Jay Abraham’s Martial Arts Teleconference, Call 1: Marketing as Leverage, Referrals and the Students You Already Have

And even at those rates, he’s still one of the most sought after marketers in the country. To this end, I’m extremely delighted that the legendary Jay Abraham will be joining us today, tomorrow and Wednesday for three consecutive 90-minute classes exclusively focused on martial arts marketing for martial arts professionals. Now Jay is going to do all the teaching. My job is simple. I’m here to make sure that Jay hits the bullseye and delivers for you the most meaningful, impactful, valuable, and usable material on martial arts marketing that you’ve ever heard. I’m going to hold Jay’s feet to the fire and make sure that in the next three days, Jay gives you the tools, strategies, tips, tactics, techniques, and inspiration that each and every one of you needs in order to go out there and kick some major butt with your marketing in 2005 and beyond. Folks, it’s time to create total market dominance, prominence, and preeminence the Jay Abraham way.

So be sure to take tons of notes. And remember, if you get just one good idea from this entire call series, just one good idea, it could make all the difference in the world for you and pay your tuition into this call series countless times over. So, ladies and gentlemen, it is now my pleasure to introduce you to my dear friend and my marketing mentor, the one and only Mr. Jay Abraham. Rob, that was an extraordinarily and almost an embarrassing laudatory opening. I hope I can live up to it. First of all, all of you, thank you. I’m flattered, honored, and I take very seriously the opportunity and the responsibility to help transform the way you look at what drives and what should be the sustaining and the key essence of your business life force. I want to start with a simple concept that I hope you will indelibly remember.

But before I do, Rob, stay on and around. Rob’s job is to be a ruthless advocate for you. I’ve got a format of what I want to do today. I have a format of what I want to do tomorrow. I have a really killer format of what I want to do on Wednesday. If I deviate or if I don’t get specific or if Rob thinks of a clarified question that that only somebody who spent their whole life in your field can ask to clarify or amplify. He has my permission to respectfully and continuously interrupt. I just wanted to do great by you. First thing I want to say, and this is something you should indelibly in regrain on your brain. The difference between mediocrity and millions has been really attributed to marketing. And while you may or may not have the desire to make a fortune, you have a moral obligation to do everything in your power to make every hour, every day, every week, every year of your life that you dedicate to your profession as impactful as possible and impact is directly correlated to the impression you make on the marketplace.

[05:05] a lot of people out there whose lives can be vastly improved. Health-wise confidence is the future, the fate where they go the bad way, where they go the good way, whether they achieve greatness. Their character can be molded, but if you can’t reach them or if they don’t perceive the impact you can make or the difference you can be in their life and their body and their outcome, they’ll never seek you out. Marketing is it. Now I’ve got a list. I’m going to start through it, Rob. You are on notice that your job, and I’m just opening that little fizz as a bottle of sparkling water. Hey, if I have to, I’m going to rastly it down to the mat and pick your brain. But I know I’ve heard you for 15 years. You’re the best in the business, and I’m really looking. Start with the fundamental.

What in the world is marketing? In its purest sense, it is the process of first and foremost identifying viable segment of a marketplace. It’s all about contribution. Number two, it’s about being able to reach them to educate them to number one, a problem they may never have verbalized or they want that they may never have realized and to show them what life would be like. Once either the problem is solved, opportunity is achieved and finally they to them that you alone deliver any other alternative out there. In essence, the ability to demonstrate that you are in fact the only viable solution because you understand them and you empathize with them better than anybody else. In its purest sense, marketing is a form of very, very kind of marketing that I want all of you to master from today forward. A lot of you unintentionally are guilty of either full institutional type advertising or modified, meaning it’s not compelling people to advertising, whether it be put out in other people’s stores, whether it be Val-Pak, should be designed to produce the maximum immediate response possible.

Why do you want direct response advertising? Simple foundation. What do you think is easier? soliciting somebody else or lots of people each and every day soliciting you. Direct response, advertising and marketing is communication that provokes the prospect to see and then want to seize the benefit, the result, the outcome. So passionately that he or she seeks you out. they in essence solicit you. That kind of person is many times more qualified than any other. Direct response, advertising, or marketing is based on a fundamental understanding that you are not selling a thing, you are selling a result, you are selling an improvement, you are selling a benefit, you are selling an outcome, you are selling a transformation, and your ability to understand and articulate or express that in whatever marketing forms including your telephone or your in-person sales presentation will have all to do with whether your marketing is mediocre or whether it’s masterful.

[09:26] Now the next point, I’m going to get into construction in a little while. Right now I want to get into foundation. Jay, before we move on, can I ask you to give us some direct response marketing? Sure, sure. First of all, direct response marketing starts with a headline or its equivalent. No matter what form it takes, an ad, a Val-Pak, a sales letter, a telephone, headline is the ad for the ad. It has 80 to 90% to do with the impact. The headline needs to denominate that is self-desired, or self-serving. For example, let’s say, in-ple classes. I mean, that’s just a simple approach. Or whatever confronts you. Or whatever it is. I mean, just figure out what the scenario is. And the important thing about direct response advertising is you can’t advertise or market until you first know what the foundational issues of most recurring concern are two segments. They’re going to be certain ones that are more universal than others.

Stand Rob, what the different ones are. And by being able to market to as many as possible in a descending order, you’re going to be many, many times more effective. And I was talking about headlines. And I’ve got some headlines that I can easily introduce in a few minutes and I’m looking for them just for a minute. So a flyer, that’s direct response advertising, a newspaper ad, direct response advertising. is direct response. I don’t care if you have a sign outside. You said class is forming three class or if you said improve your confidence by double in just one week, absolutely free. That’s a lot better appeal, isn’t it? Yes? Yes it is. Okay. So I’ll give you real quickly Some of the keys right here to headlines, and I’ve got like 35, but I’ll go through a couple of them really quickly, and then we’ll illustrate them later in either today or tomorrow’s call, okay?

Rob? Yes, sir. I would take notes, but it will be recorded. The first is you measure the size of the claim or the result. You quantify it. One of the greatest headlines ever in the selling approach was a technique for increasing your close rate 75 percent. And that was something anyone who was involved in selling want to know and probably everybody on this call would like to know, wouldn’t you? The next is to measure the speed of the claim. You know, in two sessions or lessons or classes, you can become twice as effective at blank. And again, there’s also many different purposes in Rob. You might tell me what the five or six best or most frequently appeal to issues, problems, benefits or desires are. That would be very useful. So I can incorporate them in here. What do you think they are? Well, I think the one is confidence.

[13:40] Most of the time when people come into a martial arts school, ultimately what they want is confidence. Another one is fitness and weight loss of children. Another one is just going to be getting in better shape. A lot of people want to meet people, social. people want to learn how to fight. They want to learn how to be… I’m going to get into something very important that will probably double, triple, quadruple, your impact first, your success second, and your income third, which is testing. And I’m going to teach you all about it and give you some exercises to try between this call or tomorrow’s call and the third one, which will show massive results instantaneously. But let’s take those four. So compare the claim. In other words, have your child’s character be improved. That sort of is, I’m just giving you some hypothetical ones. The next is to metaphorize the claim.

Those of you who have never studied the inner workings of the mind should know that the easiest way to impact, compel, and connect with a prospective parent or student is through through metaphors, similes, illustrated examples of other experiences they’ve had in their life which are like or similar. Greatest single example I can give you is the Bible. The Bible made all its impact through parables which are examples, metaphors, stories. You want to use that too. When I say metaphor, it’s like here’s an ant. Melt’s a way ugly fat in just 30 days. The metaphor is melt’s because you can understand that and it’s much more dramatic. Next one is sensitize the claim by making the prospect feel, touch, see, or hear it. In just your body improved, your confidence double, and your impact in the marketplace or the world or with your business transform. I’m just giving you some examples here, Rob.

And I’ll go on and I’ll actually go through the whole list later because I need to make a point right from the get-go because everyone on here is here for a reason but I’m not sure they know what it is and I’d like to really answer the question you haven’t asked yet. May I? Yes. Okay. Why marketing? Why is marketing so important? Why is it this great vehicle? I’ll tell you why. It is the ultimate lever you have available, number one in your business and number two in your life’s work. From a business standpoint, it costs you the same expense opportunity cost to send out an ad, send out a Val-Pak, send out a letter, put up a sign, do a demonstration, whether that activity pulls x response, 2x response, 10x response. And if that’s a prospect that lead a preview or introductory student, it costs you the same to attract that whether you close one out of four, one out of three, one out of two. The odds are very low. You’ll close 100%. It costs you the same effort, time, opportunity costs to close them. Whether they take you up on an introductory class and never go forward, take you up on an introductory class and then go to a black belt, take you up on an introductory, go to a black belt and go on to another one. It costs you the same whether they become a single student or whether they bring three or four or five more referral converting students each and every six months forever and all of those differences can be easily achieved by understanding and and uh… commanding the power of superior marketing is that make sense right perfectly good now on the personal side If you want to impact more people, if you want to move more lives, if you want to transform more youthful characters, if you want to make a greater impact on the world, if you want to see the body and the purpose of your daily, weekly life’s work, have the maximum effect, believe it or not, marketing is the way to do it.

[18:38] When I set out in the world to become a meaningful marketing contributor, it was because I struggled and hurt seeing so many people work so hard at their businesses who were deserving, trying to make such an impact in their market and realizing and accepting such a feeble, underperforming outcome not because they wanted to but because nobody had ever demonstrated or taught them to do better and I knew that quality people who had purpose, you know, a sense of contribution and a vision could make such a greater difference if they had the power of the marketing driving it so I set out as my life goal to never let anybody accept a fraction of what their effort could do. Again, not to make them rich, although the byproduct of impacting more people, demonstrating more people more clearly and more powerfully and more dimensionally, what kind of a difference you can make in their life is that more people are going to seek you out and more are going to close, more are going to stay and refer people and in the process you are going to make more money.

If you don’t like that, you can always use the money for, you know, furtherment of your life’s purpose. You can donate it to foundation, start a charity, whatever. But right now, if you’re going to get up in the morning, if you’re going to stay at that profession, the rest of your life, fuller part-time, you owe it to yourself, but more so you owe it to the marketplace. to make the biggest difference you can and make the most impact you can. And if you know that if you have somebody that you work with for life or for a long period, their character, their body, their confidence, their esteem, their impact in their own community, their success as a parent, their success as a contributor to society, their happiness, their economic success, their parental success will be so massively impacted and with it, leveraging the world, you got to use marketing.

It’s the only outcome. Now before I go on, Rob, if I’ve been to abstract, take me to task. No, I think you’re right on the money. In summary, the reason that you want to market is so you can get more new students in that school so you can increase the quality of your own living as well as impact the lives of the people in your community. And I think in a nutshell, that’s what you just said. Yeah, it’s the ultimate lever. And more importantly, sort of like, if I was in a fight And I don’t know anything about martial arts, and I’m not a wimp, but I’m certainly not a skilled, bat-tative person. If somebody came up to me and tried to attack me, I would have no leverage at all. I either put up my arms or I’d try to feebly flailingly hit him or I’d probably turn and run.

That’s not big luck to the kind of martial arts, but one time I helped a very prominent company in the jujitsu and I like the fact that it used the leverage of the opponent’s body. You’ve got incredible leverage with everything you do but no one’s ever demonstrated to you and even the people quite respectfully, maybe they’re on this call, who do marketing and a practice or school management for you. They probably don’t fully understand the leverage. In your martial arts school and in your activity, you probably have as many as 30 meaningful and critical impact points you can improve upon. Let me walk through you so you can get your mind blown real quickly. They are how you target prospects. They are the message and the means that you use to reach the prospects. They are what you do when they seek you out. They are how you close them.

They are how you program them. They are how you sustain and perpetuate them. You are how you expand their reach, meaning friends, family, referrals. They are how you use the leverage in your community, meaning endorses, joint ventures, media, the community. They are how you use your team. how you use past students and parents who have gone through the process and no longer are there. That’s pretty exciting, isn’t it, Rob? Very exciting. I’m looking forward to hearing you giving us some step by step on how to achieve some of those things you just mentioned. I’m going to get into it very soon, but I need to set the foundation just like probably most of the school owners, the instructors and the professionals here need to set at at least a basic foundation or bedrock upon which they build the fundamentals of whatever the specialty that they teach is for their students, right?

[23:23] Correct. Okay. So let’s talk about, let’s start by talking about how to get higher quality marketing create better results. First of all, we did a little interviewing with 40 of your higher performing school owners. It was very clarifying, but I’m going to give you, and I sent out for grounding, but I don’t know how many of you might have done it, but I wanted to build on it, but I’m going to start with a couple of beliefs, advantage. And I’m sure in martial arts, and again, I’m not skilled at it, but there are lots of different moves because one is designed to either sign to knock down the other side to, I mean, and through a cumulative effect, you totally decimate and vanquish opponent, don’t you, Rob? Absolute cumulative effect that you’re trying to achieve in marketing. and when you use a military term it’s called force multiplier effect you know what that is rob i do in fact the last editorial i wrote in the march issue of our magazine has uh… using force multipliers uh… to your advantage is my column well we’re going to get admitted to the difference between tactics and strategy but most martial arts schools holding their their their business or their school attracting prospects converting them and uh… sustaining them i want to start the military of uh… well a well-strategized military, understands that there are a lot of different compound and cumulative ways to penetrate a market.

You’ll see they’ll go in and they’ll have advanced reconnaissance, they’ll attack by sea, they’ll deploy their ground forces, they’ll hit a different, you know, difference at frontal attack, a side attack, they’ll have infantry, and they know that different approaches are going to penetrate, are going to negate different aspects of the opponent, but they don’t really know which one is ultimately the crushing final blow and they don’t care. All they care about is the composite effect. Your job as a martial arts school marketer is to bring the bear the greatest leverage you can and that comes by understanding the composite. Now let me start by reviewing very quickly a foundation to everything I teach anybody in business. And it’s very simple. I’m sure you understand it intellectually, but I doubt from what I’ve observed you do much with it transactionally. I don’t care what business you’re in, but relative to the martial arts business, there’s only three ways to grow your business.

More prospects and convert them to more students. The second is you get them to spend more money with you. The third is you get them to buy more often, come back longer, buy more things. Translated to your parlance, you get more leads coming in, you convert them better, you convert them to higher units of sale, you constantly upgrade them to larger and bigger packages, you get them coming back for as long if not forever, and you get them generating more playery income which comes from most people through referrals, word of mouth, other organizations, you can basically access to joint ventures with. In a nutshell, your goal has got to be, now I’m going to talk about strategy versus tactics, wrong, all right? You guys understand, I want to use your own though, only be like Jiu Jitsu, I’m going to use the force of your own beliefs, not against you, but for you.

[27:56] In martial arts, I would suspect, Rob, and you can answer. It’s very strategic, isn’t it? I don’t care what form that you teach. There’s a master strategy to it. The strategy is based on one ongoing ultimate outcome. That outcome is achieved by a sequence of preferably progressive moves, but sometimes you’re probably caught in a situation where you’ve got to default to certain preemptive moves that just nullify or disengage the opponent, but there’s a big driving strategy behind everything you’re doing, right? Strategy is the basis of martial arts, and everything you do is planned and trained for that moment when you have to use it. Well, surprise, surprise. Strategy is the basis of all marketing, or should be too, but for most small businesses and for most of the martial arts schools I’ve looked at, they don’t get it. You mean you’ve got one overriding big driving game plan that is permanently directing every activity you do and you don’t do anything else, no action, no activity, no tactic unless it’s designed to advance, enhance, fortify, improve, and achieve that overriding long-term goal.

Obviously, the long-term goal of every martial arts school is or probably should be, and it probably is, and maybe they’ve never verbalized it, is number one, we’re going to identify the best possible sources of the most qualified prospects possible. Number two, we’re going to appeal to them and reach and penetrate them with the most compelling messages we can. Why messages? Because everyone doesn’t respond to the same stimulus. That’s why you’ve got people there, some for health, some for confidence, some for self-defense, some for shape, some for networking or meeting or socializing, right Rob? Absolutely. So your goal strategically, first of all, what your goal isn’t is to never again allow yourself to engage in anything that is tactical. Tactical is a static activity. That means it doesn’t get you any practical reactive marketing which is anything they can do to help pay and manage. Unless you manage strategically your marketing, you are going to receive and accept a fraction of a fraction of the long term outcome.

Why do I say long term? Because there are three components to everything you do. Like I said, three ways to grow a business. The first component is what you bring in. You’ve got to constantly sustain a new flow of fresh new prospects. Number two is you’ve got to convert them to the first step. Number three, you’ve got to nurture, nourish, and sustain what I call the back end, which is the renewal, conservation, the continuation, retention. And more important to do that with a 10-year three-way to grow business, but I don’t think you probably realize that within those three ways there are 10 or 20 key elements that you can do, talk to, default tendency, something to do instead of multiple ones. And that activity was the driving force to their business. And it could have been direct mail, it could have been free, what do you call the boxes where you’ve dropped the cards in them, Rob?

[32:04] Lead boxes. Lead boxes, it could have been community activities, it could have been PR. could have been a Val-Pak. Now I’m going to give you a mind boggle. I talked about the three ways to grow a business. And I don’t want to have time right now to do the exercise, but it is in the advanced material that you got. Most people spend all their time working on bringing more leads in and converting more people to their time, improving and working on two other things. The size of the sale, the frequency or longevity of the buying a relationship, which is probably worked on, can go a longer way to doubling, tripling, quadrupling, and quintupling, not just your income, but your success because you’ve already spent the time and the money, bring the prospect in, you’ve already spent the time and the money so you could get larger units of sale if you could get them coming longer.

The cost to you is nothing. The impact on you is everything. it could double the size of your student body. It could triple or quintuple the number of referrals. It could 10 times increase your income, and that income could then again be reinvested in more frontal marketing, et cetera. I’m gonna get into analyzing the mechanics, but Rob, if I go too fast or too abstract, you know your job. Well, can you jump back for a second and talk to us specifically about strategy and marketing? In other words, if I’m a program director or a chief instructor or a karate school owner and I’m sitting there at my school taking notes right now, what is an example of a strategy that I could utilize in my school to help me get new leads into that school? Well, first of all, talk about leads. Most people’s strategy is a historic one that’s based on emulating, modeling, following the lead of somebody else they’ve seen or industry organization.

Rob? Correct. My idea of a strategy is a maximum strategy that I would wish for each and every one of you. The first one is my goal strategically is to bring the most quantity of qualified people in the highest and most impactful way that’s going to cost me the least but be the highest ongoing yielding forever. That means my strategy has got to be not just to bring them in but to have a very sophisticated way of converting them, of programming them from the very beginning that this is a long term lifetime or at least many year activity if it makes sense to them and that we are going to grow with them and their family and that we are going to have in place the ongoing programming to manage, sustain, and multiply their experience and also are and their outcome. And the only way we can do that is to formulate very sophisticated and powerful marketing which is multifaceted. Now, the difference between one approach and the other. Programming those people and not just an introductory program that doesn’t convert. The right approach to programming them to refer people in the right way. The right approach to wanting them to up-transend.

[36:06] The difference between that strategically and a tactical one can be, each one can be as much as 21 times. And this is where it gets really interesting. I studied the geometry of business growth. We talked about the three ways to go business Rob. Improve your ability to attract and convert prospects to first-time students by a mere 10%. If all you did was improve, perfect, and more money with you, not by double or two little, but by a mere 10%. If all you did was get them to come back more often by 10%, like 10% more often. That means that half the people dropped down and you got 5% more to stay longer. The impact that would make to your income, and let’s start with income because income is the substance that lets you do worthy work and reach more of the market would increase 33%.

10% increase in three areas will be a 33% increase in your results. If you got serious and you doubled your effectiveness in the first category and you increased by half your ability to upgrade the size of the sale and you increased by half the extension of revenue you got from the average student, the impact that would make geometrically would be about 600%. That means if your business right now were $200,000, it could actually loft you easier, safer and more instantaneously. It’s not going to happen obviously in days, but over a year to the $68,000 to $900,000 market. If that sounds unbelievable, you are welcome to study my track record. I have more businesses who double, triple, quadruple, and then times their size and multiplied bigger than that their income in twelve, fifteen, eighteen months by following that simple philosophy I just gave you but I would like to add to that now as long as you tell me it made sense what I just said.

It did but I’m going to hold your feet to the fire on the steps in the strategy. For instance you have packed seminar rooms at five thousand, ten thousand, fifteen, twenty five thousand dollars a ticket. There had to be a mastermind strategy behind that. I look at that as being the same as if you’re trying to fill a martial arts school with students. What are some of the steps that one would take strategy wise to achieve that goal? Well, you’ve got to realize two things. Number one, you’re going to get a lot of prospects. Number two, well, if you don’t get a lot of prospects, what that probably means is I’m going to say your marketing sucks, but your marketing isn’t reaching out broad enough. You’ll get a lot of prospects. Those prospects are going to be at different points on what I’ll call the motivation slash commitment, determination, quotient, you’ve got to basically realize that when you bring them in, you’ve got to be able to engage them and it’s going to be a successive process.

For everybody you convert now, you might be able to convert twice or thrice as many if you expand the effectiveness of your marketing over a two or three month period. Number two, the more they experience it, the more hooked they’re going to be on it. And just because you have an industry norm that says we’re going to bring in for one free lesson or this, you need to test lots of different alternatives. Number four, the way you reach them is very probably not the most impactful. In all honesty, if I had to choose one and I would never choose one because our strategies are always based on reaching the market from multiple points of the art and art of geometric business growth. I did include a grasp illustration of that in with the grounding package. All of you got, you may or may not have looked at it, but the simple concept is most businesses build their entire revenue stream, their entire success, their entire fate on one and one only income streamer revenue source.

[40:10] And even though that might make them a living and produce adequate enough, if you expand vastly the number of ways you reached penetrated impact of the market. It goes back to that issue that I explained about ten minutes ago, the force multiplier effect. All the strategies I build for myself, the way I get 500,000 people to a $5,000 seminar, the way that we sell $5,000 tastesets, the way I’ve grown, all the clients, is to first of all go after the market from many different points of impact at the same time. Make each of those points of impact a profit center, meaning they’ve got to justify their existence. Understand that different people are going to respond to different hot buttons or off them in many forms, reaching them from different points of impact. Some of them will send them a booklet that’s a short course in what I’m doing.

Some of them will send them testimonials. of them will give them a questionnaire. Some of them will give them a try this test, something they can do instantly to validate before they ever reach us. A lot of them will give endorsers, people they respect in the community. But it’s not one, it’s a sick coming together continuously and being controlled by me to reach the maximum quantity and the maximum impact over a long period of time, Rob. I don’t know if that makes sense or not. It’s becoming very clear, Jay. So if I’ve got a thousand kids out there in my community by the name of Johnny Jones. And I hired you, the world’s greatest marketing expert, to come to my school and get those 10,000 kids involved in my school. What you’re saying is that you’re going to send out a whole bunch of different approaches, not just one episodically, but a whole bunch of approaches.

That’s right. I’m not going to be episodic, intermittent. But first thing I would do, let’s take that as an example. And I’ve got a whole list here of things that can be done that I’d like to go through and just review with. But the point I want to make is what’s really interesting. You and I interviewed, let’s call it, 20 schools. Of the 20 schools we interviewed, we probably had 8 to 15 totally different ways to make the best 5 to 8 and combine them together because the combined effect, first and foremost, is going to make me invincible. It’s going to reach the same people from 5 or 8 different points and it’s almost like what you teach. If I have one and my left hand is raised and it’s flat and open, whatever you call when you cross down and impact an opponent, that may or may not be enough to knock them down or impact them.

But if I him from the left, from the right, kicked him, the combination is going to decimate him, right? Absolutely. But I need everybody on this first call to realize, right, of marketing. And you guys have a greater advantage than almost anybody I would ever teach once we get it really clearly installed because it’s exactly what you teach. It’s strategic. It’s multiple moves in combination. We don’t care which move serves the point. You want them all to work. You’ve got to have some special ones for special situations. It’s a long-term process. You’ve got to be disciplined. You’ve got to keep improving. You want to try to find better and more powerful ways to do it. That’s pretty simple, isn’t it, Rob? Yes, it sounds very simple. Now we’ve just got to get people to do it. So let’s go back. I’m going to go through a list of about 30 specifics so you guys can take notes.

But let me go to your – let’s say you said, Jay, we want to reach – there’s a thousand students in our community. You want to reach – and you’d say, well, they either do Val-Pak to their – to their neighborhood or they do display ads in the community newspaper or they try to do community outreach. Well, you’re out. That’s probably it. Or they’ll do boxes in stores, right? I’m doing yellow pages, they’re handing out VIP passes, running newspaper ads. So I’m going to give you, I’m going to tell you what I would do. I would say, well, let’s look at one thing first. I got to start with a concept that I was going to introduce later, but I got to introduce it early. I don’t think many, I’m certain some of you, and I’ve done this, probably some quality people teaching it in school and practice management.

[44:59] But I don’t think most of you understand the lifetime value and the financial dynamics of a student. Because if you did, you would instantly, you’d be more eager to do what I’m talking about than even I am for you. What that means is knowing always what a lead is worth, what a first time student is worth an introductory one, what a black belt program, what a blank, whatever the next advanced one is, not just in direct revenue, not just in revenue that comes in at the point of purchase, but in ongoing income streams for life. Now let me explain. When I look at any business, I’m going to help. I don’t say, okay, damn, the torpedoes, full speed ahead. Let’s go strategically go after them. I say, let’s look at what different forms of revenue or of marketing are worth. For example, if you say you go to newspapers and you run an ad and the ad costs, I’ve leads because not pulling very well. You could say that’s a waste. I would say, okay, that means the leads are worth $60 a piece. How many of those leads will you convert? You will say, well, I convert half, right, Rob? Half? Okay, so you’re converting what I say you get five or so you get six leads and they’re worth $50 a piece it’s easier. So you’re getting three people to convert for an introductory program. How much is an introductory program? Usually about $19.95 to just come in and try the lessons, but then when they sign up, you’re looking well over a grant. Okay so let’s say the average program is $800 okay. If you’ve got three of those people for $800, three into eight is $2400 right? You spent $300.

You probably got those people to $2400 in what? A month too? Do you think any of the people on this call understand passive investing like stock investing or real estate investing? I don’t know. We’re stock investing if you invested $100 you’d be happy if you got a 15%, 20% yield would be very good, wouldn’t it? That means getting, you’ve invested $100 and got 20% yield, you get $20 at the end of a year, that’s an annual return. If you guys can invest, oh, probably the end of the month or the month thereafter, right? And you got back $2400 in a matter of days, that’s a pretty good ROI. But most people get fixate on how few leads come in, right? program and that doesn’t count the residual value they are worth to you in referrals word of mouth and other introductions to individuals and organizations. Point of making is until and unless you can appreciate understand or measure analyze case not best, stories of leads, birth to you. You don’t have a clue how much you can invest because it’s not spending it is investment, Rob. It is investment that comes back to you many times over. But once you know that every time you invest, not spend, in my case of 24 Z, which a lot of people probably unintentionally are because they don’t see this, you can reinvest over and over and over and over again each and every day or week until it stops breaking even. And even when It breaks even all things being equal.

If you can afford it, it’s still worth it. Be at $2400 together or probably to go to the next level, and they’re going to be black male programs, aren’t they? Yes, absolutely. And then beyond that, Master’s Club leadership program, the sky’s the limit. So an answer to your question, before I go into any market and serve any client, I ask them to look at every form of marketing, every form of lead generating, and look at number one, what it costs. Number two, how it converts. 3, how many version they get, number 4, what additional becomes, then we put that all together and we back up to realize what is called an allowable cost. Let me give you a simple concept. If you told me that every time you run an ad, the ad cost you X, it only brought in X dollars in first time sales.

[49:59] I would say to you, you should run that all day long as long as it didn’t lose any money because if you spend three and you only brought in three, but you knew that one out of every two or three of those people were going to go on to a thousand or two thousand or five thousand. It’s money in the bank, three months, six months, nine months later, not counting the referrals and that becomes a function of a strategic referral program which I’ll teach a little while, but back at the ranch. So the first thing I try to do is look at every form of marketing available. I try to figure out very scientifically what it is worth in first time, in second, third, long-term levels of upgrade revenue that I try to very systematically go and pick out first and foremost the highest and best yielding activities.

I would think, but I don’t know this, that martial arts science has you using the highest and best impactful moves first and foremost, doesn’t it? Of course, that goes without saying. Well, it doesn’t because if that’s the mindset that a school owner uses, doesn’t it make equal sense that instead of going to the least and worst yielding activity, you should first find the highest and best and put your effort, your time, and your money there. I couldn’t agree with you more. So, okay, so you’re bringing me to this hypothetical. I’m going to go the way. We got three calls to get real analytical. You challenged me and I want to stimulate some money, okay? So you brought me in and you said, Jay, let’s look at how we’re going to reach these thousand students. Now, the logical, the illogical, but traditional, conventional thinking, martial arts school owner would probably say, well, I guess I’m going to do Valpak or I guess I’m going to do boxes or I guess I’m going to do display ads, wouldn’t I?

people would do that. That’s the easy way out. I would take a deep breath. Let’s identify and figure out where they are the most reachable who’s already got their trust, who’s already got their respect. So the first thing I would do is look within your school and presuming your operating school and you have active students and you have inactive students, right? Correct. Well the first thing I would do is I would say the easiest and fastest, the most lucrative way to grow more students is not to go forward but to go backward. Let’s look at all this look at two categories that you’ve probably never maximized and you’ve already sunk the time and the effort and the cost in it. Active but now inactive students never sold. If I respond to you about my child and you don’t sell me for one or two reasons, either your message or the message of the person that you entrusted the sales effort to, your team member wasn’t, didn’t resonate or I wasn’t certain confident or ready to do it.

There’s a third one that is that I had a better choice but usually you lose a sale to yourself not to anything else if that makes sense. The key point here, Jay, as in a light bulb just went off, I think you’re saying is before you spend more money trying to generate new leads, why not utilize the ones you’ve already paid for that no one’s done anything with? There’s a philosophy that I believe in and it’s going to be a foundation of whatever we talk about for the next two days and it’s called optimization. Optimization, everyone on this call, is very simple and it’s probably, again, it’s inherent if not explicit, it’s certainly implicit, meaning if you verbalize it in your teaching or you really have it foundational in your science to martial arts, and that is you want to get the highest and best use outcome result for the minimum time, effort, and expense. Aim in marketing, guys, seeing them in marketing. So what we want to do before we go and you know help on going outside and throwing good money after bad on things that may be marginal, we want to take a deep breath and look at what’s already right under our nose, the acres of diamonds, and we want to figure out how to get a lot more out of it. And I look at three things Rob. I look at what’s called critical mass and velocity and motion and it may sound a little confusing but it means nothing more than the activities going on right now.

[54:20] In other words, if you did nothing else, if Jay Abraham wasn’t in your life, you got ads that are running right now or boxes that are out or community activities you’re doing and they’re generating attendance, prospects, contact either people that are scheduling previous appointments, sessions, you’re getting calls, you’re getting response, you’re getting people visiting, You’ve got students that have other contacts, other other friends in their area. And the question is, are you maximizing what’s going on right now? Because it costs you nothing to be more powerful, more effective, more profitable with what either you’ve got going on right now and what you’ve had going on in the past, but you’ve let slip through your fingers. So I always concentrate on that first because it frees up the capital to do other more powerful long term things. Does that make sense Rob? It does but how specifically do I mine new students out of my pre-existing student base?

Three ways. First of all the easiest, the most lucrative, the most powerful, the most profitable activity. Anybody in any business can ever do is generate referrals. Don’t you agree? I do indeed. everybody open on this call we will on the third call and I interviewed all of them and ask them to tell me how much of their current student body and ongoing business prospects come from referrals or word of mouth it should be twenty to as much as a hundred percent wouldn’t you think yes and then I would ask them to calculate what that was worth and what did you tell me the average school does three hundred thousand dollars if it’s full-time yeah it’s about right it just it’s all over the ice jake you know that’s a three hundred thousand so twenty 100% is 300,000. Then I would ask them a very embarrassing question. How many of you have in place on a continuous ongoing basis where you and everyone of your team members constantly address a formalized, systematized, strategic referral generating process that you do constantly?

When I asked that, almost nobody has even one. Occasionally you’ll have a sophisticated small business, a school in your case that has one. Then I’ll say, cool, that’s great. How many have two? And most people, they fall by the wayside. I’ll say how many have three? Most of them aren’t even existence. Well, we studied referral generating systems and strategies. And we found 93 unduplicated ways that you can generate referrals on a continuous or on a cyclical manner, meaning certain times of the year, certain events, certain things happening, lend themselves to a certain kind of referral generating program. But when you realize that most people in business, and I think most school owners are guilty of this, they spend all their time, all their money, all their effort in external marketing, ads, boxes, community activities. When in fact, the easiest, the fastest, the most lucrative people they can possibly attract are referral generated because number one, they’re going to sign up the fastest, they’re going to stay the longest, they’re going to spend the most, they’re going to hang out with more high quality people, they’re going to be the most desirable because they’re going to be quality people you can enjoy, they’re going to be the easiest to sell the most lucrative and yet most people don’t have multiple, they don’t even mostly have one referral generating system.

I would do is put in place multiple referral generating systems. Can I challenge you to give our audience today two, three, four, five specific referral generating systems that you know will work? Yeah, absolutely. And I made some notes, so let me go find them very quickly. Okay. Hold on one. And I just want to say the first one that I would do, and this is going to be ballsy, And it takes a great level of respect, not for yourself, but for the real impact and contribution your martial arts activity has on the individual, on the student, and on the community. And until and unless you revere totally the difference you make in somebody’s life, in their character, in their body, in their confidence, in their self-esteem, in their their values as a human being, you can’t do what I’m going to tell you. But the best way to do it is to start by making referral generation a condition of becoming a student.

[58:57] Now that’s going to be a shocking concept, but let me illustrate it Rob. You ready? I am ready. So if when I came into your studio or your school, I said, you know, I went and we talked about the benefits, the problems, the goals you were after, then I said, our school is very unique, Mr. Colasanti. We are a referral-only organization. We want a certain quality and caliber of person who really appreciates and the parents who appreciate what we’re trying to do, whether it be, you know, improve and dimensionalize the character of their child, on their body and their skill sets, build their character. And we know that in your life you and your child, if it’s a parent and it’d be you if you’re the adult, you have a lot of other people in your family, in your neighborhood, in your community, at work, in your children’s lives that struggle with the same issues and that you really have a desire and really probably a need and a hopefulness.

and actually even a responsibility to help them if you could. So what we say to everybody that we accept, we sit down together and we outline what our goals are for you or for your child over a three or a six or a nine month period. And only if, when and after, you see those objectives realized and fulfilled, you see their character improving, their discipline enhancing, their body developing, their confidence, their life and the needs could be. And then you paint the picture of what the referral looks like. That’s one approach. I’ve seen businesses in 20 times by making that a condition of doing business. And the way that you embrace it, if you think it’s free, I know because you’re athletes, you’re entrenched in your profession and in your commitment to society, and to humanity and to goodness. You probably all have relationships that are very important to you.

two things that you don’t do as a martial arts, scooply about the totality of their lives. In other words, let’s say that not just a martial arts, let’s say that you as a martial arts school owner, while you’re masterful of martial arts, let’s say you also do a lot about buying used cars. And let’s say you had a friend who had a daughter or a mother or needed to buy a good used car. Wouldn’t you feel like you’d want to help that person who was important to your friend, not make a mistake, get a car that would be great, not waste money, not get take advantage of you would wouldn’t you. You want to take care of the people you love and care about. You would make a concerted offer and you’d say, Rob, anytime you have anyone in your life you have how to buy or how to choose or how to know whether a used car is worth, have them call me.

I’ll talk them through it, I’ll even go and look at the car, I’ll put them in touch with my… You do that because it was the right thing to do. Yet most people in martial arts, from my observation, don’t realize you have a moral obligation and a responsibility to help all your students and their parents help everyone else in their lives whose lives could be enhanced in any of those five or six areas, but left to their own devices they can’t be expected to do it. So what you’ve got to do is from the beginning, you are a referral generating business, but the reason why is that you know that there are a lot of people in your student you’re student or the parents lives, that whose lives could be dramatically impacted by the power and the effect and the impact that martial arts or your form of martial arts can have.

[1:03:36] But the first thing is to see the transformation in their son or daughter, in themselves, or in their wife or in their husband. And then you’ve got to become masterful, Rob, at what’s called future pacing, the parent or this one. They can’t wait to have completed their homework and they can’t wait to confidence. they’re not afraid to walk home and they’re not starting a fight but people can take in their bodies serious and we’re taking their their their um so they’re taking their opportunity to learn in school serious and you’re taking them forward to what it’s going to be like and then you compare it to what the situation is now and you have the parent or the student tell you and then you tie that into this referral this is just one referral generating system and that is confident more self-adir athletes no matter what sports It would be better for them, but for everyone else in the use of formals, producing a tangible.

We don’t expect that you’re going to want to help. We program them to do this, Rob. That’s the first one. We program them from the beginning, life that’s important, and we program them from the beginning that at very key intervals we open the school. People that you want to bring, that you want to tell them from the beginning, and we start programming them. And we program them from the beginning to be receptive and to be enthusiastic about the promotions we do later. We don’t just do them after the fact. We condition them. The next thing, and this is being a programming, it’s not referral, but we program them from the beginning into an introductory. We tell them that what we have found is that martial arts can enshup to where you’ll take it so serious that you’ll see the difference it makes either in your body, your character, you know self-esteem that you’re going to want to take it higher because when you take it higher it has and we correlate it to the result and we talked to about all the people that have been doing it all their lives and we and we and we translate that to greater achievement greater confidence greater healthfulness and we program them from the beginning the long term and we say that what we are going to do it is throughout the process Help you look back and appreciate and evaluate how much you’ve grown and set higher standards and examine and evaluate different aspects of your life or your body that we’re going to work on because we’re here to be with you and your family and your child and your loved ones for life. We are going to be, it’s a mindset Rob, does that make sense?

[1:07:53] It really is a third one. Yes I can. It’s a very interesting subtle referral generating system. Let’s say today I got two referrals. One was, other was also I got a father that brought their student in the other child in because he wanted to work on their discipline in anticipation of pain. I am seeing parents every day or every whatever frequency they come, right? I would turn that day’s event into discussion that set that painted a picture. I would say to the parents hanging there anyhow you know today was an interesting day. I just realized that we probably never talked to you about about the fact that a lot of people come here because they want to, I talk about the events in context of the fact almost self-effacing. That means embarrassed like Rob, you know, I probably never talked about the fact that a lot of the parents of children refer coworkers to us after they see their child. And even though their child got, you know, came here for self-esteem, they’ve seen other people come here and watched as they lose 10 or 15 or if they get, you know, firm and tight, and they’ve told other people they work with, they’re their neighbors, and I want you to know that anybody in your life, coworker, neighbor, church member, what I’m doing is designing and directing them to where that person may live, but I’m not doing it real rigidly and awkwardly, that you know of that might have the knee, the desire, the readiness, or the interest, you should encourage them to come as your guest.

And here, let me give you a couple of passes in the call. And they just call and just tell them that you invite them. And they’ll be treated like family. And you set the stage by tying whatever happened into a discussion with the parents. Does that make sense? Yes, and it’s a very clever approach. Do you have anything, Jay, that’s real direct and just so simple for instructors to do something like calling a student and asking for a referral or handing out a referral pass for them to fill out. What are your thoughts on that? Well, see, what you’re asking me is something I never let anybody do. You’re looking for a single activity. As I said, I believe in a power of parthana. I believe in creating not 93, but maybe five or six. I believe that you do all of them, and you do them at different air bubbles.

In other words, every Friday, I would at the end give every parent and every student a pass. I might have it be time dated so that we have a more immediate action. Again, I’m not going to get into testing either later today or tomorrow. But I would basically, I would say next week is bring a friend week. And here, for this week only, you can bring a friend and I would have it time dated. I would basically present it to the child and then I would represent it to the parent. I would never be afraid or awkward or timid. It won’t be about it. I would be so proud of it. My cell phone’s ringing. I apologize, but it’s far enough away. I’m not going to let it go off in a minute. And I would be very powerful about it in the way that I presented it.

[1:11:59] I wouldn’t give it as if it’s not valuable. If you don’t revere what you’re doing, you can’t expect anybody else. I’ll give you another referral process, and it’s very powerful. We have actually grown businesses by as much as 20 times by having full-time staff that went out to key organizations, influences, and businesses in the community that had the right audience. And given out, and the college referral, given out certificates with authority and respect, for giving example, we had a restaurant, Very quality restaurant that opened in the community and they knew that the key to all their business worth is going to be referral. So the owner hired three quote unquote assistant managers. Their full time job was to go throughout the community to call on business heads, lawyers, doctors, people who they knew had influence and gift to them certificates for lunch for two at the restaurant, no charge. And they didn’t just give it to them. There was a script.

You got to realize, positioning is everything. If I say, here Rob, here’s 25 certificates for a free lesson. That’s something that probably either gets not used, minimally used, thrown away. But if I say, Rob, you know, I’d like to buy you $25 worth of training for you to gift to anyone in your life, in your neighborhood, at your job, in your child’s school, that you think it would make a difference on. And then I describe what it is. But if you go to key influences, what I would do, I’m jumping around, I apologize for doing that. But I’m I’m going to go back to the question you asked me earlier, and then I’ll tie it to referrals. And then I want to go back to the next source of what I would do if I was building out your marketing before I’d let you spend any money in the outside market.

I would ask who has already got a trusted relationship with the prospective target audience you want to reach? That’s the parents and the students. And I would go two ways. I would go institutional, community. I would go commercial, business. And the first thing I would do is I would look at all the other people who reach students. I’d look at organized sport, work out an arrangement, but I wouldn’t just mean something or something like that works. Imagine how many times better it would work if there was a strategy behind it and there was a positioning behind it and it was revered. In other words, if there was somebody, we’ve done this a lot of times, if there was somebody at Sickle Shop or a baseball, not just giving it out, but they were saying, you know, we found that, use the baseball. We found that stupid, that come for even two or three lessons, have an improvement in their fielding and their ability and their focus and their hitting.

We’d like to contribute to the baseball league. So we are offering to buy every student how you can generate lots of referrals. And I will, by the time what I will do, Rob, because there’s a lot of ground I want to cover. I didn’t promise this, but what I’m going to do is post a bunch of things that I can do on this call, but they would eat up so much time. In other words, I’m going to post the 93 different ways that people can generate referrals so that they can have a model of reference. Thank you. I’d rather do that than talk about 10 of them now and use all the rest of our time. Thank you so much, Jay. That’s very gracious of you. i’m going to post the formula for crafting a powerful ad and the formula for making your headlines pool one of your thirty times only because i can do it on this call bill eat up all the call exactly we’re on very limited time i mean you’ve got a vault of knowledge in your head we only have three ninety minute phone calls

Part 2

[00:00] So let me give you the next thing I would do right now because we haven’t even spent any money on marketing. So if we hired you, Jay, to come out to our karate schools to grow the student count, what you’re saying is before you even let us spend a dime, you would tap into the resources that we already have in place, the student count, and that means referrals. I’d start with referrals. Then I would look at people that aren’t going the distance, and I would put into place a system to upgrade them, not so I could make more money from them, but so I could make a bigger difference in their life and the money is just a wonderful bonus that I would be paid for that process. And I would systematically be working with them. The next thing I would do because right time is limited here and I want to go at least until the end and if you want me to go and it’s permissible we can go a little longer right.

The next thing I would do is look at the body of two things. attrition, meaning the past students and parents who are no longer active, and then I look at leads that weren’t converted. And none of this has cost any money yet, right? Not, not a penny. Now, if you can’t at least quadruple, and that’s conservative, your number of referrals are worded mouth just by adding five of the 93 referral systems I’m suggesting to your business shame on you. And that means if right now you’re getting, let’s say, 10 referrals a month, you should get 40. Now, are you going to get them all the first week you do them? No, because you’ve got to refine your proficiency just like the first week a student starts practicing. They may understand philosophically, theoretically, what they’re doing, but they don’t get proficiency for maybe years, right? Correct. It takes a while.

So, but the point is you’ll see tangible results right away and you’ll probably get a windfall because you’ve never done it. When you do it to the whole body of students, you might get a monstrous windfall of 20, 30, 40, you told me that you tried one of the things I’m going to tell in a minute. You got 17 new two or $3,000 students instantly from it. That’s really possible. So the next first thing I would do is referral. Second thing I would do is start it for maximizing their outcome. It’s all about them. It’s been validated by the interviews I did with the students that are the teachers on our pre-call. Having a student at a certain level is a fatal complete. They don’t want to rock the boat because they They don’t want to really lose that revenue. When in fact, I submit to you that you’re breaching your moral and your professional responsibility to take them to the highest, longest, most developed ground, you can.

You should be developing specialized programs. You should be specialized upgrades. Maybe for it to coming out, you create specialized additional programs, three week, four week, baseball conditioning programs that are another upgrade, not because it’s going to make you money, although it will, because it’s going to make the student effective. Does that make sense Rob? Oh, complete sense. So the next thing you do, the first thing you do is referrals. Then you start extending the contribution and the level of ways you can benefit and in the process monetize the existing student body. Next thing you do is I look at the parents and I look at their influence. What are they members of? What are they associated with? Where else do they they hang so they can introduce you and organize events. Not just bring a student, but all events. Does that make sense? Yes. The next thing I would do is look at all the past students who are no longer active.

I’ve done more studies and more research into what’s called attrition, the science of attrition, which is losing once paying clients, students, patients, buyers. And you find there are three reasons people stopped. Number one, they had, most of which are easily changeable. Number one, they had an interruption in their circumstances, their schedule, that caused them to stop, not because they wanted to, because they had to, and not because they were, they didn’t love and enjoy and benefit from the process. They just had something else to do. They got sick, they went on vacation, put an adult, they traveled, you know, maybe they, you know, they had to work late, whatever it was. and they didn’t start back because you didn’t help them you reactively waited for them instead of having in place a progressive systematic a process of contact in which brings to bear what i would do i’m told that tons of of schools have all this free time it’s not being maximized a time certain times of the weekend right absolutely a lot of schools in open to four o’clock in the afternoon there have been scientific tests and marketing proven rob that the more contact you have The more you continually interact with the student and or the parent, the longer they’ll stay, the more they will pay, the more revenue they’ll be worth, the more people they will refer to.

[05:12] You need to use your own time and your staff’s time and all that downtime to constantly systematically contact and work the base. Now I’m getting three different things here. That’s the active ones, but if you work the active ones, you’re going to have about half the number of students stop. But if you start working the inactive you’re going to find that the first reason they stop coming was they had an interruption to their life or to their circumstances. And that you never proactively contacted them but if you had this system in place and every three months you were calling them even if they become inactive then you get them back. But if you take the mindset if they become inactive and your dedication is to their better met you can’t just abandon them. You’ve got to call and find out how they’re doing. You’ve got to find out what they do.

They do. You got to find out if they’re still struggling with the issues that brought them there. You got to re-extend yourself from the depths of your heart with the greatest of intention to come back and at least start again and see if it’s right again. If they fell by the wayside, get in gear now and work with them because that is your moral obligation. The first reason most people stop is that interruption. The next reason they stop is it wasn’t producing the outcome they want. That’s your problem because you aren’t interacting close enough with them. When somebody stops you should know it, you should immediately bounce on it and you do remedial work. You should figure out what either you’re doing wrong or whether they’re in the right or wrong program for the right reason or whether you should do some private lessons or create a special program that works on whatever the issue is.

The third reason they stop is they’ve outgrown it, which I would think in your field is very rare. But if they have outgrown it and they had a great experience, they are a perfect process to stimulate a constant barrage of referrals but that won’t happen unless you program them is that right that makes sense about and a lot of people do outgrow martial arts classes because they run at a curriculum the school owners don’t bring in new curriculum to keep them excited about the program when you look at two things your moral obligation and the stream of income it cost a fortune to bring in in both time money and effort to bring in a a lead and to convert them to a student first time it cost nothing to resell them and to upsell them. If you call everybody back and said, you know, we’ve got a special program for weight loss, a special program for proficiency, a special program for luminous, a special program for longevity, a special program for stress reduction, a special program for attention deficit.

You gotta realize one wonderful factor that works to your absolute long-term economic and professional success if you capitalize it on it. And that is the dynamic of life. People’s circumstances are always changing. They’re falling off the wagon of discipline. They’re getting into situations that are more stressful. They’re gaining weight. They’re losing their agility. I’m 56. I used to have a 44-inch chest and I got sick, hurt my shoulder, hurt my neck. Now I got a 39. My muscles aren’t there. My limberness isn’t there. They what’s called the cycle of life, the continuum, works to your advantage, but only if you capitalize on it and are proactive and strategic and integrate that into your master long-term strategy. Does that make sense Rob? It does. Now Jay, if I had say 300 former students at my martial arts school and I brought you in as the program director for a month, what steps would you take to get those 300 or 400 students back involved in my program immediately?

What would you do? First thing I would do is, by the way, let me give you one other thing that’s very critical So lead generating to maximum sustaining of revenue, of relationships to cash flow, to multiplying revenue. Constant never ending communication. Communication is of multiple types. Call, visit, letter, email. I would contact every one of the students or parents, and I’d follow up on what has happened with them or their child. and I’d be heartfelt and it’d be sincere. And I would tell them what you are doing now, new or repeat and what people are coming to you for. And I would re-enthus and reanimate their spirit to what you’re doing. There’s a very famous business growth expert that I had at one of our programs and he blew people’s minds by telling about research he did that if you have a rolodex of everybody in your life, in your case, if you had a rolodex of all past the current people and all the prospects that you’ve ever talked to.

[09:47] And you or your team contacted them once every three months forever. It would be impossible for your school to grow from that activity only by at least 40%. That’s a mind blow. But when you call them, you’ve got to first and foremost be interested in them. And by the way, that’s a foundation of what I would teach you later on in our sessions about crafting great marketing. It’s the you attitude. It’s all about, you’re not on this call worrying about what’s in it for me. You’re not on this call worrying about why I’m doing it. All you care about is J.A. Ram better give you the outcome, the knowledge, the clarification, the ideas, the one, two, three steps that you need to take right away. So the first thing I would do is I’d call all those old students. I’d say I’m calling for three reasons.

Number one, it’s been, if you know the time, great, three months, three weeks, three years. I want to make sure that things are good in your life and that you came for a stress relief or you came and I started also starting from scratch making sure you knew the issues, the topic that people were coming in for so you could carry that forward in future programs and in referencing them so they didn’t leave. But going back in time I’d say you know you came for a certain reason, you went through a certain period. I was very impressed or we were very impressed or we hoped a lot of different options here. You’ve got what you wanted but then you stopped. And whenever somebody stops, we feel a responsibility to make sure that we didn’t do it. And if it was for a reason that was good, at least you got what you wanted and you didn’t stop there because nothing in life stays constant if you don’t reinvest.

Your body can’t be vital if you don’t re-renourish it every day. Your brain can’t be optimum if you don’t sleep and let it regenerate oxygen and rest. Your mind’s got to grow with input, same thing with, and I would take them on a journey and I ask them what’s going on and how their life is. And I tell them you’ve had a lot of people come to you lately for wait, for stress for these issues. And I’d say, you know, we are always here for you and your family and anybody close to you to help. And then I would encourage them and I’d like to say, you know, it’s been a long time. you like to come or bring your child or bring somebody else at work or in your family for a couple sessions. We would love to have you as no child. I would just re-extend it, Rob.

And the law of average is if you do that with 300 people, you’re probably going to get low 5% high, 50% of your proficiency. And that costs you nothing but the call and the joy and the fulfillment that will come from doing it if you do it with the right mindset. And I I know I do it now but on the last call of time allowing I’ll walk through some role plays on it. Does that make sense? It does. So if you have 300 students and you get the low end it’s just 5% with that 15 people? Well let’s look at it differently. It’s $15,000 to $45,000. That’s where I’m going with that whole thing. What are those 15 students worth to you? It doesn’t count the new referrals they will most certainly do when you start adhering to the referral generating super strategies that I’ll teach you.

I can see you’re building a system for us here Jay. is system ag and integral. But the first thing I said I would do is get the existing active students to generate for six or seven different things. The next thing I would do is create more expansive and advanced and enhanced programming and purposeful ways to help them grow and improve evolve. The next thing I would do would be look at the parents and see what impact in the community they’ve got. And I’d also want to know what commonalities their kids have that you can focus on what the kids do what they read what they do what members who they learn from where they go where they buy from so you can work joint ventures jake and i micro that just for a second are you saying that if one of my students here their mom is the principal of a local elementary school that i should be targeting that principal to try to do some kind of program with the whole student base of that elementary school uh…

[13:51] i mean it’s it’s like it’s obvious isn’t it right it is but i don’t think a lot of people catch on to that but it’s like you you leverage and it’s not, it’s for them to help me say let me create a program. And it’s like one of the very, very sophisticated people that we had on the pre-call. He does one how to defeat any bully. But you could do a series for the parents. They could be for the students. You could have the parents send the students. You could do it at school. You could have a weekend special class for them. Or let’s say if you started knowing commonalities you found that 80% of your students also got tutored in math by two people. Well gosh, would it be wise to go to those two people and have them invite all of their students? Let’s say you found that 40% bought their clothes at a certain chain. Or like here, we’ve got three places to have our kids go to for skateboarding. Does that make sense?

It does, but here’s a key point though. A lot of martial arts guys, did their interpersonal skills with getting their foot in the door and dealing with a president of a company or a principal of a local elementary school, they may not feel comfortable with that. What advice would you give to them about still getting their foot in the door? Can they delegate this to somebody? There’s two approaches. The first thing that I would say is just like somebody may not be comfortable with martial arts and your job is to make them feel good about it and believe in them and have a hopefulness for them. My job is the same for you. If you understand that your leverage in life is massively enhanced by your ability to navigate negotiate, and if you fall in love with your students and your families, it will relieve most of the inhibition, most of the resistance level that you’ve got.

There’s a book I would recommend that each and every one of you get. It is a very easy book. It is called How to Win Friends and Influence People. And all it does is teach you how to fall in love with people that you want to impact. And it re-categorize. Just like you probably reframe martial arts in different manners that let the children or the parents really appreciate it. It reframes the intimidation factor so that you’ll totally eradicate and eliminate it from your mind. If you are totally hell bent on not interacting, then you need to bring somebody who loves to do that. I can explain to you on the next call, methods and means to doing that. But your ability to connect. See, the whole key, I’m going to teach next call the strategy of preeminence in its entirety. But the key to it is the leadership that you, the instructor, or the school had demonstrate in the classroom is the very same leadership you got to embrace in the interaction with the parents.

Not just a mindset, correct? It’s a mindset. But it’s a mindset that’s not grounded on money making. It’s not grounded on power mongering. Exgrounded on making the maximum impact you want to help the world you can’t help the world if you’re afraid to communicate You can’t help the world if you’re not if if they won’t follow you up a hill You can’t help the world if you don’t you can’t demonstrate You got a clear vision of what needs to be done and you’ve got a plan to do it You can’t help the world if you don’t believe that you really can make a better bigger Different is the difference in those people’s lives And if you can’t come up with great ideas, and I can brainstorm with you on the third call with some great ideas for this, but let’s hurry, because I want to stop.

I don’t want to take people off, but I want to close by a couple of things that I’m not quite there yet, Rob. First thing is you maximize the students. Next thing, you maximize the parents. First maximize referrals, then the students’ parents. Then you maximize more programming and extending it because it’s in the best interest of helping the students. Next, you go to the inactive mix who never converted because there’s going to be two dynamics working there. Number one, half of them never did anything and the problem still exists. Number two, half of them have other issues other than that problem. And you talked about five issues, way other issues which you never might have even talked about or which might be more pressing now. Number three, the ones that went to somewhere else or something else probably fell off the wayside wayside because you know that more than half fall off the wayside of yours and you guys are dedicated at the health clubs at the private trainers. They lose more than that. I know because I’ve helped all of them run. So you work that systematically and the last thing you do is work the activities you’ve got better that you’re already committed to. I don’t have time today but if you’re running ads you improve your headlines because that alone can improve your results by 5 by 3 to 21 times. If you’re getting leads coming in calls or visits, you work on your closing presentation because if you’re getting 50 percent, that’s very impressive.

[19:09] But if you’re getting 75 percent, that’s even better. Number four, you work on programming them from the beginning to the long-term expectation of you constantly growing them, advancing and adding more programs and that you’re going to check up on them every few months because they become your family. You love them and you fall in love with them and it’s a mindset. I can go so deep but what’s our time because my watch is fast? It’s twenty to four. So let me think if there’s something else. Yeah let me just leave by going through a list of things they can actually do to increase their… Well you know what? I’ll wait and do that first thing tomorrow. list of things they can do to increase the number of prospects and new students they get. But so let me- How long? How long are you at that time?

Number one is three ways to grow your school or your studio. Number one, it’s getting more people coming in. And you do that by having multiple activities going on and making sure every activity you do, you maximize, you don’t minimize. number two, you get them to come in for the longest period of time and the largest, not necessarily money upfront. Number three, you get them coming back for the maximum period and for the most amount of additional services, programs, events. The key to all that is knowing what they are worth to you so you can invest. And I give us hilarious. One of the guys we talked to did marketing for schools and he was telling how he did a test of an infomercial. We’re going to talk tomorrow morning about all the different methods you can do including radio infomercials and TV. And he said the infomercial cost $800. It generated, it generated, I think.

Twenty leads, every. Twenty leads, they closed six of them. The average lead paid $300 down. It was a $2,000 package. And the school owner didn’t want to do it because he didn’t think it was worth with wow, because it didn’t make a massive upfront profit. And I said, all things being equal, you’re saying that today I can put up $800 by Saturday at the end of the week. You’re going to give me, what is it, like, 1,200, which is a 450% return on investment in a week. And if you look at it annualized times 26, that’s like 1,200% or 1,000. But I’m going to make another $3,000 within a year on them. and you don’t want to keep doing that all day long as one of the multiple activities shame on you. You got to know what something’s worth. And that only happens if you go through a process and I’m going to teach you that process before the third call.

The next thing is you’ve got to have multiple activities working together, and that’s called the Power Partulon, building lots of pillars that are impacting the marketplace from many different ways. The next thing is you got to have sequential communication. get into that, but when we get a lead, when we get a buyer, we keep working, leads we keep working up to 25 times. Call, letter call, letting them know about reasons other people come, letting them know successes people have have, inviting them to activities, sharing with them interviews with successful people, sending them testimonials, showing them about events, giving them invitations, but it’s a sequential process because when you look at lead generating, Rob, and you really put a pencil to it, a leak can cost you $50, $100, $25. Following up 10, 20 times over 6 to 12 months cost you $8, $10 or nothing if you do it by phone and email in your off time.

But it needs to be strategic, which is the next thing. The difference between strategy and tactical thinking is prosperity and monstrous impact in the community or mediocrity and living your life with frustration because you didn’t make the impact you wanted. And again, if you take what you teach and you break it down and you mirror image and say, that’s all I’m teaching you, it’s pretty powerful. That’s probably a stopping point. I can go longer but I want to be respected. Ken, I just reiterate on one thing, Jay. You said that if you get a lead, you may follow up on at least 25 times or you move them to action? Well in lead generating, which is again, it’s science just like martial arts, people tell us they get 50% close. Well part of me is proud, part of me thinks you’re not really telegraphing the right message so you should get a lot more people in, because most of the ads don’t pull very well, do they?

[23:54] Um, no. And so when you look at lead generating, there’s three factors you look for. First is the cost of the lead, then the quality, then the convertability, how many leads convert, then the revenue per initial sale, then the residual or ongoing revenue, then the ancillary revenue, the referrals, the upsells that you get until and unless you know all of that, you can’t really understand lead generating. And a lot of people I interviewed, they look at every source of lead generating the same. Like I get leads free, so those are worth a lot more than leads I pay $25 for, that’s not true. We have found, I’ve generated millions and millions of leads through hundreds and hundreds of different lead generating activities and mechanisms. And you’ll find that different sources and forms of lead are going to be many times better. A lead for weight loss might be three times better than a lead for self-improvement.

A lead for self-defense might be one half as good as a lead for how to defeat a bully. That comes in testing, analyzing, measuring. And I’d like very much to get it, I don’t want to spend the whole session, but I think it’ll transform each and every person’s ability here to really do great. Now if you want to open the session for two or three minutes and take three or four calls on what we talked about, I’m willing to do it. I think we should do it. Okay. Tiffany? Yes sir. Why don’t we do that? And I apologize for going over. Those of you who have got to schedule that activity, but I only know one way just like you do it, it’s full out. Let’s do it. Okay. Okay. At this time, if you would have any questions, please press the number one on your touch tone phone.

Please only press the number one once. If you press it more than once, you will be removed from the queue. Questions will be answered in the order in which they are received. Oh, they aren’t going to remove you. It just cancels. You push one one time, it flashes and you push it twice. It turns, it’s like the call, it’s like the on an airplane. You push it once and it calls the person and you push it twice. It turns it off. Okay, we have a question from Bruce Costa. Hi, Bruce. Hi, Mr. Abraham. Thank you for your time. Okay, you’re really welcome. It’s just making sense to you. It is. I use, I have a small school in a moderate-sized town. I’m only two years old and I generate, I use, I implement three multi-tiered marketing programs per year with direct mail, newspaper ads, community outreach and calling.

Can I ask you a question, Bruce? Yes. years, that continuous or do you have just certain times you do certain things? Certain times of the year I do certain things surrounding community events and other events that I can tack on to. Okay and what’s your question? I’m not going to take you to task for that but I believe everybody should have multiple activities going constantly and there is a case year and different that was appropriate for Christmas or something you need to have lots of them but what’s your question? My question is I’m hesitant to direct my marketing toward anyone giving things. And a lot of NAPMA’s slicks come out saying, you know, try weight loss or don’t get bullied or so forth. And I’m concerned that that targets me too carefully and I’d rather bank on the equity of the word karate or the word martial arts and then because uh… you know every single person observing that ad is going to have a pre-determined i get the first peteri’s even though it’s disrespect sure i get real serious when i’m trying to get a lot of you what’s the question should i do what they say and and commit to one thing that it promotion or should i basically do karate is our promotion uh… i’m hesitant to go with targeting it too accurately when i only have so many answer the answer is i think both sides are fundamentally uh… well intended but wrong you should be able to test and we’ll get into testing first thing tomorrow because it’s going to blow your mind uh… you should be in its problem with robert you still there of course i am j and and buster going if i were doing any martial arts and i was trying a move and it didn’t work.

[28:30] That would tell me to do something else, wouldn’t it? So that’s like a pretest. I’m trying to use an analogy that’s real similar to some of the teachers here. Yeah. I mean, if you’re fighting another fighter and he keeps blocking your side kick, maybe you want to try a different technique. OK. So here’s the concept, Bruce. The first concept is there are probably eight different approaches you could create that you could run at the same time. If today I ran, I’ll give you an example. We used to run in magazine three different ads for the same product, but they were based on three different themes. Does that make sense? Yes. And all we cared about was this concept that I introduced briefly, but I didn’t develop well today. Business ROI. If I can run one ad that hits on weight loss, and that appeals to one segment of a market, and it costs $800 and brings in $1,000, but that $1,000 brings back $3,000 in year one.

I can have the same mechanism. Another ad is talking about self-esteem and it costs smaller. It’s 500, but totally different ad. And it brings in a thousand that brings in 4,000. I have another one that talks about stress reduction and another one. Why would I not do all of them? The goal in your maximum number of manageable marketing, maximum number, and and on categories and different media, meaning a lead from the local community paper may convert it 50%, but when you look at them, they may only stay for an introductory program and almost none of them go on, whereas a lead stay for three years. Until you know that, number one, you can’t know what to concentrate on, but number two, In my humble opinion, karate doesn’t demonstrate any benefit. It is the vehicle. People don’t necessarily want the vehicle until they know specifically what it does.

If you have statistics, we haven’t talked about this, but if you can say a method that’s going to improve your concentration and your performance on the job 50% and will lead to faster, bigger raises guaranteed and you’ve got research that will probably attract a certain kind of person. An ad that says the fastest, easiest, most continual way to lose weight enjoyably in one hour twice a week, that’s going to be different. You’ve got to analyze it, but I would say if you’re building a living with three promotions a year, one of which is this, one of which is that, and all of which are built on karate, that you are in for an exhilarating treat if you can embrace even a fraction of what I’m saying because as you start building multiple approaches that are built on multiple, I’m talking to the outside market and at the same time you start systematically and strategically working your existing student base, the parent base, the inactive base, the lead base for all the three or four different activities and you have a system in place and we didn’t get into systems process and procedures for managing, advancing, enhancing, sustaining, progressing, and maximizing, Rob.

[32:31] And that’s a whole, and tomorrow we’re buying the oven. It’s going to be great. The answer to your question is with all due respect, I think you’re wrong, Bruce. Is that okay? Thank you. Okay. Does that help? Yeah, yeah. Okay. Does that mean you agree with me? I mean, I’m going to put a lot of thought into what you said. Okay. Well, don’t put a thought into it. Put a pencil to it. what I say, believe the pencil. I mean if you look at that, the document I sent you, the three grades to grow business and you understand you’re working on geometrically impacting the audience. Let me give you guys all an example. Bruce, get back on the phone for a minute. Okay. If you had anything in your life you wanted to do that you put off, whether it be growing your school, working on your own, maybe you actually may have looked up or or seen an ad one time or something, maybe respond to it, not done anything, or maybe not respond.

But if you were hit, figuratively speaking, on many different planes, on many different facets of what it would mean to you continuously, it would have the positive effect of like the Chinese water torture. It would also move you by opening up more facets of the impact, the improvement, the benefit, the profound positive difference it would make, and you would be more inclined to take action, and at some time in your life, you’re gonna be more inclined. The hurt’s gonna be more, the need’s gonna be more, the receptors are gonna be more, but you gotta do it. Does that make sense? Yes, sir, it does. I can give you some examples, but I won’t. Okay, next one, Tiffany. Okay, we have our final question from Sangra. Hi, Sun? Sunga. Sunga, hi. Hello? How are you? Good, sir, how are you, sir? I am good. Is this stuff makes sense, or is it confusing?

It makes a lot of sense and the confusion. That’s okay because what I’d like you to do is everyone, email Rob if there’s an issue if you don’t want to get on the call or after think about because I’m trying to get a lot of grounding right away and I went at it a little bit three-dimensional because Rob very admirably asked questions for you but I would normally say marketing is the ultimate leverage. you do, you got like three different ways you can improve each activity by 20% to 21 times and 20 times 21 times 30 different things is off the wall. That’s how you grow. The reason you do it isn’t for the money, although that’s the benefit. The reason you do is because you’ve got a moral responsibility to do more in your community and play a part in everybody’s life for the longest you can because their life changes, they get stressed, they gain weight, they have problems, they have children and you can be they’re all their life and you need to be their instructor. What is the word rather sensei? You got to be the sensei. The light is through marketing. Marketing is the ultimate leverage and you do it because different people are attracted in the beginning for different reasons but they progress throughout. Okay, Song, that’s stated. What is your question? Yes sir. I live in a very interesting town. It’s consists of about 30,000 people and I only have one other competition and high level of income.

The problem with this town is that most people in this town can grasp it like what the benefits and I’ve done many advertisements and they can’t connect because they’re not really knowledgeable with martial arts. They can connect the benefits and martial arts and I have had very hard time convincing people to come in my door because they don’t really believe that the control and all those can’t help for their children. So what is your question? How do you do it? Yes, sir. I was wondering how I can answer. What was your question? Yes, sir. I was wondering what are the referral is the only thing that has been working for me. I’ll give you. And this is not one of the ways that I’ll get in tomorrow. But I’ll give you a really killer way that you can. If you guys, I’m going to use your own technique, your own science against your son, can I?

[36:49] Every problem that you’re confronting probably poses an opportunity, doesn’t it? Yeah. I don’t even know martial arts. Well, in marketing, it’s the same way. So let’s look at the problem. Nobody believes you, right? I’ve been teaching how long? I’ve only been business for six months. Okay. But in six months, have you had any students? I’ve had about 50. In fact, on those 50 students, different areas like Way, COVID impacted and all the interviewed on the various things they got out of it. a new city radio newspaper television can’t for them to do a three month challenge in about five activities and and show them what you know what a difference you can make in each can have them pick out 20 people who would who would volunteer or they would they would volunteer to take a three or six month training that would be monitored and measured. Yes sir. Does that make sense? Yes sir. Think that might be very interesting. Yes, sir. Very. Could you go to a big influential employer and say, I want to do a trade. You pick out, I’m going to show you, you give me your worst 10 sales people. I’ll put them through this and they will improve at least 10% in three months and you can monitor them. You give me your most unproductive factory workers and their production will go up 10%. You give me the most undirectable people and you come up with, I mean, you can do it with families.

You can go to social services and say, you give me 10 of the most incorrigible kids and I’ll teach them and all I want is for you to authorize it. And if I produce the results, you do recommend, endorse it and let me use it. Yes, sir. Does that help? Yes, sir. Yes, sir. OK. Tiffany, any more? At this time, we have no further questions. Rob, did we do OK on the first call? Yeah, I have to say, if you own the martial arts school, I think it would be the biggest day in school in the whole country. well but i can live the care sleep where on this call it’ll open their mind and allow me to explain myself in the beginning i might be a little a little abstract but you’ll force me to be specific because tomorrow last more questions okay tomorrow i’m taking the gloves off jay that’s good you know hit me hit me with it and i think i can’t robbie’s your advocate i got that they just like you can’t take somebody the most sophisticated moves and maneuvers you know triple black belt category the first day or week of their instruction, you got to set the foundation.

But we’re going to take this big time into good news, not unlike martial arts. There’s like 12 moves, 12 philosophies, 12 functions, 12 factors. If I can get you to realize, three ways to grow a business. Multiple activities give you geometric growth. Know the economics, the ROI. Maximize what you’re doing first because it hasn’t cost anything before you go outside. the power of geometry to bear. Everything you do has impact. You can make everything do 20 to 20 times more. There may be 30 different revenue generating or impact capable things you’re doing. And you’ve got to have multiple things going all the time and there are different hot buttons that alone. Nobody else you compete against gets. That’s only stage one. Rob, I think we should stop here. Jay this has been extremely enlightening and valuable and I just cannot wait until tomorrow. Thank you very much sir.

Very welcome and all of you thank you and I’ll try to be specific tomorrow but I need to set the stage. Tiffany I’ll see you tomorrow. Bye everybody.