By Taz Bareham — 20 Mar 2015
How can tours and activities businesses increase the amount of money being made from each customer?
There are two ways to drive this – by increasing total spend per order, and by increasing frequency of orders.
Tour and activity businesses appeal mostly to travelers – people who are just passing through. This is why maximising your revenue for each customer’s order by upselling and cross-selling your tour products is even more important to you than it is for other businesses.
Upselling is an opportunity to enhance your customers’ experience. Think about what complementary products add value to what they’re already buying. For example, it can be a VIP lunch, hotel pickup or camera rental.
Your booking software should allow you to have full control over how extras are charged – whether your customers can choose the quantity, or it’s limited to one extra per order, or if the extra is charged for each item or person booked.
While you may argue that yours is a ‘novelty’ product, it’s imperative to drive repeat bookings.
Why? Consider this:
Getting past customers to come back is another challenge that tour and activity operators face. Research conducted by Sumall found that you should promote repeat business by:
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