By Angela Kambarian, Founder of Essential Communications
The end result of upselling or cross-selling is obvious: it usually leads to increased earnings. But here is the problem: most customers or clients can see right through the “You might also like…” line and choose to stick with the original purchase.
When you explain to your customer how your suggestions are going to benefit him/her and make a difference, you can use the art of upselling and cross-selling to your advantage.
So how do you go about doing that?
Let me start off by briefly defining the aforementioned terms. Upselling is encouraging the purchase of anything that would make the primary purchase more expensive. Cross-selling is encouraging the purchase of anything in conjunction with the primary product. In other words, upselling would be suggesting paying extra for bacon on top of a cheeseburger, or suggesting the purchase of a keyboard with a new computer.
Interestingly, upselling is usually more effective than cross-selling. Think about it – it’s a bit easier to sell something related to what customers have already purchased than to sell them something that is complementary, but still, different.
Let me assure you that by knowing the difference between upselling and cross-selling, you put yourself at an advantage.
Get to know your clients and their personas
If you have ever waited on the phone for a customer service rep to help you solve a simple problem, only for them to offer at least a million of different options BEFORE learning about your situation, you can certainly understand the frustrations your customers or clients might experience. Therefore, suggestions that are impertinent and out of line with their needs, wants or challenges may not only aggravate them, but also jeopardize their relationship with your organization.
Make sure your ideas or offerings fit your client’s exact needs at the very moment he or she is discussing them with you. Look out for signals like “I wish I could do X” or “It would be great if we could try Y” that should clue you in on their biggest desires. If you listen carefully, you will be better equipped to determine which of your products or services could help them, and offer a cross-sell or upsell. In addition to customer feedback, you could benefit from reviewing demographic and psychographic information and tie up loose ends. Don’t forget to map out customer journeys to clearly identify how they will use your product and how it will help them grow. When they get to the point where they can see results, they will start telling other people about you and your company and drive referrals.
Don’t beat around the bush: Be honest
Keep in mind that if something is off during the sales process, customers will sense it and walk away. The more transparent you are about your methodology, pricing and contracts, the more likely your customers will stick around and maybe even become your loyal advocates.
Don’t be too shy: Showcase your value
Once you have determined that the upsell or cross-sell offer makes sense for your client, your work isn’t done. Now your job is to demonstrate the value the additional product or service has to offer. That’s where well-written case studies, compelling testimonials and convincing customer reviews come in. If you have any data about increases in KPIs your clients have achieved as a result of using your services, go ahead and share it. No need to be “demure” – feel free to shed light on all the value you bring to the table and take things to the next level…without being too pushy or sales-y.
Loyalty should be rewarded
If you have a loyal customer who buys your products or services and listens to your suggestions, take initiative and reward him or her for that. There are a few different ways of showing your gratitude:
-You may send them a thank you letter
-Send them a piece of company swag
-Offer them a discount, free gift or gift card
Cross-selling and upselling are crucial strategies to earn more revenue from existing clients. Armed with these tips and suggestions, you are on your way of boosting your revenues and propelling your business forward.
If you are ready to boost your PR and marketing efforts, visit http://www.kambarian.com or call 516-724-4372 today. We are looking forward to speaking with you soon!