How To Sell Services To The Ultra Wealthy | Ep 957
In this episode of The Game, Alex Hormozi shares strategies for optimizing membership-based businesses and serving ultra-wealthy clients. He outlines specific approaches for structuring subscription models, including the implementation of annual memberships during launches and the strategic use of physical product bundles to enhance perceived value.
The episode explores pricing strategies for luxury service providers, with Hormozi explaining how to structure fees and retainers when working with affluent clients. He details methods for maintaining long-term relationships with high-net-worth individuals, including the positioning of retainer services as portfolio management solutions that can encompass property management, asset design, and lifestyle services.
This is a preview of the Shortform summary of the Mar 31, 2026 episode of the The Game w/ Alex Hormozi
Sign up for Shortform to access the whole episode summary along with additional materials like counterarguments and context.
1-Page Summary
Optimizing Membership/Subscription Models For Profitability and Growth
Alex Hormozi provides strategic advice for enhancing membership-based businesses. He recommends restructuring membership offers to focus on annual subscriptions during launch periods, bundling exclusive bonuses to drive higher-value purchases. After launch, Hormozi suggests running a "mop-up" campaign offering monthly memberships without the premium bonuses, creating a two-phase approach that maximizes both immediate revenue and long-term customer value.
To enhance perceived value, Hormozi recommends adding physical product premiums to digital memberships. For example, crafting businesses could bundle supplies with their membership, making the offer more tangible and helping customers justify larger purchases, particularly when targeting demographics like women aged 45+.
Pricing and Packaging for Ultra-Affluent Clients
When serving ultra-affluent clients, Hormozi advises against complex tiered pricing models. Instead, he recommends using a straightforward per-square-foot rate for design and renovation projects. This approach simplifies calculations and better suits the bespoke nature of ultra-luxury projects.
For ongoing client relationships, Hormozi suggests implementing a nominal annual retainer. This retainer should be positioned as a maintenance plan or insurance policy, providing regular check-ins and keeping the service provider top-of-mind for future projects.
Leveraging Continuity Models For Revenue and Relationship Maintenance
Hormozi emphasizes the importance of positioning retainer services as an "insurance policy" rather than a maintenance fee. These regular check-ins naturally lead to discovering new project opportunities and maintaining long-term client relationships.
For ultra-high net worth families, the service model can expand to include comprehensive portfolio management across multiple properties and lifestyle assets. As the caller describes, this can include strategic planning for all residences, yacht and plane design, and even curated experiences like international shopping trips, positioning the provider as a long-term lifestyle advisor rather than just a project-based consultant.
1-Page Summary
Additional Materials
Counterarguments
- Focusing on annual subscriptions during launch periods may alienate potential customers who prefer flexibility or cannot commit to a full year upfront, potentially reducing overall conversion rates.
- Bundling exclusive bonuses with annual subscriptions can create a sense of artificial scarcity or pressure, which may lead to buyer’s remorse or negative perceptions of the brand.
- "Mop-up" campaigns offering less valuable monthly memberships after launch could make monthly subscribers feel like second-tier customers, potentially harming long-term loyalty.
- Adding physical product premiums to digital memberships increases operational complexity, fulfillment costs, and environmental impact, which may not align with all brands’ values or customer expectations.
- Targeting specific demographics with bundled physical products risks stereotyping or oversimplifying customer needs, potentially alienating segments who do not fit the assumed profile.
- Straightforward per-square-foot pricing for ultra-affluent clients may not accurately reflect the complexity or uniqueness of bespoke projects, potentially leading to underpricing or overpricing.
- Implementing a nominal annual retainer as a maintenance plan or insurance policy may be perceived as unnecessary or as a hidden fee by clients who do not see ongoing value.
- Positioning retainer services as an "insurance policy" could be seen as a marketing gimmick if the actual value delivered is not clear or substantial.
- Regular check-ins from retainer services may be viewed as intrusive or unnecessary by some clients, especially if they do not have ongoing needs.
- Expanding service models to include comprehensive portfolio management may overextend the provider’s expertise or resources, potentially diluting the quality of core services.
- Offering strategic planning for luxury assets and curated experiences may not be desired by all ultra-high net worth clients, some of whom may prefer to work with specialized providers for each asset or experience.
Actionables
- you can create a simple comparison chart that lists the benefits and costs of annual versus monthly memberships for any service you’re considering, helping you decide when it’s worth committing for a year to maximize value and bonuses.
- a practical way to boost your own membership or subscription sales is to offer a “welcome call” or personalized onboarding video for new annual subscribers, making the experience feel exclusive and increasing perceived value without needing specialized skills.
- you can set a recurring calendar reminder to check in with any service providers or clubs you have ongoing memberships with, using these check-ins to ask about new opportunities, perks, or upgrades that might not be widely advertised.
Get access to the context and additional materials
Optimizing Membership/Subscription Models For Profitability and Growth
Alex Hormozi advises a business owner on strategies to significantly increase customer lifetime value (LTV) and achieve more rapid growth in their membership-based business. The core recommendations center around how to structure membership offers, time launch campaigns, and incorporate physical product premiums to boost both conversions and cash flow.
Restructuring Membership Offers to Boost Customer Lifetime Value (Ltv)
Hormozi reviews the owner’s current offer: a membership priced at $27/month or $270/year, with an average LTV of around $300 but with fluctuations based on sales launches. The business owner’s goal is to scale annual revenue from $1 million to $3 million, but it currently takes approximately six months to make a customer profitable from paid advertising.
Promote the Premium Annual Membership at Launch, Offering Exclusive Bonuses for Annual Members
Hormozi suggests that during a five-day launch event—typically the company’s main sales driver—the focus should be exclusively on selling the higher-priced annual membership. He notes that consumer impulse purchases often fall between $300 and $600, which makes the $270 annual plan an ideal upfront offer. To maximize perceived value and urgency, Hormozi recommends bundling one or two substantial, desirable bonuses that are exclusive only to those who purchase the annual plan during the launch window.
Previously, the business owner had offered joining bonuses to all new members but hadn’t restricted them to annual memberships. Hormozi points out this is a missed opportunity, as making bonuses exclusive to annual buyers creates a compelling reason to upgrade or commit to the higher-priced plan.
Hormozi prescribes this sequence: during the event, only the annual membership with exclusive bonuses is available. After the cart closes, the full suite of bonuses is no longer available, applying urgency to prompt higher-value purchases.
Post-Launch Campaign to Boost Cash Flow With Lower-Priced Membership Sans Bonuses
After the launch, Hormozi recommends conducting a "mop-up" or "scoop-up" campaign targeted at those who didn’t purchase the annual plan. In this post-launch campaign, the business should promote the $27/month monthly membership—without the exclusive annual bonuses. Optionally, one smaller bonus may be reserved for monthly joiners to add some incentive, but the main value of the launch—multiple exclusive bonuses—remains reserved for annual subscribers. This two-phase approach enables a second sales surge while protecting the exclusivity that drives annual conversions, thereby improving both LTV and upfront cash flow. Hormozi also suggests tracking LTV by purchase cohorts and using retention data, such as from platforms like Skool, to analyze member behavior and inform future launches and offers.
Enhancing Membership Value Via Product Premiums to Drive Conversions
Hormozi identifies further upside in giving the membership offer a tangible component, especially since the business’s target demographic is women aged 45+, often purchasing craft supplies and stickers for personal use, family, or small business endeavors.
Bundling Membership With a Complementary Physical Product Kit for ...
Here’s what you’ll find in our full summary
Optimizing Membership/Subscription Models For Profitability and Growth
Additional Materials
Counterarguments
- Focusing launch efforts exclusively on annual memberships may alienate or exclude potential customers who cannot afford or are unwilling to commit to a higher upfront payment, potentially reducing overall conversion rates.
- Restricting substantial bonuses to annual memberships could create resentment among monthly subscribers or those unable to pay annually, possibly harming brand loyalty or customer satisfaction.
- The assumption that consumer impulse purchases fall between $300 and $600 may not hold true for all demographics or product categories, especially in niche markets or among price-sensitive audiences.
- Introducing physical product bundles increases operational complexity, fulfillment costs, and logistical challenges, which could erode profit margins or create customer service issues.
- Bundling physical products may not appeal to all members, particularly those who prefer digital-only offerings or have limited storage space, potentially reducing the perceived value for some segments.
- Relying heavily on launch events and urgency-driven tactics may lead to revenue spikes followed by lulls, making cash flow less predictable and potentia ...
Actionables
- you can create a simple “VIP welcome call” for new annual members to boost perceived value and retention, even if you have no tech skills—just schedule a group video call or phone call where you personally thank them, answer questions, and share tips for getting the most from their membership; this personal touch can make members feel special and more likely to stay long-term.
- a practical way to increase urgency and conversions is to set up a countdown timer using free online tools and display it on your membership sales page during your launch, making it clear when the exclusive annual offer and bonuses will expire; this visual cue taps into impulse buying and helps drive timely decisions.
- you can track an ...
Get access to the context and additional materials
Pricing and Packaging for Ultra-Affluent Clients
When serving ultra-affluent clients, clarity and simplicity in pricing, paired with thoughtful ongoing engagement, can elevate the experience and secure lasting relationships. The following approaches distill advice on optimizing offers for this clientele.
Simplifying Pricing With a Straightforward Per-square-Foot Rate
Ultra-luxury design or renovation projects often deal with highly bespoke services, but a straightforward pricing structure is still essential for transparency and ease of communication. Caller #2 originally proposed a three-tier system—$80/sq ft for core renovation or building (including all construction selections, drawings, furniture layouts, wellness layers, and collaboration with builders and architects), $100/sq ft for long-term (7-10 years) portfolio strategy, and advising on broader ecosystem needs (covering yachts, planes, offices, and including a $200,000 annual stewardship retainer).
Alex Hormozi critiques the traditional tiered model, noting that unless tiers are substantially differentiated (with prices jumping by factors of five or more), they often appear arbitrary to clients. In the ultra-affluent space, potential clients will simply do the math based on square footage, regardless of tier, making a base rate (e.g., $100/sq ft) both logical and appealing. This rate is easy for clients to calculate mentally, sets up expectations clearly, and matches the bespoke nature of ultra-luxury projects, where each engagement is highly customized. Hormozi also suggests that, given the variable and expansive nature of requests (for example, moving from residential design to yacht or jet design), it’s more logical to price per asset category—house, yacht, jet—rather than offer rigid service ladders.
Avoiding Complex Tiered Pricing Models
Hormozi maintains that the ladder or multi-tiered approach becomes unwieldy when each client’s needs are so individual. The more straightforward model eliminates confusion and better matches the bespoke service ethos. By setting a minimum estate value (such as $20 million homes and up), expectations are controlled, adequately qualifying incoming clients and justifying the premium price.
Implementing an Annual Retainer As a "Maintenance" Plan to Maintain Touchpoints and Stay Top-of-mind For Projects and New Opportunities
To foster enduring client relationships, an annual retainer or maintenance plan is positioned as a proactive, nominal add-on rather than a significant revenue generator.
Retainer as Nominal Fee For Support and Proactive Client Needs
Hormozi recommends making the annual retainer a relatively insignificant sum (a “rounding err ...
Here’s what you’ll find in our full summary
Pricing and Packaging for Ultra-Affluent Clients
Additional Materials
Clarifications
- Pricing "per square foot" means charging based on the total area of the space being designed or renovated. It provides a clear, measurable basis for estimating costs regardless of project complexity. This method helps clients easily compare prices and understand the scale of investment. In luxury projects, it balances transparency with flexibility for bespoke customization.
- "Bespoke" services refer to highly customized, tailor-made solutions designed specifically to meet the unique preferences and needs of each ultra-affluent client. These services often involve exclusive materials, personalized design elements, and close collaboration with specialists. In ultra-luxury projects, this means no two projects are alike, requiring flexibility and adaptability in pricing and execution. The term emphasizes exclusivity, craftsmanship, and attention to detail beyond standard offerings.
- Alex Hormozi is an entrepreneur and author known for expertise in business growth and pricing strategies. He has built successful companies and shares practical advice on optimizing revenue models. His opinions are valued because they are based on real-world experience with high-value clients. This makes his insights relevant for pricing ultra-luxury services effectively.
- Setting a minimum estate value helps ensure the client can afford the premium services and justifies the high costs involved. It filters out clients whose projects may be too small or less complex, which could reduce profitability. This threshold also aligns expectations, signaling exclusivity and the level of service quality. Additionally, it streamlines marketing and sales efforts by targeting a specific, financially capable audience.
- Tiered pricing offers multiple price levels based on service complexity or features, aiming to match different client needs. However, it can confuse clients if tiers are not clearly distinct or if pricing differences seem arbitrary. A single base rate simplifies decision-making by providing one clear, consistent price, enhancing transparency and trust. This approach suits ultra-affluent clients who value straightforwardness and bespoke customization over rigid packages.
- An annual retainer is a recurring fee clients pay to secure ongoing access to services or support. It helps maintain a continuous relationship, allowing providers to anticipate and address client needs proactively. This arrangement builds trust and keeps the provider top-of-mind for future projects or referrals. It differs from one-time project fees by emphasizing long-term partnership and consistent engagement.
- Framing the retainer fee as a "rounding error" emphasizes its minimal financial impact compared to large project costs, making it psychologically easier for clients to accept. It signals that the fee is a small, manageable expense rather than a significant additional charge. This approach reduces resistance and positions the retainer as a practical investment in ongoing service and relationship maintenance. It also helps shift client perception from transactional to partnership-based engagement.
- Value additions in a retainer can include personalized services like ...
Counterarguments
- Some ultra-affluent clients may actually expect or appreciate highly customized, negotiable pricing structures that reflect the unique complexity of their projects, rather than a standardized per-square-foot rate.
- A single per-square-foot rate may not accurately capture the wide variability in project scope, complexity, or the level of service required for different asset types (e.g., a yacht versus a residence).
- The perception of value among ultra-affluent clients can sometimes be enhanced by exclusivity or bespoke pricing, rather than transparency and simplicity.
- Setting a minimum estate value could exclude potential clients with smaller but equally complex or high-value projects, limiting business opportunities.
- A nominal annual retainer might be perceived as lacking substance or value by some clients, potentially undermining the perceived exclusivity or seriousness of the ongoing r ...
Get access to the context and additional materials
Leveraging Continuity Models For Revenue and Relationship Maintenance
Alex Hormozi and Caller #2 discuss how leveraging continuity models—ongoing, retainer-based services—can benefit both client and provider in the ultra-high net worth (UHNW) advisory and design space. The approach is framed as a way to deepen relationships, ensure ongoing revenue, and elevate the value proposition beyond one-time projects.
Designing a Low-cost Annual Retainer As an "Insurance Policy" for Client Peace of Mind and Regular Check-Ins
Hormozi explains that positioning the retainer not as a standard maintenance fee, but as an "insurance policy," makes it feel like a value-add rather than an expense. For a low annual fee, the advisor agrees to visit the property once a year—ostensibly to verify that everything is functioning properly and to resolve any issues the client may not have noticed. This regular touchpoint mirrors what most vendors already do for established relationships.
Hormozi emphasizes that stepping into a UHNW client’s home almost always reveals new opportunities or problems to solve: "as soon as you walk into a rich person's house and you're an established vendor, they're gonna have stuff for you to do." These annual or semi-annual meetings provide a natural context to inquire about broader needs—offering a way to cross-sell or upsell new projects and services. Hormozi situates these check-ins as key to uncovering latent service needs, suggesting, "I'm going to ask you what other stuff you got going on and I'm gonna sell you more stuff," ensuring the advisory relationship is ongoing rather than transactional.
Fostering Lasting, Multi-Generational Relationships With Ultra-High Net Worth Families and Family Offices Over One-off Transactions
Caller #2 outlines a strategy aimed at serving UHNW families across all generations and all their properties, creating a structure where, rather than hiring new designers for each property or location (Spain, Dubai, New York), the client retains the same trusted advisor for all their residences and lifestyle assets. The service is tiered:
- Tier 2 offers a commitment of seven to ten years across the family’s whole real estate portfolio. This includes everything in the entry tier, plus strategic planning for all residences, sequencing of property updates, and comprehensive property reviews to ensure alignment of every residence’s function with family needs.
- Tier 3 further extends the relationship to the family’s entire ecosystem ...
Here’s what you’ll find in our full summary
Leveraging Continuity Models For Revenue and Relationship Maintenance
Additional Materials
Clarifications
- Continuity models are business strategies that focus on providing ongoing services rather than one-time transactions. They create predictable, recurring revenue streams and foster long-term client relationships. This approach enhances customer loyalty and allows providers to anticipate and meet evolving client needs. It is especially valuable in advisory services where trust and deep understanding are critical.
- Ultra-high net worth (UHNW) individuals typically have investable assets exceeding $30 million. They often require specialized financial, legal, and lifestyle services due to the complexity of their wealth. UHNW families may have multiple generations and diverse assets, including real estate, businesses, and luxury items. Their wealth management focuses on preservation, growth, and legacy planning.
- A retainer-based service involves a client paying a regular, often monthly or annual, fee to secure ongoing access to a provider's expertise or services. Unlike one-time project fees, retainers ensure continuous support and availability rather than payment tied to specific deliverables. This model fosters long-term relationships and predictable revenue for the provider. It also allows clients to receive proactive advice and maintenance rather than reactive fixes.
- Positioning a retainer as an "insurance policy" reframes it as a proactive safeguard rather than a reactive cost. This mindset reduces client resistance by emphasizing peace of mind and risk mitigation. It suggests ongoing value through prevention and early problem detection, not just routine upkeep. Clients feel they are protecting their investment, not paying for routine service.
- Estate managers oversee the daily operations and maintenance of a UHNW family's properties and staff. They handle logistics, vendor coordination, and ensure smooth functioning of residences. Advisors provide strategic guidance on property investments, design, and long-term planning. Advisors complement estate managers by focusing on high-level decisions and lifestyle integration rather than routine management.
- A "fractional board member" is an expert who provides strategic advice and oversight part-time, without being a full-time executive or employee. In advisory services, this means acting as a trusted, ongoing consultant involved in high-level decisions. They help guide long-term planning and problem-solving across multiple areas, similar to a board member’s role in a company. This approach builds deep, continuous relationships rather than one-off project interactions.
- Tiered service models organize offerings into levels with increasing scope and benefits. Tier 2 focuses on long-term strategic planning and management of all family residences, ensuring cohesive updates and alignment with family needs. Tier 3 expands beyond real estate to include lifestyle assets like yachts and planes, plus exclusive experiences and multi-decade planning tied to family milestones. This structure allows clients to choose a service depth matching their complexity and desire for involvement.
- High-touch experiences are personalized, exclusive activities designed to create memorable, meaningful interactions for UHNW clients. They often involve unique cultural, artistic, or luxury elements that align with the client’s lifestyle and interests. These experiences build deeper emotional connections and trust, enhancing client loyalty. For UHNW clients, such curated events reflect their status and provide value beyond standard services.
- "Sequencing of property updates" refers to planning the timing and order of renovations or improvements across multiple properties to optimize resources and minimize disruption. "Comprehensive property reviews" involve detailed assessments of each property’s condition, functionality, and alignment with the owner's needs to identify maintenance or upgrade priorities. These processes ensure efficient management and strategic enhancement of a family's real estate portfolio. They help anticipate future needs and coordinate projects for long-term value and convenience.
- Council reviews refer to formal eval ...
Counterarguments
- Some UHNW clients may prefer flexibility and privacy, viewing ongoing retainers or regular check-ins as intrusive or unnecessary, especially if they already have trusted estate managers or staff.
- The "insurance policy" framing could be perceived as a marketing tactic rather than a genuine value-add, potentially leading to skepticism among discerning clients.
- Not all clients will have recurring needs or issues that justify annual or semi-annual visits, making the retainer model less relevant or cost-effective for certain properties or families.
- Multi-generational, long-term commitments may be difficult to secure due to changing family dynamics, shifting priorities, or generational differences in preferences and decision-making.
- The tiered service model may introduce complexity and administrative overhead, potentially diluting the personalized attention that UHNW clients expect.
- Some clients may prefer to engage specialized advisors or designers for sp ...
Get access to the context and additional materials
Create Summaries for anything on the web
Download the Shortform Chrome extension for your browser
