Making Additional Sales More Effectively
Upsell to customers What is an upsell? An upsell takes place when you manage to make more sales to your customer an additional product other than what he originally intended to buy.
For example, if a customer buys a laptop from you and you offered him to also buy a printer - a product that is related to the product that he bought - the sales of the extra printer is what you call an upsell. This is one way to maximize sales - you offer a buying customer an additional product to buy.
Avoid overly exaggerated sales claims
This strategy actually works most of the time. Cross-sell to customers What is a cross-sales? In essence, it is similar to an upsell. But in an upsell, you are offering your customer an additional product that is related or is considered an upgrade to the product that he just bought.
Use catchy sales pictures/photographs
In cross-sales, you are offering a completely different product. For instance, if a customer just bought a handbag from you and offered him to also buy a jacket, the sales of jackets is called cross-sales. This strategy is ideal for businesses that sell a wide variety of unrelated products and/or services (e.g. a store that sells clothes, furniture sets, jewelry, etc.).
Attach discount rights to a product One way to sell a product more effectively is to attach discount rights to it. How do you do this? For example, you can attach to a laptop a discount right that grants its buyer the right to buy a printer from you at 20% discount. This 20% discount would not have been available to customers that did not purchase a laptop from you.
This strategy actually works in two ways: 1) it makes the primary product (laptop in this case) more attractive and 2) it encourages a buyer to buy an additional product (printer in this case). This strategy can result into an upsell or cross-sales.
Offer samples of new products This is especially useful when offering a new product which your customers may still not be familiar with. For example, it will help if you offer a free taste of a new food item. Make the discount right a limited offer How will this benefit you? For one, it will encourage customers to make a purchase as soon as possible.
This is because they will attempt to avail of the 'discount right' before it expires. This strategy actually affects the buying behavior of customers. You want them to make that purchase as soon as possible because it sometimes happens that a customer changes his mind about buying a certain product after some time has passed.
Offer short-term installment (w/ interest) You can maximize sales by applying interest rates to your products. Of course, applying an interest rate is not attractive. But you make it acceptable by offering to sell the product in installment basis. For example, you can offer your customer the option of buying a laptop from you in installment basis but at a 5% interest rate.
That 5% interest rate is already considered additional sales on your part.
Offer short-term installment (w/o interest) Why would you offer to sell a product in installment basis without applying an interest rate? This might be ideal on products that do not sell very well. For example, if you discovered that one of your products is not selling well, you can sell it in installment basis without interest.
Offer numerous payment methods This is especially a good strategy to use when selling products online. This is because customers around the world use different payment methods. For example, a customer might have wanted to buy a laptop from you but because you only accept payments via credit card and the customer wants to pay using PayPal instead, that customer might ultimately decide not to buy from you.
Train your sales representatives Doing cross-sales and upsell correctly will largely depend on the persuasiveness of your sales representatives. Even if an offer is good, a customer might not be moved to avail of it if the sales representative is not persuasive or skilled enough.
This is why it is important that your sales representatives undergo thorough training. Upselling More Effectively.
Offer something related to the product sold This is the very essence of an upsell. The extra item offered must be related to the product bought by the customer. And because the item is related, it is likely that the customer will buy. For example, if the customer bought a desktop computer, it is likely that he will need a computer table as well.
Because the computer table is something that the customer will need along with the laptop, it is highly likely that he will buy the computer table when offered.
Offer the extra item at a discount To make the offered item more enticing, it is advisable that you offer it at a discount. So if the customer bought an item at 100% price, try offering the extra item at 10% discount. This way, making a successful upsell will be easier.
Explain why the item is important As already discussed at great length, the extra item offered in an upsell is related to the main item. It is something that will improve the use of the main item. However, your customer may not always realize why the secondary item is important. In which case, it will help if your sales representative will explain how the secondary item is useful to the main item. These are just a few sales techniques to generate more revenues in your business.