Increasing tour revenue

How to use upselling opportunities to increase your revenue

Posted by Sara Napier Burkhard on May 8, 2017

While tourism is all about experiences, sales are still important for any tour or activity company. Customer satisfaction is crucial, but sales numbers can't be ignored either. Increasing your revenue is sometimes as simple as offering a few extra features or services to your customers. 

Today, we're going to look at three examples that can help tourism professionals increase their income.

Sales and vouchers

1. Discounts

One of the oldest promotions in the book is a discount. From retail purchases to a cup of coffee, most businesses offer a discount of some sort. Depending on the services, the most common range is between 10-20%. For a tour ticket price, this could mean the difference between a booked activity and a search of your competitor's prices. 

Military discount: Most businesses like to show support to their brave servicewomen and servicemen. You'll build trust and notoriety among the community and send the message that their business is always appreciated. 

Children/Group discount: As we highlighted in our 2017 Travel Trends Report, multigenerational travelers are on the rise. The family vacation is revamping and businesses need to be prepared for that. One thing that is keeps customers away is the cost of buying tickets for the whole family.

A ticket at $35 might not seem much for two patrons, but add three children, a set of grandparents, and maybe a family friend or two to the bill and it becomes expensive. For a family planning a vacation, a group or family-oriented discount could make all the difference while planning activities.

Senior citizen discount: This is a discount for customers who are in the retirement age (or 55-65 and over). Seniors are often living on a fixed income, but even if they aren't, you send a message that they are respected in your business. This is a market that's valuable, as they often play a major role in how family vacations are booked. 

 

Read: 2017 Travel Trends Report

 

2. Add-ons

Every business has them. At your favorite fast food restaurant, it's the fries and the drink. In a clothing store, it's the hair accessories and lip balm near the register. For a tour company, it could be something as simple as a bottle of water or even some form of accommodation. Add-ons are a great way to increase your earnings.

That's not to say they should be empty. Anybody can throw on a few extra ticket items, but you want yours to add value to what you're already offering. If your add-ons are good quality, people will not only grab them when they book a tour, they might go out of their way to book with you next time just to have that special feature again. Here are some great examples of what that behavior could look like for tour and activity companies:

  • Offer special lunches for a hiking adventure
  • Serve a tapas meal to go with a wine-tasting tour.
  • If you're talented with night photography, offer a course during a stargazing tour.
  • Sell sunglasses or goggles with your logo.
  • Rent out equipment with customizable features.
  • Offer a sunrise yoga class at the best vantage point of your location. 

In the end, only you'll know what a good add-on looks like for your business. The key is to find your side of fries.

3. Vouchers & gift cards

Vouchers and gift cards have been a valuable tool to businesses for decades. In recent years, the industry has reached an all-time high. In 2016 alone, more than $40 Billion went towards gift cards and vouchers, according to a report by Packaged Facts.

Some customers may be less willing to try an activity like paragliding or white water river rafting themselves, but they might have a loved one who's interested. This offers a steady and realistic stream of additional revenue for your business. Since the idea of gift vouchers has become so common, it's not hard to think of seasonal campaigns around your gift card offers.

 

Want to know more? Tune in for our webinar this Thursday at 18:00 CET to hear more about your best upselling opportunities.

Sign up here.

Upselling opportunities

 

 
Sara Napier Burkhard

Written by Sara Napier Burkhard

Sara is a writer from the American West Coast. In recent years, she's written for companies like Hipmunk, iTourMobile and Mylikes. She now resides in Zurich, Switzerland where she finds new adventures and attempts to speak German with minimal success.

Topics: Marketing tips

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