Upselling and Cross-Selling: Increase Value and Help Customers




Top Secrets of Marketing & Sales show

Summary: When I think in terms of upselling versus cross-selling, what's the difference? Upselling to me means selling a better or a higher priced version of the thing that they're looking at. Whereas cross-selling is making a recommendation of something that's compatible.<br> <br> <br> <br> David: Hi, and welcome to the podcast. In today's episode, co-host Jay McFarland and I will be discussing the topic of upselling and cross-selling. Are you doing it? Welcome back, Jay<br> <br> <br> <br> Jay: Yeah, hey, thank you, David. Listen, have these bad memories when I was a kid and I was working in a fast food place and the manager was always pressing me, "ask them if they want a Coke, ask them if they want fries."<br> <br> And I got to a point where it's hard to upsell and I think this has grown into my adulthood. You know, I just barely got the sale and now I'm asking them for more. It's not an easy thing to do for people.<br> <br> David: You know, it's interesting you should mention the fast food example because it's the perfect example. It's the one that everyone can relate to. "You want fries with that?"<br> <br> Jay: Yeah.<br> <br> David: Or the shortened version that you hear a lot of times, "want fries with that," as the four word upsell. And it works extremely successfully for people in that sort of industry. Because it makes sense. Somebody's coming in, they're ordering whatever, a burger or something, or they're ordering a burger and a drink, "want fries with that" makes perfect sense.<br> <br> And some percentage of time they're going to say yes. And whether that is 1% of the time or 80% of the time, it's probably maybe 30 to 60% of the time, I would guess, they're going to say yes. Because it's like, "oh, all right, sure. Why not? I'm already here."<br> <br> Jay: Yeah.<br> <br> David: And you hit on a great point, which is that we can feel funny about upselling, if we feel like the purpose is to simply get more money out of a person. If it feels like it's completely one-sided, if it feels like it's manipulative, then we're not going to want to do it.<br> <br> So I personally believe that the times that we should upsell and cross-sell are the times when we truly believe that we have an additional solution that is going to be better for them.<br> <br> Now, in the fast food example, are french fries better for you on top of the Coke and the hamburger?<br> <br> Jay: Yes!<br> <br> David: Probably not from a, health level, but certainly from a satisfaction level, yeah, it's better. People are likely to want that. But in business, if you're selling something, and somebody comes to you and they have something very specific they want to buy, and you have something that would be complimentary to that, or something that would go with that really well and would increase the value to the buyer, then you kind of owe it to them to at least ask them if they're interested in that.<br> <br> Jay: Mm, I love that. I love that idea that if you are feeling uncomfortable, maybe you should ask yourself why. And how do you feel about your product? Are you really providing a value to them or are you just trying to sell something and get a paycheck, right?<br> <br> And I think we all have to ask that question about our own careers and what we're doing and what we're selling. But, you know, if you can just feel great that what you're providing them is going to improve their situation, then you're just passionate about what you're doing and that's going to come through.<br> <br> David: Yeah. So when you are talking to somebody like that, if you've got something that is actually going to be a benefit to them, if it's going to help them, then it's a lot easier to do it. So that really just boils down to motives.<br> <br> What is the motive? And unfortunately, I think sometimes managers, like in the situation you described in the fast food resta...