What are the advantages and disadvantages of Up-sell technology?
Posted: Thu Jan 23, 2025 4:11 am
Advantages Flaws
Helps build more trusting relationships with customers There is a risk of losing a client if the proposal is formulated incorrectly and submitted at the wrong time, or if there is excessive persistence.
Promotes profit growth It is necessary to install a program for automatic up-sell product suggestions on the website. To implement the up-sell technique in the sphere of offline retail sales, additional training of employees is required.
Customers benefit The offer must sound ecuador mobile phone numbers database convincing, which requires transparent and honest arguments. Otherwise, the buyer will not consider the additional costs justified (for example, if he bought something at a higher price "under pressure", without realizing that he did not need the additional functions)
Allows you to increase CLV (customer lifetime value) It is necessary to analyze the product database and make ready-made proposals for each item (or for the most popular ones)
Reduces customer churn and helps attract new ones through attractive offers
How Up-sell differs from Cross-sell, Down-sell and One Time Offer
The goal of cross-selling is to complement a purchase with a product or service that improves the overall offer, rather than the purchase itself. In this case, it is not possible to sell an improved version of the original offer, which is quite possible with the up-selling technique.
That is, cross-selling is used to expand functionality or meet more customer needs.
Upselling
Source: shutterstock.com
Here are some examples of cross-sell offers:
A game console in addition to a TV.
Protective glass in addition to the smartphone.
Books similar in subject matter to the purchased copy.
Obviously, in such cases, customers are not offered an improved version of the product they are interested in. The TV remains the same brand and model, the smartphone too, and the content of the book does not change. But all the products offered as part of the cross-sell are a good addition to the purchase.
The term down-sell is often encountered in American literature. However, the likelihood of encountering it in Russian-language books is low, unlike the term up-sell.
In general, down-selling is the opposite of up-selling. The up-selling technique involves including an improved version of a product in the offer to customers. In the case of down-selling, the class of the offer is lowered.
For example, a buyer is interested in your offer, but for certain reasons he is not ready to purchase it at the proposed price.
Helps build more trusting relationships with customers There is a risk of losing a client if the proposal is formulated incorrectly and submitted at the wrong time, or if there is excessive persistence.
Promotes profit growth It is necessary to install a program for automatic up-sell product suggestions on the website. To implement the up-sell technique in the sphere of offline retail sales, additional training of employees is required.
Customers benefit The offer must sound ecuador mobile phone numbers database convincing, which requires transparent and honest arguments. Otherwise, the buyer will not consider the additional costs justified (for example, if he bought something at a higher price "under pressure", without realizing that he did not need the additional functions)
Allows you to increase CLV (customer lifetime value) It is necessary to analyze the product database and make ready-made proposals for each item (or for the most popular ones)
Reduces customer churn and helps attract new ones through attractive offers
How Up-sell differs from Cross-sell, Down-sell and One Time Offer
The goal of cross-selling is to complement a purchase with a product or service that improves the overall offer, rather than the purchase itself. In this case, it is not possible to sell an improved version of the original offer, which is quite possible with the up-selling technique.
That is, cross-selling is used to expand functionality or meet more customer needs.
Upselling
Source: shutterstock.com
Here are some examples of cross-sell offers:
A game console in addition to a TV.
Protective glass in addition to the smartphone.
Books similar in subject matter to the purchased copy.
Obviously, in such cases, customers are not offered an improved version of the product they are interested in. The TV remains the same brand and model, the smartphone too, and the content of the book does not change. But all the products offered as part of the cross-sell are a good addition to the purchase.
The term down-sell is often encountered in American literature. However, the likelihood of encountering it in Russian-language books is low, unlike the term up-sell.
In general, down-selling is the opposite of up-selling. The up-selling technique involves including an improved version of a product in the offer to customers. In the case of down-selling, the class of the offer is lowered.
For example, a buyer is interested in your offer, but for certain reasons he is not ready to purchase it at the proposed price.