Upselling and cross-selling are some of the best business practices that can help set your animation services apart from your competitors. These two techniques focus on meeting clients' needs to enhance their experience with your animation business.
Though getting the hang of upselling and cross-selling may take some time, it will be worth it once you see your clientele grow. With cross-selling and upselling, you can expect to see increases in the satisfaction and value of project partners and rises in revenue and profit.
In this blog post, we'll discuss the differences between cross-selling and upselling, its benefits to animators, and a couple of helpful strategies that you can use with current and potential animation clients.
Upselling vs. Cross-Selling For Animators
Upselling is a sales and marketing strategy where you can convince clients to purchase either an add-on to an original service or an upscaled version. In upselling, the goal is to be less pushy and instead encourage clients to check out a premium or upgraded version of what they initially intended.
When it comes to upselling in animation, the focus is on giving clients service options that may meet their needs better, though usually at a higher cost. It often happens when animators are finalizing a sale and better grasp the client's wants and expectations.
An everyday example of upselling is when you walk into a mall intending to buy an analog watch but end up with a smartwatch after the salesperson convinced you of getting one that can tell you the time, track your fitness, and even act as a mini smartphone.
On the other hand, an excellent example of upselling in the animation industry is higher quality animations, rush jobs, or Promoshin's unlimited video creation plan, where you can avail of everything from their scriptwriting services to final production.
Alternatively, a cross-sell is when businesses present clients with different or complementary services in addition to what they currently have. The best opportunity to introduce a cross-sell to a client is when they have already committed and finalized a sale.
Cross-selling comes in handy when the original service alone cannot fulfill the client's needs or when you want to introduce new or helpful but lesser-known services from your company's catalog.
However, a cross-sell can quickly become overwhelming, so animators should make sure to offer animation services that center around the client's goals. Excellent cross-selling opportunities in animation include musical jingles, video testimonials, logo creation, and custom social media content creation.
In an everyday setting, cross-selling is when e-commerce sites like Amazon or Etsy show consumers items that are usually bought together, such as hair shampoo and conditioner or liquid foundation and beauty blenders.
The Benefits of Upselling and Cross-Selling for Animators
1) Increases Animation Clients Satisfaction and Value
For animators, the intention of cross-selling and upselling is to provide clients with a list of animation services that best suit their needs and expectations without bombarding them with options.
When animators upsell and cross-sell, they engage more with the client, giving them the chance to customize their project partner’s experience with their animation business further. Upselling and cross-selling can make them feel even more valued when done correctly.
Happy clients also increase the chances of your business receiving 5-star reviews for your animation services, which tells potential leads that your company is reliable and worth the investment.
2) Improves the Return of Investment (ROI)
Based on the Harvard Business Review, attaining a new client is five to twenty-five times more expensive than retaining an existing one. So animators who make the most out of engaging with past and current clients through upselling and cross-selling can earn profits quicker.
When freelance animators are marketing their animation services to an already established partner, it saves time and resources for both parties.
Animation clients will not have to look far for an animator they could trust with their projects, and companies will not have to go through the process of lead generation again.
3) Provides Animation Companies Opportunities for Growth
Since cross-selling and upselling promotes interacting more with your target market, the chances of having a good work relationship with potential leads and former project partners increase.
With this, cross-selling and upselling offer animators opportunities for growth in revenue, client retention, and lead generation.
Those satisfied with your animation services will most likely refer you to others and leave good comments, which will help your animation company maintain a healthy growth balance between new and existing clients.
3 Effective Cross-Selling and Upselling Strategies
1) Know Your Animation Client
One way to succeed in the animation industry is to listen to what your clients are telling you. Animators should never assume what a client wants, as this may lead to a poor partner experience or missed opportunities to cross-sell or upsell.
To master the art of cross-selling and upselling, animators should take into account the data and behavior of their clients so that they can provide recommendations that are relevant and beneficial to them.
2) Offer Animation Service Bundles
Bundling is a market strategy where companies package various services as a single unit and offer them at a discounted price than how they would cost if sold separately. Offering bundles provides animators the perfect chance to cross-sell their services.
Bundled services often complement one another, but some may differ to better cater to a specific group of clients and their needs. This strategy will only work if project partners see the benefits and logic behind acquiring additional services.
Another thing to consider is fair and transparent pricing. Financial analysis and looking through animation pricing guides can help ensure that you are not losing any revenue as a freelance animator or one working in a studio when offering service bundles.
3) Time Your Sale
Cross-selling and upselling can be tricky, but you can quickly become a pro with enough practice and time. An excellent place to start is to know when it is appropriate to pitch a sale.
Use the data you have on your animation client to identify those who would consider a cross-sell or upsell and if offering one or the other has the potential to increase their value and satisfaction.
One client may be working on a budget or have their sights set on just one type of service, such as video testimonials or company music jingles, making them less susceptible to these kinds of offers.
You also want to approach the topic delicately and do some research on the best ways how as an animator, you can upsell and cross-sell more of your services.
Mastering Upselling and Cross-Selling for Animators
Communicating with your clients is one half of the battle to successful upselling and cross-selling. The other half is mastering your animation skills and developing a unique selling proposition that will help distinguish you from competitors and make any cross-sell and upsell offers irresistible for clients to reject.
Also, remember that practice makes perfect when it comes to upselling and cross-selling! Though it takes resilience and dedication to make it work, you can expect to see immense improvements in your animation company’s client lists, project partner’s experience, and revenue when it does.