Upselling & Cross-selling: Goldmine Business Strategies

Upselling

Here is an illustration for a clear picture.

Patricia displays the collections of bags she has for the holidays. But, for some reason she markets a more expensive collection, saying it’s special.

Collections A, B, and D are normal bags of different designs and colors, the everyday bag you are used to. While collection C has more.

Now, imagine Patricia markets this collection this way:

Tired of having to fight a war through your bag daily? Looking for lip gloss this moment keys the next moment and sometimes you have to turn up your bag to get that pen.

This leaves you looking disorganized and clumsy everywhere you go.

Now, what if you have a bag with different compartments which is a result of research on what women take from their bags daily? How do makeup compartments, haircare compartments, keys compartments, stationary compartments, tissue paper compartments, and file compartments that are well-labeled sound? The best part of it? It’s just the same size as your normal bag, meaning you can be fashionable, have a quality bag and be the most organized in the room.

Just this illustration and you can perceive value. You understand the reason the price is higher, and you may desire one for yourself.

You will surely want to own something that makes life easier for you.

That’s upselling.

It’s saying “I got the pretty bags you want, but I want to give you more than a pretty bag, what about something that makes life easy for you?”

Upselling means showing why a customer should pick A over B. Premium over basic.

Now let’s talk about how Upselling can change how your business is perceived:

1. Satisfied Customers = Word of mouth referral
2. Satisfied Customers = Loyal customers
3. Satisfied Customers= Trusted Brand
4. Satisfied Customers = Easy Marketing

1. Satisfied Customers=Word of mouth

If your customers are happy, you won’t have to ask them to tell others before they do. Remember, word of mouth is one of the most powerful ways to gain customers.

2. Satisfied Customers = Loyal customers

When customers are happy and satisfied with the value they get from a purchase, and feel the money is worth the purchase. They will always be there waiting for you to wow them with something special again.

3. Satisfied Customers = Trusted Brand

Now, your customers are happy and satisfied, they are loyal to your brand. That means they trust you. When a brand is trusted, the customers will vouch for them anywhere.

4. Satisfied Customers = Easy Marketing

When you have customers loyal to your brand, marketing becomes easier. It also means a steady generation of revenue. Now that you have a loyal customer base that brings you a steady income.

Steps to Upsell

1. Research what your audience needs
2. Provide solutions
3. Watch out for the best time to Upsell
4. point out the reasons product A is better than product B

Cross-selling

Quick illustration for cross-selling.

I purchased a non-stick pan, and on my way to check out and pay, an option pops up to get a non-stick spoon so that I don’t use a steel spoon again non-stick pan.

That’s cross-selling.

Cross-selling is the act of pitching a related product to a product a customer is purchasing.

Cross-selling when done right can bring in additional sales.

Another illustration

I order a ringlight, then a pop-up section shows me a ringlight pack that makes it easy to transport my ringlight.

Remember, whatever you plan to cross-sell must solve a problem.

Why should you Cross-sell?

1. It brings in additional sales
2. It informs your customers about other products you have available.
3. It makes your customer think of you as thoughtful.

One of the best ways to infuse a cross-selling strategy is by giving discounts.

When you give discounts, your customers think they are taking advantage of you. Imagine a ringlight costs 25, a ringlight pack cost 20. If you sell both for 20. Your customers will feel lucky.

But before you give discounts read this:

Steps to cross-sell

Just like steps to Upsell except for this time, you don’t compare product A to product B, rather you find a complimentary product to a product

1. Research what your audience needs
2. Provide solutions
3. Watch out for the best time to cross-sell
4. Point out how product B could be useful.

Kool Kat Cre8 is a web and app agency that is in the business of making your target audience fall in love with your brand and bring sales to your table. Do you want to own a website that reaffirms your core values, and is loved by your target audience? Or an app that makes your users happy?