When it comes to maximizing sales for your online store or bumping up your profits, most eCommerce entrepreneurs and marketers often skip indulging in eCommerce cross-selling techniques.
Although an effective method to boost sales, eCommerce cross-selling is not given its due recognition.
In this article, we are going to talk about how eCommerce cross-selling and the wonders it can do for your online store.
What Is eCommerce Cross-Selling?
According to Oberlo:
eCommerce cross-selling is the practice of boosting the purchase of another product in combination with the initially selected product.
For example, if a customer has just purchased a digital camera, cross-selling would encourage that customer to purchase a memory card and/or additional lenses.
Cross-Selling = Final Product + Added Product
Cross-Selling is a very common strategy and practiced almost every day by every organization, big or small.
Even in fast-food restaurants, you are always asked if you want fries to go with your cheeseburger. Well, that’s cross-selling at its very best!
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Benefits Of Cross-Selling
Simply put, cross-selling maximizes both returns and revenue by way of selling extra products.
However, an augmented sale is just one of the many advantages of cross-selling.
Let’s discuss this and all the others in greater detail.
- Sales augmentation – eCommerce cross-selling helps boost revenue by encouraging each client to buy additional products with every order.
- Cost optimization – Selling additional or related products in the same order helps optimize costs.
- Increased client loyalty – Suggesting accessories or related products with every purchase helps boost customer loyalty. Client satisfaction can directly be related to customer loyalty.
- Better customer understanding – Cross-selling helps you analyze customer behavior and sales pattern and formulate a sales strategy that helps boost sales.
- Boost sales of ‘lesser-known’ products – Suggesting ‘lesser-known’ products with popular products helps both boost sales and mobilize inventory of those products which might be less popular.
Effective Cross-Selling Tips
eCommerce cross-selling is a tricky business and takes quite a lot of analysis and skill to implement it.
You risk losing the customer if you seem to be too pushy. On the other hand, a subtle approach ensures that the customer is offered just what they need and not put off by your strategy.
With this in mind, here are some tips to help enhance the effectiveness of your cross-selling strategy.
Tip #1: Use Drip Emails
Pushing every new customer for an additional product is always not a good idea.
Sometimes it is best to wait for a couple of days and then reach out to the customer by offering accessories or related products concerning the last product purchased by them.
Yes, you could go the conventional way and follow up manually through an email marketing campaign. However, in this case, a drip-email campaign will work wonders for your business.
Simply put, a drip-email campaign, ‘drips’ (sends) pre-written messages to select customers over a period of time.
Let’s consider a client who just purchased a web design package. As the next step, add the customer to the dri- email campaign list and send him a series of emails over a period of time.
You can introduce the customer to copywriting services in the first email, results that some of your clients get from your copywriting services in another, and finally, make an offer in the third email.
This approach gives the customer the time to analyze and digest the information you shared rather than immediately trying to push the customer with additional service.
The series of emails help you explain the benefits first without coming off as too aggressive. A drip email campaign assists you by automating the entire process thereby saving time and efforts.
Tip #2: Deliver First
Let your work speak for itself. Work with the client project for some time and deliver as promised.
Once you can establish your capabilities by meeting your promises and deadlines, the client will automatically be more willing to invest in the additional services that you are offering.
Use this initial time to establish a meaningful relationship and even work towards crafting a more personalized plan tailored to suits their needs.
Nurturing relationships will help you understand the needs of the customer, areas that require or have the potential for improvement, and the success areas.
This in-depth analysis will help you work better in tandem with the client’s interest and cross-sell products that the client requires.
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Tip #3: Match Services With Goals
Always trying to cross-sell without keeping the customer’s best interest in mind is sure to backfire sooner or later. On the contrary, try and understand the client’s needs and how your additional services could help them.
For example, convincing a customer to create a brand new website even when they do not need one is not praiseworthy.
Yes, web design may still play a role but factor them into your entire package. Offer judiciously and demonstrate how each service would help meet the desired results.
In such a situation, you are just not trying to cross-sell to maximize your sales but also adding value and fulfilling the requirement of the customer.
How To Go About eCommerce Cross-Selling
1. Propose Additional Services
Let us assume that you are in the business of selling sportswear online. The best strategy for eCommerce cross-selling here would be to offer sports socks along with sports shoes. Or gym gloves along with dumbells.
2. Provide Bundle Sales
‘Bundle sales’ is another classic strategy to make a cross sale. Amazon, the leader in eCommerce cross-selling often makes use of this strategy by offering a bundle of products in the “Frequently Brought Together” section.
Various bundling strategies include:
- Bundle by product
- Bundle by collection (commonly referred to as a mix and match strategy)
- BOGO style bundles
- Component + assembled bundles
- Linked or forced bundling
3. Data-Driven Suggestions
It is always a rewarding habit to analyze and study the browsing and purchase patterns of your customers.
For instance, keep a close watch on how often the customer visits your eCommerce website, how much time they spend reading your blogs, and how frequently do they browse for similar products.
After carrying out a detailed analysis of the past and recent behavior of the customer, it is always a rewarding idea to approach the client with your PPC services.
Many CRMs like Hubspot help monitor website activity of customers
4. Pitch Promotion
The promotion of any of your services is the best suited time to cross-sell to an existing client. Pitch promotion is regarded as an attempt to highlight the on-going offer rather than targeting a customer to sell additional products.
5. Work With & For Your Customers
Every customer may not be able to fully comprehend the value of your bundle services. Working with and for the client, serves a dual purpose.
Along with with the regular services provided, consider the distribution of ebooks, and the sharing of related blog posts.
Let your customers understand the value addition you are capable of making. Once the customer understands this, they will more likely be open to cross-selling.
eCommerce cross-selling is vital to the recurring revenue of any organization. However, knowing when to cross-sell is probably as important as knowing how to cross-sell.
Cross-selling at the wrong time can cause more damage. In some cases, it may even permanently damage your reputation with the client.
Having said that, no cheat sheet dictates the rule of cross-selling! The golden rule is to cross-sell when the additional sale makes complete sense.