Wednesday, February 17, 2010
Up sell to greater sales!!
In this economy it’s important to add additional sales to your order without coming across as pushy. Every day sales teams are leaving out sales that customers would have willingly purchased with you.
In most organizations the salesman is so happy to make the initial sale that they actually forget or refuse to offer accessories items that will compliment the original purchase.
I learned a long time ago never assume that the person I was selling to was in the same monetary position as me. Sometimes we assume that because we are tight for money others are too, or we read about a recession and expect that everyone has tightened their purse strings. Not so!!
Every Product sold has an accessory item that will enhance the purchase. When buying a suit I am always offered or shown the appropriate shirt, ties, belts and socks that match the original sale. In the shoe business it’s the purse that matches the shoes or the polish that will help with the upkeep. In selling websites the up sell is the hosting package or the yearly SEO package that comes with the site or the newsletter attachment to market the products on the site.
When was the last time you bought just a hamburger? ” Would you like fries with your order? “, has become the staple of the fast-food industry.
Why up selling is so profitable?
The best part of up selling is that it’s practically effortless. Since it’s done after the customer has decided to go ahead with a major purchase, the hard part of the sales conversation has already been done. You’ve already established rapport, identified the customer’s needs, summarized, presented benefits, asked for the order and handled objections. Up selling is just presenting the information in a “by-the-way” fashion.
One of the most effective up selling techniques is getting the customer to use the product in your location. A hairdresser for example, might put hair gel in the customer’s hand and show them how to apply it themselves. By showing the client how to get the salon look at home, they create a value-added up sell.
At the retail level, it’s a good idea to group related and similar products then offer the add on at a package price. If someone is getting a haircut and you talk to them about shampoo and conditioners, it only makes sense to show them a package deal that groups hair products at a package price.
What to Offer?
Think about your business. What else can you offer customers or clients while they're making their first transaction with you?
Can you offer:
• A discount on a related product or service?
• A volume discount if they buy more now?
• A special priced combination package including the initial product or service?
• Extended warranties or support packages
• Additional cables, batteries, cleaning products, etc……..
Your offer should include preferential special pricing. Most customers will accept the up selling offer when it's a good value and the customer feels they are saving money.
The profit from the up selling portion often exceeds the profit on the initial product or service, because there are no additional expenses involved. The customer is already in the store and you have a captured audience.
Offer an incentive program to your sales team for up selling a specific line of accessories.
This week choose an accessory item in your business and offer it to every customer for the next month. You will add additional sales to your bottom line and increase your profit. Not everyone will buy, but if you don’t ask you’ll never make the sale.
If every day you service 10 clients and 3 buy a $25.00 dollar up sell accessory item, you will have an additional $75 dollars in the till. Now multiply $75 x 30 days in the month and you have now increased your totals sales for the month by $2250.00
Would you like fries with that order?
If you're not making up selling offers to every new customer or client, start doing it now. It's an easy way to boost your profits and Build Your Business.
FloodLight Consulting - Build Your Business - 250-768-9415