How to Use Upsell to Increase Sales
Do you know the lifetime value of your existing customers? It may be hard to attract a lead and turn them into a customer. But once they make their first purchase from you, you can boost your sales revenue while they remain your customer.
But that’s if you put the right upsell strategy in place.
So, how can you use upselling to increase sales? You will find proven strategies below:
- Offer Premium Upsell
If you want to upsell, it has to be right. First, the customer must feel that it’s right – a better quality that’s not bad for its price.
For example, it could be a customized version of what’s offered.
- Only Upsell Relevant Product
Don’t distract your customer from what they want. There’s a high chance that they are emotionally attached to the product they are buying. Showing them a related product with a perceived higher value is the key.
If there’s no related pattern, your sales might miss out on both ends.
- Use the 4Us of Marketing
Use the 4Us above to build desire and action in your customer. With all the premium offer in your upsell, customers may not act fast if there’s no sense of urgency. So, the upsell strategy is to make it available for a limited time. With the 4Us, you are communicating with your customers’ senses of emotion and rationality.
- Product with High Sales and Social Proof
If there are high sales and impressive social proof, then the customer feels FOMO – fear of missing out.
Oh, a lot of people are buying it. It must be that good.
So, apart from the higher benefit of your upsell, make sure it’s suitable social proof. What this means is that it’s not every product that’s fit for upselling.
- Use Categorization for Complementary Products
Someone who is buying a new pair of jeans may be interested in sneakers. Don’t miss your chance by keeping complimentary products far from one another. Categorize them. And make sure what you want to upsell has a higher perceived value at a reasonable price.
- Offer a Discount or Gift at a Particular Level of Purchase
No customer turns down discounts or gifts. You also want to save on your purchases. Don’t you? If you want to boost your sales revenue, offer them discounts or freebies after a set of minimum purchase.
- Offer Free Shipping on all Orders
Customers will be encouraged to add more products to the cart when there’s free shipping on all orders.
At that point where they are about to check out, having the free shipping on display encourages them to look around. The shipping fee can be spent on something else. And you better be prepared with relevant upsell.
Upselling helps you create a quality buyers’ experience based on purchase history. It’s never disappointing because an existing customer will readily trust your recommendation.
Be flexible. But the strategy that works today may fail tomorrow. So, don’t stop testing.