The $100M Pricing Playbook is a data‑driven, action‑oriented guide by Alex Hormozi (Acquisition.com) that shows business owners how to dramatically increase profit through pricing optimization. It opens with a "genie" thought experiment that presents three growth levers—acquiring more customers, increasing purchase frequency, and raising prices—and quantifies their profit impact using a concrete business example. The playbook then outlines three fundamental pricing models (cost‑plus, competitor‑based, value‑based) and Hormozi’s personal pricing rules, emphasizing that price increases raise gross profit while often reducing costs such as churn. The core of the guide is the "Instant Profit" pricing playbook, a menu of ten low‑effort tactics (28‑day billing cycles, processing‑fee & second‑form payment, sales‑tax pass‑through, annual CPI‑linked price hikes, annual billing, price round‑ups, annual renewal fees, automatic continuity, ultra‑high‑ticket anchors, and guarantee/warranty upsells). For each play Hormozi provides the origin story, mechanics, numerical examples, step‑by‑step implementation steps, and advisory notes. A ProfitWell analysis of 512 SaaS companies is cited, showing that a 1 % improvement in pricing yields roughly twice the profit lift of a 1 % improvement in retention and four times that of acquisition. The guide stresses aggressive price testing, value‑based pricing metrics (conversion rate, churn, LTV), and psychological levers (price anchoring, customer surplus). The final sections summarize an expected total profit uplift of 26.8 %–63.8 % and urge readers to adopt at least one tactic immediately.
Topics
Genie Thought Experiment: Choosing the Most Profitable Growth Lever
A narrative where a genie offers three options—double new customers, double purchase frequency, or double price—to illustrate the relative profit impact of each lever.