High Ticket & Low Ticket Online Training - Success or Failure

Hey everybody. Chris Lynton here and I want to do this video and talk about the difference between high ticket and low ticket online packages, online training, online coaching, whatever it might be, why one is much more powerful, why one will set you on a path to failure, while the other one is what's going to set you on the path to awesome success, loving your life, getting clients, and impacting them in a massive, massive way.

Now when we talk about, low ticket, high ticket, I just want to confirm what that generally is. So generally low ticket is anything below say $500. Anything below about $500 is lower ticket. Anything above $500 is getting into high ticket. But ideally as an online trainer, as an online coach, at a bare minimum you want to be talking about a thousand dollars packages, ideally $1,500 or north of that, and that's where it's at. That's what's working right now and that's truly what's allowing people to scale and have a massive impact.

Now, the reason being... I speak to people who are like, "Chris, I've developed an app. I've got a couple of videos. I want to do it like a monthly subscription thing for $20 a month or whatever it might be." And when I hear this, I kind of cringe. I've built businesses in that way and I've also built high ticket online fitness businesses as well. And let me tell you, from someone who's been there and done that and experienced it firsthand, one is much easier than the other, phenomenally easier than the other and at the same time you actually get more fulfilment and can have much more impact on your clients' lives as well.

Now, low ticket, the problem with low ticket, anything below, like I said, about 400 but normally is like people are doing a hundred dollar price point or a $20 a month or subscriptions or whatever it might be, the problem with that is that you literally need, 100,000, 200,000 people to join and to subscribe before you're starting to get an income that allows you to have some freedom, some flexibility, and allows you to get team, get support, get leverage or whatever it might be. You literally need to have like 100,000 people, a million people or whatever it might be to get to where you want to be. And let me tell you, for the majority of people out there, unless you are a Instagram celebrity, YouTube celebrity, you're on TV, whatever it might be, let me tell you, for 99.9% of people out there it's just not a possibility. Why? Because you have no audience. No one knows who you are and the only way to get your word out there is through ads, paid ads, and unfortunately paid ads just don't work. They just don't work profitably at those price points. They're very, very difficult to work because you have so little margin to work with. You have so much little profit to what it was.

Let's just say for example, you do an ad, and on average it's a dollar a click. A dollar to get someone to your website to check out whatever it might be. Cool. And you're selling something for $20. Cool. You've only got 19 clicks. Nineteen people come to it, and if 20 exit, 20 people click on it, 20 people exit, that's cost you $20. And if one of them, one out of 20 people buy you've broken even. You haven't even made a cent. You get 20 people. Each of them cost you a dollar to get to your website. That's $20 and you're wanting to charge someone $20 a month for your service. Great. Let's just say you're lucky. You get one out of 20 people that come and they buy. Great.

You spent $20 to make $20. Fantastic. You're broke. You can't scale. You can't go any any further from that. You can't pay the bills. You can't pay the rent. You can't put food on the table. And what do you inevitably be? Do you stop? You shut it down and you go back to what you know and you're like, "Geez, that didn't work and I'm not sure why."

Alternatively, let's just say you're charging, you're doing high tech online training, online coaching, which is what's working right now and you do an ad, and it's a dollar a click. It's the exact same cost of traffic, right? And you are charging $1,000 per package, per 12 week package or $1,500 per 12 week package, let's just say, and you get the same amount of people. Twenty people come. One of them buys. It's cost you $20, 20 people, a dollar a click, and you make back $1,000. You make back $1,500 or more.

As you can see, you spent $20. What will you do then? You spend $20 you've made a thousand minimum. Less than $20 you spend on ads. What are you going to do do? Then you're going to do it again and you're going to do it again. You're going to do it again, and all of a sudden you're going to be earning a good income that'll allow you to pull back from anything you're doing as a side job, allow you to put more energy, more focus to it. It'll grow even further. It will get even better. And guess what? You only need 10 clients and you've made $15,000. And 10 clients, let me tell you, you'd be able to give him more time, more energy, more focus to those clients. They'll get better results because you've got fewer clients paying you high prices and you'd be able to give them better results, better time, better quality, better energy, and they're going to get better results.

As a result of that, you can get more testimonials, bigger, better testimonials, more word of mouth, all that sort of stuff. And guess what? That then goes in your marketing again, and that gets you more clients, and round and round and round it goes. On one end of the spectrum, you're broke. You break even. You need to get another job so you can bought some dinner that night. And the thing just closes, it collapses and dies a natural death. On the other end of the spectrum, you're making truckloads of profit and you're able to reinvest and go again and you're able to pull back on anything else you're doing to pay the bills because you're making a good income and you can put more energy, more time, more focus into it, and your clients are absolutely loving you because you're able to give them more time, more energy, more focus. They get better results and so on and so forth.

So hopefully that makes sense. The cost of traffic, the cost per click of an ad is in essence, generally the same. I was speaking to someone this morning, and this is an analogy I love. If you're selling Ferrari's with Facebook, Instagram ads, or you're selling bicycles, let's just say the Ferrari is worth half a million, the bicycles worth $50, if I'm selling a Ferrari and you're selling a bicycle, cost me a dollar to get someone to check out my Ferrari, cost you a dollar to get someone to chick out your bicycle. The cost of the traffic, the cost of the ad, the cost of the person to check out what we're selling for both of us is exactly the same. But I'm selling something for half a million dollars and you're selling something for $50. Who do you think is going to win?

It's an extreme example. I know. But I'm trying to make an extreme example so you get the point very, very clearly. So hopefully that makes sense. When you have much higher profitability, you don't need to be an ad expert. You don't need to be a sales expert, whatever it might be because you have so much buffer in between, and that's really where it's at. If you are selling a $20 product, you need to be an absolute wizard and that's going to take you 50 years to perfect, and unfortunately the majority of us don't have that to perfect because we have family, we have bills, we have lives that we need to live and things you need to pay for and so on and so forth.

So hopefully that makes sense. Hopefully if you are going down the path of potentially looking to try and do a low ticket thing, I want to challenge you to rethinking that for all the reasons I've taken through today, and I want to save you a lot of pain, a lot of time, a lot of energy, a lot of pain. So hopefully that makes sense, hope that's resonated and helped out a lot of you who are potentially going to go down that path and end up failing. Cheers.