Mike Dillard is an entrepreneur who lives the example that he sets and walks his talk. He transitioned from building up a cash flow business and moved over to a disrupter. When he came up with the idea for his disruptor company he had a prototype that cost $1Million to have made. Mike had to build a new cash flow company in order to fund the disruption company. Mike talks about what he did to raise the revenue in order to pivot and built the billion-dollar company he is now working on.
If you are looking to automate your life and income or build a business that changes the world you are going to get both of those things from this episode of in this episode of Freedom Fast Lane with Ryan Daniel Moran.
It is rare to find a vendor or company who will own up to its mistake and be public about that. It shows that even if they do something wrong they will be honest about it.
Authenticity & Intent
If you want to get paid an extraordinary income you have to bring an extraordinary skillset to the table that will allow you to execute that. Mike typically starts his business around a personal passion or to solve a problem. Once you have the intent and authenticity you can speak passionately about it.
Align Your Sales Message With How You Best Distribute It
If you can’t sell and persuasively communicate then you won’t get anywhere. Spreading the message comes down to execution. It’s not necessarily about who has the best product but rather who has the best marketing. If you have a great product and message you need to be able to put it in the marketplace. The secret to success is finding the methodology of sales that resonates with your personality style.
Only do things you can leverage for years to come. You can then start to stack the assets on top of each other and get the compounded benefit. Mike doesn’t create much social media. The only way to build an audience quickly and in a consistent way is to use paid advertising. Mike relies 100% on paid traffic and media campaigns to generate opt-ins, built his list and create revenue. His focus is always to build out a marketing funnel that pays for itself. For example, if he is spending $1K per day on ad spend he wants to make at least $1K per day back in revenue. At this point he has a perpetual traffic and audience-building machine.
Launching Self-Made Man
If you are going to use paid advertising you have to have a product that sells for $1-2K. The best way to launch this product is through a 90-minute webinar in order to take a complete stranger to a $2K paying customer. Mike spent 3 months building out a course called List Grow, which is a step-by-step detailed extensive course on how he build his type of continuity membership based business. Mike targeted people who weren’t in any of his lists. The average ad spend was $750 per day and they have been making between $3-5K per day in sales revenue. Last month was $140K in revenue from the List Grow product and spend $20-25K in order to make that money.
Mike is essentially advertising to cold leads and bringing them into a webinar follow up series. The audience that is built from that are the ones who download the podcast, which is how he is building long term followers and monetizing the build.
The Self Made Man Society brings monthly continuity revenue into the business, which brings in a much more accessible price point. This will eventually become the front end in the Facebook advertising model and List Grow will transition from the front end to the back end. This has allowed 4-6 months of development time to create and hire.
When to Pivot
If you are an entrepreneur and want a big disrupter company then there has to be a pivot. Mike found that his businesses run their course in around 4-5 years. Which on his part involved solving the problem that has been set out, learned as much as has been needed to learn and shared as much value as he could deliver. When those boxes have been checked Mike feels as though the mission is over and starts looking for the next problem to solve.
Mike has tired of physical product from which there is no exit when you are the personality tied to the brand and product as you can never leave.
The Criteria For Mike’s Pivot
- Had to have a massive impact on the mainstream population
- Had to be a physical product and not aligned to the Mike Dillard personal brand.
- Had to be aligned on a personal level.
Disrupting the Agriculture Industry
This involves decentralizing the agriculture industry and making the start and end point in your home kitchen. This means replacing the monthly grocery run with home grown organic produce at a 90% discount at what you can buy it for at the store. The bigger goals is to reduce water wastage from traditional agriculture by 90-95%, reduce pesticide and chemicals in produce by 100% as well as eliminating the supply chain from the farm to the warehouse to the grocery store.
Prototypes & Pre Orders
You will always pay for something whether that be a premium price to get it done right or to fix mistakes down the road. Each set of three prototypes cost $20K so any round of modifications will be $60K. The pre-order price will be around $2K and is the way to go so it is known how many units to manufacture. The dangerous part around this is keeping expectations in check around delivery as it will probably take 6 months.
This will be a crowd funded campaign hosted on it’s own site rather than using Kickstarter or Indiegogo. Mike wanted to give the consumer the option of buy or don’t buy instead of the multi-tiered award system. Building buzz and strategic partnerships is crucial to the operation as it won’t be fully revealed until 90 days from launch.
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