Ultimate Upselling That Will Explode Your Revenue
June 27th, 2007 by Mike Reining Read more about Upselling TechniquesUltimate Upselling Strategy
Upselling is a great way to sell informational products. This is a case study showing how you can pursue an upselling strategy to gain in the long term. We'll then let you in on an ultimate upsell that works - all the evidence will be there too.
Scenario
David Murphy runs a successful offline consulting company that helps out small business entrepreneurs. He offers his services for 2000 dollars a month and has 30 clients. He wants to expand online but is struggling to picture how he can sell his premium and star performing products to this wider market and potential customers.
Does this sound familiar?
Suggested Strategy
We suggest that David should give away a free ebook with mindblowing information that will provide an upselling platform which will eventually lead to the sale of their star product - getting 2000 dollars a month from the relationships that form.
This is called the REVENUE SCALE FOR INFORMATIONAL PRODUCTS
If you give away mindblowing free information you are essentially running a loss leader . . . BUT this has the effect of developing trust and a relationship with potential clients who will reward you in the long term by buying more of your premium products over time.
Sounds Simple?
Here's what we mean. . .
- David could give away an ebook for free
- then upsell a course of audio CDs for around 90 bucks
- from this upsell an online course or a seminar to the full value of 2000 dollars.
It does sound very simple, BUT how can David implement this strategy?
Implementing the Strategy
The 2 stages of Upsell
1. UPSELLING THE AUDIO CDS WITH THE FREE EBOOK
The purpose of the ebook is to gain an audience. The idea is that when people open your ebook, they read the knowledge that you have and you astound them with mindblowing information and you create a viral marketing campaign.
This can easily be done using Viral PDF. It allows you to turn your ebook into a viral marketing mechanism.
The Ebook should contain . . .
- killer content
- philosophy of the company
- testimonials
- customer successes
From this platform David would upsell to the next level of the revenue scale - the audio CD sales. He would provide a link to a sales page for the CDs selling for around 90 bucks.
Here's where the campaign will truly get viral . . .
Why not use an Affiliate Marketing Campaign?
David could buy an affiliate software, then he could tie the affiliate program in with the sale of the audio CDs. For example he could offer 45 dollars commission for every sale of 90 dollars and get people to market his products for him.
We would recommend post affiliate pro. Combining post affiliate pro and viralPDF is a very powerful marketing tool. Not only will it create a viral effect, it will also mean you can capture no end of email addresses.
2. UPSELLING THE SEMINAR OR ONLINE COURSE WITH THE AUDIO CDS
Using a One Time Offer
After someone has purchased the CDs, for example, a great tactic that many internet marketers use to upsell is the one time offer. As soon as somebody purchases the CDs David would offer his seminars or access to his online course with a 200 dollar discount voucher as long as they bought there and then.
If you've truly hit people with gripping and enticing copy and stunning information they are more likely to buy straight away.
Email Marketing
Having captured no end of email addresses David now has a mailing list which he can use to sell his online course or seminars. He could potentially send out an email every 3 months selling the seminars and then towards upcoming seminars send emails more frequently.
If David follows this strategy he could get rapid results in selling his premium products online, and grow his business to exponential levels!
I'm sure you're wondering by now 'where's the evidence of this strategy working?'
SO . . . here's the proof
Wealth expert, T. Harv Eker, has used this strategy to remarkable effect. He sells a book fairly cheap for 13 bucks on Amazon; from this book he upsells emphatically his follow up seminars.
Left: Secrets of the Millionaire Mind by T. Harv. Eker
T. Harv Eker gives a bonus when you purchase his book, shown in the red box:
"FREE BONUS - 2 Tickets to the Millionaire Mind Seminar worth $2,590 - details inside"
From this a Millionaire Mind seminar draws in about 1000 guests. At this stage T. Harv Eker is still not very high up the revenue scale . . . BUT WAIT . . . here comes the ultimate upsell.
A One Time Offer!
Of these 1000 people he then offers them a complete package of 5 premium seminars for 16,000 dollars, but only if they buy it there and then.
Let's say only 50 people in the room sign up for the seminars T. Harv Eker is walking away with a cool ( yet staggering) 800,000 dollars in his back pocket. That is truly ultimate upselling!
Learn More about Upselling Techniques
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About the Author
Prior to MindValley Media, Mike was the Head of New Ventures Strategy at eBay where he conceived of the strategies that led to the investment in Craigslist, the launch of Kijiji.com and the acquisition of Skype.
Mike has an MBA from Stanford and previously worked for the Boston Consulting Group. He is also a certified Google AdWords Professional.
Check out other posts by Mike Reining
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Vishen Lakhiani
Excellent article. I have a twist on the viral pdf I'll share with you by email.
My curiosity is killing me about the niche that David Murphy is in... even though that's not the point.
Thank you for sharing the upsell strategy used by Eker
Reading this post, I immediately thought of Harv Eker b/c I've read his book, and sure enough! Sweet ideas. Thanks.
What i like about T. Harv Eker, is that he is not just upselling any common stuff... he provides really good value in all of his seminars and courses so if one attends a course and likes it, the chance is very high of attending another one. That way its a great deal not only for Harv but also for the end consumer. I love the guy's work and really have gotten so much out of attending his courses.