Hey, there this is Rajat here from Startup Frat welcome to this video how are you doing I hope you enjoyed yesterday’s video I got a lot of questions comments and emails saying uh asking me a couple of doubts I just wanted to clear the doubts in this particular video okay so just put on your put out your notes pads notepads and pens and put on your seat belts okay.
So the questions were very simple why do you say that putting posts on Facebook will not get me business because I am getting business that’s awesome why do you say that putting posts on Facebook is only one step because hey I can always call them I can always messenger them I can always WhatsApp them or whatever that is also true, yeah so I’d just like to clarify all of the observations and comments okay.
Having a doctor’s medical doctor’s degree and no MBA whatsoever yeah in my quest to learn sales and marketing customer behavior with regards to money uh I very soon found myself you know partnering up with a team of people to found a startup uh which was operating in three countries Philippines India and uh in silicon valley and uh my mentor at the time the CEO of the company you know he was he
Had this you know he had this understanding of how do you actually create a predictable format of getting customers, okay and the format is this the first time you ever see a product or service okay so let me just simplify that your customer is basically sitting inside a train on the window
Seat and the train is moving at 100 kilometers per hour, okay and your business is outside either on the road or in the market or on the platform where the train passes through at 100 kilometers an hour okay now you could be the best possible business in the world like a restaurant with the best possible cuisine in the world you know like a mobile phone store with the best possible offers uh
You know in the world but when the customer passes by at 100 kilometers an hour okay you will not be able to whatever you do at that particular step you will not be able to convince them to pull the chain stop the train get off the train and buy a product from you first inquire about the product then decide okay this is how much I should pay and then if the price matches yeah I think this is a good price then actually
Buy it from you regardless of how cool you are what the coolest cat and everything you are it doesn’t really matter okay so it is very difficult to get a first impression okay and then sell to the customer because the customer is on a moving train what is this moving train is the cell phone, okay and they’re constantly looking into this phone thing and this thing is always moving yeah WhatsApp always moving newer and newer
Messages coming up in the WhatsApp groups Facebook always moving boom have you has it ever happened to you that you click on a Facebook video which you find interesting it takes you to the Facebook video library you keep watching the video the second or the third video in the sequence and then it automatically reboots and it brings you back to your home screen yeah so these algorithms are built to refresh every 10 to 15 seconds in order to keep grabbing
Your attention with something new okay let me ask you this very simple question why is it that all of this information which is all the sales marketing money information is already on YouTube why is it that you are not a billionaire yet okay all the health information in the world how to lose fat how to gain muscle how to eat healthy it’s already on YouTube
Why haven’t you developed a six pack yet yeah the reason is that whenever you see anything for the first time or even probably the second time you never ever take a decision and that distance between the impression and the decision yeah I’ll make an eye over here this is a human eye, okay and this is a financial decision the distance has been growing wider and wider
Yeah because too much confusion too much content the customer is always looking into that little window which is the cell phone and everything inside that window is moving at 100 kilometres per hour you could be the coolest cat in the whole world and you will not be able to convince a customer the first time they see you okay the first time they see you you’ll not be able to convince a customer we have a lot of in our academy segment we have a lot of financial
Advisors we have a lot of real estates uh brokers and advisors we have a lot of multi-level marketing agents and they are now starting to understand this this this fund that why is it when you call a person for the first time and you ask them hey do you want to make money and they say yeah and when you go to their house and present your business plan or your mutual fund plan or your real estate investment deal why do most people say
Yeah say no that’s because there’s too much noise in the head okay that all the noise in their head is just basically you know caused by the cell phone and they keep looking into the cell phones 100 kilometers per hour is moving right so the distance between the impression and the decision is wider than ever it’s wider than ever people are not taking decisions in one meeting two meetings three meetings etc okay which brings me back to
Marketing cost the way decision taking happens is let us say the first time you meet a customer or you call a customer or they see you somewhere let us say they come to your website or they see you on Facebook you grab something called their attention okay now the attention does not mean
That there is interest okay you look at a lot of stuff on Instagram it is attention but is there interested I guess not I hope not right so Instagram, for example, is built to garner attention but does that also mean interest the answer is no there needs to be a way to convert attention into interest and the platform which could be Facebook does not take the responsibility of converting attention into interest you have to take
That responsibility as a business owner is okay and then the interest has to be converted into a desire I’m interested in it I said are you interested in making money yes can I come over to your house yes by the time you show up show your business plan whatever mutual fund they’re not interested because they have interest but they don’t have desire they have an interest they don’t have desire what happens when you show your
Product and they say well that is great that’s very interesting I want to take an I definitely interest me and I’m very desirous of doing this but let me come back to you later when I talk to my Mamaji’s son’s father-in-law because he has also done something like this I want to check with him first okay let me come back to you after three days four days seven days after I’ve done my Youtubing googling Amazoning whatever it is
They never come back to you yeah what happens is that desire has to be converted into commitment okay commitment how what is commitment is either advance payment or a full payment how do you gather commitment they have to put their money where their mouth is yeah put your money where your mouth is that is commitment okay so attention interest desire and commitment.
I didn’t I didn’t uh invent this model is invented in the 1840s in America by some guy okay so attention interest desire and commitment now what Facebook does is it reduces the cost of getting attention very simple you will buy a database for letting us say four thousand rupees and it will have let us say ten thousand records twenty thousand fifty thousand records that is four thousand rupees gone then you will pay an employee
Twenty 000 rupees a month which is about 100 rupees an hour and in about eight hours of work of or 10 hours of work which is 1000 rupees they will make 70 phone calls out of these 70 phone calls you will probably get the attention or the interest of maybe seven people okay maybe seven people so every piece of interest or inter or desire interest
Or attention is causing you that is costing you let’s say 150 rupees per 150 rupees, okay so you paid a lump sum of 4000 and then you’re paying 150 rupees every time somebody picks up the phone and says yes that would interest me, okay one in three of these appointments will actually happen because they get con they get canceled postponed whatever right so one in three of these
Appointments actually end up happening so you’re paying roughly 300 rupees only to get a person who will or actually 450 bucks only to get a person who will actually attend a meeting the cost that you spend going to meet them in your car or bike or the cost the waste of time that you have to do in order to get that meeting and the one-hour meeting that you spend in their house is all other wasted money
I won’t even get into that let us say your target income your personal target income is one lakh rupees okay so your basically rate per hour is 500 rupees you spend one hour going to their house one hour sitting in their house one hour coming back from the house you just spent 1500 rupees so what is the cost of every sales meeting is 1500 plus 450.
Okay equals roughly 2000 rupees, okay one in five of these meetings will result in a sale which means to get a sale you’re spending 10000 rupees okay now if you could somehow reduce the cost of getting attention and interest, okay this whole thing would become worthwhile for you right now if you spend 10 000 rupees selling to a customer getting them into your
Multi-level marketing scheme or whatever it is and they don’t end up working then all these 10000 rupees is a waste you can sponsor them all you want okay or if they buy a mutual fund but they spend only 5000 rupees in that mutual fund you don’t make 10 000 rupees in commission so it’s a waste of money if you’re selling a product if you’re uh if you’re a business owner let’s say you’re an architect you go to somebody’s house show them the presentation show
Them the different options and they don’t sign up with you or they sign up with you for a very small amount only tiles let me just get in one and a half lakh rupees you don’t even carry a profit of ten thousand rupees in a deal of one lakh one and a half lakhs okay so all your time in life is getting wasted right so the only thing that Facebook does it reduces the cost of your attention and interest it will say instead of 150 bucks you will
Get it from us at 50 does that mean that you will suddenly start making money no unless you have this other machinery built in you will not you still not make money so just because people you get cheaper impressions okay if you still have these people where is the biggest cost going it’s not in the database the biggest cost is having somebody paying them 20000 rupees a month which could be a social media
Manager or whatever you have paid them 20000 rupees a month to deal with all these people get you the meetings and the rest of the spends is stay the same you’re still paying instead of 10000 rupees you’ll probably be paying 9 000 rupees per customer acquisition okay so Facebook will not work for you right so what you need to do is you need to have a system which converts attention to interest
Interest to desire and desire to commitment okay you could do a lot of this manually having your own social media manager your own telecallers your own sales people or you yourself doing all of these things okay but unless you have figured out how much it costs you to acquire a customer this way and is there a better way to reduce the overall cost of doing this you will not be profitable and not only that in the lockdown they will not even allow you to
Operate what is the government saying you are a social hazard if you keep your shop open you are a social hazard okay so uh so if you’re a small business owner brick and mortar or you’re a reseller business owner like you’re a multi-level marketer mutual fund salesman real estate broker or agent and this interests you then I would like you to invite uh invite you to meet our community members Sachin who started I
Mean who had a travel agency business but in the middle of the lockdown he changed his entire business model of acquiring customers and he pretty much was able to automate a lot of it using a little secret that we teach in our academy program which is called selfie video okay selfie video now this selfie video is not the kind of selfie video that you make for Instagram hey man guess what we are doing this my travel agency please come over we don’t do that
But there is a way in which we format all of these videos and create a system where a person where these videos go out and on your behalf, they get the attention they convert it to the interest they convert to desire and then there will be a certain point when you do have to come in and the customer will definitely ask you a couple of questions before they pay your lack of peace or whatever it is right so if you would like to
Meet with Sachin and get to understand from him how it’s going to work then we’re going to have a live session with him it’s going to be free for hangout members so if you are watching this in the hangout it’s free for you then what I want you to do is go below this video and comment loop me in okay loop me in you’re going to have it in the next couple of days and you can also meet
Sachin is in our 6 a.m. club so I’ll let you know where to find him and everything but just write and loop me in and that way you know we will run a promo where you’ll have all the details of the YouTube Facebook live and everything and you’ll be able to tune in now if you’re watching this video on YouTube or anywhere else than the hangout then all the action is in the hangout okay so if you would like to join a
Hangout which is twenty thousand plus professionals club level membership free content and training then just head over to startupfrat.club/facebook and apply to join our hangout okay just apply to join our hangout and uh the membership is free right now but you know we usually charge 150 rupees a month to be in the hangout okay I’ll see you bye.