Cross-selling is a technique that consists of showing related products on a product page to catch the customer’s attention and get them to make a purchase related to the item they originally chose.
Example: I want to buy cardboard boxes for a move. When I reach the type of box I need to pack my things, a series of related packing items appear: box cutter, tape, bubble wrap, etc. This reminds the user not to forget the items they need to pack and protect their belongings, besides the boxes. That’s cross-selling: we increase the sale value while also giving the customer added value by helping them get everything they need for optimal packing.
For a good cross-selling approach, it’s essential that the related products are closely linked to the main product being shown.
Add value for your customers and your company with cross-selling
Then there’s upselling. This means prompting users to change their purchase, that is, encouraging buyers to choose a more expensive, higher-end product to increase the profit from the sale.
Example: a user adds a mid-range digital camera to their basket, but is shown images of higher-end cameras highlighting their advantages over the one already in the cart.
The goal, of course, is for the customer to swap the original item for the suggested higher-end, higher-priced one, increasing the store’s profit while the customer benefits from a discount or some added value for making the switch.
Upselling can be achieved through promotions such as offering a discount on the higher-end item if the customer changes their mind, a discount coupon for future purchases, or a free related item with the higher-end product.
Make sure everyone wins when upselling
Both concepts share an underlying idea: the transaction should benefit both sides, and the exchange should work for everyone. If we think of it as a trap for the customer, we’re mistaken, since the customer is likely benefiting from a promotion, a price below the product’s value, or a free add-on because the online store has designed an offer around that sale.
In short, well-planned, well-executed cross-selling and upselling offered to the right customer ends up building loyalty. On the other hand, poor planning or targeting the wrong customer has the opposite effect, driving the customer away.
You need to listen to customers and talk to them through the channels you have, so the product offered in both sales approaches matches their needs. That means choosing a target audience and a well-chosen offer, and planning the execution carefully, bearing in mind that doing it indiscriminately without a well-defined target is a mistake.
Do you use these tactics in your eCommerce? Were you familiar with these sales concepts? As always, we hope we’ve given you information you can put into practice to improve your online store’s sales.
