Speaker 1: You've probably seen these make $10,000 a month and 30 day scam businesses marketing all over the internet. And in the same degree you've probably seen Harvard market and say you might maybe graduate from Harvard and that's the only promise they make and you can pay us $250,000 a year. And so what's the difference between this clearly scam business and this incredibly legit 100 plus year old business? It turns out there's only four things and I apply this strategy in building acquisition.com that only buys companies that's all we do. This is how we do it. There are multiple levels of legitimacy for education. On one side you have Harvard. Most people don't call Harvard a scam but they fundamentally sell education. And on this side you've got a guy who tells you how to start an ATM business and promises that you're going to make $100,000 a day in five seconds. They both sell education and on the scam index why is this one maxed out and this one's zero? Number one Harvard turns people down. I applied for Harvard for 10 times rejected. If every single person who applies to work with you and the only requirements to become a customer of yours is a credit card and a pulse ding ding ding red flag number one. Most people probably aren't qualified to become customers and if you define a qualified lead as somebody who has the highest likelihood of success with your program or service or education then you should have screening metrics for who is not a good fit. It's more likely that they'll be upset, leave you bad reviews, call you a scam which you can easily avoid number one by selling qualified customers only. Number two is that Harvard doesn't give income expectations. They don't say become a Harvard graduate, make money tomorrow. There's a delay between when you start and when you actually even graduate and get the endorsement of their brand which to be fair is really what Harvard sells is the brand endorsement that you get to put on yourself. The second thing is that instead of giving testimonials of students on income, I graduated Harvard and I got my first job at $185,000 at Goldman Sachs. You don't see that anywhere on their site but what they will publish is data and this is fucking huge. If you do not track your customer success metrics, meaning when someone buys what percent of them succeed at 30, 60, 90, 12 months, what are the averages for whatever the thing that you educate them on. If you track the data then you don't add any sensationalism to what you're reporting. Harvard publishes what the top 20%, what the average, what the median person gets and what industries their graduates go into because that's data. They're not setting false expectations and they're not saying this is what you can expect in six weeks. They're saying four years ago these people started and today they graduated and this is what they got. The highlights that they have at Harvard are not the income but the experience and the network and the relationships and the character development. Now if you're thinking to yourself, man it would be harder to sell people that way, you're right, but if you do it that way and you only let in really good people, what do you think happens? You start to develop a brand. For example, I was having this discussion with Jacob, my neighbor, because he was saying he was considering starting a sales school. Whether he does that or not at some point in the future is irrelevant, but I said if you were going to start one then you want to be legit about it. Because you see everybody and their mother has a sales school right now because they start selling high ticket, they immediately make 20 grand a month, then they start a course on how to make 20 grand a month as a high ticket closer. If you want to be legit about it, what you would do is you would give tons of content away for free. This is pillar number three. You can monetize the education itself, you can sell education, but I think the smart move, and if you've consumed any of my stuff, is that you give away the secrets, you sell the implementation. Take all the content you would normally sell as your course and give it all away for free. So if I were selling the ability to sell, then I would give away the course as content through all the different platforms I possibly could, and the implementation would be let me listen to your sales calls, give you feedback in real time, and then monitor your performance over that period so that you become a salesperson. Pillar number four. Harvard doesn't graduate everyone. Some people fail, and the reason for that is because Harvard wants to maintain their brand. Because what they say is, sure, Johnny graduated from Harvard with a 1.6 GPA. Now he was smart enough to get in, but through the four years we saw that he didn't have some of these other character traits. So I was telling Jacob, if you want to be smart about it, number one, you would just show the data. Number two, you would probably not accept 90% of people who want to be salespeople because you could immediately tell in the interview, just like Harvard does, that you're probably not going to be a good salesperson. So it's easier to find people who have a proclivity for sales and then just get them this much better and then endorse them. But before you have the endorsement, you still rank order them on who you think has succeeded the best and have the possibility that someone pays and does not get your endorsement. Because that is how you long-term maintain the brand. And so let's play this out. How could we get 100% of people who graduate from my thing to be the best salespeople? First thing is we pick people who are naturally good at sales. Second thing is cut out the people who are not. Third, we set expectations that are only based on data, and the remainder of our testimonials and stories are based on the experiences of people who've gone through our system or program or implementation. I establish far more demand for my service than I have supply so that I can keep my prices high by generating more content that is better than everyone else's paid stuff. You maintain thought leadership and all they do is copy what you have and everyone else can then make a judgment, wait, their free stuff isn't as good as your free stuff. So then your paid stuff must be better than their paid stuff. That's the natural logic that the marketplace will always do. Let's say you did it and you had a really high standard and you've only been making content for let's say a year. Now if you're like, wait, only a year? Yeah, it takes time to build big shit. So if you build it for a year and let's say you only got 25 people to graduate, but they're all killers, savages. What do you think is going to happen to the companies that they go get jobs at? You got any more? Now you have even more demand on both sides. What do you think is going to happen to the friends of those people who start making twice what the industry average is for sales guys because they're that much better? They're top 20%, top 5% sales guys rather than just run of the mill sales guys. Their friends are going to be like, if I'm going to make $300,000 a year rather than the industry average sales guy making 60, I make five times the income. How much more valuable is this one year education? Well, we know Harvard charges people $250,000 for their four years. So for a year, you could probably charge a lot because you have the data to support the fact that one, you don't let everyone in. Two, when people graduate, you also have a rank order. Is that an education business? Abso-fucking-lutely. Is it a scam? In no possible fucking way.