It’s been a little while since you had some content from good ‘ole me, so here’s something I’ve been thinking about a lot lately.
When I released my Single-Leg Solution training package a few weeks ago, I got a fantastic response. Needless to say, I was very pleased with how the product sold, as well as the feedback I’ve been getting from customers and coaches who have been reviewing the product.
Leigh Peele actually reviewed the product on her site, and needless to say, I was flattered by her thoughts – she was very complimentary. However, there was a comment at the end that really got my mind going.
The comment was that the product was too expensive. So in the interest of transparency, let me clue you in as to how much a product may cost to develop.
Production, Development and Fulfillment
When developing a new product, there are quite a few more costs incured than you might think. Here are just a few of the things you’re going to have to pay for up front:
- DVD Shooting (1-2 man crew)
- DVD Editing/Production (sound, video, graphics, transitions, etc.)
- Graphic Design (manual and DVD, in this case)
- Website Design
- Manual proofreading/layout/design
We could get down to the brass tax here, but the simple fact is you outlay a lot of cash up front without knowing how much (if anything) you’re going to make back. It’s a gamble, although at this point in time, I’d like to think of it more as an educated guess 😉
So this gets us to the point where the product is ready to ship; next, we actually have to get the product from our distributor to our customers.
Here’s what we have to look at there:
- Cost of DVD duplication/replication
- Cost of manual production
- Shipping and handling fees, etc.
Is it simply about the COST of goods sold? Or is there something more?
As you can see, there are a lot of costs involved up front. But I only say this to inform you, here’s the more important point:
Are you simply paying for the raw goods? Are you paying for simply a DVD or a manual? For the cost is takes to make that good?
Or are you paying for the information that’s stored within those pages? Or on that DVD?
I’d like to think that the last 10 years of my life that I’ve spent coaching, researching, and writing is worth more than that of some kid who’s just out of school who would try to do the same.
The fact of the matter is, the guy who made the comment didn’t value the product enough to give me $97 in return for the information I was providing. He didn’t see enough benefits there to outweigh the time it took him to accrue $97.
My .02 and the Slight-Edge Principle
Here’s how I think about it – it’s not the cost of the DVD or manual that’s important to me, it’s how much I value the person’s knowledge base that I’m buying something from. I’ve easily spent $1,000-$2,000 for a weekend seminar, knowing full well I was going to get that money back many times over.
In fact, I’m always working to apply the slight-edge principle – if I invest $100 in something, will I get my money back plus even 1-2% more?
If so, then that product or service was worth it. I profited from doing that.
In essence, you purchase a product or service like this to fast-track your own education and development – to make yourself better, in a shorter period of time.
So it comes back to the same point – is $97 a lot for a product that could help you improve your coaching skills immediately?
Or a product that will improve your ability to write single-leg exercises into training programs?
I don’t think so – but then again, I’m biased 😉
Too often, we get caught up in the mindset of, “if I give you $10, then you have $10, and I have nothing.” But that’s not the case.
If you give me $10, and I give you something of value in return, then we both win.
Don’t let the scarcity mindset set in. If you become genuinely open to a life of abudance and wealth (not just in the essence of money, but health, well-being, etc.) it’s amazing how much better you can feel every single day.
This post has been a little random, but I hope it rings true with many of you. I’ll leave you with a quote by Jim Rohn, as he was never shy to talk about money, value, and self-worth in his seminars:
“Money isn’t the root of all evil. No, in fact, it’s only the love of money that is the root of evil.”
All the best
Mike