In other words, having a primary, a
secondary and possibly a tertiary
spend. A tertiary spend is something
people will buy after they’ve bought
a secondary spend. For instance,
a paying member (primary spend)
has bought a nutrition program
(secondary spend) and then they
buy food to go with it (tertiary
spend). This means that value of the
sale (i.e. the yield) is now higher.
will increase the possibility of the
prospect achieving their desired
result quicker, easily, and for longer. how you can position yourself as the
expert or the authority, and show
them you can help.
Of course this sounds great in theory,
but a lot of people try to do this but
fail. The reason is often because
they try and get the primary sale
and then upgrade later; but this is
a mistake. Because once someone
perceives the value to buy, they
want to get started now and they
don’t like being upsold later. Selling
later then becomes a difficult task
for a salesperson, and most often
what becomes difficult doesn’t get
done! Continuing to
do sales in the old
fashioned way is
slow & laborious,
and trying to
upsell or cross-sell
later is not usually
met with positive
reactions from
customers. Be warned however. You shouldn’t
introduce secondary or tertiary
spend purely as a way to increase
income. The secondary or tertiary
spends must help your customers
get their desired results faster or
more easily, and sustain their
outcome longer because it only
works if it offers value. If you have
the right intention, to help people
get better outcomes, they will buy.
People like to buy things that get
results but they don’t like to be sold
things that merely have a possibility
of helping.
It’s also absolutely essential that
everyone knows the products well
and has a clear understanding
of how great the secondary and
tertiary spends are, and how they So when you first speak to the
person, make sure you ask a lot of
questions, to pin-point exactly what
needs or problems they have, which
you can provide solutions for. This is
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Here’s an interesting fact: People
who spend more at a facility will stay
longer because there is more reason
to stick around! For example, “I have
a membership at a club, but I am
also getting great nutrition advice,
and massage services, and I’m also
able to get food or supplements all
at the one place, which means I
don’t have to go elsewhere else!”
WHAT’S NEW IN FITNESS - AUTUMN 2019
Another fact: If you have a
secondary or tertiary spend
included in your presentation then
you’ll always have a higher yield,
and if they don’t want to buy any
extras then you simply drop-close to
your primary spend.
As previously mentioned, if people
spend more then your retention will
increase. If they’re getting a great
result and seeing value in the other
things they’re buying, they’ll stay.
A future trend.
It is believed that the primary spend
will eventually be a lost leader
(i.e. prospects will say “oh well, I’ll
get that anyway”). In this future
scenario, the secondary and tertiary
spend become an important part
of a business’ profit. For example,
if a prospect’s main goal is to lose
weight or get bigger or stronger,
and the other products they can
buy from you and use at home or
in addition to your membership will
help them get a result faster and
keep the result for longer, then they’ll
be happy to buy and they’ll feel
more satisfied and will tend to stay
with you a lot longer. they won’t have to go anywhere
else to get what they need.
We use a VCQP model where V
stands for “value” and C stands for
“convenience. The V and C are both critical in
order to shorten the sales cycle (i.e.
speed up the closing process), and
increase the reason for people to
buy into your business. (i.e. join).
These factors reduce the perception
that people are being “sold do” and
instead they’ll just feel like the
options are of the utmost
convenience and value, and in a
package that cannot be purchased
anywhere else.
Value refers
to you positioning
yourself as the
expert and
showing prospects
that you are
different to
everyone elses.
Convenience is a powerful factor
in the decision making process, so
if you have a secondary or tertiary
spend then you can present that
as being exceptionally convenient
as they’ll achieve their results a lot
easier and more quickly because
WHAT’S NEW IN FITNESS - AUTUMN 2019
Here are 10 reasons to have a
secondary and tertiary spend...
READ PART TWO >>
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