Up-selling and cross-selling are terms common in the eCommerce industry, and as an owner of an online store (or a future online store designed and developed by the Myk Baxter Marketing eCommerce team) you need to be aware – and have the functionality – to make the most out of these sales techniques.
While the aim is to increase revenue on each purchase, the strategies and UX approaches for each method differ.
Up-selling encourages customers to buy a superior version of a product they intend to purchase, whereas cross-selling encourages customers to buy an additional or complementary product with their purchase.
By finding the right mix of both, you can increase sales and engage with customers in a more natural and promotional way. Even a simple ‘related items’ list can increase sales of those products by up to 50%!
We’ve all been caught in an up-sell before. Whether it’s upgrading from a cheeseburger to a double cheeseburger or spending an extra 300 pounds on a computer to get those juicy top-shelf graphics cards – wherever you buy something bigger or better (or simply more expensive) than what you planned to, you’ve been up-sold.
On the whole, up-selling is positive. It offers you a better deal, better value for money in relation to what you get or simply a feeling that you’ve treated yourself.
On the other side of eCommerce is the cross-sell. This could be an attachment for that new food processor, a pair of AirPods with your new iPhone or a fancy gamer chair to go with that new gaming computer you just paid 300 pounds more on.
Cross-selling online is best reflected as a series of options on the product page or once at the checkout stage. Another technique is to use a related items list on product pages, however these often divert sales rather than cross-sell additional items so you could argue they sit between up- and cross-selling.
Benefits of Up-Selling and Cross-Selling
Up-selling or cross-selling items can exponentially increase revenue on your eCommerce store, as long as the process is easy and intuitive.
When you take the time to consider your product offering, alongside the needs and wants of your target audience, you can create a mutually beneficial relationship that offers real advantages for both the business and your customers.
Order values increase, repeat purchases are more likely and it helps to generate brand advocates who can do more marketing for you locally than any other avenue.
But to find the balance, you need to be sure not to over-promote or try to upsell on products that are below expectations of your customers. This can turn people away from sales, as they see the up-sell as a way to swindle, rather than to promote or support their purchasing power.
To find out how to best approach the process, and create the UX functionality to support up-selling and cross-selling, contact Myk Baxter Marketing today for a hot-fix solution or a full WordPress redevelopment of your website today.
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