The power of the cross-sell. How to increase your transaction amounts. Part 3 of value webs.

Today’s quick business tip, we’re going to continue talking about our value web. Now, if you haven’t watched the first two videos in this series, you might want to stop this one and go back where I introduced the idea of a value web. We talked about various items of value that you can offer your customers. And then the second video, we talked about the upsell or selling more of a product at a greater value or at a discount to your customers. The key to doing that, as I said, is knowing that if you do sell more, to make sure that you also understand the different cross cells or complementary products or services that you can offer when they come in. And this is key to make sure that when you do an upsell, that you’re not actually losing money in your business, but you’re actually generating more revenue. So if you think about your product, think about what are the complementary products or services that you could offer with your initial one? So for instance, if I bought one of the guitars behind me Lots of different complementary products that could go along with purchasing a guitar. You’ve got the strap you’ve got pics, you’ve got capos, you’ve got strings, you’ve got guitar polish, you’ve got humidifier packs. um, you know, I’m sure there’s more…instructional books. so… if … this would be ridiculous, it’d be wonderful but ridiculous. Say you upsold me on buying five guitars over the next, you know, five years. So every year I come in and pick up my new guitar because I’ve already paid for them at a discounted rate. So when I come in to pick up that next guitar, that’s when you’re also going to offer me… Hey, do you have a strap for this guitar? Do you have pics? How about a case? Do you need more guitar polish? And offer me all the complimentary products for that. and you’re going to be making more revenue in that. I gave the illustration in last video of a hair salon. Maybe you do an up-sell, where you sell a certain number of haircuts at a discounted rate. So when I come in for that next haircut, make sure you know the complementary products or services that you can offer me. Maybe I didn’t pay for the… This is ridiculous because I wouldn’t use this service, obviously. I come in for that haircut that I’ve already paid for But maybe you say, hey, for two more bucks right now I’ll do a wash and condition or here’s some hair product to offer you. So you’re gonna have different
products and services to offer me when I come in for that haircut, If you were a massage therapy studio, you had an upsell of a package of so many massages, I bought five massages already at a discounted rate. But when I come in for that second and third massage, you’re going to offer me an add on of some essential oils, or an add on experience. Maybe I can upgrade that one to a hot stone therapy massage and I don’t even know what that is. I’ve just heard of it before. and so I’m going to pay you 10 more dollars now, to get some essential oils, and hot stone, you know, whatever. so…up-sells are great as long as you know how to compliment them with your cross-sells to make sure that you’re increasing the revenue in your business and not losing money on that upsell. So that’s, as we’ve been talking about this whole value web, we’ve figured out our value ladder of what are the different products or services of different various values that we can offer our customers, We’ve figured out how we can upsell our customers by selling them more of a product or service at a discounted rate but when we do that, we also know the different complimentary, or cross-sells the complimentary products or services that we’re going to offer them every time to again increase the revenue and transaction amount when they come in. So in our last video, we’re going to talk about down-sells so that we don’t lose those customers. Hopefully, this helps, if these Quick Tips are helping you, subscribe, share, comment how you’ve implemented these things into your own business. And again, as always, reach out and contact me if I can be of any personal help to you. Have a great day!

Leave a Reply

Your email address will not be published. Required fields are marked *