Essential Tips to Down-sell Products with eCommerce
Down-selling is the opposite of up-selling. This technique is effectively used when the customer, for some reason, decides to back down from the purchase. When offered this alternative, the customer may reconsider the purchase because you’re addressing a major objection—price. In other words, when online shops look for ways to offer their customers cheaper products to increase profits, down-selling comes into play. The goal here is to acquire a customer, even if you will not profit as much as possible right away. For the same reason, you must tailor your offer to the customer’s budget and specify a cheaper price for another item that has similar features to the original item. This approach gives you a better chance to be accepted, and selling something is always better than nothing.
On the other hand , offering a lower-priced alternative helps you build brand loyalty, too, as you show your customers that you care about their budget constraints. At the same time,you’ll also gain more exposure by selling your products to customers of varying budgets.
Down-selling can be beneficial to the long-term viability of your business. It can help you build lifelong customers and increase sales. However, if you overreact and make customers uncomfortable, you may lose them. First, let’s look at implementing approaches of down-selling:
There are two different ways to implement down-selling. You will try to find out which of these two methods will suit a particular customer over time, and you’ll instantly be able to sort and sell to your individual buying needs.
1- Capturing value
This refers to offering the customer a cheaper product if he does not want to purchase a high-priced product. This method can help employees capture sales from customers who may not be able to afford the full price of a particular item or are interested in paying the full price. In some cases, capturing a value may cause a customer to be included in your business’s loyalty program or credit card, as it can be presented as another step to bring the potential purchase to a price that is appropriate to their budget.
2- The slow burn
This method refers to suggesting a customer a package to a better deal to earn more value for his money. In other words, you work with your customers’ needs to help them most traction for their money spent. This helps you build long-term relationships with clients that keep coming back and spending with your company over time.
Essential tips to down-selling
1- Help customers with their questions
Sometimes your customers need help to understand the value and benefits of the down-sell article you offer. You have to pay close attention to what they really need,and provide them with good-value solutions to their problems. If you want to increase your revenue without spending more on traffic, look at the page with your customer’s answer. This will differentiate you with those who barely manage it and turn you into a successful e-commerce owner willing to do whatever it takes to succeed.
2- Manage the time to offer an article
The best time to offer a down-sell article is right after the purchase. It’s a great way to increase your average order value, but you still want to offer one click to maximize your profit. Finally, the tracking of a special offer immediately after the purchase is effective. The main reason at this time is the offer to save on shipping and to include the new down-sell article in the shipment.
3- Be clear with customers
Always let the customer know why they are seeing your down-sell. Even if the majority of your customers buys this cool thing. You want to cover that base, or your sales will suffer. Never ever try to trick them into spending with deceptive marketing techniques. Remember, loyal and happy customers will be an invaluable asset as brand advocates, driving long-term success.
4- Be honest with customers
It’s great to have down-selling techniques to increase your revenue, especially when your customers get what they need. However, it is strongly recommended to be honest and avoid lying to your customers. Otherwise, it could result in a bad advertising, which it leads to a decline in sales in the shops.
5- Relevance of your product and your customer needs
The product you offer as down-sell should be relevant to your customer. It should help them achieve a result faster. The reason for this should be able to justify your claim as to why your customers should be interested in your down-sell article.
Final thoughts to down-selling
Down-selling can be a great way to increase your overall revenue. It is a great marketing technique of offering a more budget-friendly alternative to the product or service initially considered by the customer that internet marketers should take advantage of if you go about it in the right way. Overall, you need to make sure that you are adding value to your potential customers.
On the other hand, in most cases up-selling as well as cross-selling will be good alternatives in all marketing strategies. In all cases, the business objective is to increase order value inform customers about additional product options they may not already know about. The key to success in all cases is to truly understand what your customers value and then responding with products and corresponding features that truly meet those needs. We found it beneficial to point out that you should study the conditions in advance to using a technique. However, experiences have shown that a combination of the three aforesaid techniques leads to increase sales and to engage customers with a satisfying purchase experience and consequently optimal performance.Share on Facebook Share on Twitter Share on Pinterest