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Money Tolerance And The Games We Play

Money Tolerance is a topic I'm surprised to find I haven't written much about here, given that it is such a central concept not only to the sales training I deliver but also to life. Your life.

If we look at the 80/20 Rule aka Pareto's Law, and apply it to your life, we find this: a small number of beliefs and their resulting decisions turn into the majority of what you experience in life.

The purpose of thinking is to stop thinking. The vast majority of our decisions are made on autopilot, drawing on what we've done before, consistency, identity. The maintenance of identity is key, whether you're conscious of this or not.

money tolerance, dollar, eye, bill

Photo by Vladislav Reshetnyak from Pexels

The Consistency of Money Tolerance

Money Tolerance is a two-parter. It's a limiting belief to imagine as two goalposts: one lower, and one upper. The upper limit is easy to spot, at least when we're being truthful with ourselves (and we often are not). This is the number at which you start saying, "That's a lot of money".

This is a game we play. We play it first with ourselves, then with others.

You see, that number is a BS story. It's nonsense. One number isn't any bigger than another: compare your number to infinity. It's all a game. Why this number and not another? You probably heard your parents say it. "This washing machine is a lot of money." OK, $500 or $1000 gets locked into your mind as "a lot of money".

But it's not the same number for other people, and this is where many folks get stuck in the game they're playing.

"This car is a lot of money," Dad said about the Mercedes station wagon priced at $87,500 because he wanted the nice trim package. So for you, $1000 is peanuts; "a lot of money" starts at $80,000.

How This Key Limiting Belief Affects Your Sales Conversations

Different people are walking around with different money tolerance levels... but they don't know it.

So as a prospective customer, you can bump into somebody who has an extremely different belief in what the cost and value of what you offer as a business owner or salesperson represents.

If you grew up being imprinted upon that "$80,000 is a lot of money", but this prospect in front of you right now believes that "$500 is a lot of money"... can you predict what's going to happen?

That prospect is going to collapse. They're going to fall into themselves, because their belief doesn't support your price tag, and they're going to leave. They literally cannot stand being around the mere idea.

Take this in.

You can also use Money Tolerance as a qualifying tool: I certainly do.

I've explained for years how you choose your customers.

One of the levers you've got available to work with here is Money Tolerance. What if you were to use it to set a bar? So that only those people who already believed—were playing the game that the money number level of where you believe value begins is what they already agree with—were allowed past the velvet rope?

What if you only let people with a pricing-value belief matching your own see the offer?

A big part of positioning works this way. Consider Mercedes again. They're happy to give away whatever info is on their website to whoever wants to look: they know the vast majority of visitors are dreamers who will never qualify to buy. Only those who come into the dealership, and pass the test of answering some qualifying questions correctly, will get the chance to receive an offer to buy. Remember, those are the prospects who can stand there and participate with the idea of this investment as not being "too much money".

How can you take this concept to your own business and apply it?

>> Jason Kanigan is a business strategist and coach. If you're ready to book a session with Jason, click here <<

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Long Form Content: Where the Insight Lives

Long form content--whether in the form of a lecture, book, video or article series--is something I have found most people avoid like the plague.

"Just give me the short version," they say.

And it's true: sometimes the insight can be conveyed in a short form.

But that short explanation does not give you understanding.

Long Form Content Study Leads To Mastery

True insight, genuine mastery, requires time. You must get a feel for the surroundings, the history, the atmosphere of the topic.

Of course, that may not be what you want. Maybe all you desire is to know just enough of a concept to be able to use it.

At that point, however, do not strut around like you know everything about what you're talking about.

I see this a lot, unfortunately.

People without mastery, quick to pop in to blare what they think they know.

An acquaintance on social media asked me for advice for learning about a specific topic awhile back. I directed him to a video series by a professional, which were less than twenty minutes apiece.

"Boy," he said after watching the first, "I didn't think it would be so involved."

It wasn't.

The explanations were straightforward. The problem was the "sit down and learn this" requirement of consuming long form content (and this was not even particularly long--I have watched many hours of lectures on the same topic) was too much for his taste.

He didn't really want to learn it.

If You Truly Want To Learn About Something, Embrace This

If you want to achieve mastery, you must be willing to go through long form content.

The real insights, the nuggets of gold, are buried in there. Don't expect the speaker or writer to know what they are. I have found discernment to be a rare commodity.

If you aren't willing to consume long form content, admit to yourself the truth: that you don't want to learn about the thing.

Should you truly want to learn about and master a subject, embrace the long form content around it. Realize it will take you more than a few minutes or even a few days to study. You'll be better off for it, because that's where the nuggets are.

>> Jason Kanigan is a business strategist and conversion expert. To book a consultation with Jason, click here. <<

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Importance of the Low Money Tolerance Limit

The low money tolerance limit is one of the two goalposts of your idea of "a lot of money".

Spotting the high money tolerance limit is easy. How much is "too much"? (This is a BS story you're telling yourself, installed by parents, family, friends and other authority figures, and reinforced over the years). The high limit of your money tolerance has far-reaching effects: if $4000/month in apartment rent is "too much", it's unlikely you'll ever live in certain places like stylish Manhattan—and it's unlikely you'll ever qualify for the jobs that would pay for it. You wouldn't let yourself in.

But the low money tolerance limit will mess things up for you, too.

goalpost goalposts money tolerance soccer football game playing sales target

Photo by Tom Fisk from Pexels

Money Tolerance Frames Your Life

In my case, for example, anything under around $1200 is "dumb". A "waste of my time". Difficult for me to get excited about.

This means I am not your guy to sell candied apples.

I don't see myself as a fit for that role...and my money tolerance as an indicator has a lower limit to demonstrate it.

I have a tough time selling things at what I consider low prices.

You do, too.

Awareness of this criteria is really important if you want to do well in sales. Without awareness, you'll continue to be bumped around like a pinball, bouncing off things emotionally and neither knowing nor caring why.

But you ought to care.

Work On Your Awareness of Your Money Tolerance "Goalposts"

Let me ask you this:

Wouldn't knowing what your money tolerance goalposts are immensely help you with understanding why you do the things you do? And don't do the things you don't do?

Why living in a particular place is "impossible", or meeting a specific person "could never happen", or selling an individual item is "dumb"?

Knowing what game you're playing is a big key to success.

Awareness of where those goalposts are is even more important.

>> Want to discuss your money tolerance with Jason Kanigan? Book a consultation here <<