Metric of the Week: Upsell Conversion Rates

What Is This Metric?

Upsell conversion rates track the number of purchases that customers make above and beyond the initial product they set out to buy.

This is particularly relevant to e-commerce companies, although all types of companies can and should offer upsells after customers purchase their products and/or services.

Why Should I Care?

The additional marketing costs of making an upsell is generally zero.

As such, upsells can dramatically improve a company’s profitability.

What Does It Look Like?


The percentage of customers who take your upsell(s) [also known as the “take rate”] will change over time. You should track this change as well as track the dollar value per customer in upsells that you generate.

The take rate of certain upsells will decrease over time as offers get stale. By tracking this metric, you’ll know when to change your upsells. Also, if the upsell take rate is extremely high, you may consider increasing the price of your upsells to further increase your profits.

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