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Alex Hormozi’s Agency Hack: Pay for Knowledge, Not Just Service
When Alex Hormozi’s latest book $100 Million Dollar Leads came out, I read it in just a couple of sittings.
Just as I expected, the book was impressive.
One thing that caught my eye was Alex’s chapter on how he leverages agencies. It’s not the common approach most would expect, so I wanted to outline it here for you.
What Alex Thinks of Agencies
Agencies in the internet business space come in several forms.
- Content creation agencies for helping scale on multiple platforms at once.
- Video editors for creating more and better video content.
- Niche agencies for specific platforms (like TikTok ad agencies).
- SEO Agencies for growing organic traffic.
- PPC and Social media ad buying agencies for buying traffic.
Anything that you might hire out to a freelancer can typically be found in some agency form.
Hormozi says that agencies, on average, are flawed.
He writes in $100 Million Dollar Leads that initially; he was apprehensive about using agencies.
He says that the usual process goes like this…
Phase #1: Initial excitement and results! You get the “A team” and they are focused on getting you hooked on their service and results. You feel like the white glove service you’re getting is the norm.
Phase #2: Performance declines as experienced reps are replaced with junior ones. The best people in the agency work on the newest clients to get them the same early results that got you hooked.
Phase #3: Results flatline. You might get some extra support when you complain and they think you’re going to leave, but the honeymoon phase is clearly over.
Phase #4: You cancel and repeat with another agency.
How Alex Approaches Agencies Now
Despite his early negative experiences, Hormozi didn’t give up on agencies.
He found himself in a position where he needed to understand advanced Facebook advertising tactics to save his…
