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Increase Profits
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Article 4: Upsell To Profitable Customers
Your very best customers make you more
profitable. Do what it takes to keep them.
These are your best customers because they like
what you sell. They buy from you again and
again. And they’re inexpensive to serve. Call
them “A” customers. To fatten your bottom line,
cater to them.
Unlike bargain shoppers, they’re easy to sell
to. Unlike cheapskates, their expectations and
desires are already met. And they don’t cost an
arm and a leg to satisfy, unlike complainers.
The secret to increasing profits with these
people is to identify what they like and give
them more of it.
Not far behind are
very-good-but-not-quite-perfect customers. Call
them “B” customers. They don’t love you as much
as “A” customers. They don’t buy as often and
are a tad more expensive to market to.
One of the most effective tactics for improving
your bottom line is to convert “B” customers to
“A” customers. Do this by finding out what they
want but aren’t getting. Then give it to them.
To upsell to “B” customers:
Provide more profitable products and services at
temporarily lower prices as an incentive for “B”
customers to discover the benefits that they’ve
been missing.
Lure them with supplemental or higher-grade
products and services when closing a sale.
Hamburger joints know this as “Would you like
fries with that?”
Expose them to products and services that “A”
customers love by bundling them with the things
the “B” customers already buy. For example,
bundled software packages introduce customers to
new products at a fraction of stand-alone
prices.
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