Why Upselling Can Be Pivotal for Distributors

Most of the salespeople I know have one thing in common: they like money. It motivates them to a point where their job almost becomes a game. Whoever can get a customer to spend more money wins. Of course, executing this is what makes the game difficult, which is why it might be time to go back to sales basics.  

In a recent article, I read that simplifying purchase options was the key to sales success. Limit a customer's choices and they'll be quicker to make a purchasing decision. It cited an example of how Costco makes $460,000 in sales per minute by forcing the quick choice. Want peanut butter? There are only one or two options — grab one and move on. Dog food? You choose from two. The theory is that fewer choices mean faster decisions and more purchases.  

But the opposite can also be true. What if your Kirkland (Costco brand) and Skippy brands of peanut butter don't satisfy this Jiffy girl? Missing the mark on which products to offer can lose you the sale just as quickly. Although simplified sales can be very effective, it's not a perfect science.  

A more successful sales strategy might be the upsell. As consumers, we are inundated with this technique, but the good news for salespeople is it's effective toward sales goals. 

Although this may be Sales 101, the upsell is not always well understood. I recently found a social media discussion trying to explain upselling, but it caused even greater confusion for followers. The upsell is when a salesperson suggests a product that makes the original purchase more expensive, but it's also a logical option for customers. For example, a battery backpack vacuum needs batteries, and that battery will need a charging station. The additional purchases go together with the initial product, making it a successful sales technique. 

Less successful than and often confused with upselling is cross-selling. This is the suggestion of a second product to be purchased in conjunction with the item currently in the cart. This strategy is the classic, “would you like fries with that?” It requires finesse because customers often see right through it.  

Cross-selling can quickly go awry if customers get frustrated with the pushiness, so successful salespeople must be subtle. It's all about convincing the buyer that your suggestions are for their benefit. For example, if a customer is purchasing new hand soap and dispensers for their restrooms, it might benefit them to also consider hand drying options, toilet tissue/dispensers, and odor control systems that mirror the look of the space. In fact, bundling these into one package price might be the key to this sale — like the very successful combo meal option at every fast-food restaurant. 

None of these techniques are a slam-dunk sale, but statistics show that if done correctly, the pros greatly outweigh the cons and salespeople can increase the average order. It's all about knowing the products and listening to what customers need. Connecting those dots will lead to sales success and winning the sales game. 

Corinne Zudonyi is the Editor-in-Chief of Sanitary Maintenance and has been in the cleaning industry for 17 years. She also oversees CleanLink.com, Facility Cleaning Decisions magazine and Contracting Profits magazine.