5 Business Upsell Tips to Help You Generate More Revenue
As your business settles and you start growing an audience of regular clients, it's natural to feel stuck in terms of sells.
People are already purchasing your existing offerings, so what can you do to further increase your sales revenue?
Thats where upsales come in.
Upselling is a sales technique where a seller invites the customer to purchase more expensive items, upgrades, or other add-ons to generate more revenue.
It can be as simple as offering clients additional services, or or as complex as creating an entirely different product at a higher price point.
When it comes to eCommerce, upsells are often presented as “related products” or “recommended products.” This is because the upsell is meant to increase sales by encouraging customers who have already made a purchase with your business to buy something more expensive.
Here are 5 upsell ideas any business can use:
Offer Product or Service Bundles
When customers are first starting out with your product or service, they may want to try a less expensive version before committing to more the premium and expensive versions.
A great way to get clients hocked and make them feel heard while still bringing in additional revenue is to offer bundles. If your business is B2B
A B2C eCommerce store could offer customers a gift card tied to a specific amount that they can purchase as a gift. This way, customers can buy a product they know the recipient will like, and you’ll get a guaranteed sale.
Bundles are also a great way to introduce new products, get the clients familiar with it and incentivize them to buy it in the future.
As an example - you can bundle sessions and related accessories. Once clients get to know and grow a liking to the product, the chance of them purchasing it as a stand alone product will be much higher.
Offer premium versions of existing offerings
If you have a very popular product or service that brings in a lot of revenue for your company, you may want to consider offering an even more premium version of it.
For example, let’s say you own a yoga studio and you’ve developed a very popular yoga class geared toward pregnant women. This class brings in a lot of revenue for you each month, but may not be suitable for other customer demographics. You could offer an upgraded class for expectant mothers that includes private instruction and a one-on-one with a yoga instructor. This way, customers who would normally be excluded from the original class can still take part in the benefits.
Give customers the option to pay less instead of more
Sometimes, customers don’t want to spend more money. They just want to make sure they get their money’s worth out of their purchase. You can offer customers who have already purchased something the opportunity to make sure their investment is worthwhile by giving them the option to pay less instead of more.
This could involve offering extended warranties or insurance plans for their purchases, or even providing them with a way to let you know if there’s anything they’re unsatisfied with. If you run an eCommerce store, you could offer a satisfaction guarantee that allows customers to return their purchases for a full refund, no questions asked.
Don’t forget about Freemium users
Freemium is a business model that’s become increasingly popular in recent years. It generally refers to a product or service that is offered for free, with an option to pay for additional features or a more premium version.
Freemium users are customers who have only purchased the basic version of your product or service, which means they likely don’t have the budget to make a more expensive purchase.
To give these customers the opportunity to get more out of their initial purchase without spending more money, offer them the option to opt into a more premium feature set. For example, if you offer a messaging platform, you could offer customers who sign up for the free version the option to upgrade to an ad-free experience.
Sell product and merchandise
Another great way to increase your revenue is to sell product and merchandise. This can include gift cards, t-shirts, hats and more.
If you run an online store, you probably have a lot of products that fly off the shelves. This means you have a lot of inventory that may be sitting in a warehouse somewhere just collecting dust. One way to get rid of this excess inventory is to sell it to other businesses. If you have a unique product that others are interested in buying, you may be able to sell it at a markup to other companies. For example, a gift card company may be interested in buying $10,000 worth of gift cards from you, which would help you clear out your warehouse and make a profit at the same time.
If customers are asking for a discount, give it to them. If people are asking for a coupon or are only buying your product because it’s on sale or a liquidation deal, give them a reason to buy it even at full price.
At the same time, make sure to let people know that the deal will end at a certain time. This will give people who will be interested to come in and take advantage of the special without feeling like they’re rushing.