Too many people try to sell only one product in their whole business. Or always aim to sell one product at a time.
However, you can create products in order to treat them as merchandise, just like in an offline situation. The most famous up sell is probably at your famous fast food outlet: “Do you want fries with that?”. Or there’s the “Can I interest you in this extra gizmo that makes your basic gizmo even more beneficial?”.
Up sell basics.
You’re showing in your ecommerce store or as an offer on your site, a piece of basic software. Maybe it’s a plugin and you’re selling it for $47 which is what most other people are selling it, or a similar plugin, for. But where you have your pricing, once they’ve read about the plugin, you also offer a premium version. You have something like, “Best Buy” or “Developer’s License” beside it. This is $67.
People have been searching for such a plugin and have come across your site or sales page. They were only thinking of what the basic plugin can do. But some visitors see the more expensive offer and think:” Well, only $20 difference for all that – OK”. The price of this type of plugin just increased.
But you’re not finished yet. When the buyer clicks for either plugin version, they see a page offering some further useful and related software. There are images of opt in page templates, and you’re selling 20 of them for $37. They’d fit nicely with using the plugin. But there’s more because the visitor could also buy another 5 related plugins the visitor had not even considered as being useful to them.
One cross sell could follow the other whether they buy the first cross sell or not. Maybe you have videos and/or images demonstrating what they can do and the benefits to the buyer.
Rather than aiming to get revenue and profits only from the first time someone visits your main product, you can increase profits too.
Maybe only 1 in 20 people will buy one or both cross sells. But for your same costs you have increased your revenues.
Along with the first cross sell, there’s a coupon. You’re offering 50% off a webinar going through techniques to use your plugin. The webinar is $97 but with the coupon that’s $47. Maybe 3 out of 10 people who buy the additional software, join the webinar. That’s $141.
You find that this works great because of the mark up on the webinars. So you you reduce the price of the extra software cross sell to $10. You might lose money on that at that price – but you get it back and more from the webinars you sell.
All of these examples are just the same as offline. At your local store, they sell milk cheap because then they up sell to a bigger size, and then cross sell to biscuits or cakes and so on.
With your online business, attract them to your site. Have plenty of products you can up sell and cross sell. Then, ensure you have a product with a higher profit margin as back end.