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Your EnterQuest Bulletin - Issue 270
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| Thought for the week: "Always and never are two words you should always remember never to use." Wendell Johnson |
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In this week's issue:
The art of cross-selling
Cross-selling is the conscious strategy used to switch your customers across your product range to see if there is a match. It's often a natural process - if you're selling a skirt, you might offer a belt that matches it. Often all it takes to gain that extra sale is to tell the customer about the product or service you offer.
Some business owners worry they will irritate customers by cross-selling. Actually, the reverse is usually true - you are demonstrating you are interested in them.
Cross-selling involves five fundamentals:
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Know your products.
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Know your customers.
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Ask questions and listen for clues.
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Assess customers' needs and propose only appropriate products.
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Treat the sale as a suggestion - that way you will feel comfortable about volunteering the information and it is easy for the customer to accept.
To get the most from cross-selling, identify which customers are the most appropriate. So you might identify people on your database who have bought time management courses from you, then offer them ones on stress management and how to delegate.
But many people come unstuck because they do not match the customer profile with the particular product carefully enough - it may be a waste of marketing resources to promote that course on delegation to receptionists, even though they might well have benefited from your time management course.
To make a particular cross-sell more tempting, relate it to the customers' needs. For example if you're selling time management courses to a client, you might also offer them day planners and organisers.
You have to bear in mind timing. Timing is essential. While you can cross-sell any time, there are certain key moments in the process.
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First, many businesses have rigorous budgeting procedures, so if you push your extra sales at the wrong time, you may be up against what for them is a financial impossibility. To avoid this, try to find out when your client's budgeting takes place. If you time your proposal right, they will have money in hand and maybe even leeway for extras.
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The second key moment is when someone is trying something out. For example, the moment when they are trying on the skirt is the time to suggest a particular blouse and belt to make an outfit.
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The third key moment is when the chequebook is out. They've made a commitment to spending cash, which means you're halfway to convincing them to spend a bit more.
This tip is an extract of an article from EnterQuest's sister publication, BETTER business magazine. Subscribers to the magazine can read even more articles to help them run a better business, including:
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- Target the right customers. It's not always easy to pinpoint the customers with the most potential. That's where a customer database comes in useful, says Marc Hornby. (Issue 158)
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- Time to focus on brighter marketing. If you want to succeed, you've got to be smart in today's competitive age. That means not just being better than the rest - but also being different, says Robert Craven. (Issue 152)
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Offer to help cut costs. In the current climate, one surefire way of getting business is by offering to help your clients cut their costs. It touches a nerve, and it's a recipe for success, says Art Sobczak. (Issue 156)
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To receive a free copy of BETTER business magazine simply send us your name and address to enterquest@cobwebinfo.com, putting 'EQ magazine offer' in the subject box.
Each week we provide you with summaries of some popular or emerging business ideas in the UK and elsewhere around the world. The animals and pets sector offers some really niche and innovative ideas - here are just a couple.
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Oxygen bars for dogs. A café in Japan enables dogs and their owners to receive oxygen treatments then share a snack afterwards.
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Restaurants for dogs. A restaurant in Edmonton, Canada, serves up doggy dinners for pampered pooches. It offers treats such as a kibble buffet, German Shepherd Pie and Cheesy Chihuahua Pizza, and even provides birthday parties.
Regularly improving your vocabulary is not just about learning a new word and its meaning. It will improve your general knowledge and make you feel and act smarter in all sorts of personal and business situations.
Do you know the meaning of the word 'indefatigable'?
a) weak, passive
b) determined, tireless
c) indefensible
d) indestructible
Answer at the end of the Bulletin.
The following topical business issues have been recently reported in the media. Did your radar pick them up?
1) Internet auction site eBay has been fined by a Paris court for allowing customers to sell which type of goods on its website?
a) fake software
b) fake designer goods
c) fake DVDs
d) fake iPods
2) A report by accountants Ernst & Young has revealed that which type of expense is now the second biggest for small firms?
a) staff wages
b) utilities bills
c) insurance costs
d) premises costs
3) Research from accountants BDO Stoy Hayward has shown that figures concerning which business-related crime are up 74% on the same period last year?
a) vandalism
b) petty theft
c) arson
d) reported fraud
Answers at the end of the Bulletin.
Design Council tips on business improvement
How do businesses use design to improve their image, processes and profitability? The Design Council offers 11 lessons explaining how, using case studies of real businesses such as Alessi, Starbucks, and Lego.
Invoicing tool for freelancers and start ups
Harvest is a basic accounting and billing application useful for start ups and freelance workers. It allows you to track project time, record expenses, and create invoices. The site lets you download a 30-day trial; after that, there is a monthly subscription starting at $12 per month (about £8) for a single user.
Useful product review site
alaTest is a site that brings together reviews from over 800 sources. It ranks them according to reputation and displays the results when you search for individual products. alaTest is particularly useful for tech products - PCs, mobile phones, and office equipment such as printers and shredders.
Migrant worker website
The Health and Safety Executive website has a useful section for businesses employing migrant workers. The information can be translated into a number of languages including Polish, Chinese, Czech and Romanian and it's also useful for migrant workers looking for health and safety information in their native language.
This book works on the premise of having a website that works, as opposed to having one with lots of bells and whistles but which your audience has trouble finding. The book lets you in on the secrets of how to make your website 'Google friendly' and how to employ the right search engine optimisation techniques. Check out:
Just one word answer
The answer is b).
Indefatigable means determined, tireless.
The business owner's indefatigable nature was a key factor in the business' success. |
How's your business radar? The answers
1) The answer is b) - eBay has been ordered to pay around £30 million for allowing fake designer goods to be auctioned on its website.
2) The answer is b) - Utilities bills are now the second biggest business expense for small firms, behind staff wages and HR expenses. Some 22% of businesses spend between 5% and 10% of their annual turnover on energy bills.
3) The answer is d) - Reported fraud is up a staggering 74% on the same period for last year, according to BDO Stoy Hayward. The figure hit £317 million alone in April 2008. |
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Good luck
The EnterQuest Team
This information is meant as a starting point only. Whilst all reasonable efforts have been made, the publisher makes no warranties that the information is accurate and up-to-date and will not be responsible for any errors or omissions in the information nor any consequences of any errors or omissions. Professional advice should be sought where appropriate. |