ecommerce

“For a Dollar More, You Can Get a Large”- Upselling 101

We’ve covered selling in a general sense and gone into detail about cross-selling, the next item on the list is upselling.

With upselling, you’re selling a person a better, more expensive version of whatever they were initially planning on buying. If you’ve ever been to a movie theater or fast food restaurant, you’ve probably experienced upselling in the form of “For a dollar (or so) more, you can get a large.” You were already thinking of getting this meal anyway- the upsell increases the quantity of popcorn you were planning to get, and the movie theater makes more money.

Back to the baby registry example I used in the cross-selling post, Amazon also has a subtle upselling option. You can see “Customers Also Viewed…” which will offer a similar product from different brands at different price points (I say subtle because some options are cheaper and some are more expensive). Another potential upsell on Amazon is the comparison chart that appears with some products. I definitely poured over these, and the reviews, when creating my registry.

Again, just like with the cross-selling example, you can offer upselling options on your own website in a similar way.

General Facts/Tips for Upselling

While the whole concept of “For a dollar more you can get a large” may feel weird or gross to offer customers, it’s been argued that it can actually increase customer loyalty/retention. But how?? You’re just tricking them into spending more money, right? Not really. This article gives an example of upselling a service (car insurance). While the customer was calling their insurance company for a tow truck, the company mentioned “Hey, you’ve been a customer for X number of years and are now eligible to upgrade to a better insurance plan”. Since the person had been a customer for such a long time, and they had to wait for the tow truck anyway, they said “Yeah, why not.”

How does this create customer loyalty/retention? Knowing that you are eligible for greater benefits as time progresses increases the chances someone will stay on as a customer for longer (provided there’s already a value in the service/product). Additionally,  the same article suggests upselling should be a win-win- your customer should feel like they are “winning” (but not in the Charlie Sheen sense).

An example of upselling where the customer doesn’t feel like they are winning: when a cable company tells you you’re eligible for a month long trial for 100 extra channels (yes, please!) but you unknowingly stay signed on and have to pay additional fees the next month. Not cool, don’t do this to people.

How to Upsell

Unlike cross-selling, it’s a little trickier to upsell after the sale has happened (unless the customer decides to return their purchase for something more expensive, which is pretty inconvenient when you think about it).

Here are a few ways you can help make the upsell happen.

Educate your customer.
 Comparison charts, videos, blog posts, and other methods to educate them about the difference between different products/services (and subtle justification of price differences) allows the customer to be open to be upsold.

Be ready to bundle.
If you want to upsell your kayak tour consumers with optional $10 Otterbox rental and $15 gourmet lunch, it makes sense to bundle products together for a lower price point when it makes financial sense.

Show your bestsellers.
Kissmetrics has pointed out that upselling happens fairly infrequently (4% of sales), but one of the ways to increase your odds is by recommending the most-sold items in your store. It’s probably a social thing- I will second guess my purchase if I see that the majority of people are buying this other thing. Even if I end up sticking to my guns, I’ll at least check it out.

Start with current customers.
Upsells work much better for existing customers. A recent example of this is me getting up-sold on for Beachbody Coaching. I had been using their on-demand workouts anyway as a result of not being able to run, but when asked if I wanted to become a coach at a greater cost to get some additional perks, I agreed. Why? Because I already knew the value of the stuff I was paying for, so I was okay with paying a little extra a month for things I was already going to use anyway. To me, it was a win-win.

Offer packages, including one very high end one.
An example of this is from a pinup photographer in Texas who offers four packages from $450 to $2250. Her most popular package is $850, which people feel much less bad spending money on when they see they could be spending more than double that. Most consumers buy the mid-tiered price item so give them options.

Setting Up Upselling Online

Use Your Existing Ecommerce Software
To implement upselling on your own ecommerce site, Woocommerce has a pretty straightforward interface for upselling (very similar to what they use for cross-selling, actually). Check with your ecommerce software’s FAQ section with how it is set up in your software.

Use Your Website Content To Help People Choose
If you have a list of services on your website at higher price points that people hem and haw at (and opt for the cheaper option), you can educate people in a few ways:

  1. Set up an FAQ page to make sure people know exactly what they’re getting and can determine what is beneficial to them.
  2. Create a multiple choice “Should I choose X or Y?” Some websites do this with a quiz, others with a features comparison chart. This allows a side by side comparison of two (or more) options.

Going through this process shows that you are invested in what the customer actually wants and what would work best for them: “Sell the benefit, not the product.” In other words, you may see the benefit for a person to buy the higher priced item but you may have to help them realize the value your product/service will add to their life.

Make It Exclusive
If you feel like creating a little mystery, allowing only certain people to buy a higher level item (think credit card companies with certain credit cards only a very exclusive group of people can apply for) can add to its mystery.

Think About Your Website Design/Copy
There are certain ways to make your website work better for upselling. One way is to run A/B tests with different designs/copy and see which give more sales. This is called working smarter, not harder! Learn more about A/B testing here.

In short, upselling is not a sleazy practice but one that builds customer loyalty in addition to benefiting your business.  

Kassie is a distance runner and a distance reader really. She lives in Ellsworth Maine and, while she might be quiet when you meet her, will throw out something witty when you least expect it.

Would You Like Fries with That? Cross-Selling 101

Back in January and December, I was spending a lot of time on Amazon trying to create a Baby Registry.

As a first timer whose Mom didn’t necessarily use the internet to create a baby registry, I was on my own figuring this out.

Fortunately, hundreds (or thousands) of moms-to-be in recent years have used Amazon to create a registry, so Amazon has plenty of guides for people creating a registry from scratch.

One of the helpful tools that Amazon has as you are viewing a specific product is “Customers who bought this also bought…” (and “…also viewed” and “Sponsored Products related to this item”).

 

As someone who needed a little bit of handholding during this process, this feature was greatly appreciated. It’s also known as “cross-selling,” or selling a different product/service to an already existing customer.

If I was shopping on a specific brand’s website, cross-selling would look  a little different. Say for instance I’m looking for a crib. Common cross-sells would be crib sheets, a blanket, and maybe a mobile. Other times you may have seen cross-selling in action include “Would you like fries with that?” and “Who wants to see a dessert menu?” (Guess where my brain is at today?).

Your business may not be quite as big as Amazon, but you can still implement cross-selling techniques on your own website.

General Facts About Cross-Selling

Since it involves selling to someone who is probably already a customer, or even in the middle of a purchase, cross-selling really is a “nothing to lose” scenario. In order to get the most out of your cross-selling , there are a few things you’ll want to keep in mind.

First- cross-selling is relevant. If someone is buying a baby stroller, Amazon doesn’t offer a Keruig as a suggested purchase- they offer other baby products and/or different baby strollers by other brands. While you could argue that a Keruig is sort of related to someone gearing up for a baby, that’s too much of a stretch for a good cross-sell.

This article suggests using “you” in cross-selling pitches, because it feels more personal. Amazon does this using “Recommended for You,” or in some cases, “Recommended for [your name].” My advice is to go with your gut on this one- during an in-person transaction, I’d probably feel closer to the sales-person and more likely to make a purchase if they were using my name, but knowing that a website is using an algorithm to produce my first name doesn’t elicit that same response (and some people are creeped out by this). Sticking with the general “you” might be the safer way to go.

Shopify also offers the suggestion of adding products that people would generally be familiar with as cross-selling options, because it’s more likely more people will make a purchase if they know what the product is.

Another tip- keep the cost of cross selling items relatively low. The actual suggestion is to keep the overall cost of the order within a 25% increase of the original order (i.e. whatever the customer was planning to order before adding on), while Forbes suggests 35%. Either way, that’s more money than you would have made otherwise.

Cross-Selling Before/During Checkout

Odds are, your website is not as robust as Amazon (the idea of creating that website makes my head spin). However, depending on what type of cart software you have, you may have the ability to add cross-selling into your cart.

Woocommerce comes built with the ability to add cross-selling options to your cart, whereas Shopify requires you to get an add-on app through their website. Investigate the software you use for ecommerce- it may require an add-on or already be built in, but it’s usually fairly simple to set up afterwards. This requires some data entry and thoughtfulness on your part, as you go through your products and think of relevant recommendations (remember- you don’t have to have a cross-sell option for each one of your products- just where they make the most sense).

Don’t be afraid to think outside the box here, either- you can cross-sell services for your products, too. For instance, if I were purchasing a crib, maybe the cross-sell service would be delivery + assembly for people who live within 25 miles of the store. Other examples of services you can add to products include 24 hour support, 1 year warranty, insurance, and so on.

Even if you don’t have a product/service on your website that you’re trying to sell, you can still offer something similar. A lot of the blogs I read will offer suggested posts based on the one I’m currently reading, and they’re usually related to the topic at hand (it’s also a great way to remind people of your older content). If you have a Wordpress website, WP Beginner suggests these 5 “Related Posts Plugins” that can set this up for you.

Cross-Selling After the Sale

Although cross-selling typically happens as a person is shopping or as they are checking out, there is still a chance that they’ll be interested in a cross-sell after the fact. This can double as a customer service follow-up after a purchase.

For instance, if someone buys a lawnmower from you, sending them an email newsletter following up about the quality of their product is never a bad idea. You can include some cross selling items in that newsletter, such as a bagger that stores the cut grass as you’re mowing. Maybe at the time of purchasing the customer didn’t see a need for this, but after a few weeks and seeing the email they will think, “Hmm, I have had to spend a half hour raking after I mow, this could really cut down my time…”- in other words, the value is now apparent.

This isn’t quite the same as a checkout cross-sell, but you get points for customer service follow up and it’s a good chance to get customer service points, and you may make another sale.

Stay tuned for more posts about selling more online this month!

Kassie is a distance runner and a distance reader really. She lives in Ellsworth Maine and, while she might be quiet when you meet her, will throw out something witty when you least expect it.

Etsy Featured Artist: Jennifer Steen Booher

This month on the blog we are all about Etsy, the online marketplace for “unique goods.” We have a lot of local people who use Etsy as an ecommerce tool, and they’re the best people to talk to about the platform!
Jennifer Steen Booher is a Bar Harbor resident who focuses on fine art photography. Her Beachcombing Series offers a unique perspective on the shores of MDI and “the overlapping forces and life forms that depend on the shoreline” (from “About the Beachcombing Series). Here’s what she has to say about Etsy (BEC questions in bold).
What made you decide to use Etsy as a marketplace for your business?

I joined Etsy on May 1, 2008, so I just had my 9th anniversary! Etsy was a lot smaller back then, and the community aspect pulled me in. It still works as a community, just a much bigger one. There are forum discussions about every aspect of doing business on Etsy, with more experienced sellers helping out the new people, and I spent a lot of time there when I first started. It was a great way to get into online sales, and it felt like a whole lot of people really wanted me to succeed.

Do you sell your products anywhere else online or in real life?

I have a website, jenniferbooher.com. I’m on a couple of other sites that do their own printing, like Fine Art America and Artfully Walls, and I work with Alamy for licensing my landscape and travel photography. I tend to keep my fine art stuff on my own website and Etsy. My website and Etsy are my biggest source of online print sales.

Seashell Snowflake Notecards- available on Etsy

How do you stand out in this marketplace?

I have a pretty distinctive niche – there are not that many people doing this kind of modern, minimalist, natural-history-and-ocean-themed art.  It appeals to people both on a nostalgic level (it reminds them of things they picked up on their own vacations) and on an artistic level (people who want to furnish their beach houses with something more thought-provoking than lighthouses and starfish). My work is very crisp and clean, so it works with a lot of different decor styles. I give the same artistic weight to trash as I do to shells and beach stones, which sometimes confuses people, but more often it inspires them to look at the shoreline in a different way. It’s easy to ignore trash, but these photos suggest that it’s worth examining.  I’ve shipped my work to at least 15 countries and 30 states.

“Beachcombing No. 50,” available on Etsy.

What’s your advice for anyone considering selling their products on Etsy?

Read all of Etsy’s guidelines for newcomers about things like tagging and getting your work found. Spend some quality time in the Forums reading questions (to get an idea of what problems Etsy sellers run into) and the discussions (to see how other sellers solve those problems.) The Forums are an amazing resource! Depending on what you are selling, joining a team can be helpful, especially if you do craft fairs and can find a geographically-based team. The Etsy Maine Team is very active and in additions to their online discussions they also organize pop-ups and participate in fairs. I don’t do craft fairs anymore (my work doesn’t sell there) so I haven’t been very active with the team, but I think they’d be a great resource for a newcomer.

Woodland Series No. 2, available on Etsy

Tell us about your most interesting Etsy transaction (i.e. weird customer questions/requests, or a purchasing experience).

My very first photography sale was to a guy who wanted to glue my photos of sea urchins and crab shells onto a surfboard as a display. He wanted to know if the photo paper would warp under the wet polyurethane. I thought it very probable they would, but he bought them anyway.

(Just for fun) If you had $100 to spend anywhere on Etsy, what would you buy?

An original drawing from Jane Mount’s Ideal Bookshelf series!Wait, no, a set of Arte et Manufacture’s coffee mugs.

Oh no, hang on, crazy vintage eyeglasses from Collectable Spectacle.

My ‘favorites’ list is 13 pages long – clearly this could go on for a while…

Thanks again to Jennifer for answering our Etsy questions, and make sure you check out her website!

Kassie is a distance runner and a distance reader really. She lives in Ellsworth Maine and, while she might be quiet when you meet her, will throw out something witty when you least expect it.

Etsy Featured Seller: Amanda Zehner (Living Threads Co)

This month on the blog we are all about Etsy, the online marketplace for “unique goods.” We have a lot of local people who use Etsy as an ecommerce tool, and they’re the best people to talk to about the platform!

We love businesses who love to help others, and that’s exactly what Living Threads Co. is all about. Founded by Amanda Zehner in 2014, Living Threads Co. features handmade textiles from around the world, in an effort to join these communities with the American market. Here’s what she has to say about Etsy as a way to increase online exposure/awareness to products (BEC questions in bold).

What made you decide to use Etsy as a marketplace for your business?   

Access to an already established customer base through a marketplace that attracts a similar demographic as Living Threads Co. is targeting. Access to resources and a network of other similar businesses.

Do you sell your products anywhere else online or in real life?

 Yes, a majority of our business is done outside of Etsy. We primarily use Etsy as a supplemental platform and another way to get our name out, help new customers and businesses find us and then direct them to our e-commerce website. We also sell in seasonal pop-ups and through wholesale B2B relationships to expand our impact on small scale artisans.

LTCo. Nicaragua Family Impact 2015.08.11 from Living Threads Company on Vimeo.

What has contributed to your success on Etsy?  

We view success on Etsy as relationship building and brand exposure but do not have a great deal of success in sales.  Creation of a shop on Etsy does not mean sales and business. You have to prioritize marketing and driving people to your Etsy shop.  That is not our priority as we choose to focus on driving customers to your own commerce site. However, the cost of maintaining inventory on  Etsy is so minimal that it is worth it to us to maintain it.

How do you stand out in this marketplace?  

We are a higher price point product then a majority of products on Etsy and as mentioned above, we strategically focus our energy on driving traffic to our own e-commerce site. However, I do think that our higher end quality product on Etsy helps us to stand out.

From the Living Threads Co. website. One way Living Threads Co. stands out (in our opinion) is their unique story and the fact that their products are not only high quality but have a direct impact on the lives of others.

What’s your advice for anyone considering selling their products on Etsy? 

Make sure that you have a strategy for driving traffic to your shop and standing out, high quality product images and a marketing plan with a focused effort to drive people to your site and convert that to sales.  Whether that is a blog, Instagram, Pinterest, or all of the above.

Tell us about your most interesting Etsy transaction (i.e. weird customer questions/requests, or a purchasing experience).

Have had great experiences purchasing from other vendors and greatly appreciate the ‘small business’  feel. Also being able to interact directly with the owner, have custom work done and have questions answered very quickly.  We have had people reach out about larger orders but have been on completely different pages cost-wise (there seems to be a lack of understanding of the value of hand made artisan products, which is why on our own site we try to tell that story really clearly).

One of our personal favorite items from Living Threads Co is this finger puppets set! There are also sets for other famous children’s books, such as The Very Hungry Caterpillar and Goodnight, Moon.

(Just for fun) If you had $100 to spend anywhere on Etsy, what would you buy?

We would buy more custom handmade cotton tags for out handwoven blankets. I love being a part of the design process of each part of our final product and creating a final product that is hand made from fiber to tagging and supporting small businesses, entrepreneurs, artists and creatives from Guatemala to Maine or Colorado.  So much fun!

Thanks again to Amanda for answering our Etsy questions, and make sure you check out her website! 

Kassie is a distance runner and a distance reader really. She lives in Ellsworth Maine and, while she might be quiet when you meet her, will throw out something witty when you least expect it.

Etsy Featured Artist: Dory Smith Graham (Worthy Goods)

 

This month on the blog we are all about Etsy, the online marketplace for “unique goods.” We have a lot of local people who use Etsy as an ecommerce tool, and they’re the best people to talk to about the platform!

Dory Smith Graham, owner of Worthy Goods, has been using Etsy since 2008 to sell her products. She creates bowties, wool felt jewelry, scarves, and much more from organic, sustainable sources. Here’s what she has to say about Etsy (BEC questions in bold).

What made you decide to use Etsy as a marketplace for your business?

Etsy was fairly new back in 2008 when I started out, a handmade selling platform that was just beginning to take off. It had a very low barrier-to-entry, and that was perfect for me. I had a wicked slim product line at that point, four reversible baby slings and very little extra time with a 6 month old, a sewing hobby and working part time as a goldsmith. I was able to get the shop up and online in just a day.

One of Dory’s products, a gum ball felt and velvet choker

Do you sell your products anywhere else online or in real life?

You bet! At SevenArts in Ellsworth, year round, you can find much of worthygoods full lineup of hats, bow ties, linen smock aprons, and more. Other shops that carry worthygoods are Island Artisans in Bar Harbor and Northeast Harbor; Salon Naturelles, Bar Harbor; Quench, Belfast; Archipelago, Rockland and Center for Maine Craft at the Gardiner exit. Online there are three venues: my main website, worthy-goods.com with a full product line and I have two Etsy shops as well, worthygoods, and the other is worthygoodstextile where I sell organic cotton fabrics and vintage wooden spools & bobbins from shuttered textile mills. I vend at a handful of vibrant summer and holiday fairs locally on and around MDI as well as in southern Maine. My very favorite events to show at are the IAA Labor Day Fair on the Village Green in Bar Harbor and PICNIC Holiday in Portland.

What has contributed to your success on Etsy?

For the first couple years I received a lot of support as a member of the Etsy Maine Team. Then as a more senior member, I offered support to new members. Etsy also offers webinars and email/pdf type ‘schools’ that help with solid advice in parcels that are usually easy to work through to improve targeted areas like developing voice, branding, Etsy SEO as well as planning for the holiday season.

How do you stand out in this marketplace?

Since worthygoods is dedicated to gear steeped in Maine style, I stand out with my product line and my branding. Both highlight and reflect my love of Maine from The County to the coast. My branding uses a vintage Maine lobster license plate, something that still resonates with me and my customers, especially. I find that the more I accentuate the things that ring true to me as reflecting Maine heritage, the more my customers see worthygoods as authentic Maine gear.

What’s your advice for anyone considering selling their products on Etsy?

If you are just starting out on Etsy, I would suggest you take a long, hard look at your pricing structure. Since Etsy has become a publicly traded company, they have really increased their transactional fees, added a fee-based payment processing platform, incorporated two paid layers of search-based advertising, in addition to the shipping platform. It’s easy to under-price yourself and hard to bump it up later on once you’ve established yourself a bit.

Tell us about your most interesting Etsy transaction (i.e. weird customer questions/requests, or a purchasing experience).

My favorite sale on Etsy for worthygoods was relatively uneventful, but Farrah Fawcett had an employee of hers custom-order and purchase a hat for a relative. I was on cloud 9 thinking that one of my Little Trapper hats was having a brush with fame in California. An interior design service, Homepolish reached out to me via worthygoods textile on Etsy for a variety of vintage wooden spools and bobbins. They purchased a bunch and used them for a pop-up men’s shop, J Hilburn in NYC. Esquire did a feature article on it and there was a decent bit of local press and write-ups on it, too. I still use their styling as inspiration for my own shop photos and decor.

If you had $100 to spend anywhere on Etsy, what would you buy?

Ooh, fun! I would buy myself a bag (or put it towards one, at least!) from roughandtumblebags.Etsy.com. I was in Portland recently and was thrilled to find a second-hand one at a cool consignment shop there. They are hand-made in Portland Maine and have a great lived-in look and casual feel about them.
Thanks again to Dory for answering our Etsy questions, and make sure you check out her website
Kassie is a distance runner and a distance reader really. She lives in Ellsworth Maine and, while she might be quiet when you meet her, will throw out something witty when you least expect it.

How To Help People Buy From Your Business Online

You have a great product/service. You even have a website setup to sell said product/service.

Yet, you get the feeling that business could be better. Maybe your customer needs a hand to buy from you? Here are some ideas:

1. Make Yourself Easy To Find.

Follow SEO best practices. 

Search engines like three things (to overly simplify): words people are looking for, links coming into your website and frequently updated content. For more information on SEO best practices, check out some of our blog posts on the topic:

Playing well with search engines means that the people looking for you (or more accurately, your product or service) can find you.

Consider listing yourself on other websites or marketplaces. For example, if you sell Wordpress themes, maybe a marketplace like Themeforest or if you make handcrafted cribbage boards,  make a listing on Etsy.

Like anything, listing your goods on a different website has pros and cons. One pro is that you’ll be able to see a wider selection of the market. You’ll be in a position to increase awareness about your product, as well (out of the population of people who use Etsy, only a handful may already be aware of your business).

The con is that you don’t always have full control over order information. For instance, on your own website you may have an email newsletter signup as people check out. But at least consider making yourself easier to find by having a presence on websites where customers are looking for your product.

2. Make It Easy To Buy.

Accept multiple forms of payment (ex: credit cards and PayPal). What happens when people go to your online cart? What are you offering in terms of payment processing? Having more than one option, such as PayPal and a credit card processor (i.e. Stripe), could improve your checkout rate. 

If big product, consider payment plans. If you’re selling a big ticket item, consider breaking it down into payment plans (based on the actual price). This makes your product more attainable at no

Make sure payment/cart works on mobile. It’s expected that 50% of purchases online will be from a smartphone in 2017. If your website isn’t mobile friendly, or cannot handle purchases online, it’s worth taking the time to add this ability.

Watch ten potential customers navigate your website (and be quiet while they do it and take made notes). You’ve probably spent time working on the setup of your website, so the ins and outs of navigation probably make complete and total sense to you already. Watching someone else try to navigate your website from start to finish will give you a more accurate perception of a user’s experience on your website and where any shortcomings may exist.

3. Make It Advantageous To Buy.

While you don’t necessarily need to offer this for every product on your site, adding some form of incentive once in awhile can give sales a little boost.

A few ideas for making your product advantageous for customers include:

  • Coupon codes
  • Affiliate programs
  • Early Registration Discount (or other time sensitive promotions)

Someone will always think they can buy it later. By incentivizing action, you can turn ‘later’ into ‘now’.

4. Make It Easy To Share.

We’ve talked about making products easy to share, perhaps by adding social share options for coupons or on the product itself. Zulily combines these tactics in the following product post:

A few things you may notice at the bottom of the image:

  • Incentive to share the product for a discount
  • Three options for sharing- Email, Facebook, and Pinterest (Email is a great sharing option for customers without social media, or those who want to share with a person who doesn’t have social media).

Sharing is only a click away, and if you’re saving $15, why wouldn’t you want to “share”?

5. Make It Easy To Stay In Touch.

In some cases, creating an easy way for customers to stay in touch or communicate with you/among themselves will encourage them to follow through with a purchase. Some examples where this would be helpful include online fitness programs (i.e. month long challenge groups where people can interact with one another), any sort of online class, or any event where it’s helpful to have a ‘community.’

Another fairly simple way to stay in touch with people is to add an email signup somewhere in the checkout process. This gives them a way to stay in touch with you after a purchase, perhaps so you can ask for feedback or send information about future offerings. The idea is to check in at a regular increment, maybe weekly-monthly, not to be the email equivalent of a “Hey what’s up” text that you didn’t sign up for but for some reason keep getting every 12 hours anyway. Communication should be helpful, not annoying or unnecessary.

By making it easy for your customers and potential customers to buy from you online, they’ll be able to show more love to your business. Let them love you, but be easy to love too.

Nicole runs Breaking Even Communications, an internet marketing company in Bar Harbor Maine. When she’s not online, she enjoys walking her short dog, cooking with bacon, and trying to be outdoorsy in Acadia National Park.
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