Cross selling and upselling are proven ways to boost revenue, but some individuals are not really aware of the many positive reasons why they should bother with cross selling and upselling. Whether you are focusing on lead generation or selling products online, there are actually several benefits you can get when you engage yourself with these selling options.
These benefits include the following:
- Increase customer Life Time Value or LTV significantly
- Increase Average Order Value or AOV per customer
- Increase revenue
- Collect higher leads
- Increase profit
Discover how each of these methods can help increase revenue across the board for your business through the infographic below.
How to Boost Revenue with Upselling and Cross Selling Infographic Summary
What is Actually Meant by Upselling and Cross Selling?
Upselling is when sellers entice clients to spend more money by suggesting a higher rate or price alternative of the present consideration. Cross selling, on the other hand, is when you suggest your clients to purchase a product complementing their present purchase, but from a different vendor or category. This can either be one of the ways that follows:
These include added services like tech-support subscriptions, product training and protection plans. Studies revealed that when you analyze several price-points, factor cost conditions and risks, you can raise profit by up to 40%.
When two or more items or products complementing one another are put into the cart fro check out or product page, this is called bundle sales.
Powerful Techniques to Get the Most of your Cross Selling or Upselling Efforts
If you want to get higher revenue and make the most of you cross selling and upselling efforts, the following techniques can help you:
- Clients are more likely to purchase when both individual product and bundles are available.
- Showcase options that are slightly highly-priced than the immediate view of visitors
- Provide your prospects with obvious inconvenient options so that they can pick the obvious and convenient option that works. Plenty of choices can be overwhelming and paralyzing resulting in no good choice made at all. Research shows that shoppers are utilizing the internet when researching their purchases and making sure that they are getting the best value out of their buying decision. Based on psychological bias, also known as Overconfidence Effect, most individuals stick to their original decisions.
- Add complementary items or products on check out. Predictive intent’s research revealed that showcasing cross sells on check out actually increase sales by 3%.
Make sure to automate upselling. If you will enter your upsell products manually, then scaling is somehow impossible and this will never adapt to the browsing behavior of your customers. There are tools for effective automation that you can use such as Conductrics, InfusionSoft, Adobe Marketing Cloud, Evergage, Blue Hornet, HubSpot and many more.
There are still many essential things and aspects about cross selling and upselling that you need to know and learn more about. If these selling options are done the right way and the proper tools and techniques are utilized, the there is no doubt that you can generate higher revenue out of all your efforts. Cross selling and upselling can greatly benefit you in many ways if you know how to tap on the power of these options.
Infographic source: QuickSprout