Posts Tagged ‘upselling’

How to get your staff Upselling

Tuesday, March 6th, 2012

Upselling is something we are all exposed to from time to time.  And whether you sell meals, bedrooms or widgets, it’s a technique that can not only help your bottom line, but done well can give your customers an all round better experience. Here are some of the things to consider in getting your team to upsell effectively.

Wikipedia describes upselling as ‘a sales technique whereby a salesperson induces the customer to purchase more expensive items, upgrades, or other add-ons in an attempt to make a more profitable sale’.

Upselling usually involves marketing more profitable services or products, but upselling can also be simply exposing the customer to other options he or she may not have considered previously. Upselling implies selling something that is more profitable or otherwise preferable for the seller instead of the original sale.  But is it just about increasing the customer spend, or is it also about giving the customer a better all round experience, giving them something they might have forgotten to order, or never even thought of?

McDonalds of course are the masters of this – have you ever not been offered fries or a drink to go with your burger. And when was the last time you bought an electrical appliance and not been told the benefits of an extended warranty?

What to promote
So in order to do this effectively the first thing is to determine which are the products or services you wish to promote.  It obviously makes sense to be promoting high profit items, but there can be a danger in using this as the only criteria.  Unless what you are promoting is perceived as value to the customer, it’s unlikely the sale will be achieved, and does little to build your customer’s loyalty or trust.  It’s also important to distinguish between high selling price and profitability and appropriateness to meet the customers’ needs.  For example upselling to a more expensive bottle of wine when it does not appeal to the customers tastes.

Product knowledge
Staff need to fully understand each of the products and services available:

  • What are the high profit items
  • What are the component parts of any packages
  • What’s not included, but may be relevant to offer to the customer
  • What are the ingredients in a dish
  • What does it taste like
  • What are the best accompaniments to a dish

Allow staff to experience all the products and services first hand – this will not only make them more memorable, there will be more willingness to promote if they are confident to talk about it, and it will certainly be easier to evoke emotional appeal through vivid descriptions of taste, smell, feel, if they’ve experienced them themselves.

Spot the opportunities
Let them identify all the situations that lend themselves as an opportunity to upsell – not just in their own department – but across all areas.

  • Options on accommodation – room upgrades, special packages, champagne in rooms,
  • In the restaurant – bottled water, suggestions for starters, accompaniments, side orders, deserts, desert wine, specialist coffees, after dinner drinks
  • Bar – branded beers, snack items, pasties with their coffee

I’m sure you’ll have many more specifics for your own operation
It’s also about timing – for example selling desserts – ask too soon and people say they are still too full, and go straight on to coffee, ask too late and they have gone off the idea, and want to head off home.

Behaviours
Teach staff the mechanics of upselling

  • The need for open questions to identify what the customer wants
  • How to listen actively to customers’ requests or preferences
  • How to respond, and make suggestions, or offer alternatives that best meet the customers needs
  • How would they describe each of your products and services?  Rather than a script, allow them to develop their own dialogue, one that comes naturally to them, rather than something they have to remember and run the risk of forgetting.

Practice makes perfect
It’s all very well knowing what to say, but you know how sometimes when you come to say something the words just don’t trip off the tongue as you might hope!  Let you team practise in a safe environment, based on different scenarios.

Plan for objections
Whether an objection is perceived or real, staff need to know how to deal with these.  One awkward question can shatter confidence, so train staff to get to spot and handle different situations.

  • Distinguish between a definite ‘No’, and a simple request for more information before buying
  • When it’s just a matter of timing – they are too full now, but ask me again in 10 minutes
  • They want something more, but you’ve just offered the wrong thing
  • Explain the need to identify the nature of the objection by asking open questions
  • How to demonstrate empathy and understanding of the customer’s perspective
  • How to gain trust by matching the response or offering to meet the customer’s needs

Give incentives
Link your upselling activity to some goals.  This might simply be a target to sell x number of a certain product or service, or may be linked to specific financial profit targets.  Whatever goals you set ensure these are clearly measurable and achievable, that any incentive is equitable so everyone is motivated to contribute, and that you give regular updates on progress.

Guide and support
Don’t assume because you’ve told people how to do something they will be able to just go out and deliver it consistently. Observe how your staff handle the upselling conversation and give them feedback after the event on what they did well, what they could do more of, and give the appropriate support and guidance on areas where they need more help.

Overcome your guests’ challenges

Friday, February 10th, 2012

Listen to all the reasons people give for NOT staying, or limiting their stay with you. What other services you can provide that might just tip the balance in favour of that night out, overnight stay or weekend away. Think of the challenges your guests face, and how easily you could solve their problems:

  • No baby sitter – can you offer a babysitting service
  • What to do with the dog – recommend kennels (or allow dogs)
  • Poor transport network – provide a free taxi service to and from the station or airport
  • If I stay away another night I’ll miss my gym session and end up eating more than I should – a common concern for business users, so set up temporary membership arrangements at the local gym, and provide a healthy option light or calorie counted meal
  • The kids will want their bikes, but we don’t have a bike rack – offer bike hire or team up with a local hire shop ~
  • There’s nothing to do if the weather is bad – set up a kids’ play room and indoor entertainment area, and provide games and indoor activities
  • I don’t have time to do my laundry, get my hair cut or legs waxed – provide a laundry and pressing service, or offer complimentary or discount vouchers for your own spa or a local beauty or hair salon

You could take the attitude ‘that’s not my problem’ or you can see these ‘problems’ as great opportunities for additional services. Without having to think too hard or spend too much, people can have a ready-solved problem if you’ve put together a package ‘just for them’.
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Be flexible and offer hotel guests alternatives

Wednesday, February 8th, 2012

You can’t bow to every request a hotel guest ever makes. But don’t be so bound by the rules that any request is met with a hostile ‘jobsworth’ attitude! If you cannot meet your guests’ initial requests, look at offering an alternative:

  • A guest wants an early breakfast, before your kitchen staff normally arrive – offer a continental breakfast or a tray instead, or at the very least a take away cup of fresh coffee.
  • You receive a request just 10 minutes before service for an alternative to the set menu for a big party – you don’t have a choice, but listen to what the guest needs to avoid and offer an alternative combination without this item.
  • Your weekend guests ring ahead and say they haven’t been able to get a dog sitter. You don’t take dogs, but can you find a local kennel who can accommodate the dog?
  • Your guest asks for a particular brand of whisky for an important client he is entertaining. You don’t stock it, so do you refuse, or phone your neighbouring hotel or pub to see if they have it in stock.

Encourage your staff to get into the mindset of looking for an alternative solution, even if the initial question has to be answered with a ‘no’, it can be followed by ‘but I can do x for you’, or ‘I know someone who could do this for you’.
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Offer your hotel guests and restaurant customers a choice

Monday, February 6th, 2012

Give your guests choice. This does not mean having 100 items on your breakfast menu or 40 types of pillow – but do give them a choice you can cope with. Again listen to what your customers tell you.

  • In your restaurant, how often do people tell you they are too full for a dessert? Serving huge portions may be appealing to some, but others may be put off having a starter or dessert if they think the portion sizes are too big. Why not provide a taster version, for a slightly lower price, to ensure the sale? That way the waiting staff don’t need to make a judgement call or check with the kitchen if this can be done; it’s already in the system, and the kitchen don’t have to guess the portion size.
  • Can you offer a choice of rooms in terms of features or facilities? Even if the rooms are all a standard layout, can you offer people a choice of outlook, proximity to reception, in-room amenities etc?
  • How often do you get asked what time is check out? Can you be flexible to allow later check-outs (for an additional cost or as part of a promotional special) so guests have the opportunity to make the most of their last day before they head home?
  • Do your guests come to you to celebrate special occasions? If so do you have one room, which is very special in its own right, or where you can include extra services? What else can you add to your standard offer to make a deluxe version to sell at a premium price?

Become your own hotel inspector, or train your staff to become your personal team of hotel inspectors giving you valuable and objective feedback where ever and whenever you want http://www.zealcoaching.com/products-resources/the-customer-journey/