Video Summary

My Best Sales Tactic (to Make a TON of Money)

Alex Hormozi

Main takeaways
01

use 'ghost products'—recommend low-margin or external items to demonstrate you're acting in the customer's interest.

02

making a small concession builds trust and increases the chance customers will buy your higher-margin recommendations.

03

tie new products to existing habits (e.g., put supplements by the toothbrush) to boost adoption and retention.

04

teach exact usage and placement to make the new behavior effortless rather than creating a wholly new habit.

05

selling lots of low-ticket items trains your sales skills and makes high-ticket conversions easier.

Key moments
Questions answered

what is a 'ghost product' and why use it?

a 'ghost product' is a low-margin or external item you recommend (sometimes one you don't stock) to show goodwill. offering it creates trust quickly, making customers more likely to buy your higher-margin recommendations.

how do you use this tactic ethically?

intention matters: recommend ghost products to help the customer, not to deceive. give away or point to lower-margin solutions first, reserve higher-margin items for genuine needs, and always prioritize the customer's best interest.

how do you tie a product to a customer's existing habit?

ask what they already do daily (e.g., brush teeth, drink coffee) and instruct them to place the product where that habit happens—like putting supplements next to a toothbrush—so adoption requires no new routine.

when should you recommend alternatives instead of your own product?

recommend alternatives when an item is out of stock, when a cheaper option is sufficient, or when doing so will build trust; the concession signals you're prioritizing the customer's interest.

why is selling low-ticket items important for learning sales?

frequent low-ticket transactions give you practice with real conversations, objections, and closing—skills that scale to higher-ticket sales and make those conversations feel easier.

The Most Powerful Sales Tactic 00:00

"It's a concept that you can do as a salesperson to gain trust, and I stumbled into this."

  • The speaker shares that he learned a powerful sales tactic by accident, rather than through formal education or books. This tactic focuses on building trust with customers.

  • After implementing this strategy, he experienced a remarkable increase in sales, closing deals with nearly all customers and successfully teaching it to new salespeople.

Turning Awkward Situations into Opportunities 00:26

"I said, 'You can get this one for cheaper down the street at Costco.'"

  • While selling supplements, the speaker encountered a moment of awkwardness when key products were out of stock. Instead of avoiding the issue, he recommended an alternative available at a lower price.

  • This shift in approach resulted in increased trust from customers and a subsequent rise in sales of other recommended products, highlighting the power of transparency in sales.

Ghost Products as Trust Builders 02:20

"What that gave birth to was something that I used to call sacrificial lambs but now call ghost products."

  • The speaker introduces the concept of "ghost products" as a sales tactic where he recommends products he does not carry. This enhances trust and positions him as a helpful consultant rather than a typical salesperson.

  • By giving away lower-margin products, he cultivates trust that leads customers to buy higher-margin items, effectively building a reliable sales strategy.

Leveraging Existing Habits for New Product Adoption 05:02

"Getting someone to make a new habit is incredibly difficult."

  • The speaker emphasizes the importance of associating new products with existing habits to facilitate customer adoption. By encouraging customers to integrate products into routines they already have, sales effectiveness increases.

  • This method not only enhances the chance of product usage but also positions the speaker as a supportive coach who assists in the transition.

The Art of Client Engagement and Upselling 06:01

"If you're trying to solve a problem, if they don't buy the thing, then you reintroduce the problem that you were solving."

  • When addressing potential pushback from clients about costs, the speaker suggests refining product recommendations based on the client's budget and needs. This can involve prioritizing essential items while removing less critical ones.

  • The approach focuses on reinforcing the necessity of the products by framing them as solutions to the customer's problems, thereby justifying their value and increasing the likelihood of purchase.

The Importance of Low-Ticket Sales Experience 06:49

"Working with a business owner to inject yourself into their sales process teaches you the skill of selling better than any course can."

  • Engaging in numerous low-ticket transactions allows you to gain invaluable experience in sales and interacting with different people.

  • This practical experience is crucial for learning how to effectively navigate a sales process and understand its dynamics.

  • The knowledge and skills acquired from selling low-ticket items will prepare you for higher-ticket items, making those sales feel effortless when you reach that stage.

Using Trust to Enhance Sales Relationships 07:15

"The goal as a salesperson is to move to the client's side of the table so you can make decisions together."

  • When selling services, it’s beneficial to build trust with potential clients by appearing to prioritize their needs.

  • By positioning yourself as an ally, you can suggest alternative solutions, such as finding a more affordable service provider, while subtly steering the conversation toward your offerings.

  • The key to effective selling is to shift the relationship from being adversarial to collaborative, aiming to work 'shoulder to shoulder' with the client toward making informed decisions.

  • This psychological approach can significantly improve your sales effectiveness and client trust.