You want to make money, right? Of course you do—that’s why you’re in business! If your goal is to make the most profits from your upsells and downsells, then you’ll want to keep these five tips in mind as you develop your sales pages and marketing strategies. They’ll help you sell more without being too pushy about it—and without pissing off customers who don’t need or want your extras!
1) Selling from your homepage
As a business owner, you want to be making as much money as possible while also having happy customers. You can achieve both of these goals by upselling your products and downselling them when necessary. For example, if a customer buys a $100 dress shirt, you might offer them a tie for $25 or offer an additional dress shirt for $50. If they buy the tie, but not the other items, then you’ve made an additional $50 on that transaction.
2) Selling in between visits
If you’re looking for an easy way to make some additional money, try using an upsell or a downsell. Upselling is when you offer your customer a more expensive product. For example, if they are buying a $10 shirt, you may offer them a $30 sweater that goes well with it. Alternatively, if someone is getting ready to buy something for $40, you might offer them two items at the same price in order to upsell.
3) Price sensitivity differences
In order to maximize your profit, you need to know what price points work best for your customers. This will vary depending on the market you’re in, but generally speaking those who are more price sensitive will be willing to buy a product at a lower price point than someone who is less price sensitive. Understanding this difference in price sensitivity will help you make better decisions when it comes time for upselling or downselling.
4) Choosing a pricing structure
Pricing structures are one of the key factors in determining how much profit you will make. When deciding which pricing structure is best for your business, consider the types of customers you want to attract, what your competition is doing, and how much profit you need. One popular pricing structure is a tiered pricing strategy. With this strategy, there are three levels of product prices: low price, medium price, and high price.
5) A/B testing your upsells and downsells
As a business owner, you are always looking for ways to increase revenue. One of the best ways is through upselling or downselling your products. This can be done by changing your product prices (upselling) or by adding in other products that complement what you are currently selling (downselling).
If you are not sure how much your customers will be willing to spend on a certain product, you can offer an item at different prices until you find the optimal price point.