Give More, Ask Less Building Goodwill and Making Money Ep 569



In the episode, the host discusses effective strategies for monetizing online presence without alienating your audience. Highlighting the importance of the give-to-ask ratio, he emphasizes the concept of providing value before making sales pitches, as popularized by Gary Vaynerchuk's "Jab, Jab, Jab, Right Hook." Drawing from his personal experience and media industry standards, he recommends giving generously in public and selling in private, ensuring that asks are infrequent and well-timed to maintain goodwill and audience growth. He also teases his upcoming book, "100 Million Dollar Leads," and a related free virtual event, underscoring the long-term benefits of building an audience and exercising patience in business growth.

Summary Notes

Making Money Online Without Feeling Sleazy

  • The speaker addresses the challenge of monetizing online without alienating friends and family.
  • They offer a step-by-step guide based on their personal experience in obtaining clients via social media.
  • The speaker introduces their upcoming book "100 million dollar leads" which provides further insight into the topic.

So you want to make money online, but you don't want to feel icky or sleazy to the people who know and love you when you ask them to give you money.

This quote introduces the dilemma of wanting to make money online but not at the cost of personal relationships or reputation.

The Importance of the Give to Ask Ratio

  • The speaker discusses the importance of balancing how much content or value is provided ("give") versus how much is requested from the audience ("ask").
  • They mention a friend's podcasting experience as a cautionary tale of asking too much from the audience.
  • The concept of "jab, jab, jab, right hook" by Gary Vee is referenced, which suggests providing value before making an ask.

And so the key point I'm going to talk about today is mastering the give to ask ratio.

This quote emphasizes the central theme of the discussion, which is finding the right balance between providing value and making requests.

Media Companies and the Give to Ask Ratio

  • The speaker references how media companies have extensively studied the ratio to maximize profit without losing their audience.
  • They provide specific ratios from television and Facebook to illustrate the balance between content and advertising.
  • The speaker suggests a personal tweak to the give-ask concept, proposing to give until the audience initiates the ask.

The good news is that this ratio has been incredibly well studied.

This quote highlights the significance of the give to ask ratio and its impact on audience retention, as studied by large media companies.

Give in Public, Sell in Private

  • The speaker advises to give publicly and sell privately, reinforcing the brand and growing the audience.
  • They discuss the psychological principle of reciprocity, where giving leads to an obligation to comply with future requests.
  • The strategy allows for building goodwill at scale, which can then be converted into sales or other actions.

Whenever you give, you deposit goodwill into the audience, right? And it basically precedes reciprocity, because from a persuasion perspective, if you give someone something first, they're far more likely to comply with your request later, right?

This quote explains the psychological underpinnings of the give-first approach, emphasizing the importance of establishing goodwill before making asks.

The Power and Impact of Goodwill at Scale

  • The speaker describes how providing value can create goodwill among a large audience.
  • They explain that this approach can lead to a sense of indebtedness in the audience, making them more likely to respond positively to asks.
  • The strategy is presented as powerful and cost-effective, as it leverages media to reach many people while funneling benefits back to the content creator.

You can gain goodwill and provide value to millions of people at once, but then it all funnels back to one person, and that's why it's so powerful and it's free.

This quote captures the essence of the strategy, illustrating how providing value at scale can benefit the individual content creator through the principle of reciprocity.

Importance of Audience in Business

  • The foundation of any business is having customers to sell products or services to.
  • Building an audience is crucial because the audience itself is an asset.
  • The value of content lies not in its longevity but in its ability to attract new audience members.
  • A content strategy focused on giving can lead to a self-sustaining audience that doesn't require direct asks.
  • The speaker has experienced success by creating business content that attracts profitable businesses for investment opportunities.

If you consistently give and give and give, then what happens is your audience compounds. And this was something that I didn't understand for a long time was that the audience is the asset, not the content you make.

This quote emphasizes the importance of giving value to the audience consistently, which leads to audience growth. The speaker highlights that the real asset is the audience, not the transient content produced.

Advertising and Return on Investment

  • The speaker has a high return on advertising investment, with a 36 to one ratio.
  • This return was achieved through a decade of honing advertising skills.
  • The speaker's upcoming book, "100 million dollar leads," is a culmination of this experience, offered for free to help others.

Meaning for every dollar I put in, I get $36 back.

This quote illustrates the speaker's successful advertising strategy, where a significant return on investment is achieved for every dollar spent on advertising.

The Concept of "Asks" in Content

  • "Asks" refer to promoting one's products or services within content.
  • There are two approaches: integrated and intermittent.
  • Integrated asks are woven into the content naturally and work well with long-form content.
  • Intermittent asks are inserted between content pieces and suit short-form platforms.
  • The frequency and ratio of asks to content are crucial for maintaining audience goodwill.

Now, there's two ways that asks work in content.

This quote introduces the two strategies for incorporating promotional messages into content, which are essential for content creators to understand.

Integrated Asks

  • Integrated asks should be a small percentage of the total content to maintain audience engagement.
  • The ratio of content to asks should be at least three to one, mirroring the maximum ratio found in television advertising.
  • The speaker prefers a ratio of 98% content to 2% ask to preserve audience goodwill.

Integrations work better for long form content.

This quote explains that integrated asks blend seamlessly into longer content formats, such as books, videos, and podcasts, without disrupting the audience's experience.

Intermittent Asks

  • Intermittent asks are brief and placed between regular content posts.
  • They are more suitable for social media platforms with short-form content.
  • The speaker suggests a maximum of 3% of content to be asks, equating to one or two posts a month.
  • The cost of an ask is measured in the potential loss of audience goodwill, not money.

Intermittent is typically better for short form platforms.

This quote advises that for short-form content, like social media posts, intermittent asks are more effective and less likely to alienate the audience.

Content Creation and Social Media Utilization

  • For those new to content creation, leveraging social media is a recommended starting point.
  • The speaker implies that using social media is a given in modern content strategies.

So if you're new to making content now, hopefully you've been using social.

This quote suggests that for newcomers to content creation, familiarity with social media is expected and beneficial for building an audience.

Personal Use of Social Media as a Foundation for Business

  • Social media usage in a personal capacity can inadvertently create value for followers.
  • Establishing goodwill through personal interactions can be leveraged for business purposes.
  • Transitioning from personal use to business announcement should be straightforward and genuine.
  • Offering something of value, like a free product or service, can be an effective way to engage an audience.

"But if you've been using it like a person, so like, you post on Instagram, like when you go out with the boys or whatever, you use it like a user might use it, right? Believe it or not, you've actually been providing value to certain people for an extended period of time."

This quote emphasizes that personal social media use can build relationships and provide value to others, which can be beneficial when transitioning to a business use.

"If you make your first post what I would just call like a declaration of business, which is just saying like, hey, you guys have maybe been following me for a while. You might know me, you might not. From personal, from college, from work, from out of the bars. This is what I'm doing with my life now."

The quote suggests that a personal approach to announcing a business venture on social media can be effective and relatable.

Leveraging Personal Connections and Goodwill

  • Personal connections can be a valuable asset when starting a business.
  • Goodwill accumulated from personal interactions can lead to business support.
  • The initial business announcement should be an invitation rather than a hard sell.

"And I wouldn't normally say this, but I think there's some element that I can appreciate of if you took an action and you get immediately reinforced are taking it, then you'll believe that this could actually work for you."

The quote highlights the psychological impact of immediate positive reinforcement when taking the first steps in a new business venture.

Example of a Successful Business Declaration

  • Sharing a personal journey and passion can resonate with an audience.
  • Demonstrating the value provided can encourage engagement and support.
  • Transparency about one's own limitations and strengths can build trust.

"This is April 9. I'm actually coming up on ten years. I hit my decade in business. How about that shit? For those of you who know me, you know two things. One, I am terrible with all things technological still true. For example, I just heard about Spotify a few weeks ago. Seriously. Two, I love training, nutrition and fitness more than, well, a whole lot."

The quote provides a personal reflection on the speaker's business journey and shares an honest self-assessment, which can foster a genuine connection with the audience.

Value Exchange and Testimonials

  • Providing value without direct payment can be a strategy to build credibility.
  • Directing payments to a cause can enhance perceived value and commitment.
  • Testimonials from those who have benefited can serve as powerful endorsements.

"Give value for an extended period of time for a small group of people to prove that you know what you're doing so you can get testimonials, by the way."

This quote suggests that providing free value is a strategic move to gather testimonials and prove expertise.

The Impact of the First Business Post

  • The first post declaring business intentions can lead to tangible results.
  • Aligning business offerings with personal identity and history can ensure coherence and authenticity.
  • A light ask in the first post can be an effective way to request support without pressure.

"But making that first declaration of business post was actually how I got my 1st 20 paying customers."

The quote demonstrates the practical impact of a well-crafted business announcement on social media, leading to the acquisition of paying customers.

Strategic Content Sharing and Audience Engagement

  • Before making an ask, it's important to show the audience what you have been working on.
  • The timing of the ask is crucial to maintain goodwill and avoid appearing exploitative.
  • Leaving money on the table can sometimes be part of a long-term strategy.

"Now, if you have no content up to that point, show them what you've been up to and then you can make your ask."

This quote advises on the importance of establishing context and showcasing one's work to the audience before making any business propositions.

"And if you're wondering, well, at what point do I fully right hook my audience and just drain it of goodwill? Real talk part of the game is, quote, leaving money on the table."

The quote addresses the delicate balance between monetizing one's audience and maintaining goodwill, suggesting that sometimes it is beneficial to not exploit all immediate financial opportunities.

Timing of Endorsements and Deals

  • Endorsements and business deals have a time component that significantly impacts potential earnings.
  • Declining an endorsement today could lead to better opportunities as one's audience and influence grow.
  • Patience and strategic timing are crucial for maximizing future gains.

If the rock had done that deal at that time, he might have actually lost out on what he ultimately made with Terramana.

This quote highlights the importance of considering the timing before agreeing to endorsements or business deals, as premature decisions can lead to missed opportunities for greater success.

If I say yes today, it's probably going to be a bad deal for me because in two years, my audience would be significantly larger and so will yours.

This quote emphasizes the potential growth of one's audience and the corresponding increase in the value of endorsements or business collaborations over time.

The Concept of Operationalizing Patience

  • Operationalizing patience involves finding productive activities to engage in while waiting for the right moment to capitalize on opportunities.
  • Patience is not simply waiting but actively preparing and positioning oneself for future success.

Operationalizing patience is just figuring out what you do in the meantime.

This quote defines operationalizing patience as a proactive strategy, focusing on actions taken during the waiting period to ensure readiness for future opportunities.

Supply and Demand in Content Creation

  • The balance of supply and demand is a critical driver of pricing power and profits.
  • Content creators can manipulate demand by producing content that attracts an audience, while controlling supply to maintain scarcity.
  • Increasing demand while limiting supply can result in higher prices and profits.

The strongest driver of pricing power and profits is supply and demand.

This quote underscores the fundamental economic principle that the relationship between supply and demand dictates the value and profitability of goods and services.

When we make content, what we're actually doing is artificially shifting the demand curve in our favor.

This quote explains how content creation can be used to influence demand, thereby enhancing one's market position and potential earnings.

Growth Strategy and Brand Compounding

  • To grow rapidly, one should focus on giving value to the audience, which in turn attracts more interest and opportunities.
  • A disproportionate ratio of giving versus asking (e.g., 30 to 1) can optimize growth and enhance brand value.
  • Long-term success is built on the compounding effect of brand equity and audience loyalty.

I'm all about growing as fast as I possibly can, which means you got to give as much as you possibly can.

This quote advocates for a generous approach to providing value as a means of accelerating growth and building a strong brand presence.

The more I hold back my ask, the bigger it will be.

This quote suggests that restraint in making direct requests or offers to an audience can lead to more significant opportunities in the future.

Exclusive Access and Event Promotion

  • Offering exclusive content or access to events can create urgency and increase engagement.
  • Utilizing technology to provide benefits exclusively to live participants can incentivize attendance and build trust.
  • Promotional strategies should create a sense of exclusivity and anticipation for future offerings.

I'm doing that because I know I'm going to piss off 99% of people who are not there.

This quote reveals a deliberate strategy to create a feeling of missing out, which is intended to drive attendance and participation in future events.

You're going to want to be there.

This quote is a direct call to action, emphasizing the desirability of being present at the event to gain access to valuable resources or information.

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