Demand Rating™ in the Real World—Up-selling

Posted by: Matt Shanahan

Up-selling is another important play in the subscription revenue optimization game.  When should you run that play?  Again, Demand Rating™ provides new insight, offering quantitative indicators for when sales should pursue an up-sell opportunity.

Recently, we spoke to a publisher that offers a subscription service to both corporations and individuals.  Corporate subscriptions are driven by a corporate sales team that sells a premier service offering, while individual subscriptions are distributed through membership in a key professional association.  The publisher had a hunch that if individual subscriptions being used inside a corporation could be identified, then they could up-sell a corporate subscription.  Unfortunately, the publisher had no way to quantify the potential opportunity or take advantage of it.  Enter Demand Rating.

The publisher will identify individual subscriptions used from within target corporations by grabbing the domain name associated with access.  Since each individual has a demand rating and the demand ratings of all individuals from that corporation can be aggregated, the aggregate rating serves as an indicator of overall demand within the corporation.   The new rating of target corporations arms the sales team with critical information.  First, prospects can be qualified and ranked by the aggregated individual demand, helping the sales team to know where the low hanging fruit might be.  Second, the quantitative data can be used as a part of the sales process, offering proof of need to the decision makers.

Converting individual licenses to corporate licenses can be highly lucrative and very strategic.  The organization is also considering a seeding partnership with the association to further take advantage of the opportunity.

About Matt Shanahan

Matthew Shanahan brings Scout Analytics nearly 25 years of experience in the execution of business transformation. His specialties include business model innovation and new market development.
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