If we talk about Amazon, They are the kings of upselling. In fact, they claim that 35% of their sales come directly from upsell. You’ll notice that upsell is a powerful tool, which is opted by numerous popular brands world-wide.
Upselling is a sales technique used to get a customer to spend more by buying an upgraded or premium version of what’s being purchased.
If you still unknown about upsell, Read Blog What exactly the upsell is.
Coming to this blog, you will going to learn how the upsell will lead to more sales and makes your customers look brilliant and at the same time provide increased revenue in your hands.
Learn the Art of Upselling with Real-time Examples
The Art of Upselling can be better analyzed through the given cases described below, Have a look…
A client from California requested me to write a set of Autoresponder emails for two lists A and B of Leads. We agreed to make one set of emails, but pinch them a little for the other one.
However, I began working on the same project. What I observed was, List B had a slightly different set of needs that should be addressed in the emails. To do this, I would have to write Four more emails for List B.
If you are still not getting, Read from “A client…”
I offered to write the Four additional emails, explaining to my client why he needed them. With a discount on the additional emails. My client positively accepted the upsell immediately.
The upselling can also be easily explained by using the classic example of McDonald’s.
You must have heard whenever you visit McDonald’s—“Would you like fries with that?”—is a clear example of an upsell that has sold millions of more fries each year.
“Do you want to go large?” This is where upselling is.
It’s when you’ve committed to a purchase, but then you’re offered something extra.
Upselling is promising the purchase of anything that would make the primary purchase more expensive.
Top Reasons to say Upsell is Not a filthy word
Let’ s have a look at the benefits of upsell, How this upsell will give your customers look brilliant with increased revenue in your hands.
#1 Bring your Existing Customers closer with Upselling
Once the Reader asks how they could upsell him on a product that was more expensive (and more valuable) than the one he currently used.
Then he got the answer which was really very straight.
The answer was “Tell how I succeed. When I succeed, definitely you succeed.”
The conclusion was that when there will be a mutual winning between the marketer and customer then only upselling works.
If you can make your customer feel like an upsell is helping them win, then you’ll both win.
#2 Upselling brings you more money
Upselling has a direct impact on increasing your sales. It is seen that these are the Top reasons with which you can increase revenue for your brand:
1) Get your customers to visit more often.
2) Get your customers to spend more when they visit.
3) Bring in new customers (the most expensive form of marketing).
But, Still, it works only in that condition when upselling is done correctly. You can easily increase what customers spend each visit, all while ensuring they have a great experience and want to come back, again and again. When done properly, upselling is a win for the service staff too because they ultimately improve their tip income.
#3 Upselling is easier than Selling to new customers, and It helps you Grow
Yes, It is easier to sell to existing customer than newer ones. If we talk about ourselves, Wouldn’t we like to buy from a company we already trust than the one we’ve never done business with before?
Marketing Metrics states that The probability of selling to a new prospect is 5-20%. The probability of selling to an existing customer is 60-70%.
Not only is upselling easier than selling to a customer for the first time, but it can help you grow faster.
#4 Getting a Bargain, Gives customers a great feeling
It is noticeable that Companies often offer three or more layers of services or plans. They often stress the benefits, features, and value of their product with the highest price point to drive customers’ attention to it.
Important Tips to Upsell: Learn How to make sure that your upsell works?
#1 Make your Upsell Relevant
Rule #1, This is seriously worse you are offering an irrelevant product to your customer as upsell. It’s indifferent. It’s clearly automated. It creates a poor customer experience.
Follow and group useful, relevant combinations together. Create bundles, and introduce relevant cross-sells.
Lower Price items would be quick wins in upsell.
If your customer is spending $50 on any product, then probably he’s not going to spend $100 again on a pushy purchase.
You should offer a product which is of lesser price than he purchased before.
So for an item that costs $50, upsell a product that costs less than $50. If you ask me, that’s right at the top of the limit. Upselling is about quick wins. So go for lower-priced products.
#2 Make sure It’s a Value Product
The upsell only works if the customer wins. Adding value to the product, and creating a better experience for the customer is the essence of this para.
It gives customers’ peace of mind. And that’s a price that most are happy to pay.
You are going to taste bitter if you are just using upsell as a chance to grab more money. If you’re not adding value, it’s not a good upsell.
The best way would be that Talk to them, survey them, and watch their actions and reactions. In short, capture data to understand what is important to your customers and what opportunities you have to help them.
#3 Timing is everything
It is totally disreputable that companies try to upsell before customers have reached the checkout page.
This is the quickest way to scare off customers. It might even cause your customers to abandon their cart and ditch their purchase.
Wait until the last possible moment to upsell. Capture your customers just as they’re clicking the buy button.
Upselling should be urgent, doesn’t have to be Pushy
Even if we know that Upselling is a phenomenon which is a need of today’s marketing, but still we don’t do it. Those unpleasant Upsells can be avoided with right techniques and Proper Timings.
You’ve probably seen pushy salespeople before, the ones who make you feel uncomfortable because they keep asking you to buy stuff even though you’ve said you’re not interested.
That’s so irritating. You know how it feels, and that it usually sends people searching for the nearest exit. So, if you work in retail, don’t be anything like that.
It all comes down to when and how you upsell, and below are some tips and examples for both.
When to Upsell: Are your customers ready for upsell?
#1 When your customer sees the consistency with your product.
When things are already going well. Yes, that is the best time to ask for another promptness from your customer. This situation is particularly helpful when the customer previously wasn’t ready to commit to a more complex one.
Once they see the consistency with your product, a customer will be more open to restarting a conversation for the product which is more complex. After all, they’ve started to realize a return on their investment and have seen for themselves that your product works.
Just think of this initial success. This can influence to get a bigger deal.
#2 They’re focused on new priorities.
Companies usually have multiple competing projects at a given time that someone needs to prioritize. It simply means that once your product is in place and solving existing tasks, your customer will have time to deal with other items on their list.
Although your focus should be on the specific product your customer is interested in. Then, check in on progress in a few months and see if you can help out with any of the other priorities your customer needs to solve.
#3 At the time of Strategic shift in any company
You have to be there When there is a big change in strategy which is sometimes necessary for a company to gear up its Services and Sales. it can be a releasing a new product, or a series of services launch, or just modifying the existing offerings etc.
When you are already in a healthy relationship with your client, it’s only natural that a customer will want to go to the next level with a vendor, when they already know them and trust.
#4 When your customers become your Brand Promoters
If your customer is proactively sending new business opportunities for you, Filling your lap with the new prospects and leads, it’s a sign they’re extremely happy with your products and services.
After all, It’s quite obvious that nobody has so much idle time in their busy schedule or risk their reputation to send a referral on behalf of a company they’re about to end a relationship with.
It’s a yes for you!
Reach out to your customers to thank them for the referral, and buckle up yourself for upsell.
#5 When you are seeing your customers growing
It is the growth which also indicates that the company is investing in their future and will likely have new needs as they go up.
The time when you’ll be able to feed off the relationship for years to come.
When the offices are expanding, new departments are getting added, or simply hiring at a faster clip than they used to, your face should brighten up when you hear about company growth.
This means that something’s cooking (hopefully, something related to your product), and that more cash is now available for your customer to spend.
Boost Revenue with Upsell Automation Tools and Extensions
After so much knowledgeable facts and figures. This is really satisfying to know that There are various upsell tools available in the market that will automate your work without a hassle.
There are various tools and extensions available which hike the store average order amount value by 10% to 25% instantly.
You can simply add the most attractive product onto the funnel and is free to add other discounted products on the skip button so that the customers do not go empty-handed.
Wrapping up …
We have discussed the various tips and strategies for upsell. Also, had an idea that how do we know that our upselling is working well? The main goal of the upsell should be to help our customers meet their goals faster, more easily or at less cost. It is not, so we can pocket more cash because upsell is a thing which cannot be forced, It should be provided as the desired need for your customer.
If you feel that our blog helped you or have queries and suggestions, Do share with us in the Comment box below.
Thanks for Reading.