Columnists Brad Huisken Adding-On = Profits

Adding-On = Profits

Print
In previous articles we have discussed how Add-ons = Profits. In order to maximize the selling opportunity and the sales and profits of a jewelry store, the salespeople have to be experts in the process of selling add-ons.

Last month we discussed how adding on is a function of closing the sale and how the customer's mind is most open to buying additional goods prior to making the decision on the main item. We also discussed how adding-on is a customer service and that the add-on item(s) don't necessarily have to cost less than the main item. People have different budgets for different things.

I find that the majority of jewelry stores could potentially increase their sales by twelve to fifteen percent with a solid program of selling additional items and through training their staff on effective ways to sell add-ons. In other words, the average jewelry store will sell five to seven percent in additional items.

For example, if you are a million dollar store, your store is probably selling $50,000 to $70,000 in additional items. Once a jewelry store owner starts tracking add-on sales, training people on how to sell add-on items and gives the salespeople some kind of incentive to sell add-on items, I have seen the percentage jump as high as 25% of sales coming directly from selling additional goods. This results in a 20% sales increase and if paid on commission, a pay increase of 20% for the salespeople.

Once again an add-on is any item that is sold over and above what the customer came in looking to buy. If the customer is looking for an anniversary gift and you sell an anniversary gift and a gift for another person's birthday, the birthday gift is the add-on. Should a customer come in for a watch battery and the salesperson sells a graduation gift; the graduation gift is the add-on. Should the customer come in to make a lay-away payment and the salesperson shows, suggests and sells a piece of jewelry, that piece of jewelry is the add-on.

As you can see there are numerous opportunities available for a professional salesperson to sell additional items. Far too often the salesperson will take the layaway payment or change the watch battery without ever attempting to sell any additional jewelry. In order to maximize every selling opportunity you cannot allow yourself to leave these potential sales and profit dollars sitting on the table.

The customers want the things that you sell, they simply may not realize the wide scope of your inventory; or the customer may not be thinking in advance of all the gift items they need to purchase in the near future. Provide the customer the opportunity to buy additional items from you and you will be amazed at the number of people that will take advantage of the opportunity that you have provided in selling additional jewelry. Next month we will discuss the Assumptive Add-On Close.

 

Author, trainer, consultant and speaker Brad Huisken is President of IAS Training. Mr. Huisken authored the book I'm a salesman! Not a PhD. and developed the PMSA Relationship Selling Program, the PSMC Professional Sales Management Course, The Mystery Shoppers Kit, The Weekly Jewelry Sales Training Meeting Series (exclusively for jewelry) along with Aptitude Tests and Proficiency Exams for new hires, current sales staff and sales managers and his new Train The Sales Trainer Course. In addition he publishes a free weekly newsletter called "Sales Insight" For a free subscription or more information contact IAS Training at 800-248-7703 or This e-mail address is being protected from spambots. You need JavaScript enabled to view it or fax 303-936-9581. Feel free to visit their website at www.iastraining.com.

 
Banner
Banner

Facebook Share

Share this article on Facebook

Hot topic

 

Metallix Refining launches advanced precious metals recycling technology

Precious metals refinery, Metallix Refining Inc., has announced the launch of their new an...

 

GIA expands Retailer Support Program

(CARLSBAD, Calif.) - GIA (Gemological Institute of America) has recently announced some ne...

Media Kit

media-kit-sjn

media-kit-majn

Download now! pdf-logo