128 • 100 GREAT BUSINESS IDEAS
For example, having salespeople mention products when taking an
order can encourage customers to make multiple purchases.
Cross-selling is similar to up-selling, although there are some key
differences. Up-selling is where a salesperson attempts to have
the consumer purchase more expensive items, upgrades, or other
related add-ons in an attempt to make a better sale. Up-selling
usually involves marketing more profi table services or products.
Examples of up -selling are adding side dishes to a food order, selling
an extended service contract for an appliance, and selling luxury
fi nishing on a vehicle.
In practice
- Ensure the profi t from the extra items covers the cost of the time
spent selling them. - Educate sales staff to ensure they have a full understanding of
the products they are offering. - Plan which products to offer to which customers. As with any
sale, integrity and honesty (even straightforward openness)
usually work best. - Only attempt to sell products that are clearly linked to a specifi c
purchase the customer has made. This ensures the marketing
pitch is more appropriate and less opportunistic.