Transcription
Ultimate context. If that's fine, um, so we did about 210k during the 100, which is basically 70k a month, right? And the goal for 2025 is, uh, 150 to 200k, I think we can do a month. And, um, basically, how we made the 210k was, uh, people join our $97 a month community where we help, like, coaches, school community owners get more clients with content. And, um, 50% of these people end up upselling to either a $1K annual plan or $5K mentorship, which also includes the community, right? Um, I would say 80% of the 210k came from the, um, annual upsells, especially the $5K one, right? And, um, we have about 46% painful, uh, rate. Uh, the the program was $5K.
So my question is, and the traffic, it's crazy actually. I didn't even believe it during the 100, but the traffic, 80% of it was from word of mouth, which is crazy. Like, a lot of it going viral on School itself, that's why School is great. Um, and also just people telling others or like on social media, etc. So just get people to say good things. 100%. And because of the like high able rate that we have, the turn is showing pretty low as well, because obviously half of the people are annual, so it shows like 2 point something per for now. So all of that stats look good.
So my question is, uh, of course, the plan is do more and better. I've consumed enough for most content over the past like four years, so, uh, that's that's clear. But I just wanted to ask you, um, one more thing, which is like, if the 80% of the traffic came from word of mouth, right? Would you say that I still should go and like, because maybe it's a stupid question, but I don't spend much time on traffic because kind of people come and then I, you know, uh, it's easy that way. Do you think I should absolutely still allocate like four or six hours a day, if I want to grow obviously, on getting traffic? Because I have this like stupid limiting belief, what if I do that and then I actually lose my thing, which is helping people, having the connection with them, at the time that's why I have the word of mouth.
Yeah, this is where you can hire someone to do to get more traffic for you. Because like right now, the number one traffic source you have is your existing customers. And so you don't want to jeopardize your existing traffic source. And right now, you're the one who's delivering, and so everyone's very happy with it, and they tell their friends, and that's how your business grows. By the way, this is how normal businesses work, just just outside of the internet world. This is kind of how it normally works. You do a good job, people tell people, and then your business grows.
But, uh, with regard to what you're what you're looking at, you have the cash and the resources now to be able to hire someone to do some of these that you can have. You can pay someone to do promotion eight hours a day and you do none, and you just pay them. And then the cost for you is just the hours it takes to train them, which then it goes training upfront, and then you manage, you know, for an hour or two a week after that. So that's a good trade. So if you said, hey, should I spend two hours a week managing someone who can spend 40 on promotion? I would say, yeah, that's a good trade. Now you might have to take some upfront to get them, you know, uh, onboarded and up to speed so that they can do what you want them to do. But that that's business, you know, like that's how how it works.
So big objective number one is don't, don't, don't, don't risk risk the base, right? Never risk the base of customers. Like you have the audience, you have the risk, like the base, you never, you never risk that. That's the main, that's the main asset you're building is that goodwill, that word of mouth, etc. Don't risk that. But you can take some of those resources to bring more people in and let more, let more people know about it. Yeah, that's great. I think School Affiliates will be very relevant here. Yeah, probably it'll be great. People are already doing it for you, so now they'll just get compensated to do it. Yeah, that's awesome. Cool. Thank you so much.
The next one is, um, so for for our avatar, right? Do do you see like any problem with the fact that we upsell 50% of the people? Can it be that I'm just charging too low, $97 a month for the, um, avatar, and they kind of come and then pretty much all of them want to upsell? And also another, I don't know if it's a problem or not, but we have people in the community that want to get, let's say, to their first $10K month, and we have like half of the people that are doing $10K month want to go to $50. I haven't seen like a big conflict there yet. But, um, yeah, would you say you see anything weird in terms of the pricing structure or not really?
Yeah, not really. Mostly because if you were to change the $97, I don't think it would make a huge difference in terms of the economics of the business. But you might lose people who otherwise would upsell later. And so for me, it's like, it sounds like all the economics are doing really well with the business. And so like you have one of these good situations, which, you know, maybe that's four years of prosing content. I'm not gonna take that. I'm just kidding. Um, no, you're doing a great job, man. Um, the you you do just need to do more better. Like that's where you're at right now. And so the more just doesn't have to be you doing it. So the business needs to do more. You need to keep doing the thing that's most valuable, which is getting people a good experience, um, in what you teach. Yeah, that's great. Thank you so much.
One long-term question as well, which is like, if you were me, let's say you want to grow to a million a month and actually have great client results, and like the only you do grow to a million a month. Yeah, yeah, got it. So like, what would be, if you had to focus on a couple of things like strategically, like that you kind of dominate, not the world marketplace in a good way, what would you do? Big picture, it's going to be renewal rates.
Yeah, so think about it like this. Let's say, like, let's play it out. So let's say that you bring this guy in, and him doing some promotion increases your sales double, okay? So it doubles the amount of people that are coming in. Fine. So that takes us to 160 a month, okay, just from that. Great. Now, if you get, I said this earlier, if you get 80% of people to renew for example, then that means that your company is going to go to $750,000 a month, and then it'll plate out. That's if you get 80% to renew. If you get 50% to renew, it'll cap at 300. If you get 67% to renew, it'll cap at 450, right? And so that's going to be a huge lever on how big the business gets. And the nice thing is that when you grow via retention, the infrastructure of the business can grow really organically with high quality because it will, like next year, if you go from 150 to 300, then it's like, cool, you only had to like, you didn't have to increase more sales guys, you didn't need to increase traffic. Sales velocity is the same, you sell the same number of people every month, and you just get better and better, right? And so that is the most stable way to grow.
So just my my biggest, my biggest, you know, like if I were you, right, is that you need to track customer success scores, NPS scores, customer stat action, uh, really militantly to see if any of those drop at any point, because then that'll give you a leading indicator that like something's wrong and need to focus on it. Because otherwise that jeopardizes the whole business. And so put all of your attention there. And then in terms of like bringing other people in, just bring those people in as as you can handle the volume without dropping the quality of service. So it's always paired metrics. It's like quantity and quality are always paired. Same like speed and quality are always paired. So it's like, okay, cool, we still have twice as many people, but our results suffering? Yeah. Yes. Okay, cut it back to just sell 50% more instead of twice as many. Now, okay, our results are good there, and we had to add this other person for infrastructure. Now we can bump it back up again, right? You just kind of always have to keep your eye on that rather than growing at all, all cost, because when you grow at all costs, it hurts. Yeah.
Cool. And would you, you would say that because like most of the sales were obviously the $5K, one-on-one mentorship, our sales, it also included the community. Probably like if I feel already it's getting like pretty full, I need to either hire someone or most likely just increase the price like from $5K annual to $7.5K?
One would you say it depends on what you want to do. So this is kind of like the Evelyn conversation earlier. So it's kind of like the milk. So either you can raise the price. So like there's fundamentally you've got three, three paths to increasing how much you make. So number one is you just raise the price, keep the volume the same. The second is that you sell more people and you do more distributed, so one to many, so our small group first, and then eventually one to many. And then the third option is you hire other people to do it for you, right? And so those are kind of the three paths. The lowest operational drag path is to just raise the price. So I would say that my bet would be a combination of raise price and semi-privates. And that would be like first, like which one you do first, raising price is the easiest, so that's probably where I would start.
And the last one, really quick, if if I can. So, uh, once I sell these people on like the annual one-on-one, etc., I think there's like a little bit of differentiation of the avatar, right? So like, do you think later it's okay to start the second group where only these more serious people will be there? Let's say only people that make, let's say $10K month that want to grow? And at what point, like when you literally can do what I want at all, or like you can, and it's just a limiting belief? I go back and forth on this. On one hand, if you pull out like the best success story people, then that can kind of kill the original group. Also, I'll bet you part of the reason that people upsell is because they see the people in that community. And so unless I have like some major issue, like no, like those people stop engaging in the group because it's like, they don't want to associate with those people, that would be where you would make it because now you're not losing anything. But if they're all hyper engaged there, then I would say keep them there because that that intermingling is what's also facilitating upsells.
That's that's amazing. Go. Thank you so much. You really changed my life. Cool. You Kirby. Everyone appreciate you a lot. Yeah, thank you so much. No, you back. Congrats, man.