The Importance of the Upsell

Aditi Vora



When it comes to running a service-based business, we know that your full focus is zeroed in on delivering the best possible experiences to your customers. However, there might be something really important you’re missing out on to truly maximize the quality of service you’re offering to your customers: the upsell.

Don’t stop reading just yet…we know that the term “upsell” can be a little intimidating, and even feel like it goes against everything you stand for. Nonetheless, consider what value you could be adding to both your loyal clients and yourself if you embrace the advantages of upselling retail items and services at your shop.

Increasing your Revenue

Let’s start with the most compelling and obvious benefit of upselling your retail items: Increasing Your Revenue. Like we have stated before, it costs a business 5-10 times more to acquire a new customer than it does to sell to an existing one.  This, by extension, applies to upselling items to your customers who are already looking to place a purchase at your establishment. By upselling products or services to your already existing customers, you’re opening your business up to extra revenue without having to spend an extra cent. Upselling is key when looking for additional revenue streams and growth. With virtually no added costs, you’re able to open up opportunities for greater profit and ultimately grow your business.

When upselling to your existing customers, it's important to engage them by explaining all the advantages of purchasing the product. Go through how the product may offer greater functionality, or how it’s a lower cost per unit, or it includes improved customer service. Whatever the added value may be for the product you are upselling, it should be something that is directly communicated to your customer. 

Creating a more Meaningful Customer Experience

One of the most important aspects of running a business is making sure that you’re providing the best service possible to each and every one of your customers. When providing the upsell to your customers, you’re entering into a more satisfying relationship between you and your customer.

As a small business owner, your opinion on the best possible products and services carries great weight. Through trial and error, you’ve become an expert in your field and industry. As that expert, with your know-how and experience, giving your customers the option to upgrade their intended purchase and explaining to them all the benefits involved, whether it be a service or product, will make them feel as if they’re “winning,” and so will you. A happy customer equals a loyal customer and a loyal customer equals the path toward greater customer retention.

A Happy Customer is Here To Stay

Once you’ve established that meaningful relationship with your customer, your goal should be to keep them around for as long as possible. Each transaction lends way for you to ensure that your customer’s association with your business is a long-term one. The importance of the upsell lies in the fact that you’re adding significant value to your customer’s purchasing habits while increasing your own revenue and growing your company.  

About the Author

Aditi Vora

Aditi Vora is a skilled digital marketer with a passion for content marketing and exploring new and fun ways to keep her audience informed and engaged. She's currently the Senior Manager of Content at <a href="" style="color: #2e9bd8">Booker Software</a>.

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