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If you're going to work 80-hour work weeks, have no time off and run your expenses so that your profit margin is 2%, who cares if you have a multi-seven-figure business?
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Nobody wants it.
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Do you see what I'm?
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saying Hi docs.
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Welcome to the EntreMD podcast, where it's all about helping amazing physicians just like you embrace entrepreneurship so you can have the freedom to live life and practice medicine on your terms.
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I'm your host, dr Una.
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One of the worst things that can happen to you as an entrepreneur is for you to spend time working on what doesn't need to be worked on, optimizing what doesn't need to be optimized, investing what doesn't need to be invested in, optimizing what doesn't need to be optimized, investing what doesn't need to be invested in.
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You have to know what the main thing is and keep the main thing the main thing, and so, in talking to a lot of entrepreneurs who are having challenges in their businesses whether it's a private practice or their coach or whatever I find that they have a lot of the vanity metrics on point, but the actual things that are the needle drivers in the business they don't and they're not aware, and so, on this episode of the Entremdy podcast, I'm going to talk to you about seven vanity metrics that distract entrepreneurs, and, after you're done listening to this, you will be very clear on what the needle movers are the things you need to invest in, things you need to optimize, the things you need to pay attention to if you do need to procrastinate on the few things you do not need to procrastinate on, right, and the things that you can know.
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Practice creative procrastination, as Brian Tracy calls it.
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Okay.
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So this right here is going to put you in a position where you're very strategic when shiny objects show up.
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You are very clear this is a shiny object.
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In fact, I'll tell you this.
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A few years ago, when I was making my vision board, one of the things I put on there was I wanted to have 100,000 downloads of the On Trending podcast.
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Okay so, this was many years ago, but I will tell you this, I had my nine goals, right, like so, on my vision board, I had things that represented all nine areas of my life, and then I had this as number 10 and I said it was my vanity goal.
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I was very clear that this is not a metric to necessarily optimize for, and I'll explain what I mean Now.
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These metrics, they're all good, these things are all good In fact, I think I have all of these things in most of my businesses but it's not the driver, it's not the main thing, it's not the thing we push for at the expense of the more important things, right?
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So I'm not saying these things don't need to be there, but you need to be very clear.
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In a way, this is a vanity metric.
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Okay, some of them will absolutely shock you.
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Some of them will absolutely delight you, but I want you, on this particular episode, I want you to send me a DM on Facebook or Instagram and say Dr Una, this is what I got from that.
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This is a thing that is vanity metric that I've been optimizing for, and all of this stuff.
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Thank you so much for the episode.
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Now I know how to think about this stuff.
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I really appreciate that.
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Okay, and this is an episode I want you to share with the doctors in your world.
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Right, like, if you've listened to the podcast before, you know our episodes are all good.
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You can literally hit that button, grab the link, share it with the people in your world, tell them oh my goodness, here Dr Luna goes again, but this is going to be good, listen to it with me, okay.
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Okay, so let's talk about these metrics, okay.
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So the first one and I see this a lot is number of staff.
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Oh, I have 10 members.
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Oh, I have 50 members.
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Oh, I have, you know, like, 35 team members and all of this stuff.
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Hello, this is not a thing to optimize.
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This is not a thing, because in many businesses, their team is where all profits go to die, because the team members are not properly led, they were not properly hired, they don't have metrics, they're not being held accountable.
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None of these things are happening, and so this is not a profitable team.
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This is a team that costs the business money, and the more of them you have, if you're honest with yourself, the smaller your profit margin became, and that's the truth.
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Am I against a big team?
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Of course not.
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I mean, listen to the Entrepreneur Podcast.
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I talk about getting team members all the time.
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Right, but just a number of team members, because some people hire to hire.
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They just hire to have a bigger team, because to them, a bigger team means my company's working.
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It doesn't.
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It might mean your company's dying okay, it might mean that.
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So this is a vanity metric unless it's a profitable team.
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And a profitable team means we're very clear on how this team member serves our clients or patients.
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We're very clear on how this team member makes money right, how their role generates revenue, right.
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We have a meeting cadence.
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We hold them accountable.
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We do all of these things, do hold them accountable to the metrics, and so if these things are not happening, it's not a profitable team.
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They may be costing you money and it doesn't matter the size.
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Now, if you have a profitable team, by all means have 300 team members.
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We know that every team member is creating a win-win-win.
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They're creating a profit for the practice, they're creating money to cover their overhead and money to cover their salary right, and so you can hire as many as you want.
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So the number on its own is not something to shoot for.
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What you want to shoot for is building your team structure in such a way that your team members are profitable.
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Okay, so that's the first vanity metric.
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Okay, now again, remember what I said.
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None of these things are wrong.
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So the second vanity metric is number of square feet.
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Oh, my practice is, you know, 10,000 square feet.
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My practice is 7,500 square feet.
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Oh, we just got this 55 square foot building.
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Blah, blah, blah, blah, blah.
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Is it bad?
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No, but if the reason we got that square footage is to get that square footage, then we're running into a problem here.
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This is a problem.
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This is a problem.
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It only matters.
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This is only a great thing.
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I'm only celebrating you for bigger square footage if you know how to use it in a profitable way.
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I'm getting this square footage because you know, now you say it's for a private practice.
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Now we're bringing on another doctor and we want them to have these three exam rooms, or we have this other vertical that doesn't even rely on me and my nurses can handle it and this is the space that they need for that.
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Or we got this space.
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I'm still going to use the same amount of space, but I wanted to sublease this space right, and so that's bringing in passive revenue that way or whatever.
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But there has to be something.
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If we just got more space to have more space so we can have cuter pictures, we're optimizing for the wrong thing and we put our practices in positions where now we have financial pressure because of a vanity metric.
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That doesn't matter.
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I want to give a big shout out to Dr Karen Kaufman.
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You know she started off in, you know, the first location.
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She got for her practice and quickly outgrew it and got to the second location, and when we were having a conversation she made a statement, and she made a statement about sitting down to map out how to utilize this square footage that she has in a profitable way.
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Now somebody may your mind may be going, because doctors, you know we can be like this.
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Your mind may be going to.
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It's not all about the profits.
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Okay.
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So this is the deal.
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We, in our practices or in our businesses, we provide great care, but the only way we can continue to provide great care is if we stay profitable.
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If we're not profitable, we have to shut our doors and there's no great care to be had.
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So this is important.
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Okay.
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So if we're getting bigger space, then why?
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How are we going to leverage it?
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How are we going to make it?
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How are we going to use it in a profitable way?
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How are we going to use it in the way that this big space is not costing us money.
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It's making us money, because that's the whole point of investing.
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Right, if I'm going to invest in the bigger space, then I want an ROI, I want a return on investment, on my investment.
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So that's the second thing.
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So do we just get bigger square footage just to get bigger square footage?
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No, no, we got to think about other things.
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Number three okay, number of media mentions.
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Okay, I was in this magazine.
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I was in that magazine, I was featured here.
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You know, they post on social media.
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I was featured here.
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Now, dr Una, are you saying this is bad?
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Of course not.
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I mean, entreemd has been on the Inc 5000 list of fastest growing companies for the last three years in a row and has been on the Inc Regional list of fastest growing companies in the region.
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Right, so I think.
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For us, that Southeast region has been there for three years.
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So, on Inc alone, we've gotten six awards and I've posted about them every single time.
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But I'm very clear, this is a vanity metric and I'll walk through how I think about that.
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Now, that doesn't mean I don't celebrate, I'm not grateful, I mean like it is a thing right For this to have happened and all of that stuff.
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It doesn't mean that.
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But what it means is I'm not just optimizing for that, I'm not getting distracted by that.
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Okay, so, for instance, when they make the Inc 5000 announcement is typically in August, but it's for revenue that was generated last year.
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So August of this year is when August 12th that's when the announcement went out, you know on trying to hit the Inc 5000 list of fastest growing privately held companies in the United States.
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And this was our third year.
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That was based on the revenue for last year.
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So what if last year I was working, I was growing my company, I was focused on serving my clients at the highest level, getting them results, inviting new people to work with us and all of that stuff, and because of that I qualified for the Inc 5000.
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But this year I've been on cruise control and I have not been.
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I'm giving an example I've been on cruise control, not paying attention to my clients anymore and all of these things, and so actually we're underperforming this year.
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Ok, so I go out on social media like, oh my goodness, you know, inc 5000, lisa Fast is growing companies, and I'm for a week and I buy all the plaques and all the stickers and all the things and I'm doing all these podcast interviews talking about, oh my goodness, how I made the Inc 5,000 list of fastest growing companies.
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Hello, that is a huge distraction because, based on that story, I'm not doing anything today that would have even put me in a position to qualify.
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If we're doing that over, that's for last year's work, that's for last year's work and it's a highlight reel, right?
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Okay, so am I saying it's bad?
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I'm not saying it's bad.
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I'm just trying to say that me getting an Inc 5000 award doesn't mean I should just stop and go like, oh, everything's great in my business, because everything may not be.
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I need to look Like if this year were last year, would I still qualify to be on this list, right?
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If, based on what I'm doing now, would I qualify to be on it next year?
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These are things, and I'm not trying to say don't be grateful.
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I'm just saying don't let that be a distraction.
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You were featured in Forbes, you were featured in all of these things.
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Am I knocking that?
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No, I've done those things.
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But I am saying if you also look and you find you're not serving your clients at the highest possible level, your patients at the highest possible level, and if you look and you find out that now you're starting to have a nutrition problem where people are no longer staying with you, if you look and find out that you're no longer attracting new people, if you look and find that you're finding you're not showing up as the CEO, your team members you know they've left, you've not hired to replace.
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You're in cruise control.
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Like you have a big issue that needs to be worked on and distracting yourself for a week talking about where you're mentioned and all those things have nothing to do with anything.
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And it's also like, let's say, you were on a big podcast, okay, and like oh my goodness, I was honored to be on this podcast.
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That's a media mention.
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Okay, that's wonderful, but the question is did you strategically use your calls to action?
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So when you're done with whatever you're doing on your podcast, people can find you and then come work with you.
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Right, the question is, when people go to find you let's say, you didn't even give a call to action, but they went to find you when they find you, is your brand optimized in such a way that people know okay, this is how you can work with them, this is how you can get on the email list.
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Or they have a podcast too.
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Check it out.
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They have a course, buy that.
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They have a private practice.
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Come join the practice.
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Like, did you optimize it?
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So, the euphoria of all the things that happened because of this big brand, mention that it has anything to do with moving forward in your business.
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Like, was that a strategic thing?
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Does it Right?
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Ok, number four number of followers.
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Ok, number of followers.
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What, like?
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I might say, don't grow the number of followers.
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I track the number of followers I have every single week.
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I know, across my brand, I have about 43, 43, 44000 people that are followers.
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I'm not saying don't track the number Right, but it's not.
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It's not a metric that we're optimizing for, because that on its own does nothing.
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The question is the people that are following you.
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Have they now come on your email list?
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The people that are following you?
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Are they now coming to your workshops?
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Are they now coming to your private practice?
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Have you optimized your brand so, if they can even find out, some people have been following you.
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They don't even know what you do.
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Do they know what you do?
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Do they know what you do?
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Otherwise, you can be follower rich and dollar poor.
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You can be follower rich and patient poor and client poor, right, and so, yes, I have the followers, but am I translating them to something else?
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Because, just saying I have a million followers, there are many people who have a million followers and their businesses have not done more than $2,000 in the year.
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Dr Luna, you're going to need to calm down some kind of way.
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Okay, number five.
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Number five vanity metric, likes and comments.
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Oh, I did that post and I got 200 likes and I got 45 comments.
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I did that post and it went viral.
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Right, I did that reel.
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It went viral.
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I got 2 million views and I got good, good.
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And then what happened?
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Because the whole point of visibility is for a portion of that visibility to lead to patients, clients and all of that stuff.
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Because we are not content creators, we are entrepreneurs who use content to grow our businesses, right?
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And so again it goes back to the same thing.
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Licenses, right?
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And so again it goes back to the same thing.
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Have I built a business base that is just waiting for visibility to take off?
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So when the visibility comes, you can take advantage of the visibility, right?
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Okay, so I had the likes, I had the comments, but I didn't have any call to action.
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If people look for me on social media, there's nothing.
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They can't tell what I do, they can't tell how to work with me, right?
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They don't know, they have to know, they have to know.
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I'll give you an example.
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You can write a book and go on social media like, oh, I'm so excited, my dream was always to write a book and I wrote the book and all of that stuff, and this is the cover, or this is the book, and you can get 300 likes, you could get a hundred comments and you could get two book sales.
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You could get two, one, two, how do I know it's happened to me.
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Okay, One, two and that's it.
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So all the euphoria of, oh my goodness, look at the activity on this post and if you have, like you know, you have all the red numbers and all this and the pops and the dings and the vibrations and all that stuff from your Facebook and Instagram going on, it's like, oh my goodness, everybody's fine about it and everybody's buying it and nobody's buying it because you have to have other things in place.
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Okay, okay.
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So, recently we launched a journal called the 20% Coach Journal Powerful.
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It's the journal I use.
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In fact, now I call it my number one productivity tool.
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It's so amazing.
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You can get your copy on trendycom forward slash journal if you haven't gotten yours yet.
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But it's a journal you use twice a week At the beginning of the week to set your goals and all those things and set the stage for a great week, your best week yet and at the end of that week.
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So when you show up on the next week week two you show up as you 2.0, and week three you 3.0, and all of that.
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So that's the tool I use to radically change my life every week.
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It has changed my life since I started using it.
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Okay, so, ontermecom forward slash journal.
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Now, when we did this and this is a tool, like you know, my mentees in other parts of my world you know they can all use it Right, and so you know somebody said to me.
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They said oh, you have EntreeMD, you have Success by the Book, which is my faith-based YouTube channel, and you have Arise and Shine, which is a prayer meeting I do every morning.
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You have all these people.
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You don't really need to sell the book, like it's just, people are just going to buy, you're just going to sell thousands of copies.
00:15:52.585 --> 00:15:58.152
And so I, as a savvy entrepreneur who's been at this for the last 15 years, I laughed.
00:15:58.152 --> 00:16:03.687
I said you have no idea how this thing works, right, if you do not sell it, it will not sell.
00:16:03.687 --> 00:16:04.636
Period, end of story.
00:16:04.636 --> 00:16:05.679
It doesn't matter Like.
00:16:05.679 --> 00:16:07.024
Will some people buy, no matter what?
00:16:07.024 --> 00:16:14.576
Yes, of course, but it can't be left to chance, okay.
00:16:14.576 --> 00:16:16.283
So of course I would post it, and you know there'll be lots of posts and all that.
00:16:16.283 --> 00:16:16.803
I'm not confused by that.
00:16:16.803 --> 00:16:17.726
I don't stop Now, don't get me wrong.
00:16:17.726 --> 00:16:29.082
I'm very grateful for every like, I'm very grateful for every comment, but I also know that there's work that needs to be done for that to translate to impact.
00:16:29.082 --> 00:16:34.417
Because for me, the reason why I push this journal so much is because I see what it's doing in my life.
00:16:34.417 --> 00:16:36.465
I see what it's doing in my mentee's life.
00:16:36.465 --> 00:16:38.653
I have my daughter and my son using.
00:16:38.653 --> 00:16:42.464
I see what it's doing for them and I'm just like my goodness, this is mind boggling.
00:16:42.464 --> 00:16:44.936
Okay, I want to have the impact.
00:16:44.936 --> 00:16:47.780
And so if I want to have the impact, I'm going to have to sell it.
00:16:48.081 --> 00:16:52.828
I cannot be distracted by the likes and comments and be lulled to sleep and not stop it.
00:16:52.828 --> 00:16:53.995
So guess what I do?
00:16:53.995 --> 00:16:55.639
I show up in the Rise and Shine community.
00:16:55.639 --> 00:16:56.341
I promote it.
00:16:56.341 --> 00:16:58.076
I show up on Success by the Book I promote it.
00:16:58.076 --> 00:16:59.464
I come to EntreMD I promote it.
00:16:59.745 --> 00:17:12.709
When I talk to people who are like you know how I use my time and all that, I promote it.
00:17:12.709 --> 00:17:15.859
For instance, you're like oh my goodness, I always wanted to launch a practice.
00:17:15.859 --> 00:17:17.064
Now I've launched a practice.
00:17:17.064 --> 00:17:18.903
Or you open up a second location.