⬆️Power Up Your Business Offers: Crafting Valuable Offers Your Customers Will Love

Hey business owners,

Regardless of what solutions your business offer, crafting your solutions to be irresistibly compelling and packed full of value makes it much more likely you’ll sell more to your customers.

The problem is crafting a high value offer that also reaches your ideal customer at the exact right time is much easier said than done. It takes deep knowledge of who your ideal customer is, research into your business’ positioning, your competition, good timing and knowing the fundamentals of packaging offers.

I first discovered Alex Hormozi through his YouTube channel where he shares lessons from his entrepreneurial journey. Recently, I read his book $100M Offers which needless to say I found inspiring enough to want to share my takeaways with you.

Today, I’ll summarize the main points of $100M Offers and the components you need to craft a valuable offer your customers will love, share a few examples of what Alex refers to as “Grand Slam Offers”, as well as questions for you to consider when building your offers. Let’s dive in!

In 10 minutes or less, you’ll learn:

✅ the core components of crafting a valuable offer

✅ examples of these offers in the wild

✅ reader critiques and questions to consider for your business

Alex Hormozi’s Core Components of Crafting A Valuable Offer ⚒️

#1 Pricing

A) To Grow Your Business You Need To:

• Get more customers

• increase their average purchase size

• Get customers to buy what you’re selling more times
  (Think of how we’ve seen a rise in subscription services for access to software that used to be buy it once and you own it for example)

B) Value vs. Price-Driven Purchases: A Grand Slam offer allows you to sell your product based on value not price.

What is it? A Grand Slam Offer does all of the below:

• Can’t be compared to any other product or service available because it’s in its own unique category of one

• Combines an attractive promotion

• Has an unmatchable value proposition

• Has a premium price

• Has an unbeatable guarantee with payment terms that allows your business to get paid to get new customers.

C) Why Price with Value over Cheaper Prices?

If your customer sees a cheaper version of the same thing you’re offering and the value they get with you isn’t clear, they’ll go to someone else.

The dilemma: you end up lowering your prices to match your competitors to keep your customers. Your competitors do the same thing eventually making the profits smaller and smaller for the whole market.

Focusing on value over price allows you to skip all this. The goal of your Grand Slam Offer will be to get more people to say yes at a higher price by increasing your ratio of value to price. For example, you only raise your price after you sufficiently increase your value.

D) Pricing where the market is means you're pricing for market efficiency or just above what it costs to stay above water.

Hormozi argues you need to charge a premium price if you want to best serve your customers.

When you decrease your price, you:

• decrease your client’s emotional investment since it didn’t cost them that much

• decrease your client’s perceived value of your service

• decrease your clients results because they’re not as invested to achieve

• attract the worst clients who are never happy until your service is free

When you raise your prices on the other hand, you:

• increase your client’s emotional investment and they lean in more/do the work

• increase your perceived value

• increase your client’s results because they value your service and are invested

• attract the best clients who are the easiest to satisfy, cost less to fulfill, and are most likely to receive and perceive the most relative value

• multiply your margins because you have money to invest in your systems to create efficiencies, hire strong talent, improve customer experience, and still make money.

• You’re more likely to enjoy the process for the long haul and not burn out.

#2 - The Best Type of Customer

In order for the pricing and the valuable offer you’re going to put together to work, it must be shared with the right kind of customer for it.

What to look for: 

1) Massive Pain - They must desperately need what you’re offering. The pain/problem they’re facing is your pitch and will guide how you package. Look in these three main markets: Health, Wealth, and Relationships.

2) Purchasing Power - Serve people who can pay for what your services/products are worth.

3) Easy to Target - Customers who belong to related associations, mailing lists, social media groups. They’re easy to find and send a message to online and off.

4) Part of a Growing Market - You want to craft a Grand Slam offer for a market that will be around in 5 years. Not a market that’s dying or is a passing trend.

#3 Build Your Offer:

• First, think of what you’re good at using the health, wealth, and relationships markets as a starting point
  

• Think about who might value your services the most/are in the most pain, who also has the purchasing power to pay what you want, and can easily be found.

A) The Value Equation

• Understand the details of value to charge the most for your products/services.

• Value is based on perception of reality. Therefore they must perceive their dream outcome and perceived likelihood of achievement as increasing and their perceived time delay and effort and sacrifice as decreasing.

Dream Outcome - the gap between their current reality and their dreams

Perceived Likelihood of Achievement - the probability that buying this offer from you will work and achieve the intended result they’re looking for

Time Delay between Start and Achievement - the time between a client buying and receiving the promised benefit. Includes both long term and short term outcomes

Perceived Effort & Sacrifice - the costs of effort + sacrifice. (This is why “do it for you” types of services are more expensive than DIY services.)

B) HOW TO BUILD YOUR OFFER

1) Identify your target audience and ensure they fit the criteria (massive pain, purchasing power, easy to target, part of a growing market)

2) Identify the dream outcome - what is the best case scenario for a customer purchasing your service/product?

3) List the obstacles encountered - what are all the problems that stop them from getting their above dream outcome or consistently sticking to it?

4) List the obstacles as solutions - transform the problems into solutions

Example: Problem→ Buying healthy food, grocery shopping. It’s confusing. Solution → How to make buy-in healthy food easy and enjoyable so anyone can do it (especially busy moms)

5) Create Your Solutions Delivery Vehicles (a.k.a. the how/the value) - think about all the things you could do to solve each of the problems you’ve identified. This is what will make up the offer of what you will do or sell or provide in exchange for money.

Example: For the above problem of buying healthy food. You could offer

a) In-person grocery shopping - taking clients to the store to teach them how to shop

b) personalized consulting on their grocery lists

c) full-service shopping, where you buy their food for them.

d) text support while shopping, helping them if they get stuck.

5) Think about what level of personal attention you want to give (1:1, group, large scale), what level of effort is expected from the customer (DIY, done for them, you support them along the way), what medium do you want to deliver it through (in-person, online, through the phone, chat support), how quickly you would reply to your customers, potential costs for each level of offer.

6) Narrow down the list — Now take your list of solutions and remove the high cost and low value options first. Then remove low cost, low value options. You’re looking for a solution where you have a low cost, high value and high cost, high value. Nothing in between.

7) Name the final high value offer solution, include deliverables/products/services included/ and attach a price tag

Examples of Grand Slam Valuable Offers 🗯️ 

Problem: Buying food

Solution Wording: How anyone can buy food fast, easy, cheaply

Named solution: Foolproof Bargain Grocery System - that’ll save hundreds of dollars per month on your food and take less time than your current shopping routine.

Price: $1,000

$3,500 of Value Included:

• 1 on 1 Nutrition Orientation (associated retail value $500)

• Recorded Grocery Store Tour (associated retail value -$99)

• DIY Grocery Calculator (associated retail value - $250)

• Bargain Grocery Shopping Training (associated retail value - $999)

• Grocery Buddy System (associated retail value - $300)

• Pre-Made Insta-Cart Grocery Carts For Delivery - Just click and receive the carts at your door (associated retail value $400/week)

• Weekly check-in text (associated retail value - $100)

Example: American Express Platinum

Massive Pain: ✅ Navigating Travel Rewards + Insurance + Perks across the travel ecosystem domestically + internationally

Purchasing Power: ✅ Amex Platinum card holders are happy to pay a $695 annual fee and use their cards often

Easy to Target: ✅ Easily found across social media, in airports, on travel websites, etc.

Part of a Growing Market: ✅ Travel is a 742 billion dollar industry expected to grow tremendously by 2030.

Value Received:

• 5X points per $1 spent on pre-paid hotels through Amex Travel

• The best airport lounge access - over 1,400 lounges worldwide including luxury lounges

• 5X points per $1 spent on flights

• Annual + Monthly statement credits ($15/month Uber credit, $100 Saks credit, pre-paid hotel credit - $200/year, Walmart+ credit, CLEAR credit, TSA pre-check credit, digital entertainment Equinox credit) - easily totals over the annual fee cost

• Access to Amex hotels + fine hotels and resorts collection - guaranteed best prices

• No foreign transaction fees

Critiques + Questions to Consider 🤔 ❓️ 

Reader Critiques:

As with any decent book published, there will always be critiques on GoodReads. Here are a few from the thousands of readers of this book.

Critique #1: The book didn’t list external sources. (This may have been because it’s written from Alex’s perspective and includes multiple chapters on his beginnings and lessons learned along the way)

Critique #2: The book gives the impression that you have to be a great copywriter (This is true to an extent, strong copy is what helps sell products and services for a business but it’s never explicitly mentioned that you have to be the one writing the copy and/or that you have to have an advanced ad copywriting background to be successful)

Critique #3: The vocabulary is too difficult and on the flip side, a few said the vocabulary used was too basic. (There was a mix of business vocabulary that was defined and everyday words used in the personal experience sections)

Critique #4: The book listed references and mentions of Alex’s current website (Acquisition.com) (This is highly common of business books today. The reader has the choice to follow the QR codes or URL links if they want more info)

Questions to Consider For Your Business:

1) Have you named your high value offers to include relevant keywords tied to the problem and solution you’re solving?

2) In what ways can you make the value given through your products or services more clear and where? (Think on your website + socials, adding in associated retail values to show they’re getting $10k in value for $100 for example)

3) Are you offering bonuses in some form that relates to the offer or the amount of dollars they spend with you? (Ex: Loyalty programs, free guides/resources to help them learn how to use the new product you’ve sold them in different scenarios, etc.)

ABOUT VERSA STRATEGY

Chandler Kirkman is the driving force behind Versa Strategy. She’s on a mission to elevate businesses’ marketing and empower Creative Strategists to think big picture about the business landscape.

In the past decade, Chandler has consulted with over a hundred businesses of various specialities from Fortune 100 companies to local small businesses. By infusing branding, advertising, and marketing efforts with her signature blend of creativity, strategic thinking, and enthusiasm, she cultivates a dynamic and empathetic approach that helps business owners better connect with their customers.

LET’S CHAT! [email protected]

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Note: This post is not sponsored by Acquisition.com, Gym Launch, or Alex Hormozi