Too often marketers get caught up in the idea of attracting new customers and simply forget to maximize the revenue generated from existing and previous customers. There are many ways such maximization can be realized, including through repeat sales and asking for referrals. Another way performance marketers can consistently grow revenue without having to increase the amount of money spent on recruiting new clients, which is by far the most costly part of any company’s marketing campaign, is to and make sure that they maximize the revenue from each client by implementing strong upsell strategies. Here we will take a look at three upsell strategies which tend to generate generous returns.
Start with something free – One of the most common ways marketers get potential clients interested in their products is to first give them a free sample. With information based products, usually the free sample is a certain portion of the information, a portion which is given to the customer for free in the form of a video, auto responder series, free report, or any of myriad other forms. Once the client finds the information to be relevant and useful, they are far more likely to spend more to purchase a complete version the information than they would have spent otherwise. The same concept works for products as well. First, the client is given a small sample, generating substantial interest. Then, once they see the value of the product, they are more likely to make a substantial purchase. The free trial concept is actually an upsell technique because the customer will pay more for a product once they trust that it is exactly what they want or need.
Capitalized on impulse buys – Retailers have known for years that people will likely make additional purchases when in the process of completing a purchase that they have already decided to make. This is the concept behind the candy and trinkets which adorn the checkout aisles of supermarkets everywhere. Savvy performance marketers take advantage of the same principle and offer their clients the opportunity to make additional purchases when they are in the process of paying for a purchase that they have already decided on. Additional purchases should generally be lower in value than the original purchase, in order to take be presented as an impulse and avoid generating a lengthy decision making process in the customer.
Make use of special offers – Presenting customers with special offers and bundles of products is another great way to upsell while in the process of making the original sale. Customers may be more likely to spend more money if they feel like they are getting a greater value. Special offers can be anything from a discount on additional items to a discount for the prepayment of a certain quaintly of products or services. Bundles of products or services can be used to not only increase revenue per transaction, but if the bundles are properly designed they can also lead to greater overall customer satisfaction with the purchase.