By How Much Money Can You Increase Your AOV Through Implementing Upsells and a Good Checkout Experience?

You don’t have to be an e-commerce titan to benefit from upselling strategies and boost your AOV.

One of the best places to display product upsells is during the checkout process. Why? Because by the time shoppers reach checkout, they’ve practically converted into a customer.

You are roughly 60-70% more likely to sell to an existing customer compared to someone who’s freshly landed on your site. When a customer is ready to check out, they’re already “invested” in the purchase. They’ve decided that they can trust your site.

Displaying an upsell offer allows you to capitalize on this displayed trust and better serve the customer.

Read on to discover how upsells during checkout can supercharge AOV.

Why You Should Leverage Product Upsells in the Checkout Process

The overarching reason why you should leverage product upsells during the checkout process is that they can significantly increase your average order value (AOV).

Upsells are product recommendations that invite the customer to spend more on the product they’re after. Instead of inviting them to add extra, related, or complimentary products to their cart (like with cross-sells), you’re essentially offering customers a souped-up version of what they already want.

If your upsell offers convert, the natural result is a higher AOV.

But if we look deeper under the hood, there are two other powerful reasons why upsells are a good idea.

Increased Customer Satisfaction

At first glance, upsells during the checkout process can seem like a cheeky bid for a bigger buy. It might feel like you’re saying, “Hey, instead of buying what you already selected, why don’t you give us more money for a more expensive option?”

But upsells don’t have to be a money grab. If done right, they can be a strong driver of customer satisfaction.

Ultimately, the customer is trying to find a solution to a need. If your upsell offers further fulfill that need, this can increase satisfaction and make the shopping process easier and more intuitive.

Upsell offers during checkout offer convenience and enhanced choice. This results in a more satisfying buyer experience. If you can offer the right upsell products at the right time, you’ll be doing your customers a service.

Here’s a quick example. Let’s say a customer is buying a dehumidifier. They’re feeling a bit overwhelmed by all the options, so they simply pick one that seems like a good deal.

When they’re checking out, you present them with an upsell offer for a slightly more powerful model.

On closer inspection, the customer realizes their initial choice wouldn’t have been large enough for their needs. Rather than being irritated by the upsell offer, they’ll probably feel relieved that they spotted a more appropriate option before completing their purchase.

Increased Customer Trust

The right upsells can also inspire customer trust. Personalized upsells that are helpful to shoppers show that you understand their needs and pain points, which is a key trust driver.

Thoughtful upsells also remove friction and streamline the shopping process.

An upsell that truly serves a customer won’t leave them feeling robbed. It will leave them feeling like they walked away with extra value.

Why Upsells Are Suited to the Checkout Process

You can implement upsells across your site, but they can be especially effective if you position them in the checkout process.

Consumers often start the shopping process by looking at the lower-priced options. As they move through the buyer journey, they become more informed and realize the value of the mid- and premium-tier options.

Hitting a shopper with a premium-level option right at the beginning of their shopping process might not trigger a conversion. But once they’re ready to buy, they’re far more prepared to consider an upsell offer.

Upsell Examples for the Checkout Process

Here are some examples of upsells you can offer during the checkout process:

• A premium version of a product (better model, more features, add-ons, etc.)
• Added customizations (a premium fabric choice for a sofa, monograms, etc.)
• Buying a larger volume of something (such as a bulk pack of toilet paper)

You can also upsell services during the checkout process. Some examples include:

• Protection plans
• Extended warranty plans
• Setup or installation services
• Enhanced support
• White glove delivery services

How to Effectively Implement Upsells

So how do you (literally) cash in on the benefits of upsells during the checkout process? Here are a few tips, tricks, and best practices to get you started.

Dont Be Intrusive

Although upsells can significantly boost your AOV, if they’re too intrusive, they can also be a point of friction.

Are shoppers struggling to navigate through your checkout process because of intrusive upsell offers and recommended products? This might cause them to abandon their cart altogether.

You also don’t want to push upsells down customers’ throats. Customers shouldn’t feel like you’re trying to force them into making a larger purchase. Instead, upsells should feel like natural, logical, and helpful suggestions.

Personalization Is the Key to Success

If you want to successfully achieve AOV optimization with product upsells, personalization is the key to the kingdom. Personalization allows you to make product suggestions that are the most likely to be of value to the customer.

Personalized upsells that deliver value are more likely to trigger conversions.

Statistics show that personalized recommendations can increase conversion rates by up to 915%.

One of the simplest ways to implement personalized upsells during checkout is to base them on customer history.

Clearly Display the Value of Upsells

Another secret to successful upsells is to clearly communicate their value. Shoppers should be able to see at a glance why the more expensive version of their original choice is potentially better.

One of the ways you can do this is by using a product comparison feature.

Upsell In a Realistic Price Bracket

By definition, upsells cost more than original selections. But they shouldn’t be wildly more expensive. If a customer is going to spend $50 on an item, displaying an upsell that costs $350 is probably not going to result in a conversion.

Create a Seamless Checkout Experience

It doesn’t matter how spot-on your upsell suggestions are, if your checkout process isn’t up to scratch, you’re going to be losing conversions.

Analysis shows that bad checkout UX can tank conversation rates by over 35%.

For upsell offers to work, they need to be combined with a clean, compact, user-friendly, fast checkout experience.

How Much Money Can Upsells Earn You?

Earlier we referenced that Amazon earns a whopping 35% of its revenue from upsells and cross-sells.

There’s no hard and fast answer to the question “How much money can upsells earn,” but this stat gives you some idea of how powerful a revenue driver they can be.

If you combine some of the tips and best practices we outlined above, with a smooth-as-butter checkout process, you’ll already have a winning formula that’s bound to bump up your AOV.

From here, you can go on to tweak your upselling techniques through things like A/B testing and heat maps. The more you refine your approach and tailor your product recommendations, the more revenue they will drive.

Increase Your AOV the East Way With Checkout Champ

Are you ready to ratchet up your AOV? Checkout Champ can help.

We made mastering the upsell process as easy as 1-2-3. With Checkout Champ you can implement one-click custom upsells and implementation couldn’t be simpler.

Book a free demo to see Checkout Champ in action.