4 quick tips for easy upselling
On paper it’s a shocking statistic, but it’s actually a no-brainer: there’s a 60 – 70% chance your customers will buy from you again, compared with only 5 – 20% that a new prospect will actually make that move.
So it’s going to be much easier and quicker to hit sales targets if we can add enough value to encourage customers to buy more from us.
Upselling and cross selling have a bad press among consumers, but both of these techniques can prove of real value and benefit for both parties, when carried out correctly.
1. Recommend limited options
In other words, it’s a bad idea to blind customers with choice. Give them a better and best option based on their current order and to better suit their specific needs. For example, you might give them an option for a direct chill dispenser instead of a reservoir, or a higher capacity dispense machine for a water cooler in a high traffic area. But leave it at that, because too much choice can cause a client to ‘go away and think about it’ – and you’re most likely to secure that deal in the heat of the moment, when they’re in buying mode.
2. Make it relevant
Get to know your customers and recommend complementary or better products which fit their buying patterns. Maybe they order water machines and filters separately every time – give them the option to have the filters pre-fitted. Or if they’re supplying to a school, maybe they want a water fountain as well? Aim to add specific and personalised value to your customers’ orders to delight them.
3. Use bundling
Bundling a whole package of costs together to make ordering easier for your customers is a great way to get better value for both of you. Instead of ordering a machine, install kits, sanitisation kits and all the various accessories, why not get them all pre-fitted and boxed up with the machine, include an extended warranty and charge a sum inclusive of the whole lot? Easier for your client and chances are it will increase your average order value as well.
4. Use the Rule of 25%
As a general rule of thumb, don’t offer a like for like solution that’s more than 25% more than their current order. If you feel you can offer enough extra value to justify it, that’s fine, but the last thing a customer wants is a nasty shock – and none of us like to feel we’re being upsold! A shock on the price is likely to draw their attention to just that, whereas we want to keep them focused on the value they’re receiving.
Try it this week! And you might just surprise yourself at the increase in orders at very little increased effort!
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