The average income of April 2015 across Ryan’s businesses was about $420K in total sales. One of the takeaway lessons is that accountability always drives you. In this episode of Freedom Fast Lane, Ryan Daniel Moran reveals how he facilitated the huge breakthrough with his supplement company and invites you to benefit from his mistakes.
Men’s Fitness Company
This company did around $300K in total sales. The one main point of frustration is that not enough dedicated effort has been put into building fulfillment channels independent of platforms such as Amazon. This company is being very aggressive in rolling out new products, and the goal is to get to $1M a month by the end of the year. This can be achieved by implementing solid systems and repeating the process over as many products as can be comfortably handled. The sales of existing products for this company are being stimulated so they can capture more market share, which builds a larger customer base and brings customers off the Amazon platform.
This was a record month of $50K in total sales. There has been a long-standing struggle, and a breakthrough has finally happened. The main issues with this company and why it didn’t get moving as fast as expected was that the profit margin on this product was fairly low, competition, taking too much money off the table, and not being aggressive enough in the business.
The tweaks made in March and April absolutely exploded the business to the point where prices have been raised just to slow down growth in order to keep up with demand. At some points the business was on pace to do up to $80K in a month, but this growth had to be intentionally slowed down due to lack of inventory.
One of the big mistakes entrepreneurs make is that they want to protect their profits rather than just focusing on growth. The decision for the supplement company was to do whatever it took to get new customers. This included dropping the price for a period of time, improving the copy on the listings, and focusing on outside traffic sources.
It was first thought that the surge of customers would drop once the price reverted to the original price, however, the customers and sales still continue to flow. The company didn’t go into the red but left some of the profits off the table and focused on getting as many new customers as possible. The decision was to go after the volume of customers and provide a really great product at a temporary discount that, in turn, increased good will, exposure in the market place, and a flood of new customers even after the price rose back to normal.
It is better to be making a lot of sales at a lower profit margin or no sales with bigger profit margins. At this point, the company is struggling to keep product in stock, which simply proves the amazing growth this company has seen. Right now, there is cash in the bank, plenty of inventory on the way, and sales channels are flourishing.
The remainder came from people signing up for The Tribe. However, the biggest thing holding Ryan back from making $1M a month is that he feels he doesn’t want to release new products of his own, such as information products.
- Never delay the customer acquisition process.
- Always encourage quantity of buyers and tweak the process from there.
- Get customers and sell more to those customers.
- Those who get the most customers wins.
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Links to Resources Mentioned