From: alexhormozi
The most powerful sales tactic involves gaining trust from the prospect [00:00:12]. This method, discovered by accident, allowed the speaker to sell to 100% of people and enabled new salespeople to close 80-90% of customers [00:00:14].
The “Sacrificial Lamb” or “Ghost Product” Strategy
This tactic, originally called “sacrificial lambs” and now “ghost products,” involves proactively recommending that a customer purchase certain items elsewhere, even from competitors, to build immense trust [00:02:19].
Origin Story
While selling supplements in a retail gym environment, the speaker ran out of a key product [00:00:29]. Instead of trying to skirt around not having the item, he directly told a customer they could get it cheaper at Costco [00:01:14]. After this concession, the customer bought everything else he recommended [00:01:33]. This led to further experimentation, where he started advising customers to buy other products elsewhere, saving them $10-20 [00:01:42]. He even told one customer not to buy a “mass gainer” supplement they didn’t need [00:02:00].
Over time, he realized that he didn’t even need to carry the products he was recommending customers purchase elsewhere, as their value was primarily as a trust-building sales tool [00:02:24].
How it Works
The core principle is to act in the customer’s self-interest rather than your own, which makes them feel you’re not trying to take advantage of them [00:02:59].
- Build Trust Faster: By making a concession with a “ghost product” or “sacrificial lamb,” you accelerate the trust-building process [00:03:09].
- Strategic Product Choice: When using this tactic, recommend that customers purchase the lowest-margin products from competitors, while keeping your high-margin products for yourself [00:03:26]. This strategy makes customers trust you, leading them to buy the higher-margin items [00:03:39].
- Intent: Trust in sales is built when your intent is to help, which is positive manipulation [00:02:44]. If you believe in what you sell, you can create an environment where someone will trust you faster by giving them a reason to trust you [00:02:53].
Application Examples
- Supplements/Physical Products: Directing customers to a competitor for a cheaper alternative of a low-margin product [00:01:14].
- Services (e.g., Web Design): If a service is not your core capability or would be more expensive for you to provide, recommend a specialist or cheaper alternative (e.g., a freelancer in the Philippines) [00:07:20]. This positions the salesperson “on their side of the table,” fostering immense trust [00:07:41].
Prescriptive Selling & Closing
Beyond building trust, the sales process should guide the customer towards making the best decision for themselves.
- Vision and Benefits: Give someone a vision of what their life will be like when they experience the benefits of the product [00:03:48].
- Pre-Sell Usage: Explain exactly how to use the product before making the ask [00:03:53].
- Habit Integration: Help customers integrate product usage into their existing habits [00:05:02]. For example, suggest placing supplements next to a toothbrush so they don’t forget [00:04:20]. Getting someone to make a new habit is difficult; piggybacking on existing ones makes you a better salesperson and coach [00:05:07].
- One-Click Upsell / Prescriptive Close: After explaining the benefits and usage, simplify the purchase decision by having payment information on file, making it a “one-click upsell” where they only need to say “yes” [00:04:39]. This is a combination of a prescriptive close and using ghost products to establish trust [00:04:45].
Handling Objections and Budget Concerns
- Prioritize Importance: If a customer is on a budget, offer to order products by importance, showing what they absolutely need versus what provides faster benefits [00:05:30].
- Reintroduce the Problem: If a customer removes a product, don’t show it as unimportant [00:05:51]. Instead, reintroduce the problem the product solves (e.g., “you’ll have to eat a lot of broccoli to replace this”) to highlight its value [00:05:55].
- Find Hidden Money: Help customers find money for the purchase by identifying expenses from old habits they will stop doing (e.g., less going out, less drinking) [00:06:14].
Psychological Positioning
The ultimate goal for a salesperson is to move from “across the table” to “shoulder to shoulder” with the customer [00:07:54]. This means both parties are looking at the decision together, with the same information, to make the best choice for the customer [00:08:01]. Sacrificial lambs and prescriptive selling are fast ways to achieve this psychological shift [00:08:07].
Practice and Repetition
To enhance sales skills, gain extensive practice by engaging in many low-ticket transactions [00:07:07]. Working with businesses that have high volume, low-ticket sales (e.g., car washes, massage, nails) allows for constant repetition, which teaches more about selling and dealing with people than any course [00:06:41]. This experience makes selling higher-ticket items feel like a breeze [00:07:10].