Unless you are constantly innovating and upgrading your products, it is difficult to sell the same products to the same customer several times. Besides, the more a client buys from a vendor, the higher the switching cost is.
The goal for every merchant is to sell more, and we know this is a difficult task. In order to improve your online conversion and client loyalty rates, you must implement many different promotional strategies. Recently we discussed How to Structure an Online Coupon Profitably, and today we will focus on cross-selling techniques.
Cross selling is a merchandising tool consisting of offering similar or complementary products to what the shopper is looking at. Cross selling allows vendors to bundle products, or offer any combinable accessory enhancing the value of the purchase. It gives the vendor the ability to suggest to the buyer more products at the right time. While in the offline world this could sounds rather obvious, this technique can really make a difference for online merchants because cross selling will allow them to imitate a sales person or a personal shopper assistant.
The main objectives of cross-selling are to enhance order completion as well as increase average sale spend due to customers adding accessories or extra products to their original selection. Moreover, many merchants use cross selling capabilities to promote popular items, target high margin products, show to the customers a wider range of goods and as a result trigger impulse purchases.
The benefits of putting in practice cross-selling techniques are clear:
- You can substantially increase your revenue by selling complimentary products in addition to the initial purchase,
- You can increase the lifetime value as well as the average order size,
- You can guide customers throughout your e-store adding value to their purchase,
- You increase your customers’ purchase experience
Suggest to the buyer the right product at the right time.
There are many places in your website to displays cross-selling options: home page, product page, shopping cart view, checkout page or even after the order is done. There are also many different forms to do it: under the product page, in a side banner, as a pop-up, in an extra page before/after the check-out. The best placement will depend on your website design the length of the product page and your customers’ behavior.
Some customers really enjoy cross-selling options because they feel a personal shopper is helping them. However, these techniques –above all the use of pop-ups or forcing your customers to view the cross selling suggestions- can be perceived as an obstacle to finalize the buying process.
Make your add-ons valuable for the customer by:
- Showing relevant products
- Providing enough information (picture, price and description)
- Keeping customers in the shopping path
- Using direct and emotional language
- Not cluttering the page
See an example here:
If you like this article, share it!