One Way to Increase Revenue: Upsell!
There are two ways to grow a business (other than acquisitions):
1. Increase share of market.
2. Increase share of wallet—get your customers to spend more with you than at the other guy's emporium.
During the Internet boom, I belittled the start-ups that offered dog and cat food over the Web and shipped via UPS. I could get the stuff at my supermarket and the idea of paying extra for shipping the dead weight of canned pet food seemed preposterous.
Fast-forward 12 years. I have an elderly gentleman dog—a 15-year-old cocker named Auggie—with a delicate interior. He requires Iams low-residue kibble, available only by prescription at the veterinarian. However, our wonderful dog doctors are 20 miles away. So I started ordering Auggie's food from PetFoodDirect.com
Every time I order a bag, I get a pitch for the auto-ship plan:
Repeat delivery with Auto Ship Makes you Life Easier!
- SAVE 15% on EVERY ORDER! (Our Lowest Price Guaranteed!)
- Never Run Out of Pet Food, Meds, or Litter Again
- Enjoy Repeat Delivery ... on YOUR Schedule
This upsell is a terrific deal all around: PetFoodsDirect.com is guaranteed of charging the customer's credit card at specified intervals and the customer gets the lowest price. What's more, PetFoodsDirect has created a comfort zone for its busy customers who won't go price shopping every time pet food is needed.
Alas, with a 15-year old dog, I operate under George Burns' dictum: "At my age I don't even buy green bananas."
An Organic Supplement Client
Recently, I did work for a cataloger in the field of natural and organic supplements, nutrients and remedies. Good stuff. Doctor approved and marketed through catalogs and individual mailings—both to prospects and existing customers.
On the order forms was a little box to check for the automatic refill program (auto ship). When I suggested this was a complex idea that needed more selling copy, I was cut off at the knees. "When customers call in their orders, our telephone sales reps offer this. Twenty percent of our customers are on the auto-ship plan."