- Hey there, Dan Martell here.
Serial entrepreneur, investor and creator of SaaS Academy.
In this video I'm gonna teach you the five key components of
Extreme Revenue Growth and be sure to stay to the end where
I share with you how to get access to my Weekly Sync format.
It's seven steps of running your weekly agenda with your team to
get them clear on outcomes, understand the core metrics they
need to be executing against and make sure that everybody feels
like they have a sense of purpose in their workweek.
(upbeat music)
Now I have read over 1,000 business books and all of the
top books on business growth.
We're talking Traction, Scaling Up,
Double Double, Good to Great. You name it, I've read it.
I'm telling you there's a sleeper book the market that
you've probably never heard about.
I got it from my buddy
Chandler Bolt as a recommendation.
I think it's self published
and I'm telling you it's an incredible read.
It's called Extreme Revenue Growth by Victor Chang.
I've had the privilege of emailing him
back and forth about the book.
I liked it so much that I bought copies
for all of my coaching clients.
'cause I wanted them to get access to the information.
So what I'm gonna do in this video,
I've never done a book review but in essence I'm gonna
deconstruct my five top takeaways and strategies that
I think you need to understand
to get the most growth in your business.
One, target a customer that's aware of his problem.
Now one of my rules is you need to feed a starving crowd.
If you want to build an incredible business don't try to
sell something to somebody that doesn't have the problem.
I can't tell you how often I get founders that see me doing
social media stuff, YouTube stuff,
email automation stuff, business investing or whatever and
they're like, "I've got this tool.
"I'd love for you to use it.
"Let me know and I'll reconfigure all your videos,"
or, "I'll reconfigure your workflow
"and I'll do it for free.
"I just want you to use my product."
And I have to remind them that I don't have the problem.
You didn't even qualify me.
You didn't even ask if I needed a solution to that problem and
you just think that because I don't want it I don't care or
I don't think it's a good idea.
Look, at the end of the day your job is to find the customers
that have the pain that you can solve.
If you're trying to sell something to a market that
doesn't have the problem, you're gonna waste your time and you
could, worse, take it at a negative signal that maybe
there's no need for your solution when there does exist
one if you go look further.
So one of my overarching rules is only help
the people swimming towards you.
If they're not, totally cool.
Maybe later there'll be a need and you can serve them then.
So that's number one.
Number two, promise your company makes.
Think about this, if you want to differentiate yourself in the
market you need to make a promise to the market.
You need to stand for something.
You need to say some kind of guarantee,
some kind of promise, some kind of thing that makes you stand
out from everybody else. Right?
And this is not only a driver for external communication but
this is a driver for internal communication with
your team to get them excited.
So maybe it's your guarantee.
Maybe it's the way that you focus
on your product interface design.
Maybe it's the experience that you deliver your customer
through customer success.
Whatever it is, you gotta ask yourself what is the promise we
make to our market that we stand by,
that's differentiated, that's powerful enough to get people to
sit up and listen.
Number three, distribution channels.
Now, when I think about companies that've scaled fast,
have gone to market, have built top line revenue very fast,
I think of BioTrust in Austin.
They went to market I believe hit $100 million in revenue
within three or four years.
Maybe that number's even higher.
But one of the key ways they did that is finding distribution
partners, affiliates, joint ventures with people that had
access to the market and they had a really incredible product.
Right? So because they could fulfill on a promise that they
made on number two, the second thing I told you about,
Extreme Revenue Growth, they were able to attract those
partners to promote for them.
So that's one angle but you gotta ask yourself what is your
distribution channel for reaching your customers.
The other one is transactional.
This is looking at your business direct to consumer,
direct to the business and asking yourself
how are you gonna build that out.
Now I'll tell you going the distribution route through
partners is cheaper in the short term because they subsidize the
cost to acquire a customer.
If I build that channel direct then I need to figure out how am
I gonna pay for the ad spend, the creative,
the test that need to be run, and I got to figure out the
strategies to do it if I've never done it before
to get in front of that customer.
Now that is an incredibly powerful thing to build but the
other one could be faster and more cost effective but
figuring out your distribution channels
is extremely important to build revenue growth.
Four, product that fulfills a promise.
Now I already said that you need to make a promise to the market,
that's number one, but two is you got deliver on that promise.
I always tell the clients that I work with that your marketing
site as kind of a product hook and a product promise.
Your job from a product point of view if you can convince 'em on
the marketing site to engage with your product,
to sign up for a free trial or schedule a demo,
your job on a product level, and customer success involved in
that, is to make sure that you deliver on that promise.
The worst thing you could possibly do
is have incredible distribution,
incredible marketing only to have
a product that falls short.
And it's number four in regards of the flow of extreme revenue
growth but it is probably the most important.
In the valley, in San Francisco they call it product-market fit
and I like the idea that Victor puts out that argues for the
fact that it's really just about fulfilling that promise and
making sure that our product delivers on what we said we
could do for the market because in doing that that's where we
increase what I call VWOM,
viral word of mouth marketing for your solution.
So you can still have distribution and transaction
marketing but if you have a product that fills on a promise
you also get the amplification aspect of people referring other
customers to you.
Number five, sustainable competitive advantage.
Now, if you're building a business you want
to create a moat around you.
You don't want to make it so easy for somebody to just come
into the market and copy you and start building a business that
looks exactly like you.
So you want to create this competitive advantage and in the
book Victor argues for two different types.
One is a physical one and this could be physical in the sense
of the size of a sales team.
It could be the distribution logistics systems you built.
I'm thinking Amazon.
If you didn't know Amazon has built this logistics platform
that is ridiculously expensive to build out and is extremely
competitive as an advantage and it's really...
So that's the physical side.
So like physical things, maybe offices in little cities
all throughout a network of building that out.
I have a friend, he's got a hearing company.
He's done that in his market where he's got offices in all
these cities that for most people wouldn't be cost
effective but he figured out how to do it.
That is a competitive sustainable advantage
on the physical side.
On the other side is intangibles.
So if you think of intangibles these are things like brand
reputation, key patents,
exclusive partnership and distribution deals.
If you can figure out how to do that then that's gonna allow you
to be competitive over the long term.
Too many businesses get little spurts of growth but they don't
continue past year three, four and five because they haven't
done enough work on that area.
So quick review, number one key component of
Extreme Revenue Growth is target customer aware of his problem.
Number two is promise your company makes.
Number three is distribution channel.
Number four is product that fulfills a promise
and five is sustainable competitive advantage.
As I mentioned at the beginning of the video,
I want to share with you The Weekly Sync format to allow you
have incredibly productive meetings.
Get everybody focused on the right goals in your business and
also allow them to surface challenges that you need to know
about so you can overcome them.
You can click the link below in the description to download your
copy and if you liked this video be sure to
click the like button, subscribe to my channel
and share this video with somebody you care about
that you think it could serve.
As per usual, I want to challenge you to live a bigger
business and a bigger life and I'll see you next Monday.
Product that fulfills on the promise.
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