Make Your Professional Services Business Magical With What We Call The Magic ThreeApr 07, 2021
Business owners, on average, are notoriously stressed out. Especially the kind we love to help. Service professionals who offer incredible value in their marketplace deserve more than being overworked and underpaid.
So in this post, I'm going to let you know about what we call the Magic Three here at Tellus Media. (I cover this in detail in my new book Magnetic Micro-Books. Grab it here.)
Basically, for your business to grow in a sustainable way that is peaceful and at a pace that you like, you'll need three specific offers.
You'll need SLOs, Leveraged Offers, and Premium Offers. And these three build on each other in a very strategic way.
Let's jump in...
The Magic Three, Part I - SLO
If you're not familiar with an SLO, it's an "iTunes" or "Amazon" experience. It's a specific deliverable that we say we'll give someone for a low price of $X. We don't call them leads or contacts. We call them customers, and they get a customer experience. This is the most powerful way to build trust. When someone has a buying transaction with you and receives a quality product in return, you've earned their trust and have their attention.
What does SLO stand for in marketing?
A self-liquidating offer is a type of marketing campaign where the product being sold is not typically priced to make a profit. It's priced to generate a new customer. This means that you are liquidating your advertising spend for every item sold and generating a new customer at the top of the Magic Three funnel. Research has shown that existing customers are 12 to 16 times more likely to buy from you again in the future. So rather than trying to generate leads in your business, you should put forth the same effort to create new customers in your business. Even if this means you're selling something for just $1.
Why do you need self-liquidating offers?
As I've said, they build trust, and people who are warmed up to trust you are easier to bring into your business's back-end offerings. None of this is new information. But somehow, it's gotten lost in all the marketing noise you see across social media these days.
Think about how most social media is being used today. People are building audiences, and then they offer something for free to get an email address.
But they've already been giving them so much value upfront on the social channel, to begin with. They've been grinding each day, testing new content pieces day after day in the social media rat race. Grabbing the eyeballs of their audiences and holding them there long enough to get them to do something. And finally...
They offer a lead magnet?? Are they crazy??
You have the attention needed for generating a customer right away!
So just make the offer! You can build trust in an instant and turn that trust into a new customer for your business. And the beauty of doing this is that it builds your marketing ROI because when you land a new customer, you're not simply building an email list... but you're building a buyers list. And the relationship you have with that list is the most valuable thing your company could have.
Unfortunately, that's where most people getting into an online business would stop. They sell one thing. Maybe an online course for $200 or something similar. But you need the rest of the Magic Three if you want a Magic Business...
Awesome! Now you have a new customer... And as Dan Kennedy famously said:
"A buyer is a buyer is a buyer..."
The Magic Three, Part II - The Leveraged Offer
The second part of The Magic Three is what we call a leveraged offer. These are mid to high-ticket offerings that bring a considerable amount of value to the end-user. They could be group coaching programs, monthly continuity memberships, or anything that doesn't require a lot of energy or time on your part.
These could be priced anywhere between $1,500 and $5,000 or more, depending on your market. It could be software subscriptions in the $50/mo or higher range. But if you're a service provider trying to stop trading time for money, this offer is your best friend. It allows you to finally escape the freelancer rat race of being underpaid and overworked.
The Magic Three, Part III - Premium Offers
The third part of The Magic Three is your premium offer. This is where you make the most money as a business owner. It's what allows you to truly step out of the competition and create a lasting legacy for your family that lasts years beyond your initial efforts. Most business owners will never have something like this. They don't want to take this on as it involves a lot more than just spewing out marketing messages all day long.
To make matters worse, online marketing gurus are spreading a message that you need to have high-ticket back end offers like this without understanding the Magic Three. So you have newbies going to the marketplace trying to get people to sign up for a webinar which is really just a big sales pitch for their high-ticket coaching program.
This type of guru Lambo marketing is all over the place now.
But they're right on one thing:
You do need to have a premium offer because it gives you the ability to provide services at your highest level to the types of clients you dream of. Some examples of Premium Offers would be "done for you" services or higher touch coaching and consulting that requires your time. You should be charging anywhere from $5,000 and higher for these offers.
Sadly most professional service providers start their businesses doing DFY because it is the easiest way to make quick money. But in truth, they've really just gone from working in a job to owning another job. And in most cases, it's worse because you can't clock out anymore. People paid you to get something from you. You may be in demand, but lower-priced professional services attract lower-quality clients... In turn, you have a lower quality of life.
But if you turn all of this on its head and design The Magic Three correctly, you've suddenly got something altogether different.
Now you're going from renting out your time to owning an asset. Now you can only work on projects that bring you joy and provide a deep level of fulfillment.
To sum up:
If you're in business, you need to stop giving away stuff for free and start acquiring customers with a self-liquidating offer. With all the social technologies today, you're able to give away so much for free already. Go ahead and offer something to sell for $10 just so you can take the relationship further and bring them into your Magic Three slot machine.
After getting customers in your business on autopilot with an SLO, you ascend them into leveraged service offers that allow you to scale. They don't have to require much, if any, of your time.
And lastly, if you want to put the big bucks in your pocket, then you need Premium Offers in the form of DFY services, high-touch coaching, or consulting.
There ya go...
But you may be wondering. Nate, what kind of SLO should I build?
I've got the perfect answer for you:
You need to write a short book and sell it for $5.
That's what I do!
And you can learn about everything I just laid out in even greater detail in my book Magnetic Micro-Books at the link below...
Sell A Magnetic Micro-Book
Here's the simple 7-figure system that turns high-ticket webinar models on their heads. I leave nothing out in my new book! You'll learn the 4 step process for attracting your Dream Clients by selling short $5 books.