Do you know what’s the search volume for the keyword ‘Tai Lopez Scam’? It is 18,100/month on SEMrush.
What does that tell you?
Well, it tells me that a good number of marketers actually think of Tai Lopez as a scam artist. To us marketers, the definition of a scam vary wildly. Someone who’s trying to sell an online course is not a scam for sure. It is now evident in 2019 that MooC education is one of the best forms and learning online can actually help you go ahead with your career.
After all, that’s why almost all major universities have started offering online courses, be it Open Courses from MIT or platforms like Skill Share & Lynda.
Nobody talks about any of those big players being scam. I remember Patt Flynn started selling his first course back in 2012 from Smart Passive Income. He does it successfully even today and nobody thinks of him as scam.
Why is Tai Lopez different?
There are a number of reasons why Tai Lopez is considered as a scam artist by many. I will go through them one by one in a bit but to summarize, he is pushy, he doesn’t teach most of his courses, he tries to follow trends and he runs a LOT OF ADS.
Now, I know, I just explained a good marketer. Most of these qualities are to be present in a good marketer and Tai is one. However, it is the stuff that he teaches (the end product).
If you are charging $1000 for a course, the customer will expect a certain level of value within and when there’s not enough of that (and you already see Tai promoting a different product in 2 days of you buying one), it is evident that Mr. Tai will be seen as a scam.
Disclaimer: I guess I should mention this now in case if I end up receiving a letter from Tai Lopez. Everything that I am mentioning in this article are my theories. I would appreciate a response from anyone of Tai’s team and will be happy to publish the response too on this post.
Why do I think Tai Lopez is a Scam?
I got 100 reasons. I picked the most obvious ones for you as there’s no point me rambling 5000 words about Mr. Tai being a scam. I will be a happy person if even 1% of my readers end up saving some money reading this post.
I don’t mind seeing thousands of Tai Lopez ads every day in my news feed. I am a marketer myself and am happy to see someone grinding it hard. My problem is that Tai is using fake scarcity to promote his stuff.
Whenever you come across to a Tai Lopez ad, you will see some sort of scarcity added to the marketing campaign.
The most common ones are:
- Offer finishes is 1/2/7 days
- Scholarship/Discount finishes in 1/2/7 days
- Beta Test Group Closes in 1/2/7 days
And it goes on..
Here’re a few examples:
And you will see something similar (like below) if you visit any of Tai’s landing page. These are evergreen countdown clocks meaning, once it comes to 0, it resets and starts from 7 days automatically.
Of course, all his programs are always open & you can buy any of them, whenever you want from his official website.
Niall pointed out an interesting strategy that Tai uses on his blog at eBiz Facts. Tai has a video on YouTube and at 2:10 minute mark of that video, Tai specifically says that he is not going to keep the video up for long.
However, guess what?
The video, since published in July 6th, 2017 was never taken down and has been used multiple times on many Tai Lopez landing pages across his ads.
Here’s a glimpse of how it looks:
In summary, Tai does everything he can to lure you into his program. When it comes to reality, the courses will always be up and it is all a lie.
Tai Is Only a Marketer, Not an Expert
Tai Lopez, unlike what people think is just a good marketer who knows how to sell courses. He is not an expert on any of his course materials and it shows.
Remember the Bitcoin bubble? When Bitcoin was at it’s peak, Tai immediately became a Bitcoin expert and did one thing that he knows best.
He launched a Crypto Currency investment course.
Though Tai took out the page from the main menu of his site, it is still live here. You could buy Tai’s Crypto course for a payment of about $700 to change your life and he heavily promoted it.
Thousands of people bought it buying Tai’s dream of fancy car, big house and hot girls. It didn’t end well for them.
They lost their money and Tai moved to another course once Crypto fad was over.
Tai became a real estate investment expert.
This is a common trend with Tai Lopez. He is continuously running 10-15 courses at a time, picking new trends, be it Amazon FBA, Instagram influencer marketing to Crypto, real estate investment and god knows what else.
In reality, he is not an expert in any of the topics he teaches. He is only good at marketing the courses.
Never Disclosing any of his Investments/Businesses
I actually don’t have any issues with people not disclosing their investments or businesses with mass. They are not obliged to do so and you can’t force them, right?
Not true in Tai’s case because he brags about it, literally all the time.
You can’t go through any of Tai’s video without listening to him mentioning how investing in businesses changed his life, how he learnt investment from Warren Buffet and how he has built multiple successful businesses over the years.
In reality, his main business is to sell online courses.
Note: He now has another business called Mentorbox which is an interesting concept. It is like Netflix but for books and the company reportedly does about 20-30k/day in revenue. However, Tai started that company in 2018 with a partner named Alex.
Mentorbox is one of the worst reviewed subscription services online. Most common complains are not getting refunds, non existent customer support & very limited content.
This article is not about Mentorbox so I will leave it there.
According to Tai, he was born poor and had a single mother growing up. He then found a few mentors (he never names those mentors) who helped him change his life with investment ideas (he doesn’t mention his investments either).
That seems fishy, doesn’t it?
Using Lifestyle Marketing
I personally don’t see anything wrong in using fancy cars, good looking girls, lavish apartment condos to promote a certain type of lifestyle. Companies have been doing emotional and aspiration based marketing for years.
But people hate it…So I thought I should include it too.
Tai (Without directly saying it) tries to portray that if you buy one of his thousands of courses, you will be able to play with girls, you will be living in a big house and will be driving Lamborghini within years.
In reality, that rarely happens.
Initially when Tai broke out with his infamous ‘here in my garage’ ads all over YouTube, people immediately started questioning the authenticity of his information.
Famous YouTube Channels like H3 Productions, Cody Ko and a few others did videos on this very topic showing where Tai rented his apartment from (it was listed in a property listing company), where he got is cars from (they were not owned but leased) and so on.
Later Tai himself admitted that everything he has been showing on his ads are rented or leased. I recommend watching (or listening) to this podcast interview Tai did with H3:
Note: Once H3H3 and a few other YouTubers did their expose videos, Tai allegedly contacted them and paid big amounts to remove those videos. Those videos are not live anymore on these big channels.
As I said earlier, I personally don’t care about Tai using emotional marketing. It is a marketing tactic like most other ones but I sure have problems about using rented stuff to portray a certain kind of lifestyle.
I definitely think Tai Lopez is a scam and I would advise anyone being very careful when you are coming across any of Tai’s stuff. Some of the information might be good but these are vague and top level info that you know anyways.
It doesn’t make a lot of sense for me to create a course about climbing Everest though I am sure, I can find all the information online and compile them in 2-3 hour videos with 8 classes.
Because I haven’t done it personally.
I have problems against people who only go surface level and theory.. Tai seems the perfect fit on that profile.
Then again, you are not bound to listen to my advise. It is your money at the end of the day, isn’t it?
What’s your thoughts on Tai Lopez? Any good experience? Any bad ones? I am interested to know.