What is upselling?
Upselling is the practice of selling an upgraded or a premium version of the product that the consumer has already purchased. As the name suggests, it is the way of “up” selling the product i.e. selling a better version of the product to the customer. This is done to generate more revenue from the existing customer.
Popular Examples of Upselling
Up-selling as a practice isn't something new. With the growing consumption of digital content through digital platforms however, have led to up-selling becoming even more popular. Some common examples include:
- Spotify Premium which provides an ad-free user experience
- Upgradation of orders in McDonald's to larger sizes
- Free shipping offers with your online orders
Benefits of Upselling
Upselling provides various benefits like:
- Tapping into existing customers which reduces the customer acquisition costs
- Provide better user experience through upgradation
- Generate more revenue from existing customers