Cross selling, or cross selling, is the technique of offering other products related to the item that the consumer wants to buy. Up selling, on the other hand, consists of offer a discount to the buyer to exchange the chosen item for a superior one. Both strategies aim to increase the average ticket of an e-commerce.
There are several sales techniques on the market for the user to reach an online store. Today we are going to talk about two of them that can be applied when the consumer is already browsing your e-commerce and ready to complete the purchase: cross selling Y up selling.
These two techniques aim to increase the number of online orders. And what brand does not have such a dream? Then let’s get started!
What is cross selling?
Cross selling, or cross-selling, consists of offering the consumer products related to the item they want to buy.
That is, by adding a certain product to the cart, the customer can see products from your online store that could interest them since they are complementary to the one they want to purchase.
For example, if you have a business selling video games and your consumer is buying a console, you could offer some attractive games in the shopping cart. This technique generally works best if you offer a discount for the customer to buy both products.
Bonus tip! 💰 The value of the suggested products must be less than the product that is already in the cart. This is going to make the strategy much more effective.
Now let’s go to up selling.
What is up-selling?
ORp selling, or additional selling, is a sales strategy that consists of give the buyer a discount so that exchange the chosen product for a superior one, just before paying for your purchase.
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Let’s look at a concrete example: suppose you have a jewelry business and your client needs to buy a watch. The difference in money between model A, which has more features (such as measuring heartbeat and walking steps), and model B (much simpler) is $2,500.
Your customer is already in the shopping cart, heading to checkout to buy the cheapest model when suddenly a pop-up appears on their screen saying that you offer them a discount of $1,500 to buy the most expensive model they wanted. So which one do you think he’s going to buy?
Many people think that you have to do economic juggling to be able to get a better quality product. In this way, your business raises the average purchase ticket and that is exactly what the up sell is about.
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How to apply cross selling and up selling techniques?
Now that you know what cross-selling and up-selling strategies are, it’s time to understand how to apply these techniques in your online store. Thus, you will obtain greater profitability.
After all, like any action, planning is necessary. Then:
1. Know your audience
This advice is valid for several commercial strategies and, with cross selling and up selling, it was not going to be the exception. But why do you need to know the profile of your consumer to apply these techniques?
Let’s imagine that you are planning to offer an up-selling product that costs $10,000, but your audience has never spent more than $4,000 in your store. In this scenario, going down this road doesn’t seem like a good idea.
Know the purchasing power and consumption habits of your target audience will help you define, not only the prices of your products, but also what is convenient for you to offer in cross-selling and up-selling.
Speaking of pricing, do you need help creating your pricing sheet? Then don’t miss this opportunity!
2. Offer relevant products
Another point to keep in mind when working with these sales techniques is the products that you are going to offer.
It is (very) important that they arouse the consumer’s desire to buy them. In addition, the customer needs to see a competitive advantage when making the purchase, either because of the convenience of buying another useful itemin the case of cross selling, or by have a discount to buy a better quality productin the case of up-selling.
So that you can better understand this idea, we share some good concrete examples for both strategies.
Cross selling:
- If the customer buys sneakers ➡️ you can offer them socks.
- If the customer buys a cell phone ➡️ you can offer them accessories (headphones, selfie stick, etc.)
- If the customer buys a mattress ➡️ you can offer him a pillow.
Upselling:
- If the customer buys sneakers ➡️ you can offer him a superior model.
- If the customer buys a cell phone ➡️ you can offer him one with more memory and better camera definition.
- If the customer buys a mattress ➡️ you can offer him another one with higher density.
Although the cross sell and up sell are two different sales strategies, in this comparison the difference is clearly seen. While the first seeks to add a related and complementary item to the cart, the second promotes the purchase of a superior product.
3. Present offers in the right context
In addition to showing attractive products for cross-selling and up-selling techniques to work, it is necessary to present them at the right times. Let’s take a closer look at the two most suitable ones.
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At the end of the purchase, you can apply both cross-selling and up-selling techniques.
When the customer is about to complete the purchase, they have that last chance to change their mind: they can choose to add a complementary item to the cart or take the opportunity to buy a superior product at a friendly price.
email marketing
Email marketing can also be a great cross-selling opportunity.
After all, it may be that when the customer made the purchase, they may not have had enough money to take advantage of the opportunity but, perhaps some time later, they may be able to purchase the add-on items.
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In this case, you can send them a reminder via email notifying them that, if they wish, they can take advantage of the cross-selling product at a discount.
In the case of up-selling, e-mail marketing does not usually work because, if a person has just bought a cell phone, for example, they will not need another (more expensive) one right away.
4. Personalize the experience
Through intelligent recommendation systems, it is possible to know the preferences of the visitors of your online store based on their browsing data, collected with their consent.
If you have a Tiendanube, you can integrate the service and create personalized UpSell offers (offer your customers an improved or more complete version of the product they are carrying) and CrossSell (offer complementary products to what they consume or intend to consume).
5. Don’t force the purchase
Finally, you have to know when to stop. If you already showed products at checkout, you sent one or two e-mails reminding you of the offer and you couldn’t make the sale, don’t keep insisting. It is better to concentrate on doing a good after-sales job in order to retain that customer.
In this way, you will avoid wearing down the relationship between the consumer and your brand. No company wants, nor does it favor it, to be perceived as repetitive.
If you want to know other ways to convince your visitors to make the purchase, be sure to read our article on consumer psychology:
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Everything understood about cross sell and up sell?
I hope this article has served you as trigger ideas that encourage your customers and increase the value of your average ticket. You will surely have good results!
And if not yet, we invite you to do it now! Try our free platform for 30 days free, and discover a new way to sell online.
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