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3 Tips on Up-selling and Cross-Selling to Customers

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upselling-cross-selling-salesOnce you have convinced a customer to purchase a product, you should not consider your sales pitch done. After the purchase is certain, your next battle will be to try to cross-sell or upsell in order to increase the value of the sale. Both upselling and cross-selling have proven to be highly effective methods of increasing the final value of a sale, as many customers are willing to spend slightly more than they had planned. However, following certain guidelines can help to increase the likelihood of a successful cross-sale or upsell without turning-off what would have been a potential sale. Here are a few tips to help you successfully upsell and cross-sell to customers.

Don't Overdo It

While cross-selling and upselling have proven to be extremely successful sales methods with as high as a 70% success rate, it is important not to overdo it when suggesting these add-ons. If you suggest too many additional options to customers, or get too pushy, you not only risk overwhelming and confusing a customer, but you could actually risk losing the sale altogether. While add-ons can be great, a small sale is still better than no sale at all. You should then keep your suggestions as brief as possible while making sure that the customer understands how the additional product would benefit them. However, it is important to recognize when a customer is not interested in something else and back down to prevent them from deciding not to make a purchase at all.   

Limit The Price Increase

In order to ensure a successful cross-sale or upsell, you should also limit the amount the additional product would add to the total sale price. Generally, it is best not to try to upsell or cross-sell if doing so will increase the total purchase price by more than 25-35% of the original value. Customers are more likely to agree to an upsell or cross-sell if it does not represent a dramatic increase on what they had already been planning on spending.  

Get to Know Your Customers

Successful upselling and cross-selling also requires that you take some time to get to know your customers so that you will be able to understand their wants and needs. By getting to know your customers, you will be able to suggest a cross-sell or upsell that they may actually want/need, making it more likely that they will purchase the item. Additionally, getting to know your customer will help you to determine if they are even open to spending more money. If a customer is clearly on a tight budget, you do not want to waste your time by trying to upsell to them, as this could end up alienating them out of making a purchase. As with all sales, getting to know your customer is key in upsells and cross-sales.  

Successful cross-selling and upselling can help to turn a sale into a great sale; however, it is important that you use tact in order to ensure the success of your upsell or cross-sell. Want some more ammunition in your sales belt?



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