An individual wants to go on the 5th floor of the building but the lift man takes the individual to the 6th floor, in the case of marketing this act of taking customer one level above the original planned level is called upselling. Upselling refers to that practice through which marketers or sellers try to convince their customers to purchase a higher end product than they originally planned to purchase. In order to understand this concept better let’s look at some of the examples of upselling –
- When you go to the restaurant for eating food and your original plan was to eat only main course but at the restaurant the waiter informs you about the various starters and your order starters and after eating the main course you also eat desserts then this act of you eating starters as well as deserts is called up selling by the restaurant.
- When an individual go to electronic shop for purchasing LCD television and the shop owner convinces him or her about the purchase of LED or smart television by explaining him or her about the features and advantages of purchasing LED or smart television over LCD television then this act of consumer purchasing the LED or Smart TV instead of LCD TV is upselling.
- When an individual go to car showroom to purchase a car but there he or she is shown better variant of same car model which has all the new features like airbags, anti-braking system, rain sensors, navigation and so on and an individual end up buying that higher model having all the features then this act of buying the higher variant of the car model is an example of upselling.
- When you are thinking of buying a simple life insurance policy of $50000 but the insurance agent convinces you to buy a $100000 insurance policy which also has accidental and health cover then this purchase of $100000 insurance policy is an example of upselling.
- When a customer goes to purchase a normal smartphone and he or she ends up buying apple iPhone or Samsung galaxy due to better features like good battery life, high-resolution camera, great storage space and so on and this act of purchasing a higher end smartphone instead of the normal smartphone is called upselling.
- When one is planning to go for vacation for 7 days tour and he or she goes to tour operator office and there they suggests some add-on destinations which lead to 10 days tour than this act of tour operator of making 7-day tour into 10-day tour is called upselling.
As one can see from the above that upselling is present in every industry and marketers all over the world try to upsell the products so as to increase their sales and profit.