Why Your Upsells Aren’t Doubling (or Tripling) Your Revenue

Yash Sharma

Dec '24 • Acquisition/Prospecting/Sales

Most businesses price their tiers like this: $100/mo, $120/mo, $140/mo.

Sound familiar?

The issue is, the buying behavior at these prices is almost identical. This leaves serious money on the table.

Here’s the rule I follow: 💡 Each tier should double your revenue.

Why?

Because 20% of your customers have 5x the buying power of the other 80%. If just 1 in 5 customers pays 5x more, you double your revenue (and profit grows even faster).

Example:

100 customers at $100 = $10,000.
Add an upsell: 20 customers buy at $500 = $10,000 more. Total = $20,000.

Here’s the kicker: this pattern repeats. Upsell those 20 premium customers again at $2,500. If 20% (4 buyers) take it, that’s another $10,000.

Real-Life:

We started at $500, added a $2k tier (20% bought), then a $10k tier (20% bought). Revenue tripled, and profit exploded—with the same team and marketing spend.

The takeaway?

Premium clients want premium options.

What’s your strategy for upselling? Could your pricing tiers be optimized? Let’s discuss below!

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