– [Announcer] How do
you grow your business beyond referrals and word of mouth? Wes Moss, chief investment strategist at Capital Investment Advisors, a company with more
than two billion dollars in client assets under management joins us today. He’ll show you the number one strategy for becoming the kingpin in your industry and how to accumulate social capital. (gentle techno music) – So basically social media took me from a successful entrepreneur
to a global brand. That’s a very, very different thing. Right?
– It is. The scale, everything that we do, and that’s why I’m sure a big proponent and advocate of social media, that people say, “Well,
I don’t like Facebook”, I hear this one, “I don’t like–“, you don’t need to like Facebook. – (laughs) Right. – You don’t need to like– – It’s like saying, “I
don’t like the fax machine” – Yeah, like…
– Back in 1980. “I don’t like the fax machine”. – Or, “I don’t like my cell phone” – [Wes Moss] “I don’t like–”
– You don’t need to like your cell phone to use your cell phone. – I think it’s a good way to look at that, because I think a lot of entrepreneurs, they get frustrated with
the roadblocks they hit in these different mediums. Facebook will change their algorithm, now all of a sudden you
can’t reach their people, but I think it’s a really
good way to look at that, where it’s like saying
I don’t like my phone. It’s not your phone’s fault. It’s just that these mediums change. – And I think a lot of people, they say, “Oh, my kids use this Instagram”. – Yeah.
– Or they post, they go to Facebook, “I see what my kids are doing, “what my friends are doing.” They are using social media for pleasure, versus I use social media for profit. – For profit. – It’s a very different thing. Because, you look at
most peoples’ profile, you look at their social media profile, that is not designed to attract business. In some cases, it’s embarrassing. – Yeah it’s (laughs).
– Because you look at their social media profile, and it’s like a sales
prevention department. – Sales prevention department. – (laughs) Right? And look, I think even now,
people don’t talk about it. Like, let’s say someone
applying for a job, right? You’re not supposed to do it, but everybody checks
out your social media. – They do. – They check out your Facebook, they check out Instagram,
what kind of people are you? What kind of person you are, right? They wanna check– I see a lot of party, drinking on there, I don’t know if that’s the employee I want, right? They don’t talk about it,
it’s not politically correct, but people do check you.
– Of course they check. – So, as a business owner, not more than– – The minute I hear about somebody, “Oh, I’m going on a new date,” well, let’s look at Facebook.
– Let’s check it out. – Immediately, of course.
– Yeah, of course. Even in dating, oh let’s
see who am I dating, right? It’s the same thing, so
that’s where the attention is. Back then, the attention was on TV, but now attention, it’s on the phone, it’s on social media. I think what has shifted is, consumers, now they want to consume
content where they want it, when they want it, how they want it on the exact device that they want it. So, now consumers have
very much more power, who they wanna listen to. If they don’t want to
listen to your message, it’s not like, they are
not even paying attention. You cannot even get to them. – Well, I think that it’s
even harder today that the– I think it’s even harder
today because there’s no barriers to entry,
so there’s cellphones. We can all have a video
crew, but it doesn’t mean anybody can just put out good content. So, in a world of 500,000
or 700,000 podcasts and a million YouTube channels, tell us about the core business, because again you’re
not using the internet, you’re using the internet to further your entrepreneurial ventures.
– 100% yeah. – Whereas I think a lot of times we hear influencers are just
using the internet itself to make money, but you’re– tell us about your core businesses. – Yes, because I say
that fame without fortune is frustration.
– Yeah it is. – Cause you could be famous, “Oh, I have a lot of followers,” and as you know Wes, you
cannot go to the bank and say, “Hey, I don’t have no check but I’ve got “a lot of followers on
Instagram, can I deposit that?” Right, you cannot do that,
so that’s not the point. It is getting the
attention, getting the right attention from the right people, and then by educating them,
adding value in advance. Whatever product, give me an example, give me something that people sell. – Let’s talk about a riding lawnmower. – [Dan Lok] Okay, a
riding lawnmower, right? – [Wes Moss] It’s a
relatively high-ticket item. – [Dan Lok] Yes.
– [Wes Moss] Right? Could be eight grand. – Okay, let’s say eight grand, right? Lawnmower, instead of like yelling, screaming on– and just like,
“Hey I’ve got a lawnmower, “buy my lawnmower, come to
buy my lawnmower,” right? That used to work before,
now it doesn’t work because there are so many choices, and consumers have got so much power, they check out your price, they check out your features, they’ll do a lot– – They check out if they like, in general. – If they like it, all that,
before they even, like, whatever you say, they’re
like, they don’t believe it. People are skeptical. Instead of doing that, why
don’t we flip it around, add value, meaning, let’s say,
creating content in advance. People who would buy
this kind of lawnmower, what kind of problems and
frustrations would they have? Let’s give them some
content that will help them to have a more beautiful lawn, right? To help them take care of the
flowers, or whatever it is. When you do that, they’re like,
“Okay, this is interesting. “You’re adding value to
what I did before you asked any money,” now they’re more inclined, “You have my attention.” It’s almost like you need to
get their attention first, then you get their permission to sell, to make an offer. – Attention, brand, trust in the brand. – I called it brand equity, right? – Brand equity, and then you sell. – So, instead of me yelling and screaming and saying, “Oh, I have this
program, I have this product,” and all that, no, I just have
so much content out there, when people consume the content, if– see Wes, if people are not
even consuming your content, chances are they’re not gonna
do business with you, right? – If they’re not
interested enough to watch. – And just like exactly
what you said, like, before we met, it’s like, you know, “Dan, I don’t feel like a stranger at all, “I feel like I know you,”
now how is that possible? Because you’ve watched my content, you’ve listened to my content, yeah, so you know my story ahead of time. So, then when we get together,
the bond is immediate. – Well, I think it’s a very different– and I think that I, this is my version of how social media’s working,
radio is part of this. – Yes.
– It’s an older medium, but it still is a way to
get familiar with people, and now it’s easier to consume because most radio shows, like Money Matters, it is a podcast, and then
if you can’t listen live, you listen to it on demand, and we know that a lot of
our listenership comes now, five years ago it
might’ve been one percent from podcasts, today it’s
almost 50% that’s listening and saying, “Oh I used to
listen all the time on Sunday, “but now I listen Monday,
Tuesday, Wednesday because I’m “I’m stuck in traffic.”
– Or when I’m driving, yeah. – Yeah, I’m stuck in traffic,
so why wouldn’t I listen? So, I think that what I’ve noticed as I’ve gotten further into my career, now 20-something years,
that the conversations by the time I’m meeting with somebody, it’s very different because
they do know so much more. They’ve watched, you know, I
have 400 videos on YouTube, they’ve watched 20 of them.
– Yes. – I have 800 podcasts,
they’ve listened to, you know, 20, 50 of them, I don’t know. So there’s a lot that, to your point, we’re in a world where
selling from the ground up on day one, I don’t know. I’m sure there’s some industries left where that happens but that’s just not, that is an old, old, old way to do business.
– Old, old model. A very old way of doing business, and it’s not scalable. – It isn’t, yeah.
– Right? It’s like– – It’s one to one to one to one. – One to one, and when I sit
down with an entrepreneur, I say, “Okay, so what’s
your marketing strategy?” The minute they say, “Oh it’s
like word of mouth, referral,” and I always say, “You
mean hope?” (laughs) And I say, “Hope is
not a strategy,” right? Like, it’s not predictable, versus with the social
media, I can put my message, my content in front of
the people that I know that are receptive,
that are most likely to do business with me, like,
and do it in a mass scale. That’s how you grow a
company very quickly, right?