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Access Rapid Growth Through Owned Media Acquisition

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If you want to grow your business as fast as possible, one of the best ways to do so is by pulling on the 7 growth levers of business.

Today, we’re going to break down the first one:

Media as a growth lever.

If you want to acquire more customers extremely fast, you need to get your offers in front of more eyeballs. You can do that in several ways, but all of them require you to have access to media.

What Is Media?

It’s defined as “the main means to mass communication.”

You want access to the means for mass communication so the greatest number of potential customers can see what you have to sell them.

Media comprises several different types, but there are 5 core groups to concentrate on in your business. But before we get to utilizing media as a growth lever, let’s break down media as a whole. 

1. Paid Media

There’s paid media, like when you spend money on Facebook, Instagram, Google search or display ads, native ads, YouTube, email drops, radio, tv, print publications, etc.

Paid media is highly effective, but your ability to use it to share your offers is limited to how much cash you can afford to spend and your return on ad spend.

One of our good friends, Molly Pittman, has coined it perfectly: “Paid traffic is like a water hose. It’s great, but the moment you shut it off, it stops.”

P.S. Want to scale your business effectively to hit your 10 year goals in one? I’m teaching my Leverage, Exit, Grow, & Scale Intensive where ~20 business owners (mostly war room members) join me and we break down just how to do so using proven methods I’ve used in dozens of businesses. We just taught this workshop a few weeks ago and it truly did wonders for those who attended. Find more info on the next one HERE. 

2. Organic Social Media

There’s also organic social media, like the platform you may of found this article through just a few minutes ago. 

Social media is wonderful, but because social media platforms need to make returns for their shareholders, most limit your organic reach for social posts to motivate you to pay for more access.

Organic social media could be considered a type of owned media because you generally own your social media accounts.

However, I like to think of it as a separate class of media from owned because you are really leasing your social media accounts.

That is you do not have unfettered access, use and control to these accounts because you are subject to the rules, agendas and whims of the platforms’ owners.

For our purposes here, organic social media is a cross between earned media (via likes and shares), paid media (via boosts and social ads) and owned media (your own social accounts).

3. Search Media

Search media is extremely effective because people are in the market for whatever you are selling for they are searching for “buyer intent” keywords.

Search media includes any search engine, including Google, Amazon, YouTube, etc.

Search marking requires you to negotiate a complex labyrinth of algorithmic hurdles to achieve top rankings, and you are forever at the mercy of the latest slap or update.

4. Earned Media

Earned media is exposure to the masses resulting from publicity from other’s creating content about you and your business.

Earned media includes everything from viral content to news coverage.

It typically provides a quick shot in the arm and can, as in the case is Dollar Shave Club or Poo-Pourri, launch huge businesses.

But earned media puts you at the mercy of the fickle press and public.

There is no certainty that anything you create will capture the attention of the public long or deep enough to induce them to share it and cause it to become viral.

Nor is there any guaranty that any press coverage or media appearances will generate the exposure needed to move the sales or profit needle for your business.

5. Owned Media

Which leaves us with owned media.

Owned media is any platform that you own and control that provides you with access to communicate with a group of people.

Owned media includes your blog, social media accounts (Instagram, YouTube, Snap, Facebook, LinkedIn, etc.), customer and prospect lists, print newsletter, podcast(s), your live events, and so on.

It’s everything you own and control that allows you to communicate on a one to many basis.

Now that we’re all on the same page with what the different types of medias we have at our disposal, let’s talk about how to use them as growth levers for your business…

Major Growth Lever #1: Rapid Growth Through Owned Media Acquisition

If you own the media, you have the ability to use it to communicate with your prospects at will.

You are not limited by any social platform imposed rules.

There is simply nothing more important in your communications arsenal than owning and controlling your own media.

Home Grown Media

You can grow your own media, creating content, events, newsletters, groups and the like.

That’s a great long-term strategy.

Like planting trees the best time to grow your own media is years ago, and the second best time is now.

But growing your own media takes time and we are talking about accomplishing things quickly here.

So, let’s look at another option… Acquired Media

Acquired Media

You can skip all the effort and hassle of creating owned media yourself and simply acquire other people’s media.

Rather than relying on third party media or taking the time and expense to grow your own, why not just buy it from someone else?

  • Want an extra 100 eyeballs on your next piece of content?
    • Acquire a Twitter account with 100 followers.
  • Want 1,000 people to see your next video?
    • Acquire a YouTube Channel with 1,000 subscribers.
  • Think you could sell more of your product if 10,000 people could see your webinar offer?
    • Acquire a blog with 10,000 unique monthly visitors.
  • Wish you could immediate access an extra 100k email addresses?
    • Acquire a business that already has one with strong open and click-through rates.

 

Owned Media Is The Answer

Your ability to access more potential customers is only limited by your ability to access more media.

You can do that through paid, search, social, or owned media.

But owned media is forever.

The other types of media are controlled by third parties whose agendas and goals may differ from yours.

Their financial interests absolutely differ from yours.

You level the playing field and ensure your continued access to a renewable source of new products and customers when you own your own media.

23 Ways To Acquire Media For No Money Down

Want to learn 23 ways to acquire media for little or no money out of pocket?

Want to find out how to double, triple or 10x your prospect list… and pay nothing down to do it?

Come to LEGS in San Diego

That’s just one of the 51 different strategies and tactics you will take away when you attend my 2-Day Leverage, Exit, Grow + Scale Intensive in London later this month.

Find out more details HERE.

A few times a year, I conduct a very intimate (fewer than 20 people) 2-day deep-dive Intensive.

In it, I detail a comprehensive 51-step strategy and action plan we use at DigitalMarketer, War Room and all our other portfolio companies to grow revenue, profits and value by 10 times.

The link will detail everything covered, as I don’t want to make this article only about this intensive. But I know we have just a handful of spots left, as we typically only offer these to members of War Room. Hopefully we see you there…

As always, be learning & growing,

-Roland Frasier

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6 Key Points for Striking a Non-Cash Asset Deal

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How can you acquire an ownership interest in someone else’s business when you are bringing non-cash assets like your knowledge or time to the deal?

How do you structure a deal to let someone else into your existing business as an equity owner when they don’t have cash but do have something else that’s valuable to your company that you want?

We have done several deals including a recent one like this. So I thought I would share one approach that comprises 6 key deal points to remember:

1. Who’s Involved?

What are the roles of each party? Don’t skip details here, not even seemingly minor ones. Think this as LinkedIn, but for this specific deal. Make sure to include full:

  • Job Titles
  • Descriptions 
  • Employment Agreements
 

2. Detailed Compensation Package Deal Points

Everything needs to be listed and detailed here. Don’t leave anything you know of now to chance and make sure nothing is ambiguous in the compensation package.

If the percentage is to be determined later, be sure to include what it will be based off of and what parties will be involved in making that decision.

This may sound obvious, but you’d be surprised how many deals don’t do this correctly. 

Here’s an example of something we just recently drew up for our last deal:

  • Buy-in for immediate equity + performance-based increases of up to 10%
  • Additional vesting 2.5% per year for four years (time-based component)
  • Plus performance milestones based on revenue (performance-based component)
P.S. If you're finding value from this already, I'm reaching 4+ "Leverage, Exit, Grow, & Scale" Intensive Workshops both on the West Coast and even in London of the next few months. We'll cover deal flow like this and WAY more. The idea is to help you achieve your 3 year goals in the next 12 months (it's doable, we've done it!) If you're interested, you can find more info by clicking the image above.

3. Have a Breakup Clause

Everything’s great, until it isn’t…

It’s important to provide for what happens if things do not work out, so you’ll need to build a breakup clause into the agreement.

In our case, if the other party leaves the business or is terminated, we have the right to buy them out on a pre-agreed valuation formula with pre-agreed terms

4. Pre-Agreed Buy-In is Also a Must

You need to agree on valuation for the buy-in as well. Usually this is done on an EBITDA basis (earnings before interest, taxes, depreciation and amortization) where valuation equals EBITDA multiplied by an industry typical multiple.

Here’s an example of a pre-agreed buy-in using EBITDA:

Let’s say the business is earning $1M in profits and you agree on a multiple of five, then the valuation equals $50,  a 20% buy-in would be $1M (or 20% of $5M).

5. What if the Value is Intangible, AKA Not Cash?

If the buy-in is not for money, but for some additional value they’re supposed to provide, you’ll need to place a value on those non-cash components too.

Here’s how you can do just that:

In this example, the other party’s value is their book of business (much like our most recent deal I mentioned above).

You operate at a margin of 30% profit and the other party’s book of business, or the things they’re contributing are expected to be worth $1M per year, then the first-year value would be 30% of $1M, or $300k.

If the average lifetime customer value (LTV) is 3 years, then the total value the other party’s bringing would be expected to be worth $300k at 3 years, or $900k in LTV.

Additionally, if your company valuation is $1.8M, then the other party’s book of business would  be worth an estimated increase in value of 33%.

$1.8M + $900k = $2.7M divided by $900k = 33%

So, if it goes as you expect, then the other party would receive 33% equity of the agency for bringing these assets/accounts (their book of business).

6. Adjusting for Change Throughout

It’s vital to include language in the deal that adjusts the other party’s equity (continuing the example in #5) based on any variance between what you both thought the value of the book of business (or what they’re bringing to the table) compared what it ACTUALLY is over time. 

Hint: We want to be the teddy bear Leonardo DiCaprio, not “The Reverent” Leonardo DiCaprio (though he did finally win that Oscar… but still)

Here’s how I would contractually adjust for change:

Scenario: after 3 years, the other party’s book of business only turned out to be worth $720k, which is 20% less than the $900k you expected.

Then a fair agreement would be to decrease the other party’s 33% equity to 20%, leaving them with 25.5% of the business instead of 33%.

Final Note:

There are lots of tax issues that come into play here as well as other deal points; therefore, always be sure to secure a successful attorney and advisor to help document and negotiate the deal.

There’s tons of ways to do these deals, so if you have any specific questions feel free to ask in the comments or find me on Instagram (@rolandfrasier), my DM’s are open. 

– Roland

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How “Inversion Thinking” Will Revolutionize Your Business ( + Make You Millions)

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Tell me where I’m going to go to die and I won’t go there.” – Charlie Munger

Not to be morbid, but this is a real thing. By thinking about where you don’t want to go, you’ll identify the problems that will get you where you don’t want to go.  What Charlie is getting at here is something called “Inverse Thinking,” and it can dramatically change your business.

During the most recent War Room Intensive, “Leverage, Exit, Grow, & Scale,” Roland Frasier broke this down to a handful of members and how to implement it into their business right away. What’s more, he provided some all too familiar examples of how Inverse Thinking has paved paths of ultimate success, and when a lack of it has led to quite the downfall. 

(NOTE: Roland’s Leverage, Exit, Grow, & Scale Intensive was such a hit, we’ve added THREE more of these intimate workshops in 2019. We have a few spots left for qualified business owners in August, September, & December. Let us know if you’re interested and the links above have additional information on each.)

No Revenue? No Problem?

Roland guided us through a journey where Inverse Thinking would have saved a ton of money, and most importantly a ton of time, inside his direct mail company. The business was going through a rough patch–revenue was down and the team was out of ideas. 

The two largest areas of costs for direct mail is obviously printing & postage. Therefore, to cut costs, the team decided to stop mailing for a period of time.

It actually worked, sort of.  But not really. 

Initially, costs fell and revenue was generated due to all the millions of pieces of mail already in circulation. But eventually, that dried up and they were performing worse than before the production shift. 

These things can happen, even in this extreme example But could have been prevented by incorporating the practice of Inverse Thinking…

The image above is from the slide deck used throughout this intensive and as an illustration for this specific example. 

Roland’s direct mail team could have utilized this three question series to avoid this problem by starting in reverse. 

Instead of creating an immediate solution to fix the problem, they learned to start with preventive solutions first. It’s vital to not only stop the slow bleed, but assure the system is stitched up so it won’t happen again. 

(NOTE: the full clip in the video above expands on 3 more examples and additional information on how to incorporate this type of practice into your systems.)

Eyjafjallajokull + 7 Figures

No, that’s not a typo.

This is the name of a volcano that erupted about 10 years ago, shutting down all travel for two weeks. Coincidentally, Roland happened to be vacationing Italy at the time. 

With no way to return home, Roland goes on to explain how Inverse Thinking turned a disaster into a fantastic success story. 

Instead of standing pat and waiting weeks for the next flight out, he decided to find a way to try a product launch.

Due to ample experience in the market, Roland’s previous assumptions were it would require to either have a product or build a list by investing a hefty sum of money into it. 

Instead of running either of those notions, he ended up earning $1,265,000 on a $1,250 investment…  

By spending a few full days pressing into every scenario launching a product could be effective, Roland was able to 1012X the investment selling a product called “Mainstreet Marketing Machine.” 

It’s amazing what you can accomplish if you just have the time to do it.

One Core Idea

These two examples show both ends of the spectrum. But they illuminate one core idea:

In every decision, identify what the opposite of what you want is in every situation and work backwards from there. 

The practice of Inversion Thinking will change your business, your personal life, and even make you a few extra bucks along the way (or millions). 

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Reverse Engineering Uber’s Disruptive Model for You to Copy & Use

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One of the most overused terms across all industries is being a “disruptor.” So many already successful companies continually set their sights on this: 

  • “How can we disrupt the market?” 
  • “We need a disruptive idea to really put us back on coarse this year.”

The reason it’s so prevalent in the business today is because the uber successful companies (pun intended) transformed an already mature market and profited in such a way they’ve become the model home of the landscape we’re in. 

 At my most recent War Room Intensive, “Leverage, Grow, Buy & Sell,” we discussed just how brands like Uber & Airbnb did just that and how you can do it too. We’ve shared the full session on this in the video above. 

(NOTE: need some insight or even just interested in attending Roland’s Leverage, Exit, Growth, & Scale Intensive? When they aren’t 100% filled with War Room members, we sometimes offer them to qualified business owners. In fact, we have a handful of seats left for the next two coming up.)

Regardless of the “disruptive” principals Uber established, it still falls under one of the 14 business models every business I’ve come across does. 

You wouldn’t think that “Landlord/Tenant” applies to Uber, but it does. The landlord owns the car in this example, and the tenant is both Uber (for putting the passenger there) and the passenger. 

What’s interesting is when you start mixing and matching these business models with different pricing models, you can get really creative. Here’s how Uber did it:

There’s about 14 basic pricing models to use. Uber’s primary business model was “Broker: Connect Drivers with Passengers” and their primary pricing model is “Volume.” Uber charges a 15-30% broker fee for connecting drivers with passengers. 

As for the secondary models, Uber’s business model here is “Landlord/Tenant: Drivers Rent Car Space” and “Tiered Based on the Type of Car Requested.” Connect that with Uber’s secondary pricing model, “Volume: Distance & Miles.” and “Time of Day Premium (surge fees. Everyone’s favorite.) 

Uber’s third model was rolled out when they created an Affiliate Program to pay out Referral Fees to New Customers,” and did the same for new drivers. 

While it sounds like Uber was disruptive, they simply did something unique in a mature market. You can take these business & pricing models and mix & match them for your business, the same as Uber did to become so “disruptive.” 

(NOTE: the full clip in the video above also details how Airbnb did this too and even more insight into how you can effectively disrupt like these two companies did in their industries.)

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Applying the 6 Levels of Awareness to Your Prospects

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Most marketers are aware of Eugene Schwartz’s book, Breakthrough Advertising, which is, in my opinion, the best marketing book ever written. Schwartz describes the 5 levels of awareness, a  game changing concept that can really make the difference. I’m going to show you how we’ve applied it to marketing.

Prospective customers go through all of these stages (as outlined by Schwartz):

1) UNAWARE: In this stage, customers have no knowledge of the problem nor do they perceive a solution

2) PROBLEM: When a prospect senses they have a problem but are unaware of the solution

3) SOLUTION: They are aware of their problem, are aware solutions exist, but aren’t sure which solution is right for them

4) PRODUCT: Prospect knows about your product but they’re not sure if it’s right for them

5) MOST AWARE: Prospects know about your product and just need a reason to buy now

But I’ve taken the liberty of adding a sixth level of awareness—hopefully Eugene would approve of my expansion.

6) DISENGAGED: Prospect was aware, but has since become apathetic and disinterested.

 

Disengaged may describe most of the people who are currently subscribed to your email list but haven’t purchased much, if anything from you.

In this stage, the prospect neither loves nor hates you. They have just grown disinterested. The vast majority of the people who are associated with your brand don’t love or hate you, they are apathetic about you; they are disengaged.

What prospects need at this stage is romance, they need you to woo them, and they need a reason to connect with your brand at a personal level.

How can we produce content that will map to this specific stage?

One powerful way to engage a disengaged customer is to tell them your origin story. Why did you start your business in the first place? Are you carrying on a family legacy? What did you envision when you started your business? What challenges were you facing or did you face as a result of starting it?

You could also make fun of yourself in a public forum: make them laugh. Publish blooper videos that will show them the human side of your brand. Entertainment is a powerful and effective way to draw in an apathetic customer.

When you get started on your content planning to get people engaged, a great resource is Trello.

You can create a board for each level of awareness, as shown above. I recommend that you create one of these. Take an inventory of your existing content to see where you are lacking and allow that to inform the kind of content that you need to be producing moving forward.

Be in the habit of asking yourself—how can we produce content that will map to each stage of awareness?

Your marketing efforts will be more likely to succeed, leaving you with loyal, fully-devoted brand ambassadors.

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Why It’s Not Too Late For You To Be Everywhere On Social, Why You Really Need To Be & How You Can Easily + Inexpensively Do It & Monetize Your Efforts Without A Lot of Hassle

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I recently had a conversation over Facebook with one of my friends, and he asked me why I was favoring other social platforms like Instagram and LinkedIn over Facebook–where he was almost exclusively focused and where I had already built a pretty decent following.

It inspired me to answer this excellent question to why you need to be socially diverse as well.

Facebook is Trending Down in Growth & Usage in Key Demographics 

A recent Pew Research Center study revealed that bellweather teens, aged 13-17, are moving away from Facebook for social and prefer YouTube, Instagram and Snap.

Only 51% of that demographic regularly use Facebook while 85% use YouTube, 72% use Instagram and 69% use Snapchat.

Facebook is King of the MAUs, But Other Networks Have Huge Audiences Too

Facebook still wins with over 2.38 billion monthly active users (MAU) compared to 1.9 billion MAU for YouTube, 1.3 billion for Facebook Messenger, 1 billion for Instagram; and a paltry 301 million MAU for Snapchat and 260 million for LinkedIn.

Follow the Youth to Discover Where Social is Headed

You can frequently look to teen platform usage to see where the market is moving. If you also want to reach younger audiences, then it makes sense to see where they are spending their time.

Neither of my children (ages 22 & 28) even bother to use Facebook at all. They use YouTube, Instagram and Snapchat.

If you have almost 2x the number of younger folks on YouTube and about 1.5x on Instagram and 1.3x on Snapchat, it makes sense that those platforms are going to be the dominant in the foreseeable future. It’s important to get a foothold in all of them now.

What About Facebook Messenger? Is Messaging Replacing Broadcast?

Facebook Messenger, which is now an app independent of Facebook, serves 1.3 billion MAU but is growing at almost 700,000 users per day according to MobileMonkey, and current trends favor messaging over broadcast apps.

Should I Be On LinkedIn Too?

Bar none, LinkedIn owns the business market and its 260 million MAU are exactly who I want to be in front of for all of my B2B offerings.

If your target market includes B2B, you simply must create a presence on LinkedIn.

Different Platforms For Different Purposes

As you can see, Messenger and LinkedIn serve different purposes for my target markets. While Messenger Stories, bots & ads, and LinkedIn ads provide additional channels that allow me to reach my target market of business users. Therefore, I’m heavily investing in developing those channels as well.

If you want to reach businesses, you need to be on LinkedIn. If you want to connect better with your target market in a more personalized one-on-one basis, then add Messenger to your mix. 

Is It Too Late for Me? I’ve Really Only Focused nn Facebook So Far

Like many people, I focused primarily on building a Facebook following (over 1.1 million as I write this), and that audience has generated millions of dollars in revenue for me, and I suspect it will continue to do so for years to come.

However in the words of Game of Thrones anti-hero, John Snow, “winter is coming.”

If you want to be a person who “sees around corners,” then being prepared for the potential demise of Facebook is just smart thinking.

According to some, Facebook is shrinking now, not growing, or at least shrinking in key markets that might be most important to you. If that’s true, then you should be investing in social presence on several platforms, not leaving all your social eggs in Facebook’s basket.

I waited a long time on Instagram and only now am I playing catch-up to build a significant audience there. The same can be said for YouTube. But, the good news is that it’s never too late.

It’s Never Too Late!

How I Built Over 1 Million Facebook Followers from Scratch in 8 Months While Monetizing it in 90 Days

I waited until just 2 years ago to build a public Facebook page.

I grew that audience to over 1 million in about 8 months with an investment of only $5k per month in ad spend without fancy media or a content team following me around 24/7. It was just me and my iPhone, interviewing friends and boosting my unedited video posts to my target audiences.

I was able to start from nothing, build an audience and monetize it within about 3 months. I’m doing the same thing now with IG and starting in earnest with YouTube, LinkedIn and Messenger this month.

You can do this too!

How We Recently Started Building Instagram And Immediately Monetized with a “Small Following”

We have already generated about $60k in revenue from Instagram through daily organic posts of new and previously created content to small followings of 3,000 and 9,000 followers.

The revenue numbers and the followers will grow dramatically as we self-fund the expansion of these channels over the next year.

You Don’t Need a Large Audience to Monetize Immediately

Remember, it’s not the number of followers or how late in the game you start. It’s the quality of your message and the quality of offers you are able to make to even the smallest of audiences.

So What About Snapchat?

I have a hard time seeing how to really effectively monetize Snapchat. Therefore, I’m setting my sights on Instagram first, then YouTube followed by LinkedIn and Messenger.

Ultimately if Snapchat grows in the areas I care about most, then I’ll be there as well.

The good news is that if you are creating content for FaceBook, it isn’t that difficult to repurpose for YouTube, Instagram, LinkedIn and Snapchat.

But the truth is, Snapchat is just another messaging service. So if you want to built an audience there, you would monetize it with the same strategy of creating content–sending it to your audience as messages and providing similar calls to action that you would with Messenger.

YouTube Strategy: Long-Form Video that Feeds Other Social Channels

For YouTube, you need long-form videos that dive deeper than FaceBook, Messenger, Instagram, or Snapchat Stories. Start with longer form videos for YouTube and then edit and cut for stories.

Image-Rich Facebook Content is Perfect to Repurpose to Instagram & Stories

Take your image-rich Facebook content and repurpose it for Instagram. If you’re already using Facebook Stories then that content should work well for Stories on Instagram, Messenger and Snapchat.

Content For LinkedIn

Post your longer form YouTube videos on LinkedIn and or transcribe them into text articles. Better yet, do both.

What About Podcasts?

If you are also podcasting,  post the audio onto YouTube. You can also create images that play and change during your audio. Lastly, you can start videoing your interviews and post the whole thing.

Then, cut up those interviews and post snippets on other social media like LinkedIn, Instagram (don’t forget about IGTV), etc.

I consider podcasting a different channel than social media. So while I strongly believe that everyone with anything valuable to say should have a podcast, I’m not going to cover podcasting here.

Diversify Your Social Presence

Ultimately, you don’t know what any of these platforms are going to do.  The more you can diversify your social presence, the better positioned you are for whatever happens.

For example, Google+  shut down despite having roughly 300 million users. If you built your social presence exclusively on Google+, you’d be starting at ground zero today. Algorithms can change. Social media channels can come and go. Remember Meerkat, MySpace or Friendster?

As my friend & former Google+ rockstar, Yifat Cohen, says, “it’s important for us to realize that we are “building our houses on rented land.”

The Ultimate Goal Is Moving Qualified Candidates to Your Owned Media

Your social channel itself is not a sustainable business model. Creating a presence across all the major platforms helps us draw customers from these marketing channels, but we should be thinking about how to move people into our owned media that we control.

Owned media is media is what you own and control–like a blog, an email list, a phone contact list, an SMS list, a direct mail list, or events you own, etc.

Conclusion

I’m making a push on YouTube, Instagram, Facebook Messenger, and LinkedIn right now to ensure no matter what happens on Facebook, my social media presence will continue to thrive across a diversified array of channels.

So, consider taking some time to start now, get yourself out there, and be omnipresent across all channels.

It’s not too late. I proved that with Facebook over the past 2 years and again with a small Instagram audience over the past 60 days.

It’s not too expensive. I built my Facebook audience with videos recorded on my iPhone at meetings I was already having without editing or fancy graphics.

I built my Instagram audience over a couple months from organic posts of images and content I created with no team of people following me around. It just yielded $60k in revenue in the past 30 days.

It’s not too late. It’s not too expensive. You can monetize it quickly. You can do it as a one-person team.

All that’s left is to take action.

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