Successful with value-added services: These 3 influencing factors must fit

“Added value” is on everyone’s lips. There is hardly a product or service that does not promise to offer the customer added value. And that’s a very smart thing to do:
Because by offering added value, the provider sets itself apart from the competition and makes its – often interchangeable – service unique and therefore much more attractive to the customer.

Increase revenue, strengthen customer loyalty – The positive effects of value-added services are obvious: customers are willing to pay a higher price for products and services because they get noticeably more for their money.

As soon as they can actively use the value-added services in addition to the original services and benefit from them, satisfaction with the provider increases significantly.

This in turn leads to the most important point: Convinced customers don’t switch!

Value-added services guarantee success

We at Mehrwerk recognized many years ago that this principle works. As one of the leading providers of value-added services in German-speaking countries, we have now built up a comprehensive portfolio that includes over 400 different value-added services.

Our B2B customers put together exactly the package that suits them, their products and their end customers – and achieve great success with it.

But what exactly are value-added services? And how should they be used so that they make a powerful, sustainable and long-term contribution to the company’s success? These are precisely the questions addressed in this blog article.

The two possible applications: Up-selling and cross-selling

Two models have become established for the use of value-added services. Either they are integrated into existing products so that they are upgraded and can be sold at a higher price. In this case, we speak of up-selling.

Or they are offered in addition to existing products. A commission is paid for each sale. This model is called cross-selling. Regardless of the model in which the value-added services are used, there are some parallels when it comes to achieving success.

How to make the mission a success

Thanks to our many years of experience and cooperation with more than 165 corporate clients, we have been able to identify 3 key influencing factors that need to fit:

1. the value-added service must match the original product.

In principle, a value-added service can be anything: a savings benefit, an extra service, access to an exclusive benefit, additional cover and much more.

At Mehrwerk, we primarily serve corporate customers from the banking and energy supply sectors. Our value-added portfolio therefore includes numerous savings benefits and security services for the home and everyday life.

For a successful application, it is necessary that the added values are directly related to the original product so that they represent a truly meaningful addition.

2. the value-added service must offer a real benefit.

It is one thing to integrate value-added services into an existing product; it is quite another to get customers to actively use these services.

The basic prerequisite for this is the benefit. Whether something is added value or not is a very subjective decision: Only if the additional service is actually relevant for the customer will they see added value in it.

Customer orientation is therefore a top priority even before the value-added services are introduced in order to achieve the desired effect.

3. the value-added service must be easy to use.

Customers are used to having things made easy for them. Of course, this also applies to the use of value-added services. Nobody wants to go to a lot of trouble, so it has to be as easy as possible to make use of them.

At Mehrwerk, for example, we set up web portals and associated apps on behalf of our B2B customers so that their B2C customers can access them anytime and anywhere in just a few seconds.

In addition, clear communication and strong marketing are also essential. Only if the end customer knows exactly what they need to do and when in order to take full advantage of their benefits will they be happy in the end.

If these three aspects are taken into account, the course is optimally set for the successful use of value-added services.