There’s no need to reinvent the wheel. Instead, let’s make the wheel more effective. If something already works, try to improve it rather than starting from scratch. It’s so much more difficult to find new customers than it is to sell to people who are right there in front of you.
On today’s episode of The Sales Evangelist, we’ll talk about upselling as part of our monthlong conversation about closing. Specifically, we can increase sales faster by upselling.
McDonald’s uses its world-famous hamburger to upsell its customers. Once they have the customer’s attention, they work to sell the products that have higher margins. It isn’t that the company loses money on the burgers; simply that it makes more money off the fries and drinks.
Once the customers are in the restaurant, they encourage them to upsize their meals, which adds a couple of extra dollars to the overall bill.
That’s an important concept for sales professionals. We should focus on the customers who are right in front of us in addition to working to find new customers.
He was selling a product, and he went through his competition’s buying process to discover what they were doing. As he moved through the funnel, he noticed that the company worked to upsell him three or four times after he placed a product in the shopping cart.
If, for example, the product was $19.99, the company showed its customers how buying two or three bottles would save them even more money.
That makes sense for the customer because he is saving money, and he doesn’t have to come back and reorder next month. The customer came to the website to spend a certain amount of money, but he spent twice as much as he originally planned.
Now imagine doing that with multiple customers.
Encouraging people to buy more increases the company’s revenue tremendously.
Sales reps might be so focused on getting customers to buy a product that we overlook the opportunity to upsell them.
Maybe you’re trying to familiarize your customer with your brand or product and you need a strategy to invite them to purchase something more.
Here’s an exception: Don’t sell your customers something they don’t need. Understand your customers and their needs and focus on what they are trying to accomplish.
If it makes sense for them to buy additional products, it’s your moral obligation to invite them to do just that.
You’re their advisor. Your job is to help them solve problems.
Don’t focus only on money. Instead, help them find value by giving something they truly need. When you do that, you’ll benefit from it as well. You’ll make more money and hit your quota more easily.
McDonald’s gives its customers options. Are you giving your customers options or are you taking options away from them because of your insecurity or fear?
There’s always the possibility that your customers will say no to additional products, but if you never give them the chance to say yes because you’re afraid of rejection, you might miss an opportunity to provide even more value.
Consider whether there are complementary products that you can add to your customer’s transaction that will make it easier for them to implement your solution. If you’re selling a scanning software, can you sell the customer a scanner as part of the transaction?
Is there another product or service that customers typically purchase within 6 months of their original purchase? Is there a way to bundle that product with the original purchase?
If that isn’t possible, can you build your account management strategy so that you follow up with existing customers at month three to offer them this additional purchase?
McDonald’s successfully uses upselling. Airlines offer upgrades.
Not everyone will take advantage of the opportunity but a percentage of your customers will. Invite them.
This episode is brought to you in part by Maximizer CRM, personalized CRM that gives you the confidence to improve your business and increase profits. To get a demonstration of maximizer, go to the sales evangelists.com/maximizer.
Click on the link to get a free demo of what Maximizer CRM can do for you. Maximizer is intuitive, simple, and personable. Maximizer integrates your marketing campaign as well as your CRM, and it works whether you’re a small organization or a large one.
This episode is brought to you in part by prospect.io, a powerful sales automation platform that allows you to build highly personalized, cold email campaigns. To learn more, go to prospect.io/tse. It will help you with your outbound to expand your outreach and it allows you to set it and forget it. Your prospecting will never ever be the same.
We’ll use prospect.io in the upcoming semester of TSE Hustler’s League to focus on prospecting. We’ll give you insights and tools that will help you gain new customers and provide training and strategies that you can implement today to ensure constant flow in your pipeline.
Check out TSE Hustler’s League and apply to see if it’s a good fit.
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Today’s episode is jam packed with great insights into two of the essential aspects of sales: Prospecting and standing out.
Today’s guest is John Brubaker, a nationally renowned Performance Consultant, speaker, and award-winning author. He has written six books on leadership performance including his latest book, Stadium Status. John shares his secrets to keeping a healthy pipeline and the secrets to upselling.
John actually started as a lacrosse coach and getting fired on his birthday became a blessing in disguise that eventually got him into the world of sales and entrepreneurship.
Here are the highlights of my conversation with John:
The Coach Approach:
How to Sell a Dream:
John did college recruiting for three years until going on his own as an entrepreneur, speaker, and author. He says the fundamentals of selling are all the same.
John explains that It’s ingrained in us through our educational system to fit in and stand out, to be seen and not be heard. You’re not taught to question authority or taught to be different. So it’s hard to be able to differentiate. You have to find ways to differentiate, to add more value, and stand out.
Your reality is not always right for everyone. The faster you can get a no from the suspects, the easier it is to sort through the prospects and figure out the right ones to get a yes. According to John, best practices are well and good. However, they become common practices. Unique, remarkable brands stand out for something and one thing ideally.
Make an intangible product tangible.
John tells a story of how they actually turned an intangible product where they sold airtime into a tangible product through experience. And through that simple act that no one else was doing, they hit the rating books for the first time in the history of the station.
Another example is Flo. Progressive Insurance took an intangible product which is insurance, that’s not sexy and they attached a human being with a fun, goofy character to it and put her on a retail store front. They made an intangible tangible and they made it fun.
Get creative and make your own version of that. Have the courage to stand out and be different.
Do not rush the process.
In sales, we’re always rushing and doing everything so fast. Learn how to work your process and just play the long game.
Strategies for Upselling:
Show to them early on how your product solves a problem. Oftentimes, a buyer will trust you with something small before they’re willing to trust you with a bigger deal. Show first that you can drive traffic to the door. Once they’re happy with that, you have that opportunity to upsell.
In any way you can, try to tie in celebrity, social proof, and name recognition to your brand.
What business are you really in? First and foremost, you’re in a relationship business. Built that trust and it will pay dividends later.
Strategies for maintaining a healthy pipeline:
Cold calling and those traditional ways of selling are an example of chasing. People are going to run away from you and that’s exhausting.
In order to get people interested, you need to first be interesting. Be different or be invisible.
In his book, Stadium Status, John interviewed American country rapper Cowboy Troy where he explains the concept of the Law of Sevens.
Seven is the number of methods you need to employ to make your brand known. Our brain remembers things in units of seven. (ex. phone numbers). Have seven different ways to connect people back to your brand. Figure out seven ways that you can make yourself known to the public and attract people to you.
Create a minimum of seven different points of awareness for people to be attracted to you and make you a household name (ex. Publish a book. Host a radio show or podcast. Contribute articles to a magazine or trade publication. Get out and speak. Be a media guest.)
Seven is also the number of times people need to see your message before they move to take action.
Some insights from John’s Book Stadium Status: Taking Your Business to the Big Time
John’s Major Takeaway:
Focus on your first few fanatics. We have our fans and we have our super fans. The more we cater to our super fans and over-deliver to them, the more they advocate for us and they can expand the amount of attention we get for our brand.
Check out John Brubaker’s books:
Join our online workshop this week, 5 Simple Strategies to Increase Your Win Rate and get real stuff you can apply and implement into your business!
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