I Broke Down Every High Margin Service Into 6 Buckets [Delivery Cube]

entrepreneurs and business owners. My name is Alex Ramoszi and in the last four years we've done 120 million in sales across my four companies. I just want to share some of the lessons that have worked well for us in this time period. So one of the questions we get is like how do I make more money right

and a lot of times people think about acquisition stuff and sometimes it is acquisition based but the other half the equations is making the customers more valuable right one of the key ways of doing that is delivering more valuable services right and so services in general right you can think about this from a consulting basis service b whatever right so this is not for physical product based businesses is for service type businesses all right and so what I want to walk you through is what I call the service delivery cube it's cube because there's six sides you're going to The chart that I'm showing you right here is six. And I'll walk through each one of them. This is a creative process that I use when I'm thinking about how can I expand product lines. What thing can I do with the existing resources that I have that can provide more value to my customers? And you'd be amazed that if you walk through this cube, so many opportunities will jump out at you using what you know excess capacity or sawdust, right? So if you were if you had a lumber mill and all you do is you sell lumber, there's all this sawdust that comes up on the ground and it's like how can we monetize the sawdust, right? We could we can make sandpaper out of it. We can put it in the pellets so that they can make pellet stoves, right? So, how can we use what we already have without incurring more cost and drive more value to our clients by repackaging the same thing? And so, this is called the

service delivery cube. All right? So, there's six components to this. One is the ratio. All right, which is what's my client ratio for a service? What if I wanted to do something one-on-one? What if I want to do small group? What if I wanted to do one to many? All right, one to unlimited amount. So, whatever I'm doing now, I like to think about is there a way that I could do this oneonone? in a small group? Is this way is there a way I could do this one to many? Right? So, this is the first kind of filter that I'll look any service or potential other offering through. The next is what extent is my

client going to be involved? Is it going to be do it yourself? done with you? Right, where we're going to help them implement, you know, a change of some kind or is it going to be done for you? It's hands off. They just pay us money and they get this result. All right. And so these are varying levels of value and service. All right. What's interesting about this one is that I like there's another video I'll make another time called the sales to fulfillment continuum, but basically the the harder the easier it is for you to fulfill, the harder it tends to be to sell. And so do it yourself is one of the hardest things to sell to someone because it's such low value because all of the efforts on them. Done with you is a little bit easier to sell uh because you have a little bit of an educational component. they feel like they're learning the skill, right? And it's a little easier for you to fulfill on. And then finally, the easiest thing to sell is done for you because someone just gives you money and they get the result and it's the shortcut, right? But this tends to be the most operationally complex. There are, you know, billion-dollar companies in each of these spaces. They just vary on, you know, the more do-it-yourself it is, the more of a marketing and acquisition company it is, uh, the more done for you it is. Many times these types of companies can provide such value that people just come to them, right? And so that's the second of the service delivery cube of things that I'm looking at. So I might already have one of these. Is there a way I could go up or down on this scale, right? The third is what I would consider support level. All right? And

where they're going to get support. All right? So are they going to be supported in this process via text? chat? Are they going to be processed via email, via uh, you know, expert representative, via phone, via Zoom? What's the channel or channels that they're going to have access to me and my team? All right, excuse me. The uh the fourth is going to be how do I want them to consume the information? All right, so if I'm going to have some sort of uh service delivery, there's going to be some sort of onboarding process, right? Do I want this to be live? recorded? Do I want this to be written? Right? Do I want this to be audio? Right? Like if you're listening on the podcast, do I want to have like audiobook versions of this? Do I want this to be video? Right? And all of these things can be live or recorded. So those are kind of the variations in terms of how I want them to consume. Right? This is the consumption piece. Consumption consume the information. Right? And so we're going through the service delivery cube. So I'm looking at what is what's the ratio. And the thing is all of these are a lot of variables. And that's okay. Okay, the point is that if you already have something, you can look at where it fits on all six of these things and say, can I move it one to the left or one to the right, right? And if you think about it that way, you'll be able to, excuse me, little tickle there, be able to come up with a new product that might be more valuable and maybe even less cost to you, right? And that's what we're trying to find is I want to unearth where there's hidden value within my company using the existing resources I have that can drive more revenue and profit to the business. All right, the next is speed and convenience. All

right, so one of my favorite sayings is that fast beats free. And so if you look at Uber, people could walk, they take Uber. You look at FedEx, they could use US Postal Service, but instead they pay more to get it overnight. Spotify, there was free music on the internet, but it was a pain in the ass. You had to download all that stuff. Instead, Spotify came in and it was you could pay to not have the inconvenience, right? So speed in and of itself is something that people will pay for. All right. So is there a way that I could can I that I can cut the results in half the time? Is there a way that I can speed up my support? So maybe I have normal support which is you know you get a reply apply in 24 hours but then I have VIP support which is you get a response in 60 minutes or less. Right? So it's all my existing resources but just put and repackaged in a different way with a different expectation for the client. Right? And a lot of people will pay for that. So that's an easy one that we can deliver value for. All right so that's the fifth one. And then the last one, [cough and laughter] excuse me, is more of a mental exercise, which I call the one 10x to one10enth. All right? And this is a creative process that I like to think of, which is if I were to 10x my price of this thing, what else would I include? Right? be willing to do? Right? And on the flip side, if the price of what I if I did was onetenth, if I had to fit it into onetenth the price and I had to deliver more value than I am right now, how would I do it? And so there are two those are two creative questions from different ends of the scale. So if I had a thousand product for example, if my thing was $10,000, what would I be able to do that I'm not doing now? Right? And a lot of times some of the creative ideas you have, you could actually still do right now at these price points and figure out how to jam-pack more value into your offering. And on the flip side, if I offered my product for $100 and I said I had to make it more valuable than it currently is, what else would I include? What else would I build into this thing? Right? And so by thinking through th both of those processes, I can usually come up with new ways to repackage my products and offerings and services uh to become more valuable. All right, so the service delivery cube, the reason that I go through this is because I want to see how I can find excess capacity in my business to generate more revenue and profit without taking on more expenses or liability. And I look at where my current products exist on this cube and think, could I go one to the left or one to the right on any of these six? So I'll say them again from the top. We've got the ratio of is it gonna be oneonone? It's gonna be small group. It's gonna be one to many. I've got what level of effort are they going to be putting in? Is it do it yourself, done with you, or done for you? Right? Can I move either way on this? The third is going to be what level of support or what channels of support, excuse me, are the clients going to get? Are they going to get only text? phone calls? Are they going to get phone and call? Or can I have different levels based on these channels? Like we have our lower level which is just email and we've got our higher level which is phone and zoom. Right? The fourth is going to be how I want them to consume this. Do I want this to be a live experience or this a recorded experience? Do I want this to be written, audio, or video? How do I want them to consume information for me as a business? Fifth is how can I make this more convenient or less convenient? faster for them? How can I increase the speed of communication with them? Right? How can I deliver that in a way that's going to be in a very real way more valuable? People pay for speed. All right? One of the easiest things in the entire world is look at any service category that exists and see if you can deliver the result in half the time. just focus on that, right? I mean, Amazon Prime, think about it. They created an entire a movement, you know, with it. They changed they transformed the entire e-commerce space simply by saying, "We're going to get stuff to everyone in two days, right? And now one day and now ours, right? " And then finally, the creative process of 10x to one10enth. If I had if I were selling this for 10 times more than I am right now, what would I include that I'm not? And then can I include those in my current offering because I just didn't think about it. And then if I had to deliver more value than I currently am and I was Excuse me. Do this for onetenth the price. What would I jam-pack into that thing? And so this is the service delivery cube. Hopefully you found this valuable so I don't choke on myself from this tickle that I'm trying to keep down. Use this. Think through it. And if you if you're meeting with your team and thinking, how could you provide more value? This is one of the easiest cubes that I like to walk through. So lots of love. Keep being awesome. Catch you on the flip side. Like, subscribe, comment, tell me some questions. Uh, and I will post some answers to them. So keep awesome. Catch you soon. Bye.