September 17, 2024
It's easy to see businesses of all sizes selling something beyond their usual products or services. Over 90% of salespeople engage in upselling, contributing an average of 21% revenue. However, the trick of the trade here is to offer upgrades or add-ons without being too overtly salesy. How does it work?
This page shares the art of upselling as a practical guide for small businesses. As a sales professional, learn how to upsell without—yes, being too pushy!
Read on.
First things first, what is upselling? It's a sales technique for selling an upgraded version of your product or service, which usually comes with a higher price. Simply put, think of McDonalds asking customers to upsize their drinks and fries from small to medium or large. That's precisely what upselling is all about!
Dr. Mo Ziaei, Cornea & Vision Correction Specialist at Re:Vision, emphasises the principles of upselling. He believes that it's not just about increasing sales revenue but ensuring customer satisfaction (CSAT)
Ziaei explains, "While the ultimate goal of upselling is to boost your sales, you also seek to enhance customer satisfaction. This idea works by offering additional features or benefits aligned with the customer's needs and preferences. In the end, it's going to be a win-win for both parties!"
Sales professionals are the ones responsible for upselling. Not only do they sell goods or services, but they also offer upgrades or add-ons. About 40% of businesses make the sales team accountable for this, as shown below:
Upselling is indeed a great sales strategy for boosting sales profits. The numbers speak volumes: Upselling (and cross-selling) account for 10-30% of e-commerce revenues. For instance, both strategies generate 35% of Amazon's sales revenue.
Learn how to establish your upselling groundwork in the next section.
In a nutshell, businesses across all industries exist to make and grow money. As an e-commerce sales professional, for instance, your goal is to increase your retail sales. However, the average sales win and close rates are only 21% and 29%, respectively.
Now, how do you boost your sales? There are various ways to do so—upselling is one of them!
Murtaza Oklu, Owner of OMO Transfer, however, recommends building a solid foundation for upselling. He claims that this approach requires three key steps:
Oklu says, "Successful upselling begins with a clear focus: understand your customers, equip your team with the right skills, and offer genuine value. These steps build trust and lay the groundwork for long-term growth. Without this foundation, even the best sales tactics can fall flat."
That said, here's how to establish a robust upselling foundation:
The initial step is to study your target market. Specifically, research your ideal prospects and customers who most likely need or want your upselling offers. What demographics (age, gender, location, occupation, etc.) do they belong to? What psychographic factors (belief systems, personality traits, lifestyle choices, etc.) influence purchase or hiring decisions?
Oklu says, "Understanding your customers is key. Dig into who they are, what they need, and what motivates their decisions. The better you know your audience, the easier it is to tailor upselling offers they'll actually patronise and appreciate."
After studying your customers, it's time to focus on your employees. What better way to optimise upselling than to train your sales team? That way, they'll be better equipped with upselling knowledge and skills. Likewise, invest in effective sales training tools and resources. The most common tools used in sales are CRM, sales intelligence, and sales planning software, as shown below:
Oklu explains, "Your team is your greatest asset. Equip them with the right tools and training to confidently offer upgrades that resonate with customers. When your sales team is well-prepared, upselling becomes seamless and impactful."
Finally, you should focus on your own company—what you can offer to the world. As far as upselling, what business value can you provide? Do these upgrades make your products or services more beneficial? Will they meet your target customers' needs and wants? Prospects and customers will only take your upselling offers if they provide real value.
Oklu shares, "Upselling only works when you offer something meaningful. Ensure your upgrades genuinely add value and align with your customers' needs. When they see the benefit, they'll see the offer as a win, not a sales pitch."
Learn how to upsell without being too pushy in the next section.
Now that you have learned the fundamentals of upselling, it's time to explore some effective techniques. That way, you won't end up being too pushy as a sales professional. Remember, upselling should help boost your sales and grow your business faster and easier—not push prospects and customers away!
That said, here's how to upsell without being too salesy:
Upselling (apart from cross-selling) is crucial to the overall equation. While selling primary goods or services is the core of your sales, offering something beyond the usual won't hurt. If done without being too pushy, you'll be surprised at how you end up boosting your sales profits.
That said, follow the crucial steps for building a robust upselling strategy. More importantly, consider the effective tips for a non-pushy sales approach. With all these practical tips and steps, you can make the most of your upselling for business profitability, growth, and success!
Evaluate your upselling strategy today and make every interaction count. Consider working with a highly reputable business coach or mentor to help you make successful sales. Book a free coaching session to get started!
