The Art of Cross-Selling and Upselling

Imagine this scenario: a person comes in wanting to rent a mini storage unit for three months.  Your employer prepares the contract; the customer signs it and leaves.

Now imagine this: a person comes in wanting to rent a mini storage unit for three months.  Your employee seeks to truly understand the customer's needs. The customer ends up renting a mid-size storage unit for three months, a mini storage unit for a year, purchases premium insurance for both units, buys a lock, several packages of boxes, and two heavy duty plastic mattress covers.

As owner of the storage facilities, which scenario would you prefer to have happen? Hands down, owners want the second one. That is the art of cross-selling and upselling.

Your employees need to be trained in the fine art of cross selling and upselling. Both of these skills can greatly increase yearly revenue. Upselling and cross selling should flow from the normal conversation with a client. Employees should be helpful, talk in a conversational tone, and shouldn't use a memorized sales spiel.

Cross selling is offering complimentary products or services in addition to the products that are being sold. Upselling is offering customers an upgrade or a premium version of a product or service. 

As your employees talk to prospective customers, they should ask questions to find out the customer's needs. Once your employee finds out this information, she can offer additional items for sale or upgrades to premium services.

When in the process of signing a contract, it is natural to ask customers how many boxes they would need.  They key is asking how many they need and not if they need boxes. Offer them packages of boxes instead of just one or two single boxes.  This is cross selling.

If you find out that they will be storing a mattress, offer to include a plastic cover for a mattress for a few dollars more.  If you find out that the mattress will be stored long term, upsell them to a heavier duty plastic that will work better for long-term storage. This is upselling.  Instead of getting a basic plastic, the customer is upgrading to a better quality product.  And, if a customer purchases a lock offer to upgrade their lock to a premium lock.

Also, suggest products that the potential customer might not have thought about such as marking pens, strapping tape, locks, and insurance.  Once they have signed a contract ask for their e-mail address so you can let them know when you have specials and discounts.

Keep in mind that upselling is all about the customer.  It's about her storage needs and what it takes to keep her items stored safely and securely.

Sources Used:

"Do You Want Fries with That?" Off The Grid News; 23 August 2011.

"Self Storage vs. Rocket Science;" Totally Quality Assurance Services.