NOBS NOV 2022 Wbleed

NOV 2022
Renegade
Millionaire
Accelerated Accomplishment
(Part 1)
Inside this issue:

"A Special UPDATE
On The Renegade
Millionaire System"
by DAN KENNEDY | PAGE 3
"How To Use The

Renegade Millionaire
Principle To Collapse
Time And Accelerate
Accomplishment!"
Q&A with DAN KENNEDY
AND JIM EDWARDS | PAGE 7
Log In to the Members Area

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NOV 2022
Featuring Dan Kennedy,

Founder of Magnetic
Marketing “If you set out to be successful at
something and you don't know how to
do it, look around at what everybody
else is doing, and don't do that…”
What Does It Mean — EA R L NI GH T I NGA L E
To Be...
by Dan S. Kennedy Dear Magnetic Marketers,
pg #5
One of the very first info products from Dan Kennedy that I had a chance to
go through was the Renegade Time Management course. At the time, I was
Fax From The Past: starting to get overwhelmed in my business. I had more customers than I
Failure And Poverty could handle because I had hired a bunch of employees, who were taking
Are Contagious more time to train and manage than the customers. I felt like I was drowning.
by Dan S. Kennedy I needed some help.
pg #21
I had just recently bumped into Dan Kennedy, and I was starting to learn from
him. And that's when I got the email for the Renegade Time Management
Magnetic Marketing course. (Which by the way, you have for FREE inside the Members area as a
In Action:
NO B.S. Member, so make sure you go and listen to it because you don't want
by Darcy Juarez
to miss this gold from Dan!) As I started to listen to the course, everything
pg #24
I heard was shocking. At the time, I was staying up all hours responding to
every customer email, every single text, every message, every comment,
every question, every everything—whether people were paying me money
Copywriting Secrets:
Toot Your Own Horn… or not. I responded to the same people literally dozens of times a day,
Nobody Else Will! oftentimes people who never became buyers.
by Jim Edwards
pg #30 I was doing all these things myself. I was succumbing to what Dan Kennedy
calls “time vampires.” And as I listened to Dan’s advice about time manage-
ment, I began to see that it was completely the opposite of anything I'd ever
heard before. From how he sets up boundaries with his staff to his personal
Condensed Philosophy:
Stop, Look, And Reason! time to being able to write, work, think, and create. I remember thinking
by Napoleon Hill that there was no way that I could do something like that. But after getting
more and more bogged down with the day-to-day of my new, growing
pg #32
company, I realized that something had to change.
So I started implementing some of Dan's practices. everybody else is doing and do the opposite.” This
Now I didn't go as deep as Dan. I didn't buy a fax was so different from what I had thought, which
machine and force my clients to FedEx and fax me was that the secret was modeling what everyone
to communicate. But I did set up a Help Desk and else was doing.
systems and processes. I moved myself further up
the chain so that people couldn't talk directly to me So I started looking at the business I was in, which
and did a whole bunch of other things that freed at the time was “How To Become An Internet
me from the shackles of my business. That was the Marketer.” Everyone in that business was doing the
first time I had a monumental shift in my thinking same types of things. And I remember thinking, “I
as it related to time management. Shortly after have to do something radically different. I need to
that, I got an email from GKIC and (Glazer Kennedy be a Renegade, like Dan taught me.” So I started
Insider’s Circle) promoting the brand-new Renegade looking at Dan's business and what he was doing.
Millionaire course. It was huge—came in a big box
with tapes and workbooks. And I knew I had to get it. I was one of the very first people in the internet
marketing industry to run a mastermind. Shortly
If Dan's Renegade principles could transform my after I joined Bill Glazer and Dan Kennedy's
mindset about time management, what could it do mastermind, I believe I was also the very first
for the rest of my business? I saved up some money person to do a print newsletter, which ran for
and spent the $2,000 or $3,000 to buy the tape box set. almost 16 years before we bought Dan Kennedy's
company (in 2021) and combined the two
(Side note: I had that Renegade Millionaire course newsletters. We were the very first company in our
on my shelf for over 12 years, and during one of industry to do a back-end call center, which we also
my last moves, it somehow disappeared. I've been learned by watching Dan Kennedy and people in
searching desperately on eBay for a few years trying other industries. We were one of the very first to
to find a new copy, but haven't found one yet. If start doing live events, which we saw happening in
any of you happen to have an original tape set of the real estate market.
Renegade Millionaire, please let me know. I'd be
more than willing to buy it from you!) I started seeing all these Renegade principles
working in other markets. I saw what other Dan
After I got the tape set in the mail, I would plug Kennedy marketers were doing, and I modeled
it into my car and drive to school and back every them in my industry where they were brand-new
single day, listening to Lee Milteer interview Dan and nobody else was doing them. The only other
Kennedy about all of the principles within the person who was doing similar things was Ryan Deiss,
Renegade Millionaire process. Almost every time who happened to be in Bill Glazer's and Dan Hay's
he introduced a principle, his advice went against masterminds at the same time. And the success we
everything that I had believed to be true up to that got from this was huge.
point. But I tried to look at everything with an open
mind. I slowly started implementing these into my We were the very first people in our industry to
business, and what happened next literally shifted build a call center and to sell high-end coaching.
everything. That business grew very rapidly because we started
doing the back-end call center for our own business,
One of the quotes that led to this newsletter topic but then all the other gurus selling information
is from Earl Nightingale, which says: “If you don’t in our industry wanted us to do the back-end call
have a good model for success, just look at what center for them as well. That is how we grew so big.
4 NO B.S. M AGNE TIC M ARKE TING LE T TER

That was years ago. But then, because of a market This issue is gonna be a little bit longer than normal
crash and some bad decisions on my side, the call because Jim Edwards and Dan Kennedy had a lot
center and everything failed, and I had to go from a of fun going deep into these Renegade Millionaire
few hundred employees down to just two or three. principles. Normally the Q & A call takes an hour and
I found myself in this really scary situation where this time they went for two, but I know it's worth
we were about to lose our business. I didn't know it. So keep reading, because you're going to learn so
what to do. But once again, I started looking at what many cool principles from Dan Kennedy about how
everyone else was doing and copying them. I forgot to become a Renegade Millionaire inside of your
these Renegade Millionaire principles. And we really business.
started struggling.
UPDATE ON THE RENEGADE MILLIONAIRE SYSTEM®
Over time, we developed the software ClickFunnels,
and I said, “Okay, let's look at what other SaaS What Does It
(software as a service) companies are doing to
grow…” The very first funnel we launched to sell Mean To Be A...
ClickFunnels looked just like all the other software by Dan S. Kennedy
companies in our industry. And guess what? It failed.
So we tried a different version…and it also failed. THIS MONTH, I’ll talk about what it means to be a
We tried another version, and it failed again. In Renegade Millionaire, and next month I'll share the
fact, we ended up failing five times trying to launch system for practical applications.
ClickFunnels…
What is a Renegade Millionaire—and why do you
…until we decided to step back and become want to be one? By definition, a renegade is a person
Renegades, and do what nobody else was doing who “betrays an organization or establishment” and
to sell software in our industry: holding webinars. “defies established order.” At first blush, that might
We sold information and coaching products at live not sound desirable, but it is the offensive, defiant
events. We designed a webinar to sell, and built outliers and (at least temporary) outcasts who move
the company from $0 to $100 million—without any the needle with everything. “Betray” means to be
funding at all—by using the Renegade principles we disloyal, but loyalty to false gods, to entrenched
had learned from Dan. orthodoxy left untested, to antiquated restrictions, is
no virtue. Luther tacked his manifesto on a church’s
As you read through this issue of the newsletter, door and, as a Renegade, changed Christianity and
start thinking about your business differently. Start organized religion forever. The book Brand Luther
looking at the people / industry around you and tells the story.
what they're doing, then figure out ways to break
the model. Look at industries outside of yours and A friend, the late Mike Vance, once an associate
see what they're doing—maybe you can bring some of Walt Disney, said that if we stayed obedient
of those ideas back to your business, like I did when I to established norms, we’d stay locked into
first joined Dan's mastermind group. only incremental improvements, so still lighting
our homes with bigger candles and commuting
N E W S LETTER 5
with electric pooper-scoopers for our horses. defying industry or business norms, defying every
Every entrepreneur I know of by study or know version of “the way things are done around here.”
personally—going from scratch to creating some sort
of extraordinary business, outsized success, wealth, You can start by challenging self-imposed limits. I
influence, and power—launched or fueled that show these two boxes as illustration. With everything,
success as, at least temporarily, a Renegade, resisted every person operates inside TWO boxes. The bigger
and reviled by a majority committed to established box with the solid line is the Real Limits. I can’t play
norms and limitations. quarterback in the NFL—that’s a REAL Limit. Doesn’t
matter how hot my burning desire to do so might be.
You can start that list with a wacko named Columbus, I am 67, blind in one eye, and slow.
who persuaded the Queen to back his expedition in
search of a new world, and persuaded enough men
to crew his ships—despite cemented conventional
wisdom that the Earth was flat and that ships sailing
too far in any one direction would fall off the edge.
You are liberated from a telecommunications

monopoly because one guy dared to challenge the
legitimacy of that monopoly to start a competing
telephone company judged by virtually everybody
as doomed to fail. The reason you want to be a
Renegade is that being the opposite—an obedient
conformist loyal to established order—predetermines
the limits of your possible success.
But with most things, most people operate within
Conforming to norms guarantees no more than a much, much smaller, more tightly confining box,
normal (i.e., average, mediocre) results. You want shown with a dotted line because it can be broken
to continue as a Renegade Millionaire or multi- through, often easily, often by little more than a
millionaire because complacency and conformity change of belief about it. You have to examine and
are never-ending enemies. People often “lose their question your dotted lines, and/or have a good,
edge” as they achieve certain levels of success, from tough coach, mentor, or advisor who will make you
a desire to finally fit in and be accepted by “proper” list them and then question them.
people. Companies built with Renegade marketing
sadly abandon it, bringing in “professionals” to be
Who Do You Think
You Are Anyway?
adults in the room, settle things down, and be less
controversial or outrageous—and reversal of fortune
soon follows.
Renegade Millionaire-ship is all about you deciding
In many ways, being a Renegade Millionaire boils who you are. One of the key characteristics of
down to the Principle of DEFIANCE, universally Renegade Millionaires is widely, generally frowned
applied. For example, defying one’s own handicaps upon: hubris. This is “excess” self-confidence, and it is
and start-point disadvantages, defying your own annoying! Imagine the hubris it takes to decide YOU
limiting beliefs, defying others’ limiting expectations, should be president of the United States…or start a

private space-travel company circumventing NASA… the standard practices of a field I had newly entered,
or build the first railroad from New York to Florida… judge the business models of all its “name” stars,
or discard the entire means of transportation and leaders, and village elders as dumb, and to set out
replace it with a “horseless carriage”...or, as a college to replace THE Way with a new, invented My Way?
dropout, stand on stage 15 years ago and state that Arguably, I wasn’t. But I was capable of it. I could
the object in your hand that you invented is going to observe, think for myself, recognize business incest
replace the telephone. and coerced conformity, and decide that there had
to be a better way. So why shouldn’t I be the guy to
The skeptical question often asked of the entrepreneur, figure it out?
and unvoiced but held in the minds of many around
the entrepreneur is “What makes YOU think YOU This is the Renegade idea: “Look, there just has to be
can…” do such a thing? Disrupt an industry? Charge a better way. Somebody’s going to figure it out. Why
such prices? Topple Goliath with your little slingshot? not me? Heck, I’m smarter than these people, and I
In most cases, the entrepreneur has some assembled don’t care how exalted they are!”
information, historical precedents, moveable business
Q&A With Dan

models that partly answer the skepticism and support
his confidence. But just as often, and just as important,
he is unintimidated by whatever exists that he intends
challenging, and he has a lot of hubris.
When I decided to create the business and “Planet

Dan” world that is now NO B.S./Magnetic Marketing
as an extension of my professional speaking, no
one else in the speaking field, present or past, had
ever done such a thing—converting audiences to
customers then to committed lifelong Members, for
equity, not just income. It was unheard of. There was
no model.
The Renegade Millionaire principle of making Present

Bank and Future Bank Deposits SIMULTANEOUSLY
had not been taught to me. To decide and articulate
very early that speaking was a terrible business and
that the established models centered on fee-paid Jim Edwards: Would you talk first about the idea
speaking and competing for those gigs stunk like a behind Renegade Millionaire, for people who aren't
roadkill skunk but that I saw what no one else did— familiar with it or maybe to reacquaint themselves?
that speaking could be a fantastic advertising media,
letting me get paid to get customers instead of paying Dan Kennedy: Well, “millionaire” doesn’t mean
to get them—took considerable hubris. what it meant in the ’70s and the ’80s. But there are
a lot of ordinary millionaires and multimillionaires.
On what basis was I qualified to so harshly judge By that, I mean they get there mostly as turtles—
N E W S LETTER 7
over a long period of time in jobs or ordinary rich-quick scheme category, but compared to the
businesses, by being fiscally conservative and saving, ordinary millionaire. We are talking about years,
not letting their lifestyle exceed their income, and no more than a decade, from serious decision to
avoiding wipeouts when downturns occur. Often millionaire+ rather than 30, 40, or even 50 years.
the small-business millionaire gets there after a
long period of time at first liquidity event, at sale They are very self-directed and self-determined
of business or sale of large part of business, and in about everything. And maybe most importantly,
rare cases, at going public. Until then, it's really not they typically achieve their gains, and their speed
“wealthy” because it's all captive inside the company. of gains, by being a Renegade—specifically in their
category of business and broadly in their collection
There’s a book called The Wealthy Barber (by of personal behaviors. That's not coincidental; that's
David Chilton), where you have the guy with a where the speed comes from.
dry cleaning store, and then he opens a second
one, and he finally opens a third one. And Jim Edwards: So to sum up, ordinary millionaires
ultimately—between what he has saved along the take the more traditional path and may be a
way, the equity in his house, and the cash out of the little bit safer, slower like a turtle, and Renegade
business—got a million bucks or more in investable Millionaires are much more entrepreneurial, more
assets. interested in speed, very self-directed. And they
achieve their gains quickly by being a Renegade,
Jim Edwards: So it's like that whole millionaire-next- both in the category and in their personal behavior.
door thing. That probably creates a sense of urgency to get stuff
done that the ordinary one might not have had.
Dan Kennedy: Exactly. Financial advisors love these
guys. When Thomas Stanley wrote The Millionaire Dan Kennedy: Yeah. Take Howard Schultz of
Next Door, the book was actually for financial advisors, Starbucks and compare what he did beginning
about who to market to and how to market. with one store to the countless owners of small,
independent coffee shops scattered all across the
Jim Edwards: Why do they like them so much? country, including across the street from another
Starbucks—the small chains that tend to be local
Dan Kennedy: The ordinary millionaire is not typically where again, a guy opens one…then five years later,
self-directed about money. So at points along the way, he opens a second location…and five years later, he
and at an ultimate liquidity event, he is going to most opens a third location. The landscape is full of them.
likely put much of the money into the hands of an And some of them are millionaires, but most of
advisor / money manager. And that’s fine. I'm not in them are not. Most of them are eking out a living.
any way denigrating these folks.
So why and how did Schultz turn a coffee shop
The person I describe as a Renegade Millionaire into hundreds of millions of dollars and a massive
may also be a small business owner, at least initially. amount of personal wealth, a company large
For one thing, they are very entrepreneurial, either enough to take public, when all these others don't?
from origin or they become that. So they're not of Well, some of it's simply intent, but beyond that,
the shopkeeper mentality or the be-your-own-boss Schultz was a Renegade coffee shop operator. He
mentality—they are of the entrepreneur mentality. basically violated every norm that you can think of
They are also comparatively fast…not in the get- about how to run a coffee shop.

You can look at the origins and early development There is a set of expectations based on averages—
of what we now know as Walmart with Sam Walton, (Average really means mediocrity. But it sounds
and tell yourself the same story. There were a better if you say “average.”)—about how long things
zillion independent retailers—department stores, should take and in what sequential order things
discount stores—and there still are now. Category should be done, the latter really controlling the
by category, you can play the same game, right? former.
There will be one or two or ten who have gotten
exponentially different results from the same So whether you go to Harvard Business School or
business than thousands or tens of thousands have. you join your state association of whatever kind of
And it is almost never that they have just done business you're in or you find a textbook about it—
the same things everybody else has done—bigger, however you get information about owning an auto
faster, pouring more capital into it—they have done repair shop or a dental practice or a gardening store,
Renegade things with that particular business. or even e-commerce in most categories—you're
going to be taught this normal calendar of how long it
Jim Edwards: Could you sum up the difference with should take you. For example, from start-up to break-
whether it is done by intent or vision? even to first year of positive cash flow to first year of
profit. And there'll be this normal set of expectations
Dan Kennedy: No, you can't sum it up that way. for the type of business you're in about how long it
Take coffee shop owners as an example again—a should take you to establish a positive brand identity
fairly large number of them will have no intent to in a market. There's textbook stuff for that.
build an empire or get wealthy. That's not even an
issue with them. They want to be their own boss. Jim Edwards: It’s like when someone who allegedly
They want to have their place. They like seeing the knows what they're doing pulls you aside and says,
same customers every day. They're really running “Look, this is the way things are done. Don't rock the
Cheers without the booze. They're happy making a boat. This is how you do it.”
good living.
Dan Kennedy: Yeah. “This is the way things are
But then there will be a sizeable number of them done, this is how they're done in order, and this is
who do have the intention of wealth from their how long it should take.” And this exists everywhere.
business. They do have the intention of getting to
multiple locations or spin-off businesses. They do When I started speaking for real, for money, in 1977,
have an entrepreneurial intent…but they never get every beginning speaker was told by the elders and
there. So intent is definitely an element here, but it the trade association…
is not the deciding element that explains a Schultz
or a Walton or a Bezos. You are going to have to go speak free anywhere
and everywhere somebody will allow you to do
Jim Edwards: Our main topic for this Q&A is so, while you get good and develop your skills
accelerating accomplishment. Could you define that? to a level that you ethically deserve to get paid
and will be able to get paid. And then there'll
Dan Kennedy: In almost every category of business, be a period of time where you will be at a very
of enterprise, there is a sort of normal calendar. low fee level, but you'll be getting paid, and you
N E W S LETTER 9
need to grovel and beg and kiss the a**es of better or incrementally faster, but they basically work
the bureaus who book speakers and the highly within that frame. It all becomes reinforcing proof
successful wise elders who might refer a piece that the frame is right, because everybody who works
of business to you that they don't want. And within it—some are a little more successful than
then after some years of this, finally you will others, some are a little faster—but every one of them
begin to earn a good income, and it could start proves “Here's the standard schedule. Here's the
breaking six figures. standard sequence. Here's what to expect.”
I heard all this and it made no sense to me what- Jim Edwards: So how do we break out of that frame
soever. First of all, the business is one of self-appoint- and overcome those limiting beliefs?
ment and self-proclamation—period—anyway. There's
no career ladder. So A) why couldn't you collapse Dan Kennedy: The first principle of the Renegade
that? And B) why shouldn't you collapse that? Millionaire system is to deliberately violate as
many industry norms as you possibly can, all at the
Well, it goes with the Renegade Millionaire same time, on the theory that they reflect industry-
principle of simultaneous not sequential. So all the imposed mediocrity. So if that's not what you want,
s**t they would have you do sequentially, if you then you cannot be bound by any of it. If you want
do it all simultaneously…ZAPPO, you’ve got speed. extraordinary results (financial, speed, etc.), then
Now you aggravate everybody. But they're wrong. you have to do extraordinary things.
Any business you would go into, you would hear
some version of the same rap I just did. The prerequisite is to understand what we've just
talked about. The breakthrough often occurs for an
Jim Edwards: And because there is this died-in- entrepreneur when, through some experience, they
the-wool “This is the way things are done,” they realize that everybody in their field around them
automatically foist upon people new into this, they who has been educating them is an idiot.
automatically create a set of limiting beliefs. In
other words, it's passed right to you. When this happens, a lot of people get depressed. I
did for a few hours the first time it happened to me.
Dan Kennedy: Absolutely. Most people are walking But then you should get joyful about it, because
around with their own set of limited beliefs to you've just discovered the blueprint for what NOT
start with—that sort of psycho-emotional baggage to do.
they've stacked up about money and success—
since what they heard at the top of the stairs in Then the exercise is to sit down and make a list of
their childhood. They've already got that stuff. Now, all the…
piled on top of it, comes the dogmatic “Here's how
long things should take, and here's the sequence • Here's how things are done.
in which they can be made to happen. And don't • Here's the order in which they are done.
you dare think about questioning or violating these • Here's how long it is supposed to take to get
norms, because you'll die.” from A to B.
So if somebody gets that, they tend to work within And then violate as many of them as possible
that frame. They may try to do it incrementally simultaneously.

Jim Edwards: So you make a giant process map of the norm of the chiropractic practice. Still the norm
the whole industry, whatever you're doing. And then today, by the way, is “pay as you go by the visit”
at every step, at every decision, at every milestone, which means that if you're lucky, you're getting
you're saying: paid the day you do the adjustment. In some cases,
you're running up a tab and you've got a collections
• How can we eliminate? person, and you're getting paid after you've done
the work. You're getting paid piecemeal, and it's
• How can we change? very hard to get ahead.
• How can we accelerate? So we billed pre-pay, which is to say to the client:
• How can we break this thing and get our Here's your problem and here's your treatment
potential customers from where they are to plan. You're gonna come in three times a week
where they want to be as fast as possible in for the first four weeks, and two times a week
ways that nobody ever really thought of before? for the next four, then once a week. And you're
gonna get these six treatments. It all adds up
Dan Kennedy: Yeah. I'll give you a real elementary to $6,280. You can prepay that at a 10% savings,
example. When I first started to work with the or you can pay it in three installments at a 5%
chiropractic profession (also in the late ’70s), for savings. Which option would you like?
the new doc opening his practice or opening a
second practice, the business model was to find With this, you could literally take a practice from $0
your location, sign your lease, and bring in all your to upwards of $50,000 a month…within a month.
equipment…and ultimately, you turn the phone on, And you're now financing everything, including
you turn the lights on, and you open the door. And growth, with customer money—not with debt and
then you begin the process of trying to get patients. not piecemeal as you go.
Which means you are in for three to twelve months
of starvation, of barely making the rent. Again, every industry, every category of business
has a long list of these things. Many of them are
So I said, “Why don't you round up all the sort of small, but they add up to slow growth, as
patients one or two months before you open the impediments. But when you get them out of the
practice, while the walls are being painted and the way—in many cases by simply reversing them—you
equipment's being put in and all of that? Why don't can make a dramatic change in the speed of success,
you market to the community before they can even in the profitability, in the financial efficiency of the
come to you? You create people who, on the first business.
day you open the doors, will all rush in.”
Jim Edwards: That makes perfect sense. A doctor
And we devised a system to do that. It's pretty gets out of school and wants to put up the shingle,
simple, but it's heresy. At the same time, in that and then they wait for everybody to show up. It's a
profession, there were about five people (myself difference between wearing the doctor hat versus
included) who pushed the pre-pay movement for wearing the marketer hat.
N E W S LETTER 11
Dan Kennedy: So it became sort of normal, or at in before, for a while stays very Renegade. And
least not shocking. But in its days of first use, what then gradually, more and more people skeptically
we now know as the Costco idea of you paying a test it and discover, “Holy s**t! What I was selling
membership fee to be allowed to buy things was for $5, I could be selling for $50!” And then you
once unheard of. If you think about it that way, it see a sea change in the business.
makes no sense. Why should I have to pay you
to be allowed to buy things from you? You're the When I started in information products, business
one who should be on bended knee, happy to just and success audiocassette or multimedia courses,
entice me through the door! there was a single big dog of the industry…
Jim Edwards: You should pay me to show up here, Jim Edwards: Nightingale-Conant.
buddy!
Dan Kennedy: Yeah. And their pricing practices
Dan Kennedy: Yeah. So this was a very radical, were emulated by everybody else. So there was
Renegade thing to do when the first doers of it did a “Here's how you price this product” formula,
it. Forced continuity at one time was so unheard which basically was 10 bucks a tape and an extra
of and radical that it was thought to be illegal! In 10 bucks if there was a workbook, then discounted
some categories of business, it is frowned upon by back down from $60 or $70.
the federal trade commission; however, it is not
illegal. There are certain things you have to do if Jim Edwards: Why do most of their courses have
you choose to do it. six or eight cassettes? How are they able to teach
you something in six to eight cassettes? Because
When I brought forced continuity into the informa- that's how many you can fit in the pack!
tion marketing industry, it was new—nobody had
ever done it. It was being done with nutritional Dan Kennedy: That's exactly true. So everybody
supplements and skincare, with consumables. priced based on their prices. And in many cases
And of course it had been done with Book of the that sale was being made, and today is being
Month Club eons ago. But nobody was really made, in a vacuum. When somebody buys a
selling a course that simultaneously obligated you success course of some kind, they're not at the
to having your credit card charged every month Success Course Store. Like if you're gonna go buy a
for additional stuff that came to you, unless and weed whacker and you're at Home Depot, you're
until you squealed, “STOP!” It became an industry comparing and price-comparing—you’re being
norm, but at the time it was absolutely rogue. sold direct by a human one-to-one. From a stage
in a webinar, it's a sale being made in a vacuum,
Jim Edwards: So really today's Renegade can which suggests price elasticity.
literally turn into tomorrow's best business
practice. Once somebody figures out a different Out of the gate, I was pricing between $99 and
way of doing it, everybody (or a lot of people) $299, and there was literal furor over it. And when
start to copy it. we quickly started to make $1,000 and $2,000 and
$3,000 course sales, people couldn't believe it was
Dan Kennedy: Yeah, exactly. Premium pricing, happening. There was some argument that it was
when it occurs in a category that it never occurred unethical—“price gouging” would be today's term.
There was a general disapproval and disbelief.

Jim Edwards: And I was one of those people! When Jim Edwards: And everybody's playing Follow the
I saw your prices back in 1990-ish, I was just like, Follower.
“How in the hell can this guy charge this much? This
isn't what other people charge.” Dan Kennedy: Yeah. So that is the premise
underlying the entire Renegade Millionaire system.
Dan Kennedy: The key is of course delinking price And it is directly the premise of “Violate all the
from the deliverable, and instead linking price to industry norms you can…” (and then I've added for
value of use, to the result. Actually, my Magnetic speed) “…simultaneously.” Don't violate ’em one at
Marketing system was the first product Nightingale- a time—violate ’em all.
Conant ever sold for above $200, in their catalogs
and by mail. And that was many years after my Jim Edwards: So talk about defiance.
pricing changes in the industry and its effect on the
industry. They were still a laggard, and they were Dan Kennedy: If you are looking for a summary of
quite confident that it was gonna fall on its a** what creates a Howard Schultz out of masses of
when they did mail for me, which it did not. Both coffee shop owners and a Sam Walton out of masses
they and I made a very nice chunk of change each of retailers and a Walt Disney out of (at the time)
time we mailed. masses of small local, regional amusement parks...
There’s a schtick in Earl Nightingale’s original recording, A real interesting story people can use is Paul
“The Strangest Secret,” that I tweaked and have used Newman and his partner's creation of the Newman's
in sales letters a lot over the years. It talks about a brand of salad dressing and coffee, which donates
young man coming home from work and flopping profits to charity. They started in an industry where
down in his chair and wearily saying, “Boy, am I there was a sequence of how you get a product like
tired…” not because he actually did enough work to salad dressing to the market and the order of things.
be tired, but because he’d heard his father say that A great book by Paul and his partner A. E. Hotchner
every day when he came home from work. is Shameless Exploitation in Pursuit of the Common
Good: The Madcap Business Adventure by the Truly
The Renegade Millionaire premise is credited to Earl, Oddest Couple. It tells the story of the making of that
because the first thing I kept from what I heard of brand, which is still huge, long after Paul's death. It is
him on records was that… a demonstration of defiance.
• The majority is always wrong, especially about That links to “violate,” so you could substitute the
anything related to money or success. words “defy every industry norm”—and certainly
all opposition that comes your way as you operate
• So if you set out to be successful at something in a Renegade manner, because you will get plenty
and you don't know how to do it, look around of it. You will face everything from picayune little
at what everybody else is doing, and don't do problems from an establishment—he is resistant
that. to anybody violating the way things are supposed
to be done—all the way to major problems. You
I've just given that to you nearly verbatim. will have opposition internally (inner circle, family,
N E W S LETTER 13
friends, staff, accountant, lawyer, vendors). You will And when he went to that person's supervisor, they
always have some version of the engineers coming to told him, “No, you can't.” And when he persisted
Henry Ford after weeks of work and telling him that past them to the mayor's office, they told him, “No,
they can't build the Model T that he has envisioned you can't.” The next day, he went back and asked the
and here are the 27 reasons why. powers that be “Is there anybody who could get a
permit to have a biga** trailer on the street in New
The more Renegade stuff you do, the more of that York for five days?” One person laughed and said,
you will face. And the golden thread running through “Only a movie studio!”
the stories—the biographies and the autobiographies
of entrepreneurs who have violated pretty much all So he quickly created Kenneth Cole Productions, for
their industry norms, who have upset everybody's the filming of The Making of a Shoe Company. He
apple cart, have gone so far even to have disrupted went and got a permit, and he got a bunch of guys
industries and made themselves rich and famous by with Hollywood-looking cameras with no film and a
doing so—is defiance. bunch of lights and a guy with a megaphone sitting
in a director's chair and a big sign: NOW FILMING
Most people—certainly your own staff—most THE MAKING OF A SHOE COMPANY. And when people
business owners, most entrepreneurs, accept “No, stopped, he had someone out there say, “Look, we're
you can't” a lot, often the first time they hear it, done filming right now, but if you want, you can
almost no matter who they hear it from, but certainly come through the motor home and see the company
if they hear it from some sort of authority figure. that is being started, the one that we're filming.” So
Cole exhibited his new shoe line via this method. And
There’s a great story about the Kenneth Cole fashion that's how the Kenneth Cole company started.
brand. He started by selling shoes. Fashion Week
in New York is a big to-do. A friend of mine, Sydney Now 99 out of 100 people would fold somewhere
Barrows, works with companies there every year. It’s between the first and the third “No, you can't.”
where all the buyers from the retail industry converge Defiance is a behavioral issue. It is a way of thinking.
to see the newest fashions and hottest brands. So But ultimately, it's how do you react to being told
you need to be there if you're gonna launch a brand. “No, you can't do that.” Of course, the Renegade way
But it's hard to get in. There's an establishment and to react is…
they have a process and all of that.
Jim Edwards: “Hold my beer—watch this!”
Almost everybody at Fashion Week stays in a bunch
of hotels clumped together, and they walk from Dan Kennedy: That's exactly correct. So defiance
the hotels to the convention center. But it’s very is the determined, developed character trait, and
expensive, and Cole didn't have much money. So different people express it in different ways. My
he devised a scheme where he would use a biga** friend Joan Rivers said that her entire five careers
motor home and park it on the street—right between were based on “If there's no door they will let you
all the hotels and the convention center—and have through, you make a door.” Same concept.
his own exhibit hall. Then he would stop people and
bring them through the trailer. Jim Edwards: In a lot of people's origin stories,
there's often a time where they got rejected and
This was in downtown Manhattan. So when he went they had to have that come-to-Jesus moment where
to get a permit, he was of course told, “No, you can't.” they say, “I’m gonna show you!” There's a person

of significance—a boss who fired them, a teacher Jim Edwards: Yeah, which is tied to some pretty
who inspired them, or somebody who told them no. powerful things like expectations, hierarchy,
Some pivotal moment where their gut is set, and progression, levels. So that ladder is just loaded
they're like Scarlett O'Hara: “I'll never be hungry with all types of internal beliefs and social structures
again!” that are ingrained from birth.
Dan Kennedy: Yeah. Sometimes that's incidental. Dan Kennedy: Yeah. So when you sell, one thing
But this has to become deliberate. Whenever you want to do is provide a ladder—because your
I'm shown rules or procedures or processes or a customers have all been conditioned to climb one.
schedule on the calendar, I make my list of how But you do NOT want to go along with that normal
I'm going to ignore it all, defy it all, and go about behavior. Because the majority is wrong about
accomplishing what I want to accomplish. everything, especially that which relates to money
or success.
Jim Edwards: I think that story of Kenneth Cole is
a great transition over to leaping versus ladder- If you think about money, for example, here's the
climbing. sequence that almost everybody plays by and, to a
great extent, everybody is taught.
Dan Kennedy: Yeah. One of the things shown
to new marketers is a ladder. We're conditioned 1. First, you get a job and start to earn enough to
to them from childhood, because you climb a pay your bills.
school “ladder.” They have graduation ceremonies 2. THEN you get a better job, or you get a raise,
for kindergarten (which is laughable) where the or somehow you are able to start saving a little
kids “graduate” to first grade, and then to second money.
grade, and then to third grade. Then they go from 3. THEN you further increase your income, and
middle school to high school, and then there’s the you're able to save some significant amount of
dumb idea that everybody should go to college. So money.
from the time you're walking around in short pants, 4. When you have accumulated, through saving,
you're put on that ladder. a certain amount of money, you become an
investor.
If there are multiple kids in a home, and you're
second or third (or in a Catholic family the fourth or The Renegade answer to this is to collapse that
the fifth), there's actually a ladder in the house. So sequence and do it all simultaneously, including
you start out having to go to bed at eight o'clock… being an investor.
Jim Edwards: Then 8:30, then 9, then 9:30… Arnold Schwarzenegger began buying real estate as
an investor—not only before he had a house of his
Dan Kennedy: At a certain age, you get to stay own, but before he had even rented a place to live.
up until nine. And of course, if you participate in He was sleeping on friends’ couches, freeloading,
martial arts, or if you are in the Boy Scouts or Girl moving from one to the other for several years,
Scouts, you’re conditioned to see and methodically taking every penny he made that he didn't need to
climb the ladder. eat and buying real estate. He further collapsed the
financial calendar as he went forward.
N E W S LETTER 15
My client Dr. David Phelps has a company called Jim Edwards: Right. It's just the way things are,
Freedom Founders that works with dentists on a which sets it up so that you get a job, get some
three- to seven-year blueprint for predominantly debt, buy a car, barely pay for it, get a raise, incur
real-estate investing, to help them get to the point more debt, get another raise or get another job,
where their passive income from their investments get a bigger thing with MORE debt—with the
equals their active income from practice. This gives allure of your house potentially being your biggest
them the freedom to do what they want—sell the investment. All the things that you've been told
practice, keep the practice, sell half the practice to are actually, in many cases, the worst things you
an associate, whatever. The truth is, they should could do, because they trap you in this cycle of debt
have been investing from Day 1, but they were put and then making a little bit more, spending a little
on the plan I just described above, which was all bit more. And you're living on monthly cash flow,
sequential, which is organically and automatically which is exactly where the government and society
gonna be slow. And in many cases, it's so slow that and those who are really making it want you to be,
you stall out along the way. because you're controllable.
I think a lot of this is just intellectual incest and Dan Kennedy: Well, I think the normal scheme
conditioning. There are behaviors that serve you that people are shown for money, for a particular
well, to a point. Then the same behavior becomes business or profession, for a business activity within
an enormous handicap and disadvantage. a profession or an industry (like getting a book
published or setting up an ecommerce platform) has
A lot of things that we are taught in childhood that been built by incestuous reinforcement. Because we
served us well as children are enormous handicaps are hardwired to adapt to circumstances by fitting
as we move to adulthood. For example, “Don't talk in. That's a hardwired survival instinct. And it no
to strangers.” It's a nice, simple example that is longer really applies. It's caveman, but we've got it.
really hammered home. Everybody understands it.
So when most people enter a business or a pro-
The #1 fear of adults in America is public fession, when they start an activity, are going to
speaking. The thing that kills most salespeople look around at those already doing it and HOW they
when they enter any kind of a sales profession is are doing it, and they are going to fit in with that
cold prospecting. We replace that for them with group. And even if they are successful, even if they
marketing, but if we're not there, their normal are in the top 5%, by sheer numbers, it reinforces
sales manager is gonna have them cold prospecting, the model, right? So the model gets stronger and
which means they have to talk to strangers. But stronger and more rigid, and more unlikely to be
they have been programmed in all their formative questioned, with each person who follows it—in
years NOT to talk to strangers. some cases, with each generation that follows it. It
doesn't happen by some grand scheme; it happens
So I don't think it's a conspiracy to cause people to naturally.
be mediocre. I do think there's a political conspiracy
to cause that, but I don't think the norms were P. T. Barnum, one time on a completely sunny day in
created for that purpose. But in many cases, it’s the Manhattan, sent people out onto the sidewalks at a
effect they have. busy street crossing with umbrellas to stand there
and stare up into the sky. In very short order, people
were running into stores and buying umbrellas. And

even more people were standing and staring up at of how the United States handled the Spanish flu
the sky. You can pull that stunt almost any way you and how, at its end, they realized that both social
want to. Products are sold by getting visible leaders distancing and masking had very little impact
to use them. on controlling the spread of Spanish flu. Yet we
repeated the same response all these years later.
If three or four PGA pros switch to using a For the most part, we all went along with it early
particular golf club, everybody goes and buys the because we didn't know enough to justifiably
golf club. In harness racing—where I still own defy it, and because all the wizards were telling
horses, and where I drove up until my blindness, us. Gradually, more and more of us called BS, but
where I raced for 20 years—from time to time, a significant number of people have been so
somebody comes out with a new and differently influenced by this that they still won't give it up.
made race bike (a sulky, the thing you sit in behind They're driving around alone in a car wearing a
the racehorse) with some argument of why it is mask.
faster. It's aerodynamically different, it's made of
different materials, the seat's at a different angle, So we have to be disciplined enough (and know that
it's got speed wheels on it, whatever. (These things this is hard) not to respond to the wizard, to the
are not cheap, by the way. These are $2,000 pieces rule-maker, to the teacher of the sequence and the
of equipment.) The companies always give one to calendar, to all of it, in the normal way as normal
the two leading drivers at every track. If they like people do. And we have to be very, very wary of
them at all, and they keep them and start driving wizards.
in them, everybody else feels like they've got to
have one. Now, conversely, you want to be a wizard to your
audience, to your market, to your constituency.
And before you know it, everybody's bought one of Because the overwhelming majority of people want
the bikes! And if it does make you go faster, every- wizards. And I don't care if you own five shoe stores,
body's going faster…so there's no advantage and now you really should figure out how to be a wizard in
everybody's ready for the next one. So it's perfectly your customers’ lives, and you will benefit from it
understandable that people behave this way. enormously.
There's a Renegade Millionaire principle: 1) be the Jim Edwards: Give me an example from a shoe
wizard, 2) beware the wizard. store, a men's clothing store or something. How
would you be the wizard for your peeps?
We have to be disciplined enough not to let all
of our conditioning, all of our behaviors that Dan Kennedy: You do things like tight messages-to-
once served us well but no longer apply, fall market match. So if you're in the menswear business,
into a normal reaction to any wizard or variation for example, I would recommend high-end, not low-
thereof. This is not easy to do, because we've been end. You're really in the fashion business, and your
conditioned and to some extent we're hardwired. advertising outreach to customers could be some
version of “If you must dress for success and need to
Like with wearing masks. We just lived through dress to impress, we’re your place, I'm your guy.”
it. Ironically, oddly enough, there's a description
N E W S LETTER 17
Parenthetically, not saying but making it clear that When Larry Flynt came along and created Hustler,
if you buy a new suit only when you’ve gotta go he very deliberately defied every success norm that
to a wedding or a funeral, stay the hell away from Playboy had established, except for the core issue of
us, because we're not your guys. This gives you the philosophical connection. Larry aimed at the exact
opportunity to be a fashion consultant and a dress- opposite audience: blue-collar, unsophisticated. The
for-success consultant, not just a rags merchant. guys who hung out in the neighborhood bar together,
Beyond that—and this applies to any business—real not the guys who played golf at the country club. But
power comes in bigger, broader things, in a in reality, the inner marketing methodology of the
philosophical connection to your customer base. This two was the same.
gets to everything from conversation to publishing,
and the credo for every business really is “publish or So you study Hefner, and you go back to origins and
perish.” And you want to be significantly influential, the early development of Walt Disney. They are
provocative, supportive, encouraging, motivational to much more alike than they are different. They are
your customers. You want a philosophical connection. of the same era in Southern California. And I am
quite convinced they watched each other. My joke is
I always point to two for people to study. And they that Hefner had bunnies and Walt had mice. But the
are much more alike than they are different. similarity does not stop there at all. The businesses
could have been shoe stores. I mean, Hef’s business
The empire is faded now for a variety of reasons, was thought of on the outside as a sex magazine
but up until a decade, certainly two decades ago, and then nightclubs. Well, how many nightclubs or
Playboy was big. Study Hefner and what he did from sex magazines were there? With Walt, the business
the beginning. There are books, there's a very good was an amusement park. There were hundreds
documentary on Amazon Prime called American of amusement parks. So they did something very
Playboy that is well worth watching. Study Hefner different, not just with the business but also with
and you will learn that he was very deliberate, very their relationship with their audience and their
successful at making that about more than pictures customers.
of naked women in a magazine.
Jim Edwards: Let’s talk about marketing
Playboy was not alone in the market. Before breakthroughs and hidden opportunities.
it, and in an explosion after it, there were skin
magazines, hundreds of them, dozens of them Dan Kennedy: There's a whole system for finding
with pretty big circulation that hung around for them, which is in Renegade Millionaire. But broadly,
a while that were about nothing but pictures of they are very often unearthed by defying all the
naked women. Hefner made it about much more. norms. They sort of rise up to you as you do that.
And he had a philosophical connection with the
most loyal customers. There was a sense of ego Ultimately, the driving premise of Starbucks became
superiority conveyed upon them. The joke always what Howard Schultz called the “third place.” There's
was “I get it for the articles,” right? Playboy was a home, there's office, and in between there’s the
leader in publishing literary authors and really good third place—Starbucks. Of course, in today's world,
investigative journalism. Its readers felt like they they're having to reinvent that because that premise
were intellectual superiors to the masses. There's has been harmed by the “don't go to work” and the
more to the game. Hefner’s one to study. “work from home” movements.

The second premise of Starbucks is ego. That same in the Renegade Millionaire system talk. They're
premise Hefner used that casual observers didn’t not really very interested in Future Bank. They're
understand he was using. I mean, being a Starbucks not trying to keep score. They're not focused on
consumer is sort of a badge of elitism, of good it. So they get customers in order to make a sale.
taste, of willingness to pay premium prices. At every We make sales to get customers, because we view
seminar or conference, there’s always someone them as the chief assets of the business from which
doing a Starbucks run, even though there's a coffee wealth will come.
place right there in the hotel, even though there's
free coffee put out by the seminar giver. And they So when you look for hidden opportunities in a
very visibly make a to-do of the arrival of their business as a consultant, you’re usually going to
Starbucks. find them in neglected marketing on the front end,
often by lack of diversity. Meaning they're getting all
Schultz didn't start with either one of those their leads or all their customers from one or two
breakthroughs. But they quickly rose up out of methods and media, not 10 or 20, selling all their
the violation of all the industry norms that he was products through one or two distribution channels,
engaged in. not 10 or 20. They are in one or two places.
Jim Edwards: Then when he saw that, did he seize One way you find a hidden opportunity is what's
upon it or just let it kind of grow organically? called out-of-category advertising versus in-category
advertising. You will automatically think of four
Dan Kennedy: He seized upon it. Hidden places to logically advertise a given product or
opportunities are often on the marketing side of service. If you’re a financial advisor, you’re gonna
a business (different positioning, different place advertise in financial publications and use the Wall
strategy, different kind of customer, different price Street Journal, regional edition. You don't really
strategy) or they're in the back end of the business. think about advertising in the classic car media,
What do you do with a customer when you get one? offline or online. That's called out-of-category, but
it's a place to reach your avatar customer who's
There's a Renegade Millionaire principle that ties to 50+ and has a half a million dollars or more. They're
this, for those making notes and keeping score: all there. Plus, your competition is not there. So
BOOM—you just found a hidden opportunity.
Normal business people get
customers to make sales; I tell the story all the time about the pop-up jewelry
we, the Renegade Millionaires, store that is at every racehorse auction. He's told
make sales to get customers. me he does more dollars per square foot there than
he does in his stores at the malls. For one, there are
So the normal businessperson, first of all, is still no discounts. He's selling it full retail. Everybody's
kind of an “Eat what you kill, kill what you eat today” captive all day.
person. They're very interested in “How many sales
did we make today? How many pizzas did we get out Here's how everybody behaves when they go to the
the door? How many courses did we sell? How many racehorse auction. Mostly guys, by the way—not
books did we sell?” Today's revenue. “Present bank,” entirely, but mostly. (And Carla will say, “You're
N E W S LETTER 19
not gonna buy another horse, are you?” And I, of He would rather fulfill them with you, because
course, will say, “No. I'm just going to the auction to you already have a relationship, than he would
keep Bill company.” Bill's wife says, “You're not gonna with a stranger.
buy another horse, are you?” And Bill says, “Oh, of
course not. I'm just going to the auction to keep Dan So the opportunity is all in the customer, right?
company.” But of course we both buy horses!) The product that's on the shelf, the service that’s
performed that is the initial transaction (and maybe
Now we could come home with another horse on a is a repeat transaction, like with a restaurant). The
lead shank, or we could come home with a horse on a normal business owner’s thinking is all about that.
lead shank in our left hand and a brand-new diamond
tennis bracelet in our right hand. That's the better The entrepreneur, particularly the Renegade
choice. So the jewelry store owner does very well in a Millionaire entrepreneur, learns to really see that as
place that, on the surface, makes no sense. the means of acquiring a customer, and then looks
to the customer as the asset to be developed to
A lot of hidden opportunities are on the front end, on produce wealth.
the marketing side. The other place they exist is in
the back end, in the use of the customer as an asset There's a jewelry store owner who’s a longtime
to develop. The most important question on the back Member. Once a year, he takes a group of customers,
end is always “What's next? What set of choices, what who pay a very large fee, with him on a trip that starts
ladder, what pyramid, what's gonna be shown to them at the diamond mines, where they literally pick out their
to do next?” rocks. And then they spend two days in Amsterdam,
where the greatest diamond-cutters in the world cut
Jim Edwards: And most people don't make it that their rocks. The trip culminates in New York, where
far because they're too focused on the front end of the cut diamond is put into a piece of jewelry. This is
bringing in new people. a six-figure payday for him—multiple six figures in a
single-store retail business where you would normally
Dan Kennedy: Well, if you are running a normal maybe get a six-figure income for the entire year, net.
business in a normal way, first of all, you have sort of
a narrow view of what it is, and you're working within Another Member of ours, Gene Kelly, owns a winery
that narrow view—the business-owner perspective, (among other things), which is basically a bucket-list
not the entrepreneur perspective—and it will tend to purchase. His other businesses are his real “make
be product- or service-centric, not customer-centric. money” businesses. I'm not sure if the winery makes
money or loses money, but I don't think it's a big
Whereas in reality, the opportunity is in the customer: income-producer. Out of the winery, he has made an
additional brand called Autonomy Wines, as a sort of
• Who is he? Ayn Rand reference. Individuals get their own labels
and their own allotments of wine and are featured
• Why did he come to you in the first place? on the website as partners. They actually own
their own vines, their own little spot in the winery
• What does he want now? (Because you have a from which their supply of wines comes, labeled
relationship.) with them as the partner, for them to give as gifts
to friends and family and clients. You can see it at
• What are his other unmet needs and desires? AutonomyWines.com.

My wife Carla is a partner. She's a wine freak There is an issue of ranking opportunities by
anyway (I'm not). She owns X number of vines and significance. There is the adage that just because
has a picture of them and her plaque on the fence you can do something doesn't mean that YOU
next to them. She has her own wines with her label should do that thing. Let's say a business sells by
on them. Now that's not normal winery operation. distance, online or offline or both, and it has a
She’s probably never going to leave, but even if she 5% refund rate. You could dig in and go to work
does, I can guarantee you that if you amortized it and figure out a bunch of things to do. And if you
backwards per bottle, Gene just sold wine for a hell improve that by 20%, that means you would bring
of a lot more than he would normally. the 5% down to 4%. So 1% of your revenue is
how much? Less cost is how much net? And then
Jim Edwards: One thing I always love is that when I you look at that number and you have to think to
think I’ve got my act together, I then read something yourself, Is that a big enough opportunity for me to
of yours or listen to you and feel like I should be focus on? Or is it really a very small opportunity, and
living in a dumpster, barely able to function, because I have a lot of bigger opportunities so I will choose to
of all the things I'm not doing that I SHOULD be ignore it or put it on a C List?
doing. What advice would you give to people at this
point about prioritizing and putting this into action, Ultimately, we are in the money business, right?
without feeling super overwhelmed or just hopeless We're not in the shoe business. We're not in the
that there's just so much to do? membership business. Ultimately, we're in the
money business—the net money business, not the
Dan Kennedy: Well, the principle of simultaneously gross money business. So we have to evaluate every
and not sequential is not necessarily an easy mandate, hole in the bucket and every opportunity in terms
but it also does not necessarily mean that you of net value. And if we have more than we can do
must implement everything you devise at once. It simultaneously, then we have to rank them based on
DOES mean you do not want to be controlled by their net value to us.
normal sequencing. You at least want to rethink your
“Fax” From
scheme—and not just once, but fairly often.
The Past
For example, right now a change in the economy,
which should not be a surprise but to a lot of people
it seems to be, is fast revealing itself, and a new set of
circumstances, positions on the ground are probably
going to be with us for two to three years. Many
Weekly Fax: Week 11 of 2014
businesses will require some adjustments, which
Failure And Poverty
should be made simultaneously, not sequentially…
and made fast, not slow. I think that when people feel
Are Contagious
overwhelmed by inadequacies they identify in what by DAN S. KENNEDY
they're doing, the sense of being overwhelmed stays
there if they don't lock themselves in a room for five The expected average age of retirement for people
or six hours and create the scheme to respond to 55 years of age and younger is now 74. Average life
those inadequacies. expectancy: 72 to 76. Most Americans will, for the
N E W S LETTER 21
foreseeable future, work until they die, mostly out of financial necessity, some due to a combination of
preference and financial requirements.
At the 2013 American Dental Association convention, a leading financial expert in that profession told
dentists to add between 8 and 10 years to their anticipated retirement target. The same is true in many
other professions and fields. TIP: Don’t be part of this crowd.
The Social Security Administration began publishing statistics in 1954, about the fate of men after working
from age 20 to age 65, who are ready to retire. It’s from these sorry stats that I draw the Income and Wealth
Pyramids that I often show. In 1954, 1% could retire rich, 4% financially secure, 15% okay but very dependent
on government and family, and 80% broke to dead broke. Half of the 80% sharing a can of cat food with their
pet for dinner.
Now here’s what is amazing. In 2012 (the last year we have stats), after 58 years elapsed, these facts have
NOT improved. The 1%, 4%, and 15% are unchanged. In the 80%, more have fallen toward the bottom. What
has changed: the day the people in the 80% and the 15% can retire has been pushed from age 65 to age 74.
It now takes 49 years instead of 45 to retire, most still financially insolvent.
Put this into context. In those 58 years, we’ve had all kinds of technology breakthroughs. Greater-than-ever
access to information, education, and training. More and more tax dollars poured into public education.
The internet erasing start-up barriers for second incomes, home-based businesses, etc. and providing
ready-made money-making platforms like eBay, Etsy, and Amazon. Smartphones putting the ability to
conduct business, operate globally, trade stocks, etc. in the palm of the hand. For poor people, we have
invested TRILLIONS in the War On Poverty, created the ironically named Earned Income Tax Credit, raised the
minimum wage, and made college more accessible (creating the next big debt bubble).

Getting ahead financially has been made easier, How can this be? Why and how, given all this
simpler, and more readily accessible than ever “progress,” can people’s financial well-being get
in American history. In inflation-adjusted dollars, worse and the overwhelming majority get, be, and
air travel, automobiles, and definitely “how to” stay poorer?
education of every type are cheaper now than
in 1970, when I began my climb. But with all this, There is a profoundly simple answer (which liberals
the success and failure statistics are stubbornly hate and disavow): People’s quality of thinking is
unaffected. In fact, there is MORE financial poorer and their behavior is worse. They get what
distress. they themselves cause. This makes one of my most
fundamental of all premises all the more vital to
use, not selectively, but broadly and universally:
Whatever thinking or behavior you see embraced by
the majority or by a majority, you must opt out of it,
reject it, and avoid it like the plague. To deny this is
to deny the economic facts.
Side Note: My newest book, NO B.S. Guide to

Brand-Building By Direct Response, is a micro,
practical application of this principle to advertising
and marketing. When you read it, keep this in mind.
My upcoming 90% sold-out June “Advanced Wealth
Academy” is entirely based on this principle. If you
attend, keep this in mind.
N E W S LE T TER 23
Magnetic
• Six bullet points on Page 1 hit on the biggest
frustrations common to all of my client's buyers.
Marketing
I found these frustrations by analyzing several
dozen testimonials and call transcripts. In other
In Action
words, research carried the day.
• Six bullet points on Page 2 solved each of the

frustrations listed on Page 1. This generated a
by DARCY JUAREZ
great deal of interest in the minds of readers.
My client said he felt like he "was able to virtually
Each month, we bring you examples of how real
crawl into the minds of [their] industry prospects.’’
entrepreneurs and businesses are using Magnetic
But this was just more research—matching the
Marketing every day.
product's benefits to the prospect's desires.
Example #1 is from long-time member and direct-
• Two offers at the end included:
response copywriter Kevin Donlin. He shared a
strategy that is working well for him and his clients.
• A primary offer > "First, you can call Joe
And when I asked if he was willing to share with the
Sample at ABC..."
Members, he not only sent me the letter he was
using, he also gave a few of the keys to its success,
• A secondary offer > "Second, even if you’re
which I am sharing with you here.
not ready to talk to anyone, you can still learn
more..."
THE PROCESS: I decided to create an endorsement
letter rather than a sales letter. Why? To leverage the
By giving readers two opportunities to respond,
power of one really great testimonial my client had.
you almost always increase response, especially
Also, I wanted to bypass sales resistance, because the
among the many people who don't want to make a
endorsement letter came from a software user, not
phone call.
the software maker. It was peer-to-peer.
We got the letter approved by the customer who wrote

In addition to the endorsement letter, I wrote two
the original testimonial. Then it was time to mail. Here
follow-up letters and two emails for my client. But
is the letter.
the bulk of our response came after the first letter
and a phone call from his sales rep. We mailed the
Dear Dan,
endorsement letter to a list of 24 target accounts
I'm writing to tell you about something that makes
that knew about my client but had not yet purchased.
managing elections easier.
My client said, “We mailed the letters, sent emails,
Hi, my name is Sally Powers, and I served as an
and made follow-up phone calls that actually got
election official for over 25 years, most recently as
through to decision-makers. When we spoke to
Elections Manager in Oak County, Minnesota.
people, they were largely pre-sold and ready to talk.”
You and I may have never met, but we probably

KEYS TO SUCCESS: The letter I wrote was based on an
have a lot in common when it comes to elections.
actual testimonial. I then added three critical parts:

Things like: But the reason I'm writing is because I found a better
way to do my job that might help you too. It's called
• Hours and hours of repetitive work. Lots of the ABC software system.
entering the same information over and over in
different spreadsheets and documents. There's so How it was developed is an interesting story. Back
much duplicated effort. in 2010 (my pre-retirement life!), I was responsible
for coordinating 2,000+ election workers across
• Training poll workers. Especially when they forget 130+ polling locations in a county with 21 cities and
their user names and passwords, or you have to townships. When I took the job, the only tools we
deliver in-person training. It's mentally draining had to manage election logistics were a mess of
and it takes you away from the other work you spreadsheets and some boxes of 3x5 note cards. What
have to do. a nightmare! I knew there had to be a better way.
• Communicating with workers. Especially if you So, I made a phone call to a software developer I
have to send and reply to emails, letters, or texts. trusted, asking for help. We gathered a group of
It's a hassle trying to manage it all. election officials with experience managing elections
in cities and counties, large and small, to serve as a
• Doing payroll for dozens or hundreds of people focus group. That software developer didn't just meet
who only work one day a year. It can take days to our expectations, he exceeded them by creating ABC
process everything. software! Here's some of what it can do:
• Juggling staff hours when people cancel or • It replaces hours of repetitive work by managing
change their shift. It disrupts everything. Not to all the paperwork and details for polling places,
mention trying to keep a party balance at every workers, and equipment in one place.
polling place.
• Training is easy. Election workers can register and
• Then there's all the voting equipment, supplies, train themselves online. They love being able to
and documents to schedule and keep track of. It's review material and take quizzes on their smart-
like planning a wedding for 200,000 guests—and phones or iPads—and I never had to deal with
the reception is in 120 different places! lost passwords or usernames because it works
securely without them.
I could go on, but I think you know what I'm talking
about. • Sending emails, letters, and even texts is simple.
It's all done with a few mouse clicks. I could write
It's not just how difficult our work is, but how it and send a message to hundreds of workers in
affects us and our families personally. It's tough less than 10 minutes.
when the long work hours take us away from our
loved ones at home. On top of that, conducting • Payroll is also simplified. The system
up to 45 in-person training sessions a twice a year automatically calculates the hours and dollars
means we're away from home even more! That's owed with almost no data entry.
not good for our relationships or our health.
N E W S LE T TER 25
• Staffing gets managed and we can easily handle Thank you for reading this letter. I hope you've found
any changes to worker hours. It even ensures we it helpful.
have party balance at polling locations.
• Equipment, supplies, and paperwork are all

Sally Powers
tracked, so I always knew what to do next. ABC Sally Powers
makes it hard to forget anything, so nothing falls Election Manager (retired), Oak County, MN
through the cracks.
P.S. I don't make a penny for recommending ABC.
If you've read this far and want to find out I'm just happy to tell others about how wonderful it
more about what ABC can do, you can get more is. To learn more or ask any questions, I just send an
information in two ways. email to Joe Sample at joe@abc.com
First, you can call Joe Sample at ABC and ask him Examples #2 and #3 this month are from Insiders’
any questions. He's knowledgeable and friendly, and Circle Member Gabe Clements. These are two
he won't try to sell you anything. You can call him different but similar letters that he mails out to
anytime at 777-888-9999. targeted lists as a part of a multi-step campaign.
Instead of trying to be everything to everyone, he has
Second, even if you're not ready to talk to anyone, created different letters to send to different audiences
you can send a request to view a short video that with different messages—something that so many
demonstrates what ABC can do. To request the people miss. They try to make their ads for everyone.
video, send an email to my friend, Joe Sample at But today, it’s so easy to create targeted messages
joe@abc.com with targeted pages throughout your entire campaign.

We increased his overall response and results by adding the secondary means of response: “If you’re
not ready to call us…” This allows recipients to just say “maybe” and raise their hands to receive more
information. And he created a different report for each audience.
Example #2 is the letter he sends to his inherited successors' leads, and his raise-the-hand offer is for his
“What Should I Do Now That I Have Inherited A Property?” report.
N E W S LE T TER 27
Example #3 is for his seniors who want to sell leads, and his raise-your-hand offer is for his “What Do I Need
To Know When I’m Ready To Sell My Property?” report.

One tenet of Renegade Millionaires is to violate industry norms. Insiders’ Circle Member
Bonnie Juul has done just that. During a recent quarterly implementation intensive, where
the Insiders’ Circle Members gather to implement Magnetic Marketing principles in their
businesses, we worked on her offer. A few days later, she posted this in our private group.
Bonnie/Jeannie had just started forcing prospects through multiple hoops before they had
a chance to even meet with her (which goes against the grain of every chiropractor) and
discovered that once they reach her, they are so much more compliant and eager to work
with her. Congratulations on your success, Bonnie!
If you have an example of Magnetic Marketing in action to share with the community, send
it to us at newsletter@magneticmarketing.com. This can be an example of yours or one that
you come across.
You just might be featured in an upcoming NO B.S. Marketing Letter!
N E W S LE T TER 29
Copywriting of people and screaming, “Hey, look at me! I'm
amazing and special!”? Probably not. However, there
Secrets
are specific things you can do in your sales copy that
effectively toot your horn and let people know how
amazing you are (without activating the inner second-
by JIM EDWARDS grade nun with lightning-fast ninja ruler skills who
wants to take you down a peg for daring to tell people
Toot Your Own Horn... you have something amazing in your pocket).
Nobody Else Will!
The two time-tested ways you can toot your horn—
“It's not polite to brag about yourself.” That rule's and have people love you for it—are by using results
been ingrained in most of us since an early age. I testimonials and case studies.
remember not so fondly the time I got up in front
of my class in second grade Show & Tell and, in Now, the two of these are often mistaken for each
the eyes of Sister Rose Marie, started bragging to other, but they are actually very different. Here's the
the kids about something I’d gotten for Christmas. difference, in case you were wondering.
I honestly don't even remember what it was, but
I do remember this well-meaning, ruler-wielding • A results testimonial is a relatively brief
nun pulling me aside and explaining in no uncertain statement from a customer or subscriber
terms that it wasn’t polite to brag. whereby they tell the world they got an amazing
result with your product or service, software, etc.
That's when I learned that tooting your own horn
may not always be the best option, especially if • A case study, on the other hand, is the story of how
certain members of your audience aren’t particularly they got the result with your product, service, etc.
receptive.
In general, a testimonial is typically brief, while a case
The real problem manifests, however, when people study can get rather lengthy, because those tell the
carry this no-self-promotion lesson over into customer’s story of achieving results, rather than just
adulthood and business. Most people stink at selling documenting the end result itself.
themselves, their services, and their products. They
use excuses like… Now that you know what they are, how do you
get an epic results testimonial? Well, you don't get
“I let my results speak for themselves.” it by doing what the majority of folks do, which is
essentially walking up to somebody who bought
“I'm the quiet professional.” from you and asking, “Hey, would you give me a
testimonial?” Why not? Because 99 times out of 100,
“I don't like to brag.” they'll say, “Sure, I'd love to give you a testimonial!”…
but then they never do. Why not? Because they don't
The problem is, if you don't toot your horn about your know what to say.
product, service, software, coaching, restaurant, retail
store, or practice…nobody else will! When you ask the average person to give you a
testimonial, they have no idea how to do one, so
Now, does that mean standing up in front of a group they don't. Same thing goes for a case study. If they

can't give you a testimonial about a specific result, Q #4: Why did you decide to try [product name]?
they sure won’t be able to recount the story of
how they actually got the result, at least not with Q #5: What specific results did you get with
any details that will make people want to buy from [product name]?
you!
Q #6: Specifically, how was using [product name]
So let me give you the questions to ask to elicit different or better than what you’d been doing
a great testimonial and, if you’re really nice, I’ll before?
throw in the questions to get a great case study
(’cuz I’m awesome…just ask my mom)! Q #7: Any final thoughts you'd like to share about
[product name]?
Testimonial Questions
A case study can have up to 20 questions, but
Q #1: Did you enjoy the [product or service that these will get you started on a basic storyline.
you sell]?
Let me sum all this up for you. It's one thing for me
Q #2: In a sentence or two, what would you say to tell you I'm amazing. Even if I'm telling you the
to another [your target audience] about [product] truth, I obviously have a self-serving motivation in
and what it has done for you? telling you only the good things about my product
or service.
Q #3: What has been your single greatest result /
takeaway from [product]? However, from the prospective customer’s
perspective, when somebody who looks like them,
Q #4: What would you say to someone who is on talks like them, acts like them, and had a similar
the fence about getting started with [your name] problem tells how they got an amazing result with
and [product name]? your product, they’re much more likely to pay
attention. And if a bunch of people tell how they
These questions will get you the raw material you got an amazing result with your product, then
need to craft an amazing testimonial to then hand they’re really going to pay attention.
back to the customer and get final approval to use.
Words tell, but case studies and testimonials from
Case Study Questions people who are just like your target audience will sell
better than any words you could possibly say about
Q #1: Before [product name], what was your yourself.
process for getting [desired payoff]?
By the way, we have several excellent scripts
Q #2: What were the specific challenges you faced inside of Funnel Scripts to help you solicit amazing
getting [desired payoff] that way? testimonials and case studies from your customers
and subscribers. You can get all the details at
Q #3: How long had you been looking for a FunnelScripts.com.
solution before you found [product name]?
WELCOME LE T TER 31
Condensed
No great reform can take place and no great change
in man's attitude toward man can occur until the
Philosophy
individual human heart softens, undergoes a change,
and welcomes that change.
by NAPOLEON HILL This is why the editors of this magazine believe the
Golden Rule philosophy must become the common
Stop, Look, And Reason! meeting ground upon which men will come together;
lay aside bias, prejudice, and petty grievances; talk
A new human relationship is rapidly spreading over over their differences of opinion as man to man;
the business and social world. in a spirit of fairness, agree upon a definite plan
of cooperation; and go forth arm-in-arm to do the
This new relationship will inspire men with a higher world's work and reap their just reward in peace and
sense of fellowship in their dealings with one happiness.
another in the future. It will inspire men to place
principle above the dollar and humanity above the The Great Life Drama!
selfish, greedy individual who has not yet learned
the glory and wisdom of rendering honest service The World is a Great Play House!
and giving before getting.
Life is a great drama. We human beings are the
This new relationship is based upon a very old and a actors. The stage has been set for us, and each
very sound principle: the Golden Rule. person must play a certain role.
We doubt that man will ever conceive a higher or "There is a destiny which shapes our ends, rough hew
nobler principle upon which to carry on business and them as we may.”
social relationship with his fellow men than that of
the Golden Rule philosophy. "There is a tide in the affairs of men which, taken at
the food, leads on to fortune, but omitted, all the
Mere man-made laws will not force men to be fair voyages of their lives are bound in shallows and
with one another. There is always a loophole through miseries.”
which any man-made law may be evaded. Legislation
will not restrain men from trying to get the better of This golden chain of truth impressed itself upon the
each other. mind of Croesus, counselor to Cyrus, king of the
Greeks, more than 2,600 years ago when he said: “I
In fact, no ideal can be established as the standard am reminded, O king, and take this lesson to heart,
of a nation, of a race, of an industry or a business, that there is a wheel on which the affairs of men
unless it first finds a hearty welcome in the hearts of revolve, and its mechanism is such that it prevents
the individuals constituting these bodies. any man from being always fortunate.”

In this great life drama, we cannot all be stars, but It would ensure us supreme happiness.
we can play our own part well, no matter how
humble it may be. And if we do this, our reward as It would ensure us all of life's necessities and as
measured in happiness will be as great as that of many of the luxuries as we cared to indulge in.
the greatest players. And what is this Great Magic Key?
And who is wise enough to gainsay that he who It is the GOLDEN RULE!
plays even the least important role here on
this planet, and plays it the best he can, will be
If we all understood the law of the Golden Rule, we
rewarded with a more important part in the next
would see the necessity of becoming our brother's
play, after he crosses the great divide?
keeper. Strikes and lockouts would be absurdities
that no civilized country would tolerate. Profiteering
Through the pages of this magazine, your editor aims would bring swift failure to all who were foolish
to play his little part the best he knows—playing enough to undertake it.
it not as a master, but as a servant whose main
objective is to do what he can to ameliorate the
If you want to know what is just and fair in your
hardships of humanity, as we tarry by the wayside
dealings with your neighbors, reverse every situation
of life, expecting nothing greater in return than the
which you are about to create for the other fellow
happiness which always comes to the person who
and see yourself in his place. If you would not be
gives happiness.
DELIGHTED to take his place and let him take yours,
The Magic Key you may be sure the transaction does not square up
with the Golden Rule.
There is a great Magic Key that unlocks the door to You may be sure also that, sooner or later, the
the human heart and gains welcome admittance for eternal scales will be balanced and you yourself will
all who use it. stand in exactly the same situation that you created
for your fellow man.
This great key, if it were universally used, would
make wars impossible.
It would take away all desire to defraud a brother

out of that which is his.
It would unlock the door to the storehouse of

all knowledge and show us the peace and joy
and happiness and success that come from
understanding the human heart.
WELCOME LE T TER 33
Keep Apprised Of Opportunities To Catch All Of
Our Monthly LIVE Events And Webinars!
Ladder OF Success
Insiders’ Circle | This TOP-level membership is a high-end group for our Members who want to both learn and EXECUTE
proven marketing principles from “Planet Dan.” Our Insiders’ Circle is a blended program of training, coaching, and
implementation. The Insiders’ Circle membership includes everything in the Diamond membership, plus access to
the Ultimate Marketing Machine (a step-by-step eight-week course that you’ll be executing), monthly implementation
coaching sessions, quarterly two-day “intensives” to get your marketing projects DONE, the Whole Enchilada (a huge
collection of all the most important Dan Kennedy training courses), and the Dan Kennedy “search engine” with the back
archives of the many newsletters he has written over the decades!
Join Insiders’ Circle at TheInsidersCircle.com.
Diamond Membership | You’ve already learned the principles to market and create a successful business.
Now learn how to be an elite entrepreneur! As a Diamond Member, you’ll get more tools to help you gain momentum
in your business, so you can build it faster and faster! You’ll receive everything inside the Gold membership, including
both the monthly NO B.S. Letter and Behind The Scenes Letter, and a special membership area (with the previous three
months’ newsletters). Additionally, you will have access to a monthly in-depth masterclass, which is an interview with
Dan Kennedy discussing different core principles, and a LIVE quarterly “open Q&A” Diamond call, where you can call in
and get your questions personally answered by Dan himself.
Become a Diamond Member today at DiamondUpgrade.com.
Gold Membership | Want to take Dan’s tested and proven marketing principles and use them in a cutting-edge way to
grow your business online? Inside the Gold membership, you’ll get a behind-the-scenes peek at what is working in the
marketing industry right NOW! Each month, you’ll receive a monthly NO B.S. Letter from Dan Kennedy and a monthly
Behind The Scenes Letter from Russell Brunson, both chock-full of marketing strategies and principles that you can use
to explode profits, at will! You’ll also get access to the private membership area, where you can access the previous
three months’ newsletters. No theory, no fluff—just proven examples that you can model for your business, no matter
what industry you’re in.
Join the Gold membership at NOBSLetter.com.
Read Magnetic Marketing | Want to learn how to attract a flood of new customers that pay, stay, and refer others? The Magnetic Marketing book has the
core frameworks that Dan Kennedy created to help companies in over 136 different niches, business categories, industries, and professions to grow in very
untraditional ways. Magnetic Marketing is a radical, dramatically different way to look at business…with no academic theories, no vague “ideas,” no fads, and NO
B.S. Inside this book, Dan challenges entrepreneurs and business owners to DUMP the boring corporate marketing they are doing that commoditizes them into
“sameness” and has them chasing customers and begging for business.
Get the Magnetic Marketing book at www.MagneticMarketing.com/content.
LEGAL DISCL AIMER & TERMS OF USE

The contents of this publication are intended for the exclusive use of its subscribing audience. Any redistribution of the materials
in whole or in part contained herein is a violation of the intellectual property rights of its creator and publisher. The failure to
abide by this non-distribution declaration may subject you to monetary damages or injunction imposed by a court of law.
Your level of success in attaining results through the methods and tactics described herein cannot be guaranteed by the
authors or publisher. Investing money in reliance on the statements made herein is not advisable and this publication is not
intended to serve as an offer of investment opportunity. All statements of income and success are unique examples and
should not be considered the average result. There is no guaranteed strategy that will remove risk from marketing; therefore,
all individuals should conduct independent research and not rely solely on the methods and examples given here. You
assume the full risk of your actions and understand that no person or entity has guaranteed you success or promised that
your marketing efforts will be profitable.
COPYRIGHT M AGNE TIC M ARKE TING TO E TISON, LLC

ALL RIGHTS RESERVED
Member Support Support@MagneticMarketing.com // Fax 773-305-2711 // MagneticMarketing.com // 3443 W. Bavaria St, Eagle, Idaho 83616

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Inside this issue:

"How To Use The

Log In to the Members Area

Featuring Dan Kennedy,

4 NO B.S. M AGNE TIC M ARKE TING LE T TER

You are liberated from a telecommunications

6 NO B.S. M AGNE TIC M ARKE TING LE T TER

Q&A With Dan

When I decided to create the business and “Planet

The Renegade Millionaire principle of making Present

8 NO B.S. M AGNE TIC M ARKE TING LE T TER

10 NO B.S. M AGNE TIC M ARKE TING LE T TER

• How can we accelerate? So we billed pre-pay, which is to say to the client:

12 NO B.S. M AGNE TIC M ARKE TING LE T TER

14 NO B.S. M AGNE TIC M ARKE TING LE T TER

16 NO B.S. M AGNE TIC M ARKE TING LE T TER

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22 NO B.S. M AGNE TIC M ARKE TING LE T TER

Side Note: My newest book, NO B.S. Guide to

• Six bullet points on Page 2 solved each of the

We got the letter approved by the customer who wrote

You and I may have never met, but we probably

24 NO B.S. M AGNE TIC M ARKE TING LE T TER

• Equipment, supplies, and paperwork are all

26 NO B.S. M AGNE TIC M ARKE TING LE T TER

28 NO B.S. M AGNE TIC M ARKE TING LE T TER

You just might be featured in an upcoming NO B.S. Marketing Letter!

30 NO B.S. M AGNE TIC M ARKE TING LE T TER

32 NO B.S. M AGNE TIC M ARKE TING LE T TER

It would take away all desire to defraud a brother

It would unlock the door to the storehouse of

Get the Magnetic Marketing book at www.MagneticMarketing.com/content.

LEGAL DISCL AIMER & TERMS OF USE

COPYRIGHT M AGNE TIC M ARKE TING TO E TISON, LLC

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