1-2-3: Loss Aversion, Alex Hormozi and McDonald's

1 framework, 2 lessons and 3 ads

Hi, welcome to 1-2-3 Marketing.

Every Saturday, I share with you:

  • 1 marketing framework

  • 2 lessons from the best marketers

  • 3 ads that will blow away your mind

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Let’s dive into this week’s topics…

🧠 1 Marketing Framework:

Loss Aversion

Loss aversion is a principle where people prefer avoiding losses more than they enjoy gaining something of similar value.

In simpler terms, the pain of losing $10 feels stronger than the joy of finding $10.

Marketers use this idea to make offers more appealing by highlighting what you might lose if you don't act.

For example: A sale sign saying "Last Chance! Sale ends tomorrow" plays on loss aversion by suggesting you'll miss out on saving money if you don't buy now.

This tactic often encourages quicker decision-making and purchases.

🧑‍🏫2 Lessons From The Best Marketers:

Lesson #1: Give, give, give, give before you ask by Alex Hormozi

Alex Hormozi's most impactful marketing lesson is the concept of offering immense value before expecting anything in return.

He emphasizes that businesses should focus on generously helping their target audience first, without immediately asking for a sale.

For example: If you run a gym, instead of just selling memberships, you could offer free, high-quality nutritional guides or workout plans.

By doing this, you build trust and credibility with potential customers, making them more likely to buy from you later.

This approach shifts the focus from selling to serving, creating a loyal customer base that feels valued.

Lesson #2: The Power of Sales Funnel by Russell Brunson

Russell Brunson's most valuable marketing lesson is the power of sales funnels.

Brunson teaches that understanding your customer's journey from awareness to purchase is crucial.

For example: Imagine you're selling an online course. Start by offering something free, like an eBook, to attract potential customers (awareness). Next, introduce a low-cost item to get them to make their first purchase (interest). Finally, lead them towards buying your course (decision and action).

Brunson’s approach shows that guiding customers through a structured process, or funnel, makes them more likely to buy, as each step builds trust and value.

📱3 Ads That Will Blow Your Mind:

Ad #1: Wi-Fi fries by McDonald’s

The "Wi-Fi Fries" ad by McDonald's is a clever visual play that turns their iconic fries into Wi-Fi signal bars.

This ad brilliantly communicates that McDonald's offers free Wi-Fi in their restaurants, using an image everyone recognizes - their fries.

The simplicity of the ad makes it instantly understandable; it connects the idea of enjoying your favorite McDonald's meal with the convenience of staying connected online.

This approach not only promotes their food but also highlights an additional service that enhances the customer experience, demonstrating McDonald's as a place not just to eat, but also to relax and browse the internet.

Ad #2: Good Things Come to Those Who Wait by Guinness

The "Good Things Come to Those Who Wait" ad by Guinness effectively communicates the unique selling point of their beer - the brewing process and the anticipation of enjoying a perfectly poured pint.

This campaign emphasizes patience as an integral part of the Guinness drinking experience, associating the wait with a reward of higher quality.

By highlighting the slow pour and settle process that makes Guinness stand out, the ad taps into a deeper appreciation for quality over immediacy, positioning Guinness as a premium choice worth waiting for.

Ad #3: Flame grilled since 1954 by Burger King

The "Flame Grilled Since 1954" ad by Burger King showcases the brand's long-standing tradition of flame-grilling their burgers, a method they've used since their founding.

This simple yet powerful message highlights their commitment to taste and quality, differentiating them from competitors who might use different cooking methods.

By emphasizing the year they started, the ad also underlines the brand's heritage and expertise in making burgers, instilling trust and loyalty among customers.

Thank you for reading…

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P.S. Here are 12 Marketing Frameworks That The Biggest Brands In The World Use for FREE.

I hope you find these valuable.

See you next Saturday,

- Armaan.