Sell One Level Up to Scale Faster | Ep 942

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Previously titled “Sell One Level Up to Scale Faster | Ep 1000” — renamed by the publisher on Aug 2, 2026

The Game with Alex Hormozi 21 min 4 speakers 8 chapters transcribed
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What strategies can I use to effectively test my customer acquisition cost (CAC)?

Alex Hormozi 0:01
I can't really test a campaign unless I'm willing to spend 2x my target CAC as just a test of whether this works or not. So it's like, if my target CAC is 2k, it's like, if I don't spend at least 4k, it's like, you can't know anything because the cadence of feedback is so slow on 2000. It's like every two months you'd be able to get like a sale inefficiently. I have to be willing to spend more than my target CAC so that I can then get it efficient. Right.
Mike Carlson 0:28
My name is Mike Carlson. I sell Go High Level to online fitness coaches. I would do $2 million in revenue and would love to be at $1 million a month. Okay. This is what is stopping me.
Alex Hormozi 0:39
So what is stopping you right now? Why can't you do more of what you're currently doing?
Mike Carlson 0:42
Yeah, we basically developed and built up a better product because we had terrible retention.
Alex Hormozi 0:46
You had terrible retention. Terrible retention. And now you have good retention? Yes. What's your turn now?
Mike Carlson 0:50
7%.
Alex Hormozi 0:52
Monthly? Monthly. Okay.
Mike Carlson 0:54
I have a 9,000 LTV.
Alex Hormozi 0:56
Okay.
Mike Carlson 0:56
What's CAC? I think it's a 4.6 to 1.
Alex Hormozi 1:01
Okay. So it's like $1,500. Okay. Yeah. Cool. Got it.
Mike Carlson 1:05
So how do you get customers right now? We have... 40% come through strategic partnerships of other mentors, business, sending their clients to build out the funnels. Okay. And then organic. And I would say the last piece is actually the meta ads or Instagram ads.
Alex Hormozi 1:19
Are those working and profitable?
Mike Carlson 1:21
Yes.
Alex Hormozi 1:22
Okay. So two of those are reliable. Word of mouth. We'll just put a pin in for now. So fundamentally, why can't we either do more meta slash Facebook ads or more strategic partnerships in terms of the outreach required to get more of those people on board?

How can I improve customer retention for my online fitness coaching business?

Mike Carlson 1:37
Yeah, we totally think that Meta is the way to go. We used to do it. We turned it off. Cool, okay. My real question, I think, on that is how do I make the CRM sexy on the front end to get somebody to actually inquire?
Alex Hormozi 1:50
Are the ads working right now?
Mike Carlson 1:51
I wouldn't say we're spending enough to say yes. What are you spending? $2,000 a month. Oh, okay. We just have them on.
Alex Hormozi 1:58
rule of thumb for everybody just side note um i can't really test a campaign unless i'm willing to spend 2x my target cac as just a test of whether this works or not so it's like if my target cac is 2k it's like if i don't spend at least 4k it's like you can't know anything because the cadence of feedback is so slow on 2000 it's like every two months you'd be able to get like a sale inefficiently And so you would, cause I'm, I have to be willing to spend more than my target CAC so that I can then get it efficient. Right. Assuming that I'm going to literally knock it out the gate on the first shot is unlikely. Um, okay. So from an offer perspective, uh, what problem does go high level stuff solve for the online fitness coaches?
Mike Carlson 2:41
we really break it down into four different funnels. We have basic mini chat killer. We have a link in bio, which is your lead magnet. We have, um, so there's a pain there, right?
Alex Hormozi 2:51
Which is like, you know, you have followers like want to turn your followers into customers without DMing anyone. Like, it's going to be the pain of being in the DMs all day, I would imagine. They're all online fitness coaches? Yeah, and I'm guessing most of them are on Meta or IG or whatever as their primary way of getting customers.

What role do strategic partnerships play in customer acquisition?

Alex Hormozi 3:10
Instagram primarily. Yeah, and maybe some, like, 20% on LinkedIn doing, you know, busy executives, whatever.
Mike Carlson 3:16
Yeah, I would say none of them actually are on LinkedIn.
Alex Hormozi 3:17
Okay, so it's just IG.
Yeah.
Alex Hormozi 3:19
Yeah. So, I mean, at least you have a very targeted avatar. So it's like, Hey, you having trouble turning your Instagram followers into customers, all of this can be automated. We'll show you in seven minutes how to do it. And that's the, that's the lead magnet. And then it, or it's a case study of somebody who had ideally 7,000 followers and then was able to get to this many sales per month. That's what I would, that's what I would lead with would be like, here's five different coaches who all had less than 5,000 followers who are all able to get five clients a week. Right. That sounds sexy. Right. um just using our automation that would be my angle but fundamentally it would just be like boom five case studies let me break down each of these um and each of the five would represent different uh psychographics or avatars so it'd be like you know uh jacked uh white bodybuilding dude and then it'd be like skinny vegan dude who's uh older and black and then there's

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