Published on June 24th, 2016
One of the most effective ways to grow your business is by expanding your services with your current clients.
So, almost a month ago, our CEO slacked our entire staff with this important question, “what add-on package could we develop in-house that will deliver great value to our current clients and at an affordable price point?”
As you may have guessed, ideas started pouring in from almost every one. Within less than an hour, a suggestion from one of Marketing Coordinators, Dan Tighe, gave our team an awesome, new upselling opportunity!
What is Upselling?
Upselling is "a sales strategy, where the seller will provide opportunities to purchase related products or services, often for the purpose of making a larger sale.”
In other words, if your product or service allows you the chance to upsell your customer at the point of sale (and seriously, what product or service doesn't?), then you can instantly double or even triple your revenue if you play your cards right.
Start With Who You Know
If you’re going to roll out an add-on product or service, why not start with your existing customers?
First off, they know you (and trust you), so the cost of acquisition (acquiring more business) is much lower compared to prospects.
In most cases, you'll have a much higher response rate because you already have a relationship with these prospects. They already get what you do and what your value is, so it’s a much shorter sales cycle.
Here are four upselling strategies for quick growth through your existing customer database:
#1. Perform Quarterly Reviews
One of the reasons quarterly reviews are so important is because they’re a valuable opportunity to upsell current clients. Any salesperson will tell you that the key to selling is understanding the client’s needs -- and cross-selling and upselling are no exception.
Understanding a client’s needs will help you appropriately position the new/additional service, and a quarterly review is the perfect opportunity to explain and uncover those needs.
You don’t need to close the deal during these reviews, but your quarterly reviews should allow you to get the conversation started. Don’t miss out on that opportunity.
#2. Start With Your Best Customers
It’s never easy to do something for the first time -- that includes introducing and selling a new service/product. There’s a learning curve and adjustments need to be made to your strategy before you can approach all of your clients confidently.
That's why it’s nice to have friends on your side that can give you honest feedback.
Try out your pitch on a few of your most loyal clients first. Ask them what they think of the service, how it will impact their business, what they’d be willing to pay for it etc.
This is valuable feedback that you can then use to improve your strategy before approaching others.
#3. Create a Customer Case Study
If you have a customer that is successfully using one of your products or a higher service level, capture their story in a case study.
It’s always more effective to show a real-life example than to speak in theory. This is one of the most effective forms of storytelling and allows people to see exactly how a real business can be effected by your product or service.
If you can’t get a full case study together, at least try to get a quote from your client or ask if you can use them as a reference or testimonial. It will go a long way in helping you upsell other clients.
#4. Show Them They Need It
Sounds simple enough, huh? While it may not be as easy as calling up a client, telling them they need your new collaboration tool, and then immediately rolling it out, confidence does go a long way in these situations.
Your clients have trusted you to handle their needs because you are the expert. It's your job to know what's best and advice accordingly. Show them why they need your new product.
This approach helps establish your offering as a necessity. Be confident, clear, and articulate your argument, instead of asking if they’d be interested in learning more.
This confidences helps establish you as a “Trusted Advisor,” and gives you a higher chance of closing.
Upselling is a valuable skill for anyone delivering client services, because it can help you achieve your number one goal: make your customers happier and more successful. In addition, it can be one of the easiest ways to increase your revenues and grow your business.
While there’s no best strategy to upsell, the above should help get you thinking about how you can start building campaigns for your current clients.
What do you think about upselling? Do you know of any other tips or tricks to maximize your revenue? Share your thoughts in the comment section below!