PODCAST - legacy systems are killing your roi — here’s the true cost
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Now, let's dive in.
Today I'm gonna share with you why your legacy e-learning systems are killing your ROI. I'm gonna share with you what the true cost of sticking with those systems are. First, what is a legacy e-learning system? Well, to keep it short, it is an old. And outdated system. So legacy equals old tech. What is [00:02:00] the problem with old technology?
Well, old technology not only tends to cost more, it also tends to have less. Customization, and this is really important for what we're talking about today. Now, why do legacy systems or old technology systems tend to cost more? Well, think about this. The first computer did way less than what our pocket computers do today are cell phones and it costs exponentially more.
Than these phones. You can get a cell phone for free depending on what your plan is with your cell phone provider. The first commercially available computer cost $1 million to purchase in today's dollars that is more than $12 [00:03:00] million. And today you can get a cell phone. For free, depending on what your agreement is with your cell phone provider.
And if you do actually pay for it, you're gonna spend 500 to a thousand dollars, not 12 million. And this computer does a lot more than what the first computers did. And this brings me to the first hidden cost of using legacy or outdated e-learning technologies. Old. Tech and systems. Just cost more. And when it comes to e-learning technology companies making $50 million on average per year with the training department are most likely spending $50,000 all the way up to a million or more.
Per year for their Legacy e-Learning software. Does [00:04:00] this sound like you? I hope that you aren't one of these companies, but if you are, don't worry. There is a solution nowadays. You can get software, and this is what I help my clients do. I actually partner with companies e-learning partners. It's in the name.
I actually partner with companies that make $50 million a year to actually save them. Six figures or more per year, even after paying my fee. And I do this by helping companies go from these outdated old tech legacy systems and getting on systems that cost $5,000 per year. And guess what? These systems support a hundred thousand.
Customers or learners or purchasers. Maybe you sell certifications and you [00:05:00] have industry professionals that need to purchase your program. Last time I checked, $5,000 per year is a lot different than 50 K to $1 million per year. This is literally 10. To 200 times cheaper than. Legacy e-learning systems, and this specific system that I am referring to here is a system called Kajabi, K-A-J-A-B-I.
Now, Kajabi was originally built for small course creators, but in recent years, Kajabi is put in the work for an enterprise level version. Which I help companies like CoStar Group s and p 500 company Worldwide Company integrate Kajabi, customize it for their needs, and they're only [00:06:00] spending $5,000 per year on the technology.
And instead of a million dollars or more. You can do this too. There is another software, if you are focusing more on internal training, that you're gonna spend less than $10,000 per year. Typically, software in the e-learning industry that you use for selling online courses, for selling learning experiences is going to cost less.
Per user, 5,000 for a hundred thousand users per year. Then software meant for internal training, for training your teams, and it's just because of the intricacies of integrating that internal software into your internal systems that you already have. The gamification of that software and other perks that allow you to really engage your learners to drive ROI in your [00:07:00] company at $10,000 a year.
Less than that actually to serve a thousand learners. So back to companies, maybe your company makes $50 million a year. That means you probably have somewhere between 200 and 500 employees, maybe up towards a thousand. Well. $10,000 per year is significantly less than our 50 to 1 million. This is still a five, 200 x difference.
This is crazy, and this is just the first hidden cost. This software is called Talent, LMS. Now for both of these systems, I want to give you and your teams a head start, which is why I've created my Kajabi Made simple online course and my talent. LMS Made Simple Online course. You and your teams can sign up.
For not only a free trial of Kajabi [00:08:00] and a free trial of talent s extended free trials, because you're using my link, I'm also gonna give you access to those free online courses. And then if you do start paying for Kajabi or talents, I'm also going to give you what I call my platform to profit. Strategy session that my clients pay one to $2,000 per session.
I'm gonna give that to you absolutely on the house for free, just so I can help you get things up and running so we can save you the 50 K to $1 million per year. Hidden costs. Number two, outdated. User experience for you and for your learners, for your customers, for your team members taking the training.
What do I mean by this? Well, when you and your team. [00:09:00] Or going in to the system and trying to do something. You might be trying to administer a certification and you, instead of having it automatically occur when someone completes their training, you may have to go in and, uh. Send it out yourself. You may have to go in and give someone access to a training program instead of it automatically happening when they sign up.
It may be hard to find where to go and update a training program. Maybe something has changed in the past six months. In the past year, in the past week, and you need to make a change and it takes 15, 20 minutes just to go in and make us. Simple change like changing out a word or changing out module text or uploading a new video.
These things not only affect you internally slash admin on the administrative [00:10:00] side, a task that should probably be automated, maybe taking you or your team 10, 15 minutes to do that is wasted time. That is time that you could be using to grow revenue. So instead of the money you're investing in the technology and in your team going to bringing in more revenue, it becomes a cost to your business really sucking up your profit margin On the other side of things, you may be selling courses, maybe you're selling learning experiences.
Instead of having a user experience where your learners, your customers, maybe you're selling a hundred licenses of your program to a company who's buying it for their staff, instead of them being able to go in and purchase with a couple clicks like purchasing something on Amazon, they can't [00:11:00] even find where.
To purchase. So what do they end up doing? They end up sending you an email or they end up giving you a call and either one of those ways you can lose the sale. Because maybe that email gets lost. Even if you do get that email, now you have to figure out a way to issue them, an invoice and collect payment versus having payment a couple clicks away.
Maybe you even have individuals that want to purchase from you and instead of being able to just pull up your courses or your program and click, I want this program, I want this program, I want this program. They have to call you. They have to email you. So now you have to staff for taking those calls.
Now you have to staff for answering those emails. Now, instead of something that could be fully automated, you have to pay someone to actually get someone to purchase. And a lot of times if it's one [00:12:00] person purchasing, it may cost you more to actually take the point of sale to actually make that sale happen than what you are getting paid.
For that sale. Now, if you're selling a hundred, 200, 300 licenses, you probably aren't as worried about having someone on staff making that sale happen and collecting that payment. But when we're talking about someone buying one license, 2, 3, 4, 5, even up to 10 licenses, now we're talking about a real cost to you and your company, and that's just on the selling side.
Now, let's say. That your employees are taking the training, so employees being trained. They may take 15, 20, 30 minutes just trying to log in. Every single time they need to take their training, you may need to advise them. And what I mean by that is hover over them. Make sure that they're taking their training 'cause of how difficult it is to use the [00:13:00] system.
They may have to log in in different places. They may have training in one system, then training in another system. Then I gotta go over here and the training itself may be so. Segmented because of how the platform is, they get lost. There's no incentive for them to stay in the program. You may even try to gamify things with a legacy system, but there's no leaderboard.
So you try and have a leaderboard. There's no point system. So you're try and figure that out. There's no way. To take the data of the points and the gamification and cross-reference that to the data of people actually engaging in the system to make powerful business decisions. There's none of that. So outdated user experience is the second hidden cost and hidden cost.
Number three, the opportunity cost that you and your team have maintaining. And supporting the system, [00:14:00] instead of focusing on growth, you have to focus on fixing what breaks. This sucks because instead of coming up with new programs that you can serve your customers with new programs that you can make your team more efficient with, you have to go in and fix.
What breaks you have to go in and try and make the legacy technology fit the feedback that you get from your learners. So integrate. New feedback and practices in old tech, and typically when you have to integrate new practices, new feedback into old tech, you're gonna pay a lot more money than integrating into New Tech.
So the great news for you. Is that I have [00:15:00] a three step process I'm gonna share with you now of how to escape the hold of your legacy system so that you can start saving at least six figures or more per year. That will equate to millions over time, and you can start focusing on growing your top line revenue while your bottom line revenue exponentially grows.
So you can save. 5, 10, 15, even 20% or more on your profit margins in addition to scaling your revenue. So here's the way out. How to escape your legacy e learning systems and how to save six figures or more per year just by changing your technology and integrating a modern system. Step one, you need to identify.
What type of e-learning [00:16:00] system you need? The good thing is opposed to what many may think, there's really only two types of e-learning systems. There are internal and there are external. An internal e-learning system is one built for you to powerfully. Train your teams. This is for employee training. An external e-learning system or platform is one that you need to serve your customers to sell your learning experiences, to sell your training.
So this is for customers in the modern age learning technology. You can find systems that do both. The reason why it's important to figure this out with step one is because the cost of these systems can vary. I think I shared with you earlier, Kajabi, which is an external system, and Tetel Mass, which is an internal system internal.[00:17:00]
Kajabi's gonna cost about five KA year to serve a hundred thousand learners. Tell Tell Mass is gonna cost about 10 KA year, and this is four. A thousand learners. This is for a hundred thousand. Now they're very different. And if you wanna learn more about both of these, I highly recommend that you sign up for my free courses and you try out both of these for you and your teams.
With the free trials, I'm able to give you linked in the description below this video. And if you want to take all of the time out of step one and step two. Of this process I'm sharing with you today, I highly recommend that you and your team check out my e-Learning platform finder. It is linked in the description below on YouTube and in the show notes.
If you're [00:18:00] listening to this as a podcast, all you have to do is answers. Three simple questions and the years of experience that me and my team have taken to go through and try out hundreds of e-learning platforms. We have distilled down into this e-learning platform finder. In a matter of seconds, I am going to pair you with the best fit e-learning platform for you and your business' needs.
To save you five to 200 times what you are paying on your legacy platforms. Or if you didn't go with my step-by-step process today, you may still set yourself up with a modern platform, but you may still end up overpaying. That's why I take all of the missteps, all of that guesswork out for you with my free e-learning platform finder that you can check out in the description below.
And in the show notes, if you're [00:19:00] listening to this as a podcast, step two, only select a system that costs five to 10 times less than your current system. Now it may cost all the way up to 200 times less, but it needs to cost at least five to 10 times less. And I say this for the same exact reason why.
You wouldn't spend a million dollars on a cell phone today, or $12 million on a cell phone in today's money. Just because you've been spending 50 K to 1 million or more per year on your system doesn't mean that you need to continue spending that. The first computer that was commercially available in the 1950s did way less.
Than what our cell phones do today. You can get way more done with a product that costs a fraction of the price, and it's the same thing here, so don't get distracted by all of the systems that may cost as [00:20:00] much as what your legacy system costs. Take this from my s and p 500 client CoStar. They could be spending tens of thousands, hundreds of thousands, if not millions of dollars on a system, but instead they're spending $5,000 per year and the value they're getting speaks for itself.
Professors at Cornell, Virginia Tech professionals at Marriott. All over the world are raving about how much better their current system is, their current e-learning platform is versus what their legacy platform was, and they're spending a fraction of the cost. And so can you, and that brings me to step three.
No matter what system you select, if you spend five to 10 x less. All the way up to 200 x less no matter what. Even if you spend the same amount you're spending now, you're only gonna get about 80 to 90% [00:21:00] of the way there. What does this mean? This means that you're gonna need to customize the rest, and with a modern e-learning technology, this is really easy to do.
So. Why not build your own platform? Maybe your legacy platform is your own platform. How much has that been costing you? Would you like to instead spend up to $5,000, even if not less? I have clients spending 1500 to $2,000 per year. On their e-learning technology and it's serving their company's needs.
So I highly recommend that you don't develop your own technology because the amount of money you're gonna spend just building the first round, then customizing it, then maintaining it. Supporting it, security updates, all these different things. The staff to run it well. You could be spending money on a technology like Kajabi or [00:22:00] Talent LMS, where they take care of all of that.
All you take care of is customizing the last 10 to 20%. And it's easy to customize because these platforms are built to customize and with ai, you don't have to be a coder to customize something. You can talk to chat, and it will help you customize. The software, and if you want help with all of this, I highly recommend that you check out my e-Learning platform finder.
You and your team will find so much value from it. It's gonna shortcut the process, taking out the months of searching for a new pla. Form in into just seconds. You're also gonna get access to a free trial so you and your team can actually mess with the platform, start working with and see how it works for your organization.
I'm gonna give you a free course to teach you how to get things up and running from scratch, and I'm gonna give you my platform to profit strategy session where I sit down with you and your team and we go through how to customize the [00:23:00] platform for you once you start paying for that platform. And if you own a company or maybe you're a COO, a VP of training and you have been tasked with this question of how can I make.
My company more profitable. How can I make my training part of my company more profitable? How can I save money with it? How can I update my legacy system? And your company's making $50 million a year. Maybe you have 200 to 500 employees and you want partner, an e-learning partner to work with you. To support you and to really manage everything that we talked about today.
Well, if this is you, I highly recommend that you check out my Enterprise Learning Accelerator Partnership Program. Me and my team only work with a few clients every year with this program. Those who find that this program is the right fit for them and their [00:24:00] organization, save six figures or more per year.
Even after paying us, that's millions of dollars over time. If this sounds like you and something you want to explore, check out my Enterprise Learning Accelerator partnership. I have all the information linked in the description below on YouTube and in the show notes of this podcast. I'll see you in the next episode.
Thanks for tuning in to Learning Transformed Now, if you're designing a transformational learning experience and wanna skip the overwhelm of trial and error. Check out our e-learning platform finder. Just answer a few simple questions and we'll match you with the right platform plus an extended free trial.
And as a bonus, you'll get free access to a course that walks you through building your learning experience on your matched platform. Click on the link in the show notes or go to [00:25:00] www.elearningpartners.com/elearning-platform-finder. I'd also love to hear from you. Leave a review on Apple Podcasts or Spotify or drop a comment on our YouTube channel.
Thanks for listening and I'll catch you in the next episode.
AI is rising and so are.
