00:00you take the reach and you multiply it by LTV.
00:02It's basically how much money does the average person in their audience pay them.
00:07And how does the community change the economics of being a creator?
00:11So I really like to think about in terms of reach versus LTV.
00:16So reach is, you know, the size of the audience.
00:19And just as people who are in the audience, you know,
00:23we're trained to think that more reach equals more success equals better, right?
00:27So you follow creators like a Mr. Beast.
00:30And of course, everyone's impressed by the success of it all.
00:33But really, when you think about it from like a business perspective,
00:36reach is just one variable.
00:38The simplest way to think about a creator business, I think,
00:41is you take the reach and you multiply it by LTV, which is lifetime value.
00:46So it's basically how much money does the average person in their audience pay them?
00:51And when you think about it that way, you know, it's one variable, right?
00:54So if you're building a business on YouTube through ads, again, just you can be fantastically
01:00successful at it.
01:01But that is like a low LTV way to build a business.
01:04And that does incentivize reach versus let's say, you know, you have your thousand true
01:10fans.
01:11You're not trying to get big or trying to become a Mr. Beast.
01:15But let's say those thousand true fans will turn up to your events, will join your membership,
01:20will buy your cohort based course, and they might spend thousands of dollars, maybe even
01:26tens of thousands of dollars doing that over their course of life.
01:30Well, that's equally, if not a better way to build a very thriving, sustainable business.
01:36And in order to to kind of give them that LTV or to let's say warrant that LTV, what you
01:42need to give them is value.
01:44And that value can just be, you know, watch more of my videos on this other platform.
01:49That value has to be given, we think, through a transformation, which is really, you know,
01:55you watch a bunch of videos, but at the end of the day, are you actually working out?
01:59Are you actually building that business you want to build?
02:02Are you actually changing your life?
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