Step 2: (Not pictured!) I forgot to take a pic of this, but oh well. Apply a good glue (I prefer Elmer's wood glue, or wood glue max) to the base. I first apply a couple of pieces of cut up sprue which provide the look of some bricks or pieces of crumble hallway. Then I dip the base in a mix of three sizes of ballast. One is a finer sand-like ballast, the other two are slightly larger rocks. When finished, let the base dry. I do not apply this material to the edges of the base.
Lizardmen ready to go.
As you can see, the process is really just a combination of cheating...and tricks. No talent required to get very reasonable looking miniatures. One thing I like about the dip is that - when applied to all of your models - it brings all of your models into the same colour range. It links all of the models together with a common shade effect. The steps might be a little tiresome some times, but the results are often very good without much time or effort involved.
As mentioned before I take a lot more time on single hero figures, and monster figures. But the steps are the same - just more careful or ornate brushwork, a few more colours and paint details usually.