Every business/brand’s eventual goal happens to be selling more and more of their goods and services. The competition in the market is constantly increasing and new plans of how to sell more are being devised every day too. From using 1800 toll-free numbers to making use of IVR solutions creatively in marketing, business owners do every bit to increase sales and grow. But throughout this evolving market having a foolproof strategy that works in every situation is very crucial. Given below are a few well-thought-out cross-selling and upselling strategies along with bundling tips that will help you in selling more for your business.
What is cross-selling?
Has a restaurant ever asked you if you want fries as well with your hamburger? And you promptly replied yes! Well, that is cross-selling. Cross-selling is a technique in which you persuade the buyer to buy a product related to what they have already bought. Many e-commerce websites use this technique to promote and sell their products. If you buy a shirt from them they will suggest you buy a pair of pants too. Suggesting to buy a product related to the already bought product intrigues the customer and most of the time they end up buying both just like you end up buying fries.
Cross-selling has proved to be a cunning strategy for most brands. Several big e-commerce platforms hs previously mentioned cross-selling to be a promising strategy. As per Business Standard, even banks are now opting for the strategy of cross-selling. So what’s stopping you from utilizing the cross-selling strategies given below?
How to cross-sell?
- Look through previous purchases
The best way to start working on cross-selling is by analyzing the previous products and services bought by your customers. In case your customer has frequently searched for sling bags or sneakers then you will get an idea that they are interested in these two products and can show them various options in the same. Providing them with the best of options might as well result in multiple buys. Previous purchases will also help you determine your customer’s interests and according to them, you can offer them more goods and services that might interest them.
- Give exciting discounts and offers
Who does not enjoying shopping especially when they are getting huge discounts? Would you buy a tee with a 20% discount or 2 t-shirts for 50%? I am guessing it’s the latter. If you want to sell more with cross-selling then you also must dive into better discounts. A bigger discount means more buyers eventually resulting in your profits. The very same way giving offers to your customers will also encourage them to buy more products.
- Intrigue them with similar interests
‘ Frequently bought together, ‘many people buy these two together. I am sure you must have heard or read these at some or other place. This is a way of making the customer curious. They feel that if other people buy these products together then they must be good or might work better with each other. This way they become interested too in trying those products and tend to buy them together. This is one strategy that will help in leveling up your cross-selling plan.
- Related products
We all get motivated to start working out once in a while and every time we do that we tend to buy a lot of equipment like resistance bands, skipping ropes, and much more. But have you ever thought that initially, did you plan to buy all of these, or did the shopkeeper suggested you buy these for additional benefits? If the shopkeeper or an e-commerce site suggested you buy these together then they effectively used the cross-selling strategy. One way of doing cross-selling is by telling your customers that 2 individual products will work better together. If they are coming to buy a pair of shoes from you then you might as well suggest them to buy a pair of socks.
What is upselling?
Did you ever end up buying an iPhone when you went to buy a simple android? If yes, then you have been up sold. Upselling means persuading your customer to buy a more expensive or better version of a product they have come to buy. The profits with upselling are more. As the customer is spending more from their pocket you are gaining better profits. Utilize the tips given below and make larger profits.
How to upsell?
- Offer value with relevance
You need to see the right place and time for upselling. Also, you must analyze the buyer too. Knowing that do they need to buy better or not holds great importance. Being considerate towards your customers should always be the first thing whenever you are curating cross-selling and upselling strategies. Never forget that a customer comes first. Second and one of the most important things you should keep in mind while upselling is that the product you are offering for upselling should be relevant as per the customer’s need. Customer benefit must be kept in mind while keeping trying to make more money.
- Create urgency
Creating urgency is a perfect way of upselling. You offer a better version of a product your customer has come to buy, offer them hood discounts on it, and end up upselling the product. There is no better way to do upselling than by using urgency. If your customer is at your doorstep to buy a plastic water bottle you offer them to buy a steel water bottle, explain how it will be beneficial to them, and offer them a 10% discount and make it a limited period offer as well Your customer will most definitely buy the steel bottle. That’s how you upsell, by keeping the relevance of the product in mind as well as creating the urgency for the same.
- Free will to pay the bill
Most of the salesmen or sellers make this mistake where they use aggressive upselling and become pushy. Well, it won’t do any good and you will rather end up losing a customer. No one likes being forced. Keeping in mind your customer’s freedom to choose and decide will help you sustain as a good brand in long run. In simple words do not be pushy! Forcing your customer will not only make them uncomfortable but you might as well push them away from your business forever. Be firm while upselling but also give a chance to your customer. Using phrases like ‘rest is up to you’, ‘you know what is best for you’, and ‘final decision is yours’ makes the customer feel that they still hold some power in their hands. This is the only right and humble way of doing upselling.
- Rule of three
The rule of three is very simple. While upselling you give your customers not one but two options that are above the price of the product they want to buy. For example, if you have a customer who wants to buy a 10 rupees pen you give them an option of 20 rupees as well as a 30 rupees pen to explain the difference and benefits of all three. According to two the rule of thirds when 3 options with different price ranges are offered to a customer, he/she is more likely to buy the middle one. This way most of the time you will end up upselling.
What is bundling?
Cross-selling and upselling go hand in hand and so does bundling. Ever bought a package of potato chips rather than buying different packets individually because the package was more profitable? That package was a ‘bundle’. Bundling means clubbing the products together and selling them as a whole. Microsoft is one of the examples of brands that sell products in bundles. You can never buy Microsoft PowerPoint or Word or Excel, you have to buy Microsoft office to get all the products installed. Bundling helps in selling more and eventually gaining more profits. Bundling can be clubbed with cross-selling too. Rather than offering a single related product you can offer a whole bundle of products and can persuade the
customer to buy it instead of an individual product. Bundling is a smart tactic through which you can sell more. While making bundles you should keep the following points in mind:
- Complimentary products
While bundling the products make sure that the products complement each other or are closely related to each other. For example, bundling a shampoo and a conditioner seems ideal as the products complement each other and are closely related too. But bundling a shampoo bottle with toothpaste would not make any sense and neither the customers will be interested in the same.
- Products should be in the same price range
Even though bundling an expensive product with an inexpensive one seems like a good way to make huge profits this is not an effective way. A customer always considers the average price of individual products before buying a bundle. Whenevertoothpaste they will see an expensive product with an inexpensive word they will instantly point it out.
- Sell individual products too
If you are selling a product in a bundle, make sure it is available individually as well. Suppose a person likes a product available in a bundle but is not interested in buying the whole bundle. In this situation, if the individual product is available then they will buy it and if not, they will switch to some other brand for the same. Furthermore, selling individual products give a chance to your customers to compare if buying a bundle for them is profitable and also, increases their options. Always focus on increasing your sales by using different cross-selling and upselling strategies but do not forget to give the best of services to your customers as well. Your ultimate goal should be ‘Sell more, Serve more’. Utilize cross-selling and upselling strategies along with bundling and see your business grow like never before.