Consumption Notification

Practical Sales Training™   > How To Keep Your Clients Happy > Consumption Notification

 

 

What is it?

Consumption Notification is all about proactively communicating with your buyers about their usage of your offering and when they might be nearing any limitations.

 

Why does it work?

It works because it can encourage your buyers to upgrade, pre-purchase or buy more of your offering as they are made aware of their consumption. There’s also the added benefit that such notifications are often perceived in a positive light as it can help you avoid negative situations such as running out of time, credit or storage.

 

How can you use it?

If you have a subscription business, or any business where consumption defines the spend of your buyer, then consider communicating with your buyers when their usage reaches a certain amount which triggers a notification / reminder to change their buying behaviour accordingly.

 

Hypothetical Example:

A cloud storage company notices that many users only upgrade after they completely run out of space – which often frustrates them and risks losing customers.

To prevent this, they introduce consumption notifications such as:


“You’ve used 80% of your storage. Upgrade now to avoid running out.”

This proactive approach not only creates a positive user experience by helping customers avoid a problem, but also drives upsells, as buyers are prompted to purchase more before they hit their limit.

Similarly, a mobile network provider might send:


“You’ve used 90% of your data. Add 5GB now and save 20%.”

 

See also