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WHAT: Alex Hormozi's Value Equation framework for pricing and offer construction. Dream Outcome × Perceived Likelihood / (Time Delay × Effort & Sacrifice) = Value. From $100M Offers. WHEN: When applying hormozi value equation knowledge
Codex 또는 Claude로 설치 이 Prompt를 복사해 Codex, Claude 또는 다른 어시스턴트에 붙여 넣으면 Skill 페이지를 검토하고 설치를 진행할 수 있습니다.
SOC 직업 분류 기준
WHEN building any customer-facing content, funnel, page, email, call script, or offer structure THEN apply the AIDA fractal at every scale — each value ladder stage has its own AIDA cycle, each piece of content has AIDA within AIDA, and the customer journey is a Hero's Journey where the customer convinces themselves to go because they already believe themselves to be the hero.
WHAT: Dan Kennedy's framework for ascending customers through the value ladder — retention through progression WHEN: When applying direct marketing ascension knowledge
WHAT: Dan Kennedy's adaptation of Dale Carnegie's "make them feel important" for direct marketing WHEN: When applying direct marketing carnegie secret knowledge
WHAT: Dan Kennedy's Direct Marketing Diet — 6-step framework for direct marketing success WHEN: When applying direct marketing diet knowledge
WHAT: Craig Proctor's 8 Breakthrough Strategies for direct marketing success WHEN: When applying direct marketing eight breakthroughs knowledge
WHAT: Dan Kennedy's Follow-Up Framework — the 4-step structured follow-up campaign, closed loop systems, and the "no-fail" follow-up strategy. From No B.S. Direct Marketing. WHEN: When applying direct marketing follow up knowledge
| name | hormozi-value-equation |
| description | WHAT: Alex Hormozi's Value Equation framework for pricing and offer construction. Dream Outcome × Perceived Likelihood / (Time Delay × Effort & Sacrifice) = Value. From $100M Offers. WHEN: When applying hormozi value equation knowledge |
The Value Equation quantifies what makes any offer compelling:
VALUE = (Dream Outcome × Perceived Likelihood of Achievement)
─────────────────────────────────────────────────────
(Time Delay × Effort & Sacrifice)
Two factors you MAXIMIZE (top of equation):
Two factors you MINIMIZE (bottom of equation): 3. Time Delay — How long until they see results (want immediate) 4. Effort & Sacrifice — What they have to do/have done to get results (want effortless)
The equation uses division because if the bottom equals zero, the result is infinity:
If you can make time delay AND effort equal zero → infinitely valuable offer → they buy instantly
The goal: Reduce the bottom to zero. Make the result happen NOW with zero friction.
Alex ranks value delivery vehicles on a 1-10 scale for each of the 4 variables:
| Level | Vehicle Type | Example |
|---|---|---|
| 10 | Done-for-you, instant, zero effort | Surgery while you sleep |
| 9 | Done-for-you, fast, low effort | Liposuction |
| 8 | Done-with-you, quick, moderate effort | Coaching call |
| 7 | Done-with-you, slow, some effort | Group training |
| 6 | Self-directed, quick, high effort | Online course |
| 5 | Self-directed, moderate, high effort | Book |
| 4 | DIY, slow, very high effort | Free YouTube |
| 3 | Hope (no clear path) | No solution |
| 2 | Partial solution | One-off tip |
| 1 | Wrong solution | Bad advice |
Higher level = more value = higher price you can charge.
Alex uses this to illustrate why perceived value matters more than "what's actually better":
| Variable | Meditation | Xanax |
|---|---|---|
| Dream Outcome (relaxation) | 1/1 | 1/1 |
| Perceived Likelihood | 0/1 (people don't stick with it) | 1/1 (pop a pill, works) |
| Time Delay | 0.5/1 (long-term) | 1/1 (15 min) |
| Effort & Sacrifice | 0/1 (daily practice, discipline) | 1/1 (swallow pill) |
| TOTAL | 1.5/4 | 4/4 |
Result: Xanax is a multi-billion dollar product. Meditation businesses struggle. People buy what feels valuable, not what's "better."
Ask the prospect's questions mapped to each variable:
The formula is multiplicative, not additive. Small improvements in all 4 areas compound dramatically.
When you raise price AND increase value:
Higher Price → Higher perceived value (expensive = must be good)
→ Better clients (serious, committed)
→ Better results (clients follow through)
→ Better reputation → More referrals → Higher prices
When you lower price:
Lower Price → Lower perceived value (cheap = can't be good)
→ Worst clients (bargain hunters, never satisfied)
→ Worse results (not invested)
→ Worse reputation → Fewer referrals → Lower prices
Rule: Never compete on price. Compete on value.
"There's no strategic benefit to being the second cheapest in the marketplace, but there is to being the most expensive." — Dan Kennedy (quoted by Alex)
Niching = 100x Price Increase:
| Generic | Niched | Ultra-Niched |
|---|---|---|
| Time Management ($19) | Time Mgmt for Sales Pros ($99) | Time Mgmt for B2B Power Tool Sales ($499) |
| Generic Fitness ($19) | Fitness for Nurses ($497) | Fitness for Night-Shift Nurses ($1,997) |
Same core content. 100x price because the avatar can justify the investment tied to their specific outcome.
Use these prompts when constructing or evaluating any offer:
/prompts:
- "What is the prospect's DREAM OUTCOME? How can we make it bigger/more aspirational?"
- "What evidence can we provide that they WILL achieve this? (Perceived Likelihood)"
- "How can we make the results happen FASTER? (Time Delay)"
- "What friction can we remove? What can we do FOR them instead of them doing it?"
- "Where on the 1-10 value ladder is our current offer? What would it take to go up one level?"
- "Is our bottom section close to zero? If we made it zero, what would that look like?"
- "Are we charging enough? What would we have to believe about our offer to charge 10x current price?"
From $100M Offers by Alex Hormozi, Chapter 6: "Value Offer, The Value Equation"
Transcript source: ~/Downloads/100MOffers.txt (transcribed via Whisper API from Audible audiobook)
hormozi-grand-slam-offer — The complete framework for building offers so good people feel stupid saying nohormozi-pricing — Premium pricing strategies (Charge What It's Worth)hormozi-market-selection — The 4 indicators for picking marketshormozi-bonuses — How to construct and present bonuseshormozi-guarantees — Risk reversal techniqueshormozi-scarcity-urgency — The 4 types of urgency and scarcity