Alex Hormozi: How TO Make A TON Of Money (in just a few minutes)

The video is about how to price products to sell more expensive items and make more money, including using price anchoring and offering a range of prices with a high-end option.

This video by Alex Hormozi was published on Sep 11, 2022.
Video length: 06:20.

In this video, Alex Hormozi shares his strategy for pricing products to make more money.

He advises viewers to have a product that is 10x, 50x, or 100x more expensive than their current product, as there is no strategic benefit to being the second cheapest in the market. Hormozi also discusses the importance of price anchoring and organizing pricing options using the small-medium-large example.

He encourages viewers to focus on the value of their product rather than the price and to have a high-priced item on their menu to attract high-end customers.

• Price products to sell more expensive items and make more money
• Use price anchoring and offering a range of prices with a high-end option
• Break down pricing options using the small, medium, large example
• Pick a huge price anchor and figure out what you would have to fulfill to make it worth that
• Put something super expensive on your menu with the expectation that you're never gonna sell it

How TO Make A TON Of Money (in just a few minutes) - YouTube

Introduction

• Price products to sell more expensive items and make more money
• Use price anchoring and offering a range of prices with a high-end option
• Sell more expensive stuff to make lots of money

Price Anchoring

• Write down the average price of the thing that you sell
• Put 10x, 50x, and 100x next to it
• Sell more expensive stuff to make lots of money
• There's no strategic benefit to being the second cheapest person in the marketplace
• There's only one strategic benefit to being the lowest cost person in the marketplace

Organizing Pricing Options

• Use the small, medium, large example to break down pricing options
• Make the medium price a dollar more than the small price
• People want to buy great deals, not cheap stuff
• Price is what you pay, value is what you get
• People will find a way to get the money if they believe the value is there

How TO Make A TON Of Money (in just a few minutes) - YouTube

Huge Price Anchor

• Pick a huge price anchor (10x, 50x, or 100x)
• Figure out what you would have to fulfill to make it worth that
• People are willing to spend more when they see the value
• Whales will buy the most expensive thing because that's who they are
• Put something super expensive on your menu with the expectation that you're never gonna sell it

How to Price Products to Sell More Expensive Items and Make More Money

• Customers associate prices with what they expect the product or service to be priced at.
• Offer a high-end option to anchor the price and make the other options seem more reasonable.
• Price based on the value delivered to a specific avatar or customer segment.
• Meet buying personas by offering different price points for different customer needs.
• Provide more value to customers based on who they are, not who you are.
• Put the high-end option at the top of the menu and explain its value first, expect 1 out of 20 to say yes to it.

Watch the video on YouTube:
How TO Make A TON Of Money (in just a few minutes) - YouTube