business & Economics

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Chapter 12: Enhancing The Offer: Urgency
Key Insight 2 from this chapter

Four Ethical Strategies for Implementing Urgency

Key Insight

There are four primary ethical methods for integrating urgency into business operations. The first is 'Cohort-Based Rolling Urgency', which involves establishing a regular cadence for client onboarding, such as weekly or bi-weekly starts. This creates a natural deadline, allowing statements like: 'If you sign up today, I can get you in with our next group that kicks off on Monday, otherwise you’ll have to wait until our next kickoff date.' This can be intensified by implying a limited slot: 'I actually had a client who signed up a few weeks ago drop out, so I have an opening for our next cohort that kicks off on Monday.' The less frequent these cohort starts are, the more potent the urgency becomes. If a client expresses interest after a cohort has begun, businesses have two options: offer expedited, personalized onboarding as an immediate 'bonus', or, preferably, highlight the advantage of additional preparation time before the next group, coupled with an exclusive, extended payment plan not available to others.

The second method, 'Rolling Seasonal Urgency', leverages real, visible sign-up date countdowns or promotional end dates, which must be genuine to maintain credibility. This is particularly effective in digital contexts, where promotions can be updated with new dates and seasonal names. For example, a business might run 'Our New Year Promotion ends Jan 30!', followed by 'Our Valentines Lovers Promo Ends Feb 30!', then 'Our Sexy By Spring Special Ends March 31!', and 'Our Fools in Love April Promo Ends April 30!'. While the core offer may remain consistent, these seasonal 'wrappers' provide distinct start and finish points, acting as a powerful differentiator. This strategy is especially valuable for local businesses, as frequently varied marketing with new seasonal themes consistently outperforms static campaigns.

The third strategy is 'Pricing or Bonus-Based Urgency', which focuses on an offer's structure or a specific promotion, rather than the core service, to create a 'fear of missing out.' For instance, a sales pitch might state: 'Yes, let’s get you started today so you can take advantage of the discount you came in for. I’m not sure how long we will be running it as we change them every 4 weeks or so.' This technique allows year-round businesses to implement urgency by highlighting expiring discounts, free installations, or extra workshops valued at 1000. Additionally, an impending price increase can be leveraged to 'clean out' sales pipelines, informing prospects 'The price is going up! So get in now!' to prompt immediate decisions and generate an influx of cash. The final method is 'Exploding Opportunity', where prospects are exposed to an arbitrage situation with a finite lifespan, emphasizing that delays lead to disproportionate missed gains, such as market inefficiencies like buying on eBay and selling on Amazon, or competitive job offers where compensation decreases daily, all compelling rapid decision-making.

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