Glossary

A repository of acronyms, jargon, and useful definitions perfect for eCommerce founders & marketers like yourself.

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Upselling

Upselling

If you are new to doing business online, then upselling can make your business achieve unbelievable sales goals. Upselling is basically entangling your customer with such a marketing strategy that he ends up spending more money than he had planned to while making a purchase from your website. It is one of the easiest ways to boost the sales of your products with almost no vigorous efforts. 

Upselling can not only increase the revenue from your business by 10-30 percent but it is more affordable than getting a new customer to your website. In simpler terms, upselling can do magic with your selling numbers. It also helps you build a strong relationship with your customers because when you value the interests of your customers, your customer lifetime value automatically increases. 

For example, a customer buys a T-shirt from your eCommerce website and when he is about to checkout you make him an offer for trousers that he can pair with the t-shirt at a 30 percent discount. The customer checks out the trousers on your website and because you are offering him a 30 percent discount, he ends up buying the trousers along with the t-shirt. Now you see, what just happened there, you made a customer who visited your website to buy a t-shirt, and you convinced him to buy the trousers that he had not planned to buy. This is what we call upselling. This customer who had planned to spend Rs.800 on your website ended up spending Rs.1500, and this is how you increase your revenue via upselling. 

However, you must upsell your products in a subtle way i.e. your customers should not feel violated with your upselling techniques, they should not feel as if you are trying to steal their hard-earned money from them. It is always better to upsell the products that are popular on your website, you should give fewer choices to your customer while upselling your products. Upselling can also be used to sell the products that are overstocked i.e. you can use the upselling technique to clear your stock. However, you should be careful during this approach because selling products to clear your stock can sometimes affect your customers’ experience negatively. 

Upselling must be done for the relevant products, i.e. you can upsell a pair of headphones to a customer who is buying speakers from your store, but you cannot upsell a pair of gloves to the same customer.

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