Imagine this. You have an eager cash-in-hand prospect reading your sales page. He’s liking what he sees. He clicks on the order button. And boom, you just made an easy sale for $100. You could happily do that sort of thing all day long. That’s why marketers spend so much time driving traffic to their sites and tweaking their sales process to increase the conversion rate.
But there’s one other piece of the marketing puzzle that can make a huge difference: increasing the value of each order. Imagine if you were able to boost each order on your site by 10%, 25% or even more. Sounds good, right? Here’s the good news: all you have to do to start seeing this sort of easy money is by up-selling and cross-selling right on your order form.
Let’s quickly define these two terms.
- Cross-selling is when you encourage the customer to purchase a related product that will enhance his use or enjoyment of the main product. A classic example of this is when you order a cheeseburger at McDonald’s and the clerk asks, “Would you like fries with that?”
- Up-selling is where you encourage customers to spend more money by purchasing a bigger size or the premium version of the product or service. The classic example is when you order a burger, fries and a soft drink at a fast food restaurant, and the clerk says, “Would you like to super-size your order?”
Now you can see the obvious advantage here: when you increase the value of a customer’s order, you make more money. That’s more profit in your pocket without any extra expense and hardly any extra effort on your part.
The three main strategies you can use to leverage up-selling and cross-selling are as follows:
- Add On Products or Services
- Assemble Packages
- Advertise Premium Versions
Read on to find out more about these strategies.
1. Add On Products or Services
When you create products for your customers to add to their order, you’re using the cross-sell technique. A good example of this is offering batteries to anyone who purchases an electronic gadget or toy. Not only does it increase your order value, but it’s also convenient for the customer.
Let me give you a few different examples of how you can put this strategy to work in your own business:
- You sell software. You offer installation of this software for an additional fee.
- You sell a video training course. You can offer the transcripts of this course for an additional fee.
- You sell access to a weight-loss webinar. You can offer access to a related members-only support forum as a cross-sell.
- You’re a freelancer who just sold a sales letter to a client. You ask them if they’d like to toss in a set of autoresponder emails for $100 more.
Pretty simple, right?
Take a look at a related method…
2. Assemble Packages
Another good way to cross-sell products is by assembling packages of related products, and then offering them for a discount right on the order form. In other words, the customer will save money if they purchase the package now rather than purchasing the individual products later.
Let me give you a couple examples:
- You sell a weight loss book. On the order form you offer a bundle of three additional books — a cookbook, a nutrition book and an exercise book — for one low price.
- You sell a blogging course. On the order form you offer a bundle of popular plugins and themes for one low price.
TIP: Many times you see these packages advertised as OTOs, or one-time offers. That’s because the customer only has one chance on the order form to get the product package for the deeply discounted price. It’s a good way to create a sense of urgency.
Now the next strategy…
3. Advertise Premium Versions
This is your upsell technique, where you encourage customers to buy a bigger or better version of the product or service for an additional fee.
- You sell software. You can upsell the premium version of the software, which includes more features and a developer’s license.
- You sell access to a monthly membership site. The customer is getting ready to pay for their first month. You upsell them on paying for three, six or more months in advance (preferably with a discount for doing so).
- You sell access to a membership site. The customer selected the “Silver” level membership. You upsell them on the order form to upgrade to a “Gold” membership.
There you go, three really good strategies to get people to spend more on your products. Try them out yourself. It works wonders!