The Tesla Model Pricing Model Does It Work In Communities? · 𝙂𝙊𝙊𝙎𝙄𝙁𝙔 🍓🐛🦋🌈⭐️🩷

May '24 (edited) • 👍 News

The Tesla Model Pricing Model Does It Work In Communities?

TLDR: is the free to paid community building model more effective then the high to low model that Alex Hormozi pitched for a while in his content and his book $100M offers? After all captivate won the skool games with a high ticket offer the DFY service 😜

The Tesla Pricing Model has been described a few ways by various marketers but probably the one you will remember the most would be Alex Hormozi. If you have not heard of the Tesla model let me give you a brief description.

📈 Tesla pricing model or rather the plan Elon and Tesla came up with, was that they would sell high ticket products to high value clients then when they had filled up that level of the market they would go down a level fill that market, go down a level and so on until they reached an everyday consumer.

Many believe that Tesla's pricing model propelled the success of the business for two reasons:

they didn't start production on a car till they got deposits. They tested the market to ensure people would actually buy these cars and those deposits made it possible that they could even produce the cars. Think like "Kickstarter products" most of those are just ideas that they get other people to fund to create dope things!

.... I can't get rid of this 🤦....
they only went after early adopters and the high end market space to start. Then moved down market segments.

🏋️ Alex Hormozi talks about this strategy as starting service based business, creating grand slam offers, and selling these offers at high prices before moving to different segments of the the market (at least he was saying that when $100M offers book was launched perhaps skool is different).

🥼 The question I have as it pertains to community building and overall business development. Is there a correlation to the 🔝 👇 approach being an ineffective strategy in community building? Since the push has been to do a free community into a paid community but is it effective?

🥵 The reason I ask is that if you have say a community of 100 people the law of thirds would say that 1/3 of the people would move to the next community (because they love you!), 1/3 would be neutral (meaning they enjoy the community but that's it), and 1/3 would hate your community and (probably would correlate to a churn rate or engagement rate ie leaving the community or not engaging in it). Which I mean ~33 people into your paid offer is pretty good I would think 😊 depending on what price point of course 🫣

So, is it still better to do 🔝 👇 or 🆓 to paid? Correct me if I am wrong because it's seems the majority of the skool game winners outside of

@Goose Dunlavey

and

@Jeffrey Buoncristiano

(congratulations 🥂which also... guys didn't you win because you have a DFY model that crushed?) was often based on somewhat large followings on other platforms such as YouTube, FB group, or another database of current clients that they sold a new offering too or created an offering that never existed.

💭Thoughts?

🐕 P.s. does anyone know if you need paying members to get access to skool game winners meeting recordings or if you just pay for skool you get access to all that. Could have sworn you needed paying members 🥵

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