Aug 10 (edited) • General discussion
I animated our Skool Scaling thesis.
I made this fun interactive animation of how you can scale a recurring revenue factory (e.g. skool) as I'm writing my thesis on scaling skool ops.
Each baton is a "community member", as it moves through the stages of the customer journey of a Skool that has dedicated humans that support each member as they get in, get onboarded, etc, until they reach the end.
We use first principles: Recurring revenue comes by delivering recurring impact.
Impact being the end thing the member (or owner) wants.
There is a straight line data model, one "pipeline" that you can objectively run a recurring business on.
- They become aware of the business (they see content on youtube, a dm, ads, invite by a friend)
- They learn about their problem and the offer (they join a free community)
- They select their solution to figure out next steps (E.g. book a call to explore the program)
- They commit to the solution (e.g. free 7-day trial)
- They get onboarded (onboarding call)
- They get retained (they continue month by month or year by year)
- They expand their investment (Members may get their team in, hire us for hands-on-help)
With this model, there are 3 core KPI types that you can feed an AI agent. you can track how many members are at each stage, how many % convert to the next stage or drop off. But the biggest thing people miss is the time metrics. How LONG it takes a member to go from step 1 to 2. This is the biggest opporunity.
Members want to get to their goal as quickly as possible, e.g. 2X their skool ASAP than have it take years. And this costs the smart operators money. To do this, we have humans (or agents) to stand in to hand hold the customer where they need the help. E.g. supply is there waiting before demand flows through.
In my experience of scaling sales teams, whenever a sales person is avaiable seconds after a lead comes in, they make 2-10X more money literally instead of having people book a call and then literally lose the feeling, fomo, fear, anger that drove them to want to maybe pay for help.
So we apply this to EVERY SINGLE position in the business customer journey.
Yes -- Skools owners can do this themselves, but unlike this diagram, a human can only be around for 8-hours a day, and can't be everywhere e.g. onboard a client + run an event + make content + close deals. And animation implies that we have a 24-hour workers, there, each able to handle one when it comes in.
The effects of this shows a logarihmic flattening revenue graph where we can use sales velocity function. Where even if they bring in 100 new members a day. As the average annual churn is 10%, they'll eventually flaten off at 1000 members where they'll have 100 people join but 100 people leave, and reach a statis point. The modern way through is to build an factory that can scale EACH step of the customer journey to infinity, and then focusing and pumping everything into making the experience.
So we turn to humans to patch the holes when the problem hits a snag. But we are meaty, unreliable, and need lots of resources to become professionsl focused, disciplined, and on top of our todos.
But we are in the 4th industrial revolution. AI agents that when given enough context e.g. read this pdf on how to act, can proactively get clients in, to get them to subscribe, to setup and onboard them, and keep them accountable not just every day but in every moment the customer needs help.
In other words, this Skool is managed by specialist clones of me -- one for each member.
Expensive AS FUCK if it was all humans, but 1/50th of the cost if we have an AI agent on a good-enough computer or a cloud n8n subscription. This I will setup and give to all members just for saying thank you for considering us on a 7-day free trial as I curate and share what works.
Something magical happens when a community aren't limited by humans, and can give EACH community member the full support and focus they need to maximize how many consistant case studies the communites produce while minimizing the blockers to this. We switch entirely to AI agents that hand hold each member.
The future is primed for peopel to become true operators, trained up from self-employeed experts that need to scale themselves to make more by doing less.
(Also - in the animation go toggle AI agents, to see what the effects are if half or ALL steps are automated by AI agents)
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I animated our Skool Scaling thesis.
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Q.U.E.S.T. is a systems-first approach to scaling Skools like a recurring revenue factory:
AI, Theory of Constraints, Lean Six Sigma, Second Brain PKM
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