From: alexhormozi
The concept of “ghost products,” initially called “sacrificial lambs,” is presented as a powerful sales tactic discovered by accident [00:00:05]. This method, which will be featured in the “100 Million Dollar Sales” book, helps salespeople quickly gain trust [00:00:10]. Its implementation has led to 100% closing rates for the discoverer and 80-90% closing rates for new salespeople in a retail environment selling physical products [00:00:14].
The Origin Story: Building Trust Accidentally
The tactic emerged while selling supplements at a gym [00:00:29]. The sales process involved selling a service package, followed by a nutrition orientation that included meal plans and product recommendations [00:00:32].
During a new challenge launch with 100 new customers, a key product ran out [00:00:44]. When a customer asked for a product based on a friend’s recommendation that was out of stock, the salesperson, instead of trying to avoid the issue, suggested they could buy a similar item cheaper at Costco [00:01:07]. Immediately after making this concession, customers purchased all other recommended products [00:01:33].
This accidental discovery revealed that intentionally suggesting customers buy certain items elsewhere, or even crossing them off a recommended list if they’re not needed (e.g., a mass gainer for someone not looking to gain mass), significantly increased trust and boosted sales of other items [00:01:42].
What Are Ghost Products?
Ghost products (or sacrificial lambs) are items that a salesperson recommends the customer not buy from them, often suggesting they can get it cheaper or don’t need it at all [00:02:20]. Over time, the speaker stopped even carrying these “ghost products” because their power lay in their recommendation as a trust-building sales tool [00:02:24].
Intent: Manipulation vs. Help
The speaker clarifies that all persuasion involves “manipulation,” but the difference between beneficial influence and negative manipulation lies in intent [00:02:41]. If the intention is to help someone, influencing their behavior is positive [00:02:44]. Using ghost products creates an environment where someone trusts you faster because you act in their self-interest rather than your own, preventing them from feeling taken advantage of [00:02:53].
Strategic Implementation
When using this tactic, it’s recommended to direct customers to acquire the lowest margin products elsewhere [00:03:31]. This builds trust by giving away low-margin items, while preserving sales of high-margin products [00:03:33].
For services, like web design, a ghost product approach could involve stating that a particular service is not a core capability and would cost more if provided by your company due to resource allocation [00:07:20]. Instead, you might connect them with an external, cheaper resource (e.g., a freelancer in another country) [00:07:26]. This subtly positions the salesperson as being “on the customer’s side of the table,” building immense trust [00:07:41].
The Prescriptive Close and Habit Integration
Beyond ghost products, a highly effective sales technique involves a “prescriptive close” combined with integrating product usage into existing habits [00:04:45].
- Vision and Benefits: Give the customer a vision of how their life will improve with the product, explaining the exact benefits [00:03:48].
- Precise Instructions: Explain exactly how to use the product before asking for the sale [00:03:53].
- Habit Stacking: Ask the customer about their existing daily routines (e.g., brushing teeth, drinking coffee) [00:04:09]. Then, instruct them to place the product next to an item associated with that habit (e.g., next to their toothbrush), avoiding the need to create new habits [00:04:20].
- One-Click Upsell: After prescribing usage for all recommended products, make the sale as seamless as possible, asking if they want to use a card on file, eliminating extra decisions [00:04:37]. This creates a “one-click upsell” effect [00:04:43].
Handling Budget Objections
If a customer expresses budget concerns, the salesperson can ask if they’d like the products ordered by importance [00:05:27]. If an item is removed due to budget, reintroduce the problem it solved (e.g., instead of a supplement, they’d have to eat a “shitload of broccoli”) [00:05:50]. The goal is to make the customer realize they trust your expertise to make the best prescription [00:06:10].
Another strategy is to identify “found money” by asking what old identity behaviors they will stop doing (e.g., going out less, drinking less) and associate that saved money with the new purchases [00:06:14].
Practice and The “Shoulder to Shoulder” Philosophy
This sales process, especially the set close and trust-building, works incredibly well [00:05:17].
To master selling, especially for high-value products and services, gaining extensive experience with low-ticket transactions is invaluable [00:07:06]. Working within a large business with high volume low-ticket sales (like car washes, massages, nails, hair) allows for rapid repetition and learning to deal with people, providing more practical skill than any course [00:06:41].
The ultimate goal in sales is to move from being “across the table” from the customer to being “shoulder to shoulder” [00:07:56]. This means both parties are looking at the decision together, with the same information, to make the best choice for the customer [00:07:59]. Using ghost products is presented as one of the fastest ways to achieve this psychological shift [00:08:07].