How it is used in a coaching business
The book's point is that a money model is not a single sale but a sequence of offers. Most coaching businesses have one offer and one price, so the entire economics rest on the first transaction. A money model spreads the economics across the relationship, which means the back end, where the second, third and fourth offers are delivered and sold, carries most of the profit.
| Offer type | Job in the sequence | Where it lives |
|---|---|---|
| Attraction offer | Gets a stranger to buy the first time | Front end |
| Upsell | Moves a client to a higher or more intensive tier | Back end |
| Downsell | Keeps a client who would otherwise leave | Back end |
| Continuity | Keeps a client paying on a recurring basis | Back end |
“A Money Model is not just a single sale. It is a deliberate sequence of offers.”
Three of the four offer types are sold to people who are already clients. That is why a money model on paper is worth nothing without a client success team that gets clients results and a resell process that makes the next offer at the right moment.
