Psychology Of Money

The psychology of being an idiot

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In reply to my email yesterday, a puzzled reader wrote in to ask:

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How did you initially start your list? Like to get those first few people in the door. I feel like we’ve never been told your origin story to how this list became to be what it is.

Maybe I’m wrong, I’ve only been reading for 2 years, though your list is older then that. And I don’t even know how I got here.

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I’ve been reading a lot about newsletter growth lately, and the above is a frequent question that comes up.

“How did you get your first few subscribers? Your first 100? Your first 1,000?”

The most common answer I’ve read is, “Oh, at the start, I just asked people in my network if they’d like to sign up.”

That is not what I did. For one, I don’t have a network. For another, I don’t like asking anybody for anything. (They might say no, and then what!)

I started my list over 5 years ago.

​​I checked just now, and it took me 18 months and 5 days from starting daily emailing to my get my first 100 subscribers.

The background of why it took me that long is that I’m an idiot, or just very stubborn, depending on your moral compass.

For the longest time, the only thing I did was write my daily emails, and post them to my website.

I did on a few occasions post something smart and professional in copywriting groups on Facebook. I believe I managed to get two, maybe even three new subscribers that way.

But mainly, I was just grinding away, because like I said, I’m an idiot, or just very stubborn.

My plan was never really to build this email list into anything.

My only vague goal was to get better at writing emails, and to have something to show potential clients as a demonstration of my skill. That was back when I still did client work, which is something I don’t do any more.

And yet, I continue to write daily emails today.

I’m currently reading a book, The Psychology of Money.

It was published a little over three years ago. Today, it has over 43k reviews on Amazon, 32k of them being five-star.

Basically, the book tells you how your own psychology gets in the way of your making money, growing money, and keeping whatever money you’ve managed to make or grow.

None of those are topics I’m interested in at all. But I realized I could make this book more interesting to myself by switching out “money” and switching in “business” or “project.” Suddenly, the lessons became familiar and dear:

– Think long term, and let the power of compounding work for you

– Be okay with a wide range of outcomes

– Realize that you will change — what you think you will value in the future is probably not accurate

So that’s kind of the Bejako origin story, and the explanation of my motivations in driving this newsletter onwards in the way that I do, well into my 6th year with it.

Now, I can imagine that my origin story sounds entirely uninspiring. It’s kind of the opposite of wandering into the wrong room, lingering just a second too long, and getting bitten by a radioactive spider that dropped from the ceiling.

To make up for my uninspiring email today, tomorrow I will tell you a way that, while I still had practically nobody reading this newsletter, I grew another newsletter to a few thousands readers in a matter of weeks, and filled it with quality subscribers.

That’s on tomorrow’s episode of the Bejako Show.

Meanwhile, if you want lessons on success with any long-term project, consider Morgan Housel’s Psychology Of Money, and it’s 32,000 5-star reviews.

​​If you’d like to take a look, here’s the link:

https://bejakovic.com/housel

Free new newsletter idea

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Today I want to give you an idea for a new newsletter, free for you if you want to run with it. But first, a bit o’ background:

A couple days ago I was at the gym, stretching and listening to one of only two podcasts I ever listen to, Mike Mandel’s Brain Software Podcast.

In this episode Mike had a guest, Scott Adams of Dilbert and Trump fame/infamy. Adams has written a new book, and he’s going around to promote it.

I finished listening to that podcast but I was still not done with the gym. The podcast app jumped to the new episode of the second of only two podcasts I ever listen to, the James Altucher Show.

In this episode, James had a guest, also Scott Adams, still promoting his new book.

That’s the background. It’s relevant because Adams’s new book is called Reframe your Brain. It’s all about reframes — different ways to look at situations, changes in perspectives that make you happier, wiser, or simply more effective.

My point in telling you this is to show you that now is a good moment to launch a newsletter, one I have been thinking about for along time, exactly on this topic.

I was planning on launching this newsletter myself.

​​But I simply have no time to do it along with this marketing newsletter you’re reading now and the other health one I’ve got running.

​​So I’m giving you the idea if you want it, for free.

The name I thought of for this newsletter was Great Reframes. It would be in the vein of Letters of Note, in case you know that.

Each issue would simply give readers an interesting and valuable reframe, along with a bit of a story or historical anecdote to make it stick. For example, your first issue could cover one of the classic and most powerful reframes of all time:

“Pain is just weakness leaving the body”

… which is how Arnold Schwarzenegger hypnotized himself into pushing harder at the gym, and how he ultimately won seven Mr. Olympia titles.

I’ve been collecting such reframes for a while. I got a few dozen of ’em so far. They’re everywhere once you get yer antennae up.

Scott Adams collected a bunch of his own reframes into his book. Scott’s book is both a resource for you if you choose to launch this newsletter, and it’s also free publicity, a horse to ride, an occasion to justify your new newsletter. The time to get going is now.

“Yea sure,” you say, “but what about the money? Weakness leaving the body is nice and all, but how about some money entering my wallet?”

If you want to monetize this newsletter, then you got a few options, depending on what you like to do:

You can position this Great Reframes newsletter as a resource for investors, along the lines of Morgan Housel’s Psychology of Money.

​​You could make the reasonable claim that a change in perspective is an invaluable investing tool. At the end of each issue, you could simply pitch stuff that would be interesting to investors — exclusive access, high-priced analysis.

Or if you want to promote yourself and your writing services, you could position this as being an inspiring resource for entrepreneurs and hustlers.

​​You could get entrepreneurs all motivated and inspired with your reframe, and then simply suggest they hire you to write whatever it is you write, since you’ve just demonstrated you can do it well.

Or you could go full-consumer, and simply aim this at self-help junkies. Give them a new reframe in each issue, and then sell them courses, retreats, coaching, whatever.

So there you go. In the slightly modified words of info publisher Bernarr MacFadden:

“Not having your own newsletter is a crime — don’t be a criminal”

… which is another good reframe for you to use in an issue of your new newsletter.

And as I said yesterday, if you do decide to create this newsletter, and you need a platform to actually send your newsletter and a website to get people to opt in to it, then I recommend Beehiiv.

Beehiiv is what I use for my own health newsletter, and it’s great, a rare piece of online software that works well and is a pleasure to use.

​​In case you’d like to get this newsletter started now, for free, go here:

https://bejakovic.com/beehiiv

Touch 1458

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Yesterday, while vegetating in the changing room at my gym, I came across a provocative post written by a Morgan Housel.

That name sounded familiar. It turned out I’d seen it high up on the Amazon bestseller lists.

Housel is the author of The Psychology of Money — an ugly title, but one which has sold over 2 million copies and been translated into 52 languages.

Not only that. Housel is also a partner in some venture fund called Collaborative. I guess that might mean absolutely nothing, but it might also mean he’s very, very rich.

Anyways, Housel’s post was titled, Ideas That Changed My Life. “You spend years trying to learn new stuff,” says Housel, “but then look back and realize that maybe like 10 big ideas truly changed how you think and drive most of what you believe.”

So what are Housel’s big ideas?

I’ll share just one. Housel believes the only path to long-term success, besides luck, is sustainable competitive advantage. And get this — Housel also believes there are only 5 sources of such competitive advantage:

1. Learn faster than your competition

2. Empathize with customers more than your competition

3. Communicate more effectively than your competition

4. Be willing to fail more than your competition

5. Wait longer than your competition

And now, if you like, I’ll tell you about a single way, and a rather simple way, to tap into all five sources of sustainable competitive advantage in one go.

I can tell you about it from personal experience. Because I believe I’ve tapped into all five sources of competitive advantage by writing these daily emails.

​​Maybe it’s obvious how, maybe it’s not.

​​Check it:

1. Learn faster than your competition. I know what I will write in my email today, but I’m not sure about tomorrow. And so I’m constantly on the hunt for valuable and new ideas to share.

When I write about those ideas, I get a clearer understanding, or realize my total lack of understanding. Plus I remember them better. Some of these ideas I even apply in my own email marketing, and grok them on a completely different and much more real level than simply “knowing” about them.

2. Empathize with customers more than your competition. I never made much effort to share intrusive personal detail about myself in these emails. I find it unpleasant to do so more than once in a mercury retrograde. But inevitably, over four years of daily writing, many personal stories came out.

Pop quiz: How did my ex-girlfriend react when I gave her an expensive gold bracelet on our one-year anniversary? Hint: It wasn’t pretty.

I wrote an email about that a year and a half ago. When I recently asked people which of my emails first comes to mind, these kinds of personal reveals were near the top. And yes, this is how empathy works on the Internet.

3. Communicate more effectively than your competition. Yes.

4. Be willing to fail more than your competition. Uff. So many stupid things I’ve written. So many offers I’ve made that have gone nowhere. So many experiments that blew up in my face. Nobody remembers. Even I struggle to dredge them up, and I’ve got a keen instinct for shame.

5. Wait longer than your competition. Conventional wisdom says it takes 7 “touches” to make a sale. But how about 775?

Two weeks ago, on December 3, during my last bout of promoting my Most Valuable Email, one of the people who bought has been on my list since October 19 2020. That’s 775 days. He never bought anything from me before, though he replied to my emails on occasion.

Imagine poor Frank Bettger a hundred years ago, trudging around Chicago in his galoshes while the wind and snow whipped is face, visiting cigar-smoking business owners and trying to sell them life insurance. Back then, doing 775 “touches” was not feasible.

Today, thanks to the Internet and email, it’s quite feasible. In fact, it’s easy and even fun.

I’m not telling you to follow what I did, or even to do what I’m doing now. My path to 1458 “touches” — my best estimate — has been unique. And even today, I do things that might be suboptimal, but that allow me to stick with daily emailing for the long term.

My point is simply that if you’re not writing regular emails, start doing so. It can give you lasting competitive advantages like few other things can.

And if you want my personal help and guidance with that, well, I’m not sure you can get it.

As I announced three days ago, I’m launching a coaching program, which will start in January, specifically about email.

Quite a few people have expressed interest so far. But I’ve turned most of them away. They simply had too few of the necessary pieces already in place.

I will be promoting this coaching program for another three days after today.

If you can see the possible value to your business of sending regular emails — and doing so for the long term — then the first step is to get on my email list. Click here to do so. That done, we can check whether you have enough in place already for me to quickly guide you to email-based competitive advantage.