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Keep things simple

First of all you need to understand that these techniques take place after the customer is sold. That is, the
customer must already have explicitly agreed to buy your product or service before you up-sell, cross-sell or down-
sell. Now let’s talk about each of them individually.

1. Up-sell

Also called up-selling, this technique involves selling a more expensive product to the customer (instead of the one
he wanted to purchase), or selling a complement to the product the customer has chosen, increasing the overall profit
margin of the sale.

Example: Have you ever been to McDonald’s and ordered a 300ml Coke, only to hear that for 30 cents more you
could get a 500ml Coke instead? That is up-selling. What about when you order a cheeseburger and they ask if you
want some fries along with it? Up-selling too.

2. Cross-sell

Also called cross-selling, this technique involves selling new products or services to the customer that are not related
to the first one the purchased from one. Usually this technique is employed to increase the profits, but it can also be
used to solidity the relationship with the client.

Example: Suppose you sell web design services. Many clients will not know how to promote or search engine
optimize their websites, so you could cross-sell these consulting services (either by providing them yourself, or by
creating a partnership with a company that will provide them for you).

Selling insurance along new car.

3. Down-sell

Also called down-selling, this technique is used when the customer, for some reason, decides to back down from the
purchase. In this case you can offer him a cheaper product, which has higher chances of being accepted. The goal
here is to acquire a customer, even if you will not profit as much as possible right away.

Example: Car dealers down-sell all the time. If you enter a dealership looking for a BMW and get scared with the
price, the salesman will certainly bring up many other options that cost a lot less. That is down-selling.

If you are not up-selling, cross-selling or down-selling, you are probably leaving money on the table, so it might be the
time to review your marketing strategy!

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