BCS: 153 | Favorable Cognitive Biases + The Most Dominant
Business Coaching Secrets with Karl Bryan
BCS 153: In this episode, Karl answers questions about:
– Favorable cognitive biases
– Which are the most dominant biases for coaches?
Karl Bryan helps business coaches get clients. Period.
For more magic on how you can grow a coaching business by attracting small business owners, filling local live events, and closing more high end coaching clients… go to focused.com
For a free subscription to my magazine The Six-Figure Coach go to thesixfigurecoach.com/get-it
Be sure to subscribe, rate and share the show
>> CLICK HERE
Missed an episode? Catch up here.
EPISODE TRANSCRIPTION –
(transcription is auto-generated)
[00:00:00] Karl: Welcome to business coaching secrets with Karl Bryan. If you want to attract new high-end coaching clients, fill live events and build a wildly profitable coaching practice where business owners pay, stay and refer. You come to the right place in this podcast. Carl provides his keys to the kingdom for finding insights. High paying clients and building the coaching business of your dreams. Here we go.
[00:00:43] Christian: Ladies and gentlemen, boys and girls coaches around the world. Welcome to another episode, business coaching secrets with the man, the myth, the coaching legend, the loch ness of business coaching, or should I say the Ogopogo for those in the know if you know, you know Dr. Karl Brian, welcome to the show.
[00:01:03] Karl: Road, dog, and he’ll go, I am not a doctor, but let’s get a little better introduction and you gave me.
[00:01:11] Christian: The more, the more I say it, the more it’s believed. So if you start believing it in your heart, that you really are a doctor of business, then perhaps, perhaps you would actually believe that. And just accept who you are. Karl, just accept it. It’s who you are. I don’t know why you fight it, but you do.
[00:01:32] Karl: You know, if you know that I was going to go to Harvard.
Okay, but they didn’t ask me.
[00:01:41] Christian: Hello. Okay. Wow. Yeah. Happy. They’re knocking my for about five seconds and I’m like.
[00:01:48] Karl: Yeah. So here. So I got to give Sydney a shadow road dog. Cause my dad used to say that all live in hockey cases. Whenever I bring a buddy over, my dad would always say that he say, oh yeah, I nearly, I was going to play for the Toronto maple Leafs.
Like, oh, what are you going to play? He goes, yeah, but they never asked me. And then of course somebody laugh and I’d sit there and go, and dad like, come on, man. Like, again, again, that’s like the hundred and fifth time you’ve seen. That’s the beauty though.
[00:02:14] Christian: Dad jokes never get old and you know what, you’ll be doing the same thing to Sage.
I guarantee it. And you of all people will laugh the loudest every time. Like it’s the first time you told the joke and she’s going to be like, oh my God, who is this guy? It’s going to be amazing. And I’ll be right there with your shoots. I’ll be laughing. Not quite as hard as you, but I’ll be there. I got your back.
So there you go. Hey, speaking of laughing so sometimes I get questions and I’m like, what the, like what, so. Like it’s, I don’t know. Did you have a twin that wrote this or like, I’m trying to figure this out because here’s the question. What are some examples of cognitive biases? You favor to help coaching clients with like, listen, if you’re going to answer this and tell me you’re not a doctor, you got like, seriously, like, this is, this is a heavy duty question right here, shoots and I don’t know.
I don’t even know what it means. So I’m hoping you can a explain the question and then answer it for me. That’d be super helpful. So again, what are some examples of cognitive biases you favor to help coach and clients with? I don’t even know where to start with.
[00:03:30] Karl: That’s a great question. Yeah, we do have, you know, we got some pretty, we talk about Harvard and joke around. We got some high, high level. We get some real out, there’s a PhDs that are, are tuning in to our diatribe road dog. So, so there you go pet, so I better answer this cognitive biases. I favor. I don’t know.
We talk about this all the time. You know, I think what I w. I don’t know, it’s not about cog. It’s more about situational than it is cognitive biases. I favor, I dare say. So maybe as a frame and everybody, you know, I’d love frames this frame, not, but as a frame, what I do is like there’s different types.
So that might be more important. Like, look, what do, I mean, there’s memory based. I don’t know how many there are, right. At memory based, cognitive biases, there’s belief based cognitive biases politically based and never more so than today. Politically based, money-based probably the biggest one.
I would dare say the no memory social-based monster one and then learning learning-based. Maybe if we were to break those down like memory if you think something is worth remembering you move it from your conscious into your subconscious mind, right? So the, your shorter to your long-term memory might be.
Easier for people to kind of pick up, but no doubt, you can see the pluses and minuses of that, right? Like again, remember, you know, like moving something from your conscious to subconscious. Cause what if it was incorrect? So that would be memory, belief. Are there things that you believe road dog believes?
I believe they believe your parents believe your kids believe your grandkids believe to be true. But these things like they’re not rooted in any way, shape or form in actual reality. So some people truly believe that money is the root of all evil would be an example. Well, without meeting that individual.
That’s going to adjust the way that they operate. So again, so versus cognitive biases that I would favor, I’d say like situationally I’d want to get to the core to the foundation, to the root of what was going on. So again, if somebody thinks money, money is the root of all evil, they’re going to have a bit of a challenging time and a capitalistic capitalistic system growing a business, right.
Or someone, someone believes in God, It’ll adjust the way that they see things versus somebody that does not, or maybe maybe a good one road dog is when someone believes that things happen for a reason, right? Like the, the most religious countries in the world, the most religious cultures of the world, they’re also the poorest.
Okay. Why? Because they just assume that. You know, in another life I’m going to be well off. That’ll be my time and then not, not willing. Like we talk about the stars lining up. What I like to think about is pushing those bloody stars in alignment. Now that’s, that’s a good use of your time, right? So, so I think like things when somebody thinks, when somebody thinks and believes that things happen for a reason, it can totally adjust the way that they say they see an act and respond to individual situations.
And then there’s political and I’m not talking about Democrats and Republicans or depending upon where you live in the world, right. They’re named different things, but political parties think more like I think office politics, maybe like interactions of groups of people where they’re trying to achieve.
No, maybe like politics is like about projections and persuasion, right? So the arena, projections and persuasion and example the assumption that the green party. Our a hundred percent against capitalism and all about hugging trees, right. Categorically untrue, but to somebody who’s, you know, a hardcore Republican, they just put them in that category.
And as soon as they hear that you support the green party, they put you in a certain basket politically, and anything you say is immediately skewed with that. Well, probably not. You know what I mean? Not such a great idea. Money-based the number, you know, the number one predictor of crime in a specific area is what do you call it?
Like the wealth differential, like there’s poor and rich people in a specific neighborhood. It’s going to have a higher crime rate than having everybody on, you know, a gated community as an example. One of the reasons it’s not the gates, it’s the fact that everybody inside there is on semi Even keel and that stops the crime.
Right. So, and you might want to consider that when you buy a home, by the way, as talking about frames, You know what actually money-based is. I think about that. Like when somebody we’ve all seen or know of, and you might be one of them, but you think that someone who has lots of money they’ve got it all worked out.
Everything must be amazing. And, oh my gosh, how could they be? How could they have depression? How could they be unhappy? How could they be, you know, crying in their Cheerio’s when you know, they’ve got lots of money and disposable income, right? So, and by the way, do you want to feel wealthy? Just add up all the things that money can’t buy.
I think we know we’d all be incredibly wealthy. I know Tony Robbins has been talking about this lots. He’s he’s launching his new book and he says that a man with his health, something like this, but a man with his health has a hundred dreams, but the man without his health has one. Right? Think about that.
A man with his health has a hundred dreams, but the man without his health has one. Hopefully you’re getting them and get us all back by the way is, is one dream. And then look, social based is the one like that people think greed runs the world world. The truth is envy runs the world. Well, that’s more that the OGs, by the way, the original gangster of mental models Charlie monger, that’s his opinion.
And I believe Warren buffet also shares that right where envy really re rules. And just social pressure. We’ve all felt it. It can be a mean, mean unforgiving drug, whether it’s smoking in high school. Maybe it’s buying the BMW to keep up with the Joneses, you know, and specifically the one you can’t afford or shouldn’t be affording could be, you know, trying drugs drinking to fit in.
Right. And then what happens is that spirals accidentally, right? Like nobody, nobody starts with a goal of becoming a drug addict. Right. It’s never, ever happened. The number going to happen. It’s not the goal. Right. It just, it happens. And it all started with social pressure. Right. So road dog, I think. But I cover them all and, oh, there’s a learning.
So learning-based Jim Rowan will tell you to stay in the guard of your mind. Right? People accidentally learn ridiculously stupid stuff. That’s categorically wrong. I guess this kind of plays in to memory but like maybe you know, it’s crypto, like some people just like on the crypto train and it’s like, it’s going to take over the world.
And the truth is not going to just take over the world. Right? The governments, aren’t going to allow that to happen. That being said I think it’s here to stay in some form or another. You’d be crazy not to keep your eye on it, but the mistake that people make is they look at the price of Bitcoin and that is categorically stupidest thing you can do, which really shouldn’t be doing as well.
I take that back, not the stupidest, but the price of Bitcoin is not going to dictate. You know, whether it’s adopted it’s the regulation around crypto that will tell you what’s going to happen in the future. Right. So. So that’s something that, you know what I mean, but again, it’s a higher level mental model looking at the price of Bitcoin versus having a look at the regulation behind it.
No doubt. You can see how that’s a higher level of thinking, you know, and some people just think that people are evil because they’ve been portrayed that way. Like there’s a one minute. And then you see a five second soundbite of the one second. That’s totally taken out of context and you think, oh my gosh, this is the worst human being ever, right.
That guy, that gal they’re brutal. Great examples of this all over with, you know, the back and the vaccine passport and COVID and certainly mask wearing, et cetera. You know, just some people don’t have the whole story, you know anyway, so people just, they learn things that are untrue and then they take them and place them in their memory and their subconscious mind.
Not such a great idea. So RO Doug, I don’t know. I might be making a meal, this one, but like cognitive biases that I favor, I think is the way it was worded there. I look more situationally and then versus look at the individual situation. Look at the higher level. You know, cognitive frame that it would come from.
I think that that might provide some value at the end of the day. The goal is to help your clients think at a higher level think delayed credit, like. Like, what you really want to be able to do is you want to be able to have conflicting thoughts in a specific area. Right? So that’s a Republican being able to be in favor of some democratic stances that somebody being Provax, but being anti-vax passport that’s, you know, a bunch of different examples, but being able to have like a conflicting opinion on something, you know, on a individual topic, that’s the way that you’ll get there is by using these higher level models and your client’s forgets not about road dog, me and you.
It’s about your clients, helping them. And I, I assure you 95 to 98% predictability. They’re not, they’re not thinking this slowly. They’re not stopping and thinking before they’re reacting and using an emotion to drive themselves forward backwards or to the next thing. There you go. Rodale, what do you think?
Okay, let’s go
[00:12:35] Christian: a little more granular. Okay. Like is that’s that’s all great. That’s pretty general stuff and that’s good. But can you give us some examples of actual biases that you think dominate or I’ll give you I’ll give you an out, or that you’d suggest they understand at a higher level, you talked about higher level, right?
It’s all about getting to think at a higher level. So what do you think are the dominant ones and then what, you know, what, what do you suggest that they understand at a higher level?
[00:13:06] Karl: Yeah. Okay, good. Yeah. Good, good point. Urgency bias. I’d first one that would come to mind like your tendency to respond to whatever is urgent versus what is important.
Also to discount future payouts versus an immediate result, right then chocolate versus broccoli. You know, here it is in a sentence. What is urgent? It’s seldom going to be what’s most important, right? Like urgent and important are two very different things and sell them the same. Right. So someone else’s what’s that, there’s a saying again, someone else’s lack of planning does not constitute an emergency for you.
Right. So you probably heard that. Are you living it, you know, again, as you’re looking through your emails, your texts, your phone calls, your correspondence, are you stopping and thinking, raising up and going, hang on a minute. Is this, you know what I mean? Am I getting sucked into something that might not have the highest level of importance for me?
And maybe it is, but, but stop and think before you decide urgency loud, urge bias, a smoker, like a smoker, who’s standing somewhere and then someone else is smoking and then they can smell. It’s it’s gonna make that person crave a cigarette, but like road, dog, and I don’t smoke. So you can be smoking close to us.
We can smell your smoke. It’s actually annoying to us. And the last thing that is going to do is make me feel like I want to have a cigarette, right. Or a gym junkie, right? Like road dogs, religious that going to the gym. He’s going to be on holidays and somebody’s going to walk out of a gym and that’s going to make him want to go to the gym versus the smoker, the guy who doesn’t go to the gym.
He’s not going to have that same desire. Right? So that’s kind of like loud urge bias. It’s, it’s a tendency to give more more energy, more focus to things that are prominent loud, I guess, aloud urge and then ignore subtle and consistent changes over the long haul consistency, being the killer. The key that provide a substantially greater result over a long haul, right?
Like look a business example. Sales type individual we’ll look for new clients versus helping an existing one. And then in the analytical non salesman will be more inclined to help his existing clients and give them a higher level of babysitting. Then go try attract a new client, right? Because the urge is greater, right?
Because there’s something they don’t, they’re not favorable. Or by the way, building a growth loop that takes time and energy versus a sexy Facebook ad campaign. And I’ve talked about growth loops in the past. Something that you don’t understand, growth loops, you should probably look it up. Think of a referral program on steroids.
That’s the way Hotmail, Facebook. Gmail was adopted through a growth loop you know, Airbnb, Uber. So, so they’ve all got growth loops built within them. But again, just think Facebook is like the poster child for it. So, so that would planning fallacy. What does that like, we totally underestimate how long it will take to accomplish something.
The, the flagship example of this is the Sydney opera house, where it took 10 years and he has 10 years long used to live in Australia, by the way took 10 years longer. And about a hundred million dollars over, like more than budgeted. And the reason if you look into it, it’s because the government insisted on them starting before the actual plans were a hundred percent drawn up despite a lot of pushback, but they went forward and the Sydney opera house literally, well, it took 10 years.
I don’t know what those numbers are, but it was like a decade longer than it was supposed to. And it’s a very famous story in Australia. And yeah, so that again, just planning for holiday. You know, they didn’t plan prep before you built the golf course. If you started building it without the plans, you’re going to have a mess.
If you were going to build a house and you did it before you had a plans, you’re going to build a house. I believe that in business, you got seven big swings maximum. And the reason why is that? There seven, it’s going to take you five to seven years to really make something work. And nobody ever thinks they’re going to start a business.
And then wow. In five years I’m going to be really crushing it. They picture themselves crushing it and you know, 3, 6, 9, 12 months, two years kind of max. And if you look at and forget what I think, just look at the body of work and how long it took Microsoft and Facebook and Amazon, and, you know, Uber, Uber operated in San Francisco alone for like three years.
It might’ve been two, but I think it was three years before they left San Francisco. Right. So Uber, we think of it as this is unbelievable success story that just went from zero to 60 immediately. And that if you really look at it, that’s not the case. It was five. I believe it was five years before you could really say that they, you know, they hit it and I had network effects working in their favor.
So road, dog you know, another one greedy. I don’t know what it’s called. I think it might be called greedy algorithm. It’s just, it’s, short-term excitement over long-term benefit. And again, chocolate bar versus which a lot of mental models tend to have this same delayed gratification chocolate bar versus a broccoli.
But like traveling at a business spraying would be a traveling salesman will always go to the next unvisited city. They don’t look to solve a problem. They don’t look to go to the best city or the best area, or they’ll make the most sales. They go to the next unvisited city. Naturally, we, you to think as a business coach, how that might you know, they go to the, are you going to the net next networking function?
Are you just going on a, the pre show? We were talking a lot about BNI and then one of our guys he’s like literally set up his own version. Like he’s got his own networking group going. And he’s busier than he can possibly handle. And he’s got all kinds of coaching clients and he usually in the group coaching software and it’s that’s, you know what I mean?
Like it’s harder work I’m going to take, he didn’t just go to a networking group and the next networking group, because it was available because it was there, right. It was like, hang on a second. How can I solve a problem? Both for myself and locally do a better networking group that I think will be better.
I’ll be in charge. I’ll do a better job. I’ll bring our higher level of visitors. I’m going to solve a problem here. And then by default, it’s going to take me some time, 3, 6, 9, 12 months. But in the end, if I do a good job, I’m going to have more people showing up than ever. Right. And then we also talked about having them.
I think we talked about this recently road dog, but like on Friday, do you having a party at your house every Friday? For your business coaching company, the way that that conversation started was with a a business shower. So think baby shower, but a business shower. The only problem with that is that, you know, how often does the baby shower happen once?
What’s the worst number in business one. So that’s okay. Maybe do one, maybe do two, maybe do three, maybe do them in a couple of different cities. A baby shower, a business shower, doesn’t have a natural extension to it for me, maybe it does that I haven’t seen, but I wouldn’t do the business. I wouldn’t, the business shower I’d want a better strategic the planning policy.
I would want to have a better frame, a better plan, a better recurring model than a one-off dealio for my business coaching company. So we talked about is having a party on Friday. And then one of the questions she asked is would you do it in my house? Is that a good idea? And the answer is abs a stinking lutely part of which is because you’re so much more comfortable in your own home and back.
My dad, skinny, funny, funny, funny son of a guy at the interview on Monday dog, but anyways, funny guy. And he wouldn’t allow, not that this is all that funny, but he met, he says I met both. He’s been married twice and you know, my mum and then my stepmom both of whom have passed away. And so may they rest in peace?
God bless them. But he met both of his wives. My dad was a professional gambler, right? It’s no secret said that many a times here. So my, my dad met both of his wives in the gambling. And he’s like, that’s not because I feel very comfortable in a game gambling room. I got a lot of power in a gambling room and that’s where I happen to meet both of my watch.
Not by design, not, you know, maybe planning fallacy might’ve factored in there for a bit on the, you know, maybe whatever. There you go. That’s you feel very comfortable at home and be a great place to do it, but you got to make sure. Kitbot like when they walk in, I’d want them to go, wow. This place has really done up.
Well, not walk in and say, Hey, this looks like, you know, the grandma’s place. If you know what I mean, I don’t, you know what, test it, but I’m thinking it looking pretty cool and done up. So road, dog, there’s that one looking can’t look, cognitive biases. Scarcity bias is gotta be maybe the first like scarcity bias.
People just think they give up their long-term goals because they feel that there’s not enough time, energy, and money available for them to accomplish them. Right. They place a higher value on that, which is scarce than that, which is available is also a part of a frame. Like you’ll always overvalue a diamond versus a rock.
Right. And just the diamond is far more scarce and say, yeah, but you could do more with a diamond, but you know, diamond rings and whatnot, but reality is you really look at it. That’s not necessarily. You know what I mean? That’s, it’s just, diamonds are more scarce of their overvalued or Charlie Munger says that you overvalue that, which is immediately available.
That’s why you keep ending up at McDonald’s. So scarcity bias. Rhoda, I want to throw this back, but maybe another one that’s coming to mind is emotional Emotional reasoning again, probably. Hopefully you can just tell by the, the name, like the first word emotional. Is this a good one? Right.
Brutal, brutal. It’s brutal for critical things. Which is necessary for high level business decisions. Again, Charlie Munger and walkie Warren Buffett’s specifically will tell you he doesn’t get hope. He doesn’t get jacked up and then make business decisions. He gets very methodical, very you know, he slows down, not speeds up.
That would be a little bit different in the way that Tony Robbins would describe it. But I think if you push Tony Robbins, He tell you that look high level capital allocation decisions and incentive decisions for your staff and high level business decisions should not be made fired right up. Maybe the goal should be said, and the vision should be created while you’re you’re fired up.
But, you know, be very, you ever notice that you get really bad, like at midnight you think of an idea like, oh my gosh. And then you wake up at eight o’clock in the morning. You’re like, that’s the stupidest idea ever, like that’s never going to work. Right. That’s kind of a little bit of that. Creeping in or like, and just on like give me like, you feel bad.
So you feel like you must’ve done something wrong or a spouse will feel jealous and then assume that the other spouse must be cheating on me. And then what do they do? They, they look on the phone and they pretty much start making stuff up that really isn’t there. Like that kind of said, have you ever seen that dynamic?
You know, You text, you know, like a high school kid texts, his girlfriend or his want to be girlfriend after school. And she doesn’t get back to them for like four hours. And he’s like, oh my God, she doesn’t like me. She’s out with another guy. She’s what she’s doing. This she’s doing. And then she forgot her phone at home.
Right. But like emotional reasoning will take you to a very ugly place. In like, as business coaches, you put an offer out there, you ask, you know, you, you want to close somebody or you need to set up a meeting and then they don’t reply straight away. And then you automatically go to, oh my gosh, it’s a, it’s a disaster.
You know, you gotta be a higher level. You know, and you gotta be thinking at a higher level, thinking a little bit slower, acting a little bit slower than that one road. Re look, so there’s one, I don’t Jevons effect, I can’t remember the name, but Devin, something like that, but it’s a rebound effect.
Or it might be referred to as rebounding something to that. But this, like, this is, this will be the last one road dog. Right. But like technology increases efficiency of the resource, but then paradoxically couple of, you know, paradox lead increases the same resources. That same resources consumption due to increasing demand, right?
Like, so back in the day, fuel efficiency improved your car, made it, made driving cheaper. Then people went and bought bigger cars with the savings. Right. And there’s like combustion engines solve the environmental issue with horsemen who are hurting people. Don’t realize it’s horsemen who were used to be a huge problem.
That’s one of the problems they were solving. You know, when Ford invented the car, right. It created an air pollution. Like it, it became an air pollution problem, right? Because again, everybody was driving the damn, you know, the damn car so much look in business. More to the point let’s go. You said granular like things like email makes your business more efficient, your communication, more efficient.
But then you use it all bloody day and you communicate a hundred times, at least 10 times, but a hundred times more than necessary, right. Your cell phone makes it so much easier for you to communicate, but you end up with using it so much that it’s literally exhausting. Right? So social media need, I say that one, right?
Like it allows you to do really powerful things, Facebook and whatnot. If you’re using it so much that it, you know, at each the efficiency, you’re really not getting anywhere. So, so road, dog that’s the law of triviality should also be said there, but we talked about this in the past. I’ve written about, you know, emails, blogs, et cetera, but law Kirby is just a.
If something is trivial and then something is complex, your coaching client will go to trivial. Okay. So this is the example I used is your school will work that the amount of time that your school or the high school, I mean the resources they allocated to put together in the yearbook would make your eyes water, but they never updated the current.
Right, which would be a better idea. What was the big rock? Pretty obvious, right? The curriculum is 10 years old and just a joke. Or at the government they’ve got the, you know, the local bike path or the local. And they’re all spending time and resources and energy and focus on that. And it’s the log jam that really, you know, the, the, the planning of sorting out the log jam from the hill down to the school specifically at eight o’clock when kids are starting school, but it’s complex versus trivial and they go to trivial.
So, so road, dog, those, you know, there’s so like cognitive biases, there’s so many of them. And I, I do get, you know, it’s, it’s a bit of a funny. Yeah, the way it look, I get it, it comes across funny, but I gotta tell you it’s, it’s good to know that these types of things are monopolizing, your coaching clients you know, minded, whatnot.
And decision-making because it’s like, how did that they get in this stupid position, right? Like how did they get here? Why are they doing this? Why are they doing that? Why are they not doing that? And it’s. You know, they they’ve got these, you know, memory and learning and all these challenges from the past, stuck in their subconscious mind and not realizing it.
So there you go road up. What do you think shoots?
[00:27:23] Christian: Well, it’s funny because you say cognitive bias. So let’s, let’s go into this next question with that frame of what’s the cognitive bias of the person asking this question. And the question is, can you make cold outreach work for business coaches looking to get clients.
If you like, just like right there, there’s a, there’s a bias, assuming that somehow actually going out and talking to people that don’t know you yet, isn’t going to work. So that’s, that’s, that’s an interesting bias right there. Wouldn’t you say? But so yeah. Why don’t you expand on that a little bit?
Like, obviously you could go into cognitive bias, but more importantly, can you just answer the actual question, which is called outreach? Like, does that still work?
[00:28:09] Karl: elevate though. Don’t take river sheets. Look, well, look, if you are three things frame, okay. Do you plan and to make money, learn to generate leads. If you plan to look successful and kinda, you know, get your picture with the car, with the doors up, learn to convert high-end coaching clients. But if your plan is to build a career and never worry about money or clients ever again, Learn to get results for your high-end coaching client.
And I know that sounds odd, but you know, outside of our little community where we really harp on this, we just ran a program on how to read financial statements. The response was literally lights out. If you’re listening to this and your clients, you need to get ahold of the. Recordings most definitely whatever we opened up.
One of our clients, Bob, that 35 years as an accountant and he pretty unsolicited just raised his hand, just, Hey, and he just said guys, all I can say 35 years as an accountant. And I just wish I would’ve met you guys, or I wish I would’ve got this information. 30 years ago. And he, wasn’t talking about so much on behalf of him, but on behalf of his clients who we service for so long.
Right. But, but anyway, so you really want to help people at the highest level. Again, sounds obvious, but you know, like part of the course, and what we’re talking about is if you’re building a big company without high profit margins, it makes your coaching clients both. Right. So like translation is that advise against it because I dare say, you’re not doing all of this.
You’re not becoming a business coach to give back and have fun and really positively affect the community and the business community to place good people with good, good businesses in harm’s way accidentally. Think about that. Right? So you gotta, you gotta have one eye on margin as you’re growing these guys you know, the road to hell was paid.
With, you know, the best of intentions are good intentions, right? Anybody, so outreach. Yes. Look, you absolutely can. So this is what you this is what you should do. Like you make a list of a hundred ideal clients. All right. Like unlike the Sydney opera house, you know, planning policy, do the planning first and the research we crier, which people tend to not do.
Right. It’s hard and not very short-term rewarding. It’s it’s broccoli versus chocolate. So therefore they’re not doing it, but number one, make a list of a hundred local ideal clients. Number two, send them a letter, right? Number three, send them an email that says, did you get my. And then the next one would be like, send them a Facebook message.
Say, did you get my letter? And then someone, a LinkedIn message. Did you get my letter? And then send them a text? Did you get my letter? And then you call them, you know, relaxed, but commanding approach, you know, calling to make sure yes. What did you get my letter? Right. And when they don’t answer and assume that they won’t have a killer voicemail script ready, and you know, you or your staff member, that’s calling on your behalf.
Did you get the letter? Right. And, and the question, will you take the time to create that killer voicemail message to leave them, right? Like again, delayed gratification working on your business instead of in it, unlike the Sydney opera house example bef like, or what I mean is, are you gonna make up the voicemail while they’re on the phone or you’re going to be reading from a piece of paper that’s sitting in front of you because you.
’cause you, have you built a plans for your golf course before you started digging, you built the plans for your house before you put the foundation down and found that it was too small, right? And then by the way, if you want to get aggressive road dog, like just circle back, right. And a letter to ask if they got your voicemail about.
And then an email basket, they got the voicemail about the letter and then a Facebook message and say, did you get my voicemail about the letter? And then a LinkedIn message. Did you get the voicemail about the letter and then a text, the same thing, right at this stage, we’re either going to take a restraining order out against you, or they’re going to read in your damn letter, right?
And imagine, no, you gotta assume that letter, that letter is going to say your new profit acceleration simulator will find you a hundred thousand dollars in 45 minutes without you spending an extra dollar on marketing or average. And I have profit acceleration software with 497 million weighted algorithmic sequences to back it all up.
Right. The goal here, we talked about it a million times and we’ll continue to, the goal is curiosity. They want to know what the hell this letter’s all about. They want to know what the heck is a hundred thousand dollars in 45 minutes without spending a dollar on marketing or advertising. They’re going to say, huh?
Like they’re gonna get, they’re gonna get curious. Right. And other things to consider too, like your correspondence needs to have. A compelling message. You use a hundred thousand dollars in 45 minutes or whatever it is that you do. Right. But, but don’t say the word coach in any of the correspondence too difficult here to go too in depth on it.
But marketing is about entering the conversation going on inside their head. And I don’t need to meet the person that got your letter in your voicemail and your Facebook message and your texts about the letter to know that they didn’t wake up this morning and say, gee, what I really need is a cold, you know, a cold outreach from a coach to help me grow my business.
That’s not what they’re thinking. They’re looking for solutions. The problems within their company. Right? So, and then start at a small scale and test modify the approach as you move along. If you plan to hire someone, you’ll need to have enough price point for everyone to get paid. Right? So is it margin, margin margin?
One of the things people don’t realize about having low prices is you, you make no room for others to make money within, you know, as like a middleman. So therefore you can never hire a salesperson, right? Like, so as a framework, think a third for the. A third of the salesperson, a third of the business owner.
Right? So, you know, with a proper business model, you could give a hundred percent of the upfront profit away and still make money on the back end. Right? So let’s say you were a $2,000 a month business coach, and let’s say that $500 was your hard costs. What I’m saying is you could get $1,500. Wow, that would be, but you could, you could, you could give $1,500 if 1500 was your profit of that first sale to your salesperson to get it done.
And then you’d make 2000. You’d make nothing in month one, but 1, 2, 3, 4, 5, and six year 2, 4, 6, 8. You’re making $22,000 a year with that coaching client, right. But let’s say you had a thousand dollars again, just think thousand dollar product, three hundred and thirty three, one three thirty three for the product 3 33 for the salesperson 3 33 for the business owner.
Right. And if it’s two K it would be 6 66 you know, 6 66 for the product, 6 66 for the, probably the bad number to use. Let’s use 6 67, right? 6 67 for the product, 6 67, but a salesperson and 6 67 for the business owner. So, and no doubt, 10 K you could work out that that’s $3,333. So, so there you go. But, but road dog consistency is going to be absolutely key here.
Right. But you know, like symbol numbers look like this. If you get 10 clients at two grand a month, that’s 200 or 240 grand a year, right. You get 20 clients at two grand a month. That’s 480 grand a year. And dependent upon business model, you’d be keeping 300. That being said, as I save this it’s way, way, way harder to get to, you know, 20 clients at two grand a month.
And it probably sounds to somebody who’s, you know, reasonably sharp in, in, in sales. But that being said. You know, it’s not the hardest thing in the world either you’re, you know, totally committed and you have 25% of your calendar for generating leads and, you know, speaking to new prospects and you know, like, you know, like kind of rustling up the.
You know, the, the floor of the ocean, I’m picturing like, you know, the sand on the beach and like, you know, just so you know what I mean? You gotta, you gotta ruffle some feathers. You gotta go and talk to some people speak to some new people. You gotta put yourself out there a bit. You got to push, push push.
So, so if you do that you know, two again, 20 clients, two grand, a month, 480 grand. I mean, it’s, it’s zillion percent possible. So road, dog, and I, we did a live event. We got a hundred percent conversion at one event. What we’re not tell what part of the stories. It was only 12. I remember road does 12 people in the room and there were seven buying units, but seven high-end coaching clients.
Bingo, Bango bongo, one event, if you did one of those every two weeks, but that sounds easy. It’s really hard to fill those things. Could you get yourself 20 clients that your grand a month? You’d you’d have to either do it, or you’d have to stop doing the events because if you kept doing the events, you’d automatically get the clients because everybody wants to deal with you when you’re the person at the front of the room, it’s just the way it is assuming you’re doing a bang up job.
So there you go. Road, dog. Answer is absolutely, but you just gotta kind of got to have a bit of a frame and you gotta, you know, you got to kind, go to people with something compelling and you just got to not give up. So that’s.
[00:36:54] Christian: Interesting. You’re talking about the the event and how you have to stop it.
You don’t have to stop doing it. Maybe just do do that as a group. You charge people to actually show up. Now, now that you’ve got a waitlist, you charge them a hundred bucks a month to join you, whatever, once every other week.
[00:37:10] Karl: Yeah, but sorry. I wrote down what I meant. Cause you’d have to, like, if you kept doing them, you could not get your 20 clients to go home.
That’s what I meant
[00:37:18] Christian: now. What you’re building, not building in a bit of a group platform. I’m just trying to make your money. You see what? I’m what I’m doing. Here you go.
[00:37:25] Karl: Yeah. Well done. Well done. Co-hosts of the year sheets Goldstar. All
[00:37:30] Christian: right, that’s it. We’re done. Close us out. My friend. What’s one thing.
Pick one thing. That’s not cognitive bias base. That somebody, well, maybe, maybe it is, what’s the one thing out of today’s episode that they, you know, a coach can take into their practice today.
[00:37:49] Karl: The one that I think the so planning, you know what I mean? Like Sydney opera house took 10 years and a hundred million dollars or whatever.
It was more than necessary to get. And look, the story up it’s a famous story is absolutely happened. Right. So like before. So wherever you’re at, you’re listening to this stop pen. Internet in front of you. I say pen paper. Cause I think there’s a lot of power in that versus, you know, notes and iPhones and tablets, but I’ll leave that up to you.
But I would grab a pen piece of paper and write down who were the a hundred people locally that you were going to go and help. Right. And then who are they go to the chain? Congress website, go to the BNI website, go to the sponsors at the golf club, go to the sponsors of the yacht club. All on all online.
You won’t have to leave your bedroom. You won’t have to leave your home office to do all of this and set up look, hundred people. And what did they say again? Like get a hundred people written down now, do your homework to get there. The name of the owner, maybe do like a, you know, like a mystery shopping kind of call.
Get the name of it. Through a use of LinkedIn and Facebook, you can find out the name of the owner very quickly. Will you, is the question, right? Hopefully you will. And then yeah, like send them a letter and then send them an email. Did you get the letter, send a Facebook message? Did you get the letter, send them a text.
Did you get the letter, send them a LinkedIn message. Did you get the letter, call them and say, did you get the letter? And they don’t answer, leave a voicemail to say, did you get the letter and then circle it all back? You know what I mean? And just, and I don’t know, think about if somebody pursued you that aggressive.
Like what it would really say to you is that, wow, I think this person can really help, you know what I mean? Like they’re not, they got some confidence, they got some wherewithal, this is the, this isn’t the person that’s going to give up on, you know, their business goals and my business goals. And let me slip through the cracks.
This is somebody that’s surely going to ride me. I wish I had this person’s consistency. Right. So I think that road dog, it’s the planning policy and just understanding sometimes things take a little bit longer than ideal. Don’t let that, you know, get in the way. So, so there you go, road up. That’s going to be my that’s going to be the one thing shoots.
What do you think? Well,
[00:39:58] Christian: I’m going to add my one thing, cause you know, one thing and one thing is two things and really two things ain’t that much. So how’s, I like they can do two things. Can’t they?
[00:40:08] Karl: Nice. Well,
[00:40:11] Christian: here’s my, here’s my one thing. My one thing is. It’s I don’t know. This is just me lately at Karl you’ve.
You’ve seen me step back and just grow a ton over the past. Not even, not even 12 months. Like the evolution has been insane for me, but one year just w we all love to think short term, just 12 months, just 12 months. Plan 24 events. That’s it. 24 what’s 24 events. It’s nothing. Just plan two events a month.
Do one virtual. If you want. But just plan 24 events go out and just that’s it just commit to it for 12 months. I guarantee you, your coaching business will be in a completely different world, 12 months from now. That’s it. And, and take Carl’s strategy of the a hundred people invite them consistently month after month.
Did you get the letter? Did you get the letter? What’s the letter about, I want to invite you to this event because I think there’s going to be so much value there. Come to my event month after month after month.
[00:41:15] Karl: What do you think? I, I, and I agree. I hope guys pick up what road dog just put down might do it, but the question is who, you know it, so it comes back to planning policy.
Right. And it’s just things take longer than you assume. Right? So the problem is that, you know, like what people do upset us again in the past, and I’ll say it for ever, it’s just the people who don’t make it in coaching are the ones who are deciding if it’s going to work like in 90 days, Are you deciding how much more work it’s going to take?
You deciding whether you’re going to keep going. And in 90 days, if you’re deciding whether you’re going to keep going, you failed before you even started, like conversation over catch you later, you know, it’s just. So you just get you’re underestimating how long that’s going to take. So, unfortunately, it’s going to take a little bit of time, but if you can pull it off and you get your, again, let’s just go 10 clients at two grand.
That’s two hundred and forty two hundred forty grand a year. And yes, you will lose some clients that have to fill them up. But when you got the 10 and you lose two, you just need to, you don’t need, the eight are still. And then you’ll lose another two, but you just got to get to, right. He’s got to maintain that 10 and hopefully we, you know, 20 and you’ll be semi retired for the rest of your life.
It’s just not that challenging. Once you get good at this, which will take some time planning policy, you know, you assume it’s going to be quicker than it is. It takes some time to become really, really seasoned at coaching. You know this, sorry, but what else can I do? Right. Like, I can’t, we can’t inject you with a steroid that all of a sudden gives you this knowledge and gives you this experience.
You just got to go and live it. Right. And just totally go all in. But you will be semi-retired for the rest of your life. Remember when you retire people optimize? We talked about, I don’t know, probably like a year ago, but road Doug and I talked about it was just like, I had this, like, I was actually skiing and I was like, I’m optimizing for the wrong stuff.
And a lot of ways, you know what I mean? Like. Like what that guy was skiing. And I just want to be skiing. And I was like, freaking hell, you know what I mean? Like, I’m, I’m just like, I’m busier than I’ve ever been. And I was like, I got to optimize for a great life and I got to help others and I get a direct thirst optimize for a great life.
Right. Well, if you were like, you want to, so what is a great life you want to be wealthy in retirement? Right. Like, don’t worry about having to work today and tomorrow and next week. And for the next 12 months, or maybe it’s the next two years, you don’t want to have a birthday with a zero or a five that, you know, 5 10, 15, 20 years and be starting again.
You know what I mean? Go all in and yeah. Optimize for semi retirement is kind of what I’m getting at is that you could work out all this stuff and do these events, that road dogs talking about and get these 10 clients or two grand a month at 240 grand, the net net net, a solid 180,000. You’d never have to spend 5 cents a year.
Retired. You could own two houses, three houses outright, rent them out for two grand. Each that would be six grand a month of income, the rest. So you want to retire with income, not net worth, right? You want to retire with income, not net worth, because what if those three houses are worth 3 million, but all of a sudden 3 million, 2008 happens or something weird happens.
We don’t know. And they go from worth 3 million to 1.5 over. Not good. Right. So what won’t do that is that like when you have income, so those three houses that you were renting out for two grand, each that’s retiring with income, which is a million times better idea, but what I’m getting at optimized for that, so optimized to find a way to get 10 clients and never one less for any extended period of time and you’re off to the races.
So I hope that that’s a value and. Yeah, there you go. Road dug up. We’re helping these folks. So that’s what I got for today, but
[00:44:59] Christian: I love that. It’s all about even at the 90 day, it’s, it’s no different than the I’m going to buy this house with the intent to sell it. Like, how are you even committed? Like, are you, are you even committed 90 days?
You already have one foot out the door. Right. So any who will leave it at that? Because we could harp on about this for the next three hours. So we’ll, we’ll close it out there. So thanks for tuning into another episode of business coaching secrets with the man on top of the hill. The man that rides the fat tire bike king, Carl, I’m not sure if there’s there’s more to that story there.
I can’t wait to dig into that. And if you’re not on the inside and getting access to the pre-show or you’re getting curls daily emails, you just want more information on the group coaching software, as an example, to focus.com. Subscribe to the. And get ahold of Carl that way. And if you enjoyed the podcast, please share it obviously.
And also please leave a review. As we know that all the streaming services give a ridiculous amount of weight towards reviews, and we’d love to rise up the charts and that is it for another week. Everybody remember progress equals happiness. See you on the next slide.
[00:46:03] Karl: Carl Brian built profit acceleration software.
2.0 to train business coaches, how to find any small business owner more than $100,000 in 45 minutes, without them spending an extra dollar on marketing or advertising. This becomes a business coaches, super power. So as a business coach, you’ll never, again, have to worry about working with businesses.
That can’t afford your high-end coaching fees. Check us email@example.com.
Karl Bryan, creator of Profit Acceleration Software™
Karl is the Founder and Editor-in-Chief of The Six-Figure Coach Magazine and Chairman of Focused.com, home of the largest private community of Business Coaches (24 countries and counting) in the world. His goal is straightforward… to help serious coaches/consultants get more clients. Find out more at focused.com