| name | hormozi-customer-avatar |
| description | WHAT: Alex Hormozi's Customer Avatar framework — the 4-step process to find your most profitable customers and double down on them. From $100M Lost Chapters (Your First Avatar).
WHEN: When applying hormozi customer avatar knowledge |
Hormozi Customer Avatar
hormozi-customer-avatar
Core Principle
"You make more money because of who they are, not because of who you are."
The key insight: Focus on your best customers (top 20%) and find what they have in common. Then re-engineer everything to attract more of them and repel the rest.
Why Most Businesses Get This Wrong
Most businesses try to serve everyone. But:
- 20% of customers bring in 80% of revenue
- Replace the bottom 80% with more top 20% customers → 5x growth
- The best customers don't just pay more — they stay longer, refer more, and are easier to serve
The 4-Step Avatar Process
Step 1: Survey Your Customers
Create a survey with these question categories:
| Category | Questions to Ask |
|---|
| Demographics | Age, gender, location, job title, family status, business type |
| Business Stats | Revenue before/after, profit, team size, pricing, churn, LTV |
| Aspirations | What was their goal? What problem were they solving? |
| Buying Process | Why did they buy? Trigger event? What content did they consume? How did they find you? Who referred them? |
Pro tip: Offer an incentive to complete the survey. Or better — ask live on a call or at an event.
Step 2: Find Your Biggest Spenders
Sort customers by three metrics:
- Revenue generated — Who pays the most?
- LTV (Lifetime Value) — Who stays the longest?
- Ease of service — Who is easiest to work with?
Focus on the top 20%. Ignore the rest for now.
Step 3: See What They Have in Common
Read through the survey responses from your top 20%. Find the 3-5 qualifiers they all share.
Examples of qualifiers:
- "They were between 35-45 years old"
- "They had 10-50 employees"
- "They were in the fitness industry"
- "They'd been in business 3+ years"
- "They had a specific problem (chronic pain, revenue stagnation)"
The goal: Come up with the FEWEST qualifiers that explain why these customers are your best.
Step 4: Execute
Once you have your avatar qualifiers:
A. Speak to your new avatar:
- Update all advertising to target the new avatar specifically
- Be upfront about customer requirements
- Repel bad customers — Stop selling to people who don't fit
- Attract best customers — Double down on channels where they come from
B. Re-engineer the sales process:
- Reverse-engineer the exact buying journey your best customers took
- What content did they consume first?
- What was their trigger event?
- How many touchpoints before they bought?
- Recreate that path on purpose
The Pricing Implication
"You can charge more because of who they are, rather than who you are."
Same work, different customers, vastly different revenue:
| Customer | Revenue Impact | Your Cut (10%) |
|---|
| Small business ($100K revenue) | +$40K/year | $4K/year |
| Enterprise ($10M revenue) | +$4M/year | $400K/year |
Serving the right customer means you can charge more for the same work.
What If You Have No Customers Yet?
Start with what you know:
- Think about who you'd MOST enjoy serving
- Think about who would get the most value from your service
- Think about who can afford your price
- Design your avatar before you have customers
The Avatar Checklist
When defining your avatar, answer:
/prompts:
- "Who are my top 20% of customers by revenue, LTV, and ease of service?"
- "What are the 3-5 qualifiers they ALL share?"
- "Where do these customers come from? (What channels?)"
- "What triggered them to buy? (Event, problem, opportunity?)"
- "What content did they consume before buying?"
- "Who referred them?"
- "What would I have to remove from my business to repel non-avatar customers?"
- "What channels should I double down on because my avatar comes from there?"
Source
From $100M Lost Chapters — Chapter: "Your First Avatar"
Key quote: "This is not your mama's find-a-niche chapter. This is real, how-you-make-tons-of-money type stuff."
The process comes from Vista Equity Partners' acquisition strategy: find the best customers, cut the worst, double down on what works.
Transcript source: ~/Downloads/100MLostChapters.txt (Docker: /home/GOD/100MLostChapters.txt)
Related Skills
hormozi-market-selection — Picking the right market firsthormozi-grand-slam-offer — Building offers for your avatarhormozi-pricing — Premium pricing strategies
