Upselling

Upselling aims to increase the value of each sale. Instead of offering a different product, as with cross-selling, the business offers a better version of the same product.

Common examples include offering a larger size of coffee, a premium seat on a flight, a higher-specification laptop, a room with a better view in a hotel, or a more advanced software subscription with extra features.

For example, a customer signing up for a basic software plan at 10 a month might be shown the benefits of a professional plan at 25 a month, which includes more storage and advanced tools.

Upselling can benefit both businesses and customers when the upgrade genuinely offers better value or meets the customer's needs more fully. Software companies, in particular, rely on upselling existing customers to higher-priced plans as a major source of revenue growth.

However, aggressive upselling can irritate customers and damage trust, particularly if they feel pressured into paying for features they do not need. Upselling works best when it is relevant, clearly explained and offered at the right moment, such as when a customer reaches the limits of their current plan.