← Back to Knowledge Graph

Naming Sub-Items and Bonuses: How to Apply the MAGIC Formula to Every Component of the Offer Stack

The Framework

Naming Sub-Items and Bonuses from Alex Hormozi's $100M Offers extends the MAGIC Naming Formula beyond the main offer to every individual component in the value stack. Each bonus, tool, resource, and deliverable within the Grand Slam Offer deserves its own name — because unnamed components are invisible. A bonus called "Template Pack" has zero perceived value. The same templates called "The 30-Day Revenue Accelerator Toolkit: 12 Plug-and-Play Templates for B2B SaaS Founders" has specific, quantifiable perceived value.

Why Component Naming Matters

The value stack's conversion power comes from the cumulative perceived value of all components exceeding the offer's price. But perceived value is driven by specificity: vague names ("coaching calls," "support," "resources") create vague value perceptions. Specific names create specific value perceptions that the prospect can assign dollar amounts to.

Hormozi's MAGIC Formula provides the naming structure for each component: Magnetic (emotionally compelling), Avatar (who it's for), Goal (what it achieves), Container (what format it takes), and Duration (how long it covers). Not every component needs all five elements, but each should have at least Magnetic + Goal.

The naming also affects the prospect's memory: in a sales conversation or landing page where 5-8 components are presented, the components with specific names are remembered and valued. The components with generic names are forgotten and contribute nothing to the perceived value stack.

The Naming Protocol

For each component in the offer stack, Hormozi prescribes the following:

Step 1: Define the specific outcome. What does this component help the customer achieve? Not "provides resources" but "eliminates 80% of the manual work in the first 14 days."

Step 2: Quantify when possible. Numbers create specificity: "12 Templates," "30-Day," "5-Step." Specific numbers signal that the component was designed, not improvised.

Step 3: Apply avatar specificity. If the main offer targets B2B SaaS founders, each component should reference that avatar: "The SaaS Founder's Onboarding Checklist" not "Onboarding Checklist."

Step 4: Assign a stated value. Each named component should have a dollar value that represents what someone would pay for it separately. The sum of all stated values creates the Price-to-Value Discrepancy that makes the total offer irresistible.

Cross-Library Connections

Berger's Practical Value Packaging from Contagious explains why named components share better: a customer who tells a friend about the program mentions the specific named tools ("I got the Revenue Accelerator Toolkit") rather than the generic components ("I got some templates"). The names ARE the packaging that makes the value concrete and shareable.

Cialdini's reciprocity principle from Influence amplifies with each named bonus: each specifically named component is perceived as a distinct gift, which creates a separate reciprocity increment. Five named bonuses create five reciprocity events. Five unnamed "extras" create one vague sense of generosity.

Hormozi's Bonus Presentation Sequence from the same book depends on strong component names: during the 1-on-1 selling process, each bonus is revealed in sequence with its name, stated value, and connection to a specific customer concern. Without distinctive names, the presentation feels like a list of features. With names, each bonus is a mini-offer that independently creates desire.

Dib's MAGIC Naming Formula from Lean Marketing (which Dib adapted from Hormozi) extends the principle to marketing materials: landing page sections, email subject lines, and content titles all benefit from the same specificity that product components require.

The naming discipline also prevents the common mistake of bundling valuable components into unnamed packages that the prospect can't evaluate. A "VIP Support Package" is unvalued. The same package broken into named components — "24/7 Direct Access Line ($2,000 value)," "Weekly Strategy Review ($500/session value)," and "Emergency Implementation Support ($1,500 value)" — produces $4,000 of perceived value from the same underlying service.

Hughes's Specificity Injection from The Ellipsis Manual applies the same principle at the linguistic level: specific details create credibility. A component named with specific numbers, timeframes, and outcomes feels designed and intentional. A generically named component feels like filler.

Implementation

  • List every component in your offer stack — core deliverables, bonuses, tools, templates, access privileges, support channels. If you can't list at least 5-8 distinct components, the offer may need more stacking.
  • Name each component using at least the Magnetic + Goal elements of the MAGIC Formula. "Template Pack" becomes "The 30-Day Revenue Accelerator Toolkit."
  • Assign a stated value to each named component. Research what similar standalone products charge, or estimate the ROI the component delivers. The stated value should feel credible, not inflated.
  • Calculate the total stated value of all components. This total should be 3-10x the offer's actual price — creating the Price-to-Value Discrepancy that drives conversion.
  • Test component names in conversations. Present each named component to a prospect and watch their reaction. Components that produce "tell me more" are well-named. Components that produce blank stares need renaming.

  • 📚 From $100M Offers by Alex Hormozi — Get the book