RUSSELL'S BLOG

Watch the Journey

Episode 5 – #AskRussellAnything

CUSTOM JAVASCRIPT / HTML

Subscribe On
YouTube

Transcript:

Russell Brunson: What's up, everybody? I'm here with Dallin and Norah, we are about to start... a vacation edition of the Drop the Mic show. Do you want to show me you can drop the mic?

Dallin: Norah, you want to drop the mic?

Russell: You drop it? Watch it. Oh, she's been practicing. So she is the Drop the Mic queen. Dallin, you can drop the mic today too, do you think? Drop the mic! Oh, all right. So we are going to be doing it. It's going to be so much fun. Excited to have you guys here. And we've got three questions today. Normally we do ten, but because we are streaming off of really bad internet access and we are hoping and praying that this actually is going to work and I could actually answer the questions it's going to be fun. So Dex, you want to drop the mic?

Dex: Huh?

Russell: Dex is going to drop the mic.

Russell: Oh, Norah, do you want to drop it again while everyone's coming on? Norah's going to drop it while we're preparing. Do you want practice? Can you drop the mic? Drop it, drop it. Yeah, you did it. All right. So for those who have been on this before, we're going to show you guys where this game is played is every time you guys answer, ask questions to me on Instagram and tag me the way that we talk about in the video. Then we come and we answer your questions live, which is cool. Thank you Vanessa Black. She said ClickFunnels are saving us. We're watching videos nonstop. Awesome. Okay. So what I'm going to do, we're going to see if we can do this. This may or may not work. We'll find out here in a second. I'm going to flip this around and see if we can show the intro on. I got two phones here.

So we see if we show the intro here on the show and then we can officially kick it off. My name is Russell Brunson and I'm on a journey to help entrepreneurs get unstuck so that they can get back to changing the world. In the past 10 years, I've built a following of over a million entrepreneurs like you. Sold hundreds of thousands of copies of my books, popularized the concept of sales funnels, and co-founded a software company called ClickFunnels dubs, tens of thousands of entrepreneurs to quickly get their message out to the marketplace. If you've got questions, I've got answers. Here's how it works. Step number one, go to Instagram and create a video asking me your number one question. Step number two, tag me at @Russell Brunson so that I can see your question. Step number three, use hashtag ask Russell anything. So my team is notified and then each week I'll pick the top 10 questions and answer them on Instagram live. After each question, I'll drop the mic.

But for the best question each week, we'll ship you out your own drop mic. Now make sure you follow me on Instagram to see if I answer your questions live. Asking your questions so that you can get unstuck and get back to changing the world.

All right. So that's how this game is played. So I've got three questions from you guys. We're going to go through and Norah's going to drop the mic for us. Hopefully this'll work. So I'm hopeful that this'll work. So I got three questions here on Instagram. I'm going to try to load them up on this phone here. I've not pre-list or pre-read these questions. So I hope that nobody yells at me or says something awkward. Right here we go. Question number one.

Steve: My name's Steve. Happy confusion soft Friday. Thanks for taking my question. My question's about customer CPA and LTV. I've got a relatively new business, so I don't have enough data to accurately calculate what my lifetime value of my customer is. And so I'm having a hard time knowing how much I should pay for each customer. What my customer cost per acquisition is. How would you go about doing that? Calculating how much to pay for a customer. If you don't know your lifetime value, I'm using paid traffic right now, Google ad works, and Facebook ads. Thanks. Have a great day.

Russell: All right. First off, I am also jealous of that beard. I cannot grow a beard. Otherwise, I would. So from Steve. Dallin we're live on TV you guys. We got all the kids here. All right, so Norah do you want to answer this question? Okay. So Steve that's a great question. So this question was, how do you calculate lifetime value if your company's new and you don't know the lifetime value? So lifetime value is one of those dream metrics people want to know, and they always want to talk about. I am not a big fan of lifetime value of a customer. Obviously I want to make that number bigger, but I don't want to base my advertising decisions on lifetime value, because that might be six months from now, a year from now, five years from now, 10 years from now. And if I make my decisions based on that, it's hard to be profitable.

Lifetime value is a good metric. If you are working with venture capitalists who want to give you a whole bunch of money and a whole bunch of debt, and hopefully you'll pay them off in like five years from now, but that's not what we're about [inaudible 00:04:17] right? We're about making money today. So what I do, I'm not looking for lifetime value. Initially, when I'm doing my paid ads, I'm looking for what's my ACV, my average car value. So how much money do I make on average for every single person who buys one of my front end products? Okay. So for example, if someone buys the expert secrets book, I know that my cost to acquire a customer right now is about, I think it's 11 or 12 dollars to get somebody to buy the book. But then in the funnel, in that point of sale, the break even funnel is more than break even, is profitable, but we're making about $32 for every single book we sell.

So that's the metric I'm looking at, because now I know I can spend up to $32 and still break even in the cart. So ACV average cart value. That's the metric you need to focus on and think about while you are building your company and you're advertising around that. I want to break even immediately at point of sale, my advertising, if not means my funnel's not very good. Okay. Or some people like to go maybe seven days or 14 days or 30 days, 60 days before they break even. That stresses me out. If my funnel doesn't break even immediately, I stop all ads to it and I try to get my funnel better. So that is kind of my recommendation to you. Steve, does that sound good? All right Norah do want to drop the mic?

Dallin: Drop the mic.

Russell: Okay. Norah, hold the mic. Oh, Dallin's going to drop it. Drop the mic. Oh, question number one has been answered. Okay. So question number two now. Great question, Steve. All right. Question number two now let's see. Oops. All right. Sorry. This is a little harder to do this way on that. All right. This next question's coming from the lion talk motivation. He's got to say... Oh, come on. Loading, loading. While we're waiting for this video to load Norah and I are going to sing a song. Just kidding. We're not really. Want to sing a song?

Norah: ABC..

Russell: Dallin's going to sing?

Dallin:
No, I'm not.

Russell: Oh, come on internet. Oh, All right. It's loading. We'll flip this around. Okay. Here comes the question.

Speaker 2: Hey, how's it going? Just want to do the Liz Benny kapow. Shout out to Liz Benny down there in Christchurch, New Zealand. Russell I know I'm probably late for the mic drop because I just woke up down here in New Zealand. But anyways, I want to share it. Anyway. My question to you is during your clip final journey, I'm sure you came to a lot of crossroads and you were lost and you were just trying to find direction. What was your main source of inspiration that directed you?

That's my question to you. My brother, I want thank you so much for the opportunity I had to be on the mic drop and to be a part of the ClickFunnel movement. It's amazing. And thanks man, blessing. Shout out to everyone out there, Boise Idaho and have a great day.

Russell: All right. So great question. Norah grabbed it in the middle, but I think we got the gist. First, I say kapow from Liz Benny. Thank you for Kapowing us with this question. As questions, we were building click fonts, how to get the motivation to forward and to do it. So I don't know. I think there're different levels of motivation. They come from different things for me part of my motivation is I'm a creator. I love creating stuff. And so just knowing what we were creating got me motivated. I think we're going to create this thing and we had this vision of what we wanted it to be. They always say that without a vision of people perish.

Dallin: A book.

Russell: What's that?

Dallin: Your book, your first book is that one of your inspirations?

Russell: Yeah, the book's inspiration. This little guy. Here's what my inspiration is little my entrepreneur. But they always say without a vision, the people perish. The first thing is do you have a vision of what it is you want to create what you want to do? And then I see that and I see the vision, I know where we're going. And then with that I'll try to make as real as possible for me.

It's like when people are using this what's it going to mean? How's it going to affect them? How's it going to change them and their lives and the people they can serve. And I think that's what drove a lot of us. Obviously some of the other things that drive us as entrepreneurs, as capitalists, we like money and the thought of what could happen. Like that drove me. Like, man, this could be something that sets us apart for life. I also thought about about potential... So we start building a team like employees and jobs and just all the other cool stuff that comes with building it. So I think it's just finding whatever gets you passionate and fired up.

I know, but you're too close. Get too close to her. She's bugging her. Huh? When you got a baby live, you never know how they're going to react. Anyway. It's figuring those things out and having a vision of where you want to go, what you want to create and do and then going from there. So I hope that helps. Does that count? Can we drop the mic? All right. Norah you want to drop it?

Dallin: Norah, drop it.

Russell: She's was dropping them all day today. Now she won't drop it. Okay. Dallin you want to drop it? Who dropped the mike?

Oh, all right. We dropped number two. Okay. We got one last question for everybody. Question number three here. Hopefully we can get this to stream for us. All right. So question number three. Looks like it's coming from, oh, I know this guy. All right. Wait until load this up.

Dallin: Oh, him.

Russell: The bike whisperer. He's one of your circle members. All right.

Speaker 3: What's up Russell? I have a question for you. So in expert secrets, it talks about how you want to start building at the back end. So build your highest value offer first and then kind of move forward to your self-liquidating offer at the front end. My question is, is that always the best case? Seems to me is I've been working like maybe it would be easier to start at the front end, get an offer that could be self-liquidating or close to self-liquidating so that you can then just have a bunch of people to work with. And then even if it's just you're breaking even at first, you get a lot of feedback and that critical mask could help you develop what you need to do later on or to get people to through the funnel. So my question is it always better to start at the back end of your funnel? Or is it something that's better to start at the front end and to get a bunch of people to work with that way?

Russell: All right. So great question. So this question, I got people on four-wheelers going around crazy around too. So the question is it better to start at the back end of the funnel or the front end? It's actually from expert secrets. Hopefully you've read it. If you haven't, go to expertsecret.com and read the book, I'll talk about a lot of times it's better to start in the back end and I'm still a believer to start in the back end. And the reason why is because the reason why most entrepreneurs don't succeed is not because they don't have the vision. It's because they have the vision, they start running, and then one of two things usually happens, either they run out of time or they run out of money before they ever get to the answer. And so they don't have the chance and ability to change people's lives and do all the things that they wanted to and they need to do. And so it's hard a lot of times when you spend all this time and energy effort, it takes just... Ouch.

Dex: Sorry.

Russell: Hit in the face with some slime from Dexy. It takes just as much time, if not more to create a front, actually I think it's harder to make front end products and front end stuff than it is to build back end, high ticket stuff. And so the problem is you spend all this time and energy and effort building this front end thing with a goal that just breaking even, which is good, it's a good goal. But the problem is then, where do you put them to next? Because I always say the first funnel you build, you should build it and then keep tweaking it and working out until it's made you at least a million bucks. But the problem is if the first one's just front end and funneling making a million bucks, if you broke even you didn't make anything.

And it can be disheartening on an entrepreneur to make a million dollars and to be broke. So a lot of times I think it's better start at the backend because maybe you don't work with this as many people, but you can work more intimately and you can get cash flow coming in faster. And then now that back thing is in place and then you can rate front ends to bring people into the backend. And so that's kind of my personal feelings. I just know as an entrepreneur, I don't want people running out of time, running money before they have the ability to actually change people's lives. And so that's kind of my feelings and I think it works. What's the book again? Expertsecrets.com is the book. So that's my answer. Start with the back, blow people's minds, get results first. And then from that, you can build out the front end program. So I hope that helps. That's kind of what I got. What do you think Dallin, was that a good answer?

Dallin: This is what I think.

Russell: Here it comes. Oh, Dallin officially dropped the mic. It's been dropped.

Dallin:
It's been dropped.

Russell: So what do you want to tell everybody.

Dallin: Dallin Curtis Brunson out.

Russell: Dallin's out. Oh, Russell Brunson's out too. Anyway, you guys, I hope that was fun for you guys. We had a good time doing the show, which is pretty fun. Oh, Norah. Says hi. See? Hey, you guys. Do you want to drop the mic Norah? You want to drop the mic one more time? Norah do you want to drop it? Dex you're scaring her? No. Okay. Norah doesn't want to drop the mic. I'm going to drop it. And we're going to check out. We're actually packing up today and heading back home. So the mic, my mom does not want to be on the TV.

So I'm dropping the mic you guys. With that said, thanks so much hanging out today. Appreciate you guys. Amazing time. If you're bored this weekend, watch Instagram up. I actually got a couple shows and things that went live that I'm going to be showing you guys on my swipe ups. A bunch of other fun things. Appreciate you guys all. And if you want to see in the back archives of these question, Q and A shows go to dropthemicshow.com where you can watch us drop the mic. And your question may have already been answered. Oh, and by the way, whoever's got the best question each week. We actually give out one of these drop mics too. And so, who should win this week? Who do you think Dallin? First, second, or third?

Dallin: The first.

Russell: Yeah. First. All right. Dallin says the first.

Dallin: First.

Russell:
All right. Which, I think is named Steve.

Dallin: First. Steve. Congratulations. You win a drop mic.

Russell: Boom. So we're going to. Yeah. Drop mic. Just message me or my team and let us know you're shipping address. We'll ship you out a drop mic and be fun. So that's all we got. Norah, do you want to drop the mic one time? Everyone's saying they want Norah to drop the mic. We dropped the mic. Please Norah, we drop the mic.

Dallin: Yeah. I'll give you the fidget spinner.

Russell: Okay. Will you drop the mic. Oh, she's tired. You're going to drop it. Okay. She's not going to drop it. Sorry guys.

Dallin: She'll drop it next time probably.

Russell: That's awesome. So I'll be doing this clean air show. I'll be back in town next week. So that's happening Thursday at two mountain, I believe. If you want me to answer your questions, it's really easy. Just go to Instagram down below, click the little plus, ask me a question. Tag me at Russell Brunson and then do hashtag ask Russell anything just in the little description there. And then my team will know. So if you want me to answer your question, you guys submit it. So do it now before you forget, and I'll see you guys all again soon. Thanks everybody. And see you guys soon. Bye. Say, bye.

Dallin: Boy. Bye boy.

Russell: Bye. Say bye.

Dallin: And Dallin Curtis Brunson.

Russell: Dallin Curtis Brunson officially out. Boom. Bye.

Comments

Recent Posts

(VRE) ClickFunnels Acquired GERU.com - Find Out WHY...

(MS) Behind the Scenes of CF 2.0 and "Your First Funnel" Launch...

(VRE) Behind the Scenes of LadyBoss…

What Do The Books On Your Bookshelf Say About You?...

My Tribute to Dave Woodward

(Q&A) Questions About Acquiring Dan Kennedy's Company...

(Q&A) After Your Funnel Is Built... How To Get It To The Next Level?

(Q&A) What's Your Biggest Advice For A Senior In High School?

(Q&A) Perfect Challenge Secrets

(Book) Magic Ladder of Success - Napoleon Hill

(MS) Part 2: From Momentum To Domination

(MS) The Inertia to Actually Get Into Momentum...

(FHL) Recap of Funnel Hacking Live 2022 "Day 4"

(FHL) Recap of Funnel Hacking Live 2022 'Day 3'

(FHL) Recap of Funnel Hacking Live 2022 "Day 2"

(Interview) Controversial Marketing with Nicole Arbour

Podcasts

Blog Categories

#funnelhacker.tv