Would you like fries with that? 3 Ways to Boost Your Average Order
Do you remember when you purchased your food at McDonald’s and they actually asked you “Do you want fries with that?”
Not something you typically hear anymore, since everything is in value meals and they already added the fries and drink to it.
But you do hear them ask you “Do you want a medium or large?”
This is the new equivalent of “do you want fries with that.”
It is an attempt to get you to commit to something more than what you originally planned on getting. It is an upsell. Of course all the other fast food restaurants have copied, but it is still an effective tool to get more revenue from a customer.
Even the movie theater has a built in trained upsell. I took my family to see a movie and after already spending a fortune for tickets, popcorn and drinks, the young man behind the counter asked “do you want to make your medium a large for only $.50 more?”
Genius. Of course I declined, but many say yes and that is pure profit piled on top.
This is common practice online. You make a purchase and the “thank you” page immediately asks you if you want to buy something else. Amazon does a great job of asking you if you want something “similar,” even sending you personalized emails based on your recent search history.
All this leads to a higher value customer and more revenue.
Upsells work. Are they working for you?
Many businesses tell you that it won’t work for them. The typical three dangerous words “my business is different.”
No it’s not. A buyer is a buyer is a buyer.
Let’s take a look at 3 ways you to boost your average order or purchase through an upsell.
Ask good questions
You have more than one thing you can offer your customers. So ask good questions and find out if they can buy more. It’s all too common for businesses to simply take an order instead of sell something.
I had a great employee a few years ago that could get so much work done in a day. She put in orders like crazy and customers were happy with her. She took stuff off my plate and orders were placed. But the one thing she lacked…the ability to ask great questions. She would take the order and make the customer happy, but left thousands if not hundreds of thousands of dollars on the table.
You have to ask more questions.
Why are they asking for your product or service? What is their business? What are their goals this year?
Be creative and come up with 3-5 questions every person on the phone taking orders or in person should be asking. Then transform those answers into additional sales opportunities.
When we changed the way we answered phones and moved towards even more questions, our sales continued to boom. An order that would have been $25 turned into a customer that invested $5,000.
Ask good questions, and ask more of them!
Find and Know your complimentary products
Do you ever wonder why McDonald’s and other fast food restaurants created value meals?
They naturally go together. You have complimentary products that go together.
How can you group them and make it into a package that you can offer every customer inquiring about one product in the package.
Packaging is an easy way to increase your transaction values and sell more of your products and services.
Offer an extended warranty or service contract
Every time I purchase a major electronic device I am asked “Do you want to purchase the extended warranty?” I don’t mind risk, so I usually decline. But my guess is a lot of buyers say yes.
Additional revenue that typically doesn’t result in any costs for the company.
If you have machines or even products, offer some type of a service contract.
Many businesses prefer a monthly retainer to help with cash flow instead of big maintenance costs throughout a year. I always elected to take a service contract monthly payment over the risk of having large expenses that were not budgeted for.
One machine I purchased had one single part that could cost as much as $6,000. To avoid that, I elected to have the service contract at $800 per month over a year and it covered any needs.
This increased their purchase price and gave me a greater sense of security that if something goes wrong, I’m covered and we can call in right away to get new parts and service.
Offer some type of extended warrant or service contract and get more from each customer at the time of purchase and ongoing.
So Now What?
It’s not too hard to increase your average transaction if you have a plan in place to work with your team on
Step 1 – know what your average transaction value is.
Step 2 – brainstorm with your team all the ways you can offer something over and above what your customer is looking for. It may be all you need to boost your revenue 10-20% in a year!
Now go out there and sell!
Jon “Not afraid to ask for more” Toy
P.S. – Now I’m upselling – be sure you take advantage of the FREE Business Checklist download or a complimentary strategy session to help figure out where you might be leaving money on the table!