What is Upsell and Cross sell? How Ecommerce software incorporates it?

upsell and cross sell

Upselling and cross- selling are the techniques to boost sales which is widely used by ecommerce players. To facilitate this, ecommerce software incorporates this concept in its programming by which it reflects in online store.

As stated on conversionxl.com, “according to Forrester research analyst, product recommendations are responsible for an average of 10-30% of Ecommerce site revenues.”

Amazon had reported way back in 2006, that 35% of its revenues are from the efforts of cross-sell and upsell.

Upsell: It is the technique by which customers are prompted for the higher end products in context to which they are browsing for or have bought them from the site. For e.g. if I buy diamond earing from a site, they will suggest me to also buy diamond necklaces by displaying their photos and sites.

Cross-sell: It is the technique by which customers are prompted for the products which can gel with those which they are browsing for or have bought them from the site. For an e.g. if I buy a camera online, they will suggest me to also buy tripod stand or a camera bag.

The Cross-sell products option provides the opportunity to buy additional products that generally go with the selected product. They are displayed at the bottom of the checkout page. You can add an unlimited number of cross-sell products to a product, although consideration should be made for the look and feel for the visitor.

Advantages of Cross-Selling:

  • Increase in average purchase value
  • Higher conversion rates by leading customers to relevant alternatives to a products they are browsing is not the exact one.
  • Increasing the exposure of other related high value items.
  • Increase in customer satisfaction by advising them or guiding them to buy the related products which will be helpful to them.
  • Higher awareness about the why the other related products are offered.

Tips for Cross-Selling:

Offer personalised cross-sell:

The best way to offer personalised cross-sell is to mention the user’s name and or words like ‘you’ and ‘your’.

For an e.g.

Recommendation for you

Or you can use the name of the user

For an e.g.

Maya, you may like these

Such personalised messages, will make user feel that whatever recommendations are put, are placed after understanding my needs and necessities. They feel thankful many a times.

Give competitive motivation:

It can be provided by suggesting the user that what the different user who brought the same products as your also viewed or bought. This will give them a competitive motivation and curiosity of finding out about those other products and its relevance. Many times it ends up in the sell or at least the thought has been incepted in the users’ mind.

For an e.g.

People also bought’

People also viewed

People also viewed after buying this item

People also bought after viewing this item

Keep up with relevance:

This is very important to convince the users’. Because for an e.g. if try to sell potato chips with skinny fit jeans then obviously it not going to work. There should be connection between the products bought/viewed and products recommended. Without that connection or relation, the user is definitely not going to be interested in your cross-selling.

Thus they should be relevant to the products bought/viewed and as well of great use to the users.

Keep in mind user’s budget:

All the users, before starting up with the shopping process have a particular budget on mind. So you can gauge that by the products they are searching and their prices. Accordingly cross-sell the products that does not stretch heavily on their budget. For an e.g. many offer to buy an apartment with an iPhone at reduced cost but it cannot be vice-versa, like if user is buying an iPhone and you offer an 70 lac apartments at 69.80 lacs.  That’s sheer ignorance of the use of right strategy. So give small offers at checkout page and large offers at product page. As these two pages have their own distinct importance from the point of view of users’ psychology.

How cross-selling is incorporated in the ecommerce software?

Before you incorporate the cross-selling feature in a software, the software should have taken following into consideration for the product management:

  • Categories
  • Product attributes
  • Product specification
  • Manufacturers
  • Product details
  • Prices
  • Inventory level

After incorporating all the above parameters:

Cross-sell products:

Align every details of the products like product name, category, manufacturer, store, vendor, stock etc. to the details of the cross-selling products.

Save those details under cross-sell table and then these products are displayed on the checkout page of the shopping cart of the product to which these items were added.

Cross-selling is a very important marketing strategy which are has high chances of success. And no ecommerce can afford to overlook the benefits of these techniques as after all sales matter.

Thus Mart2Web from Sankalp incorporates the cross-selling concept and offers the ecommerce platform which not will sale your products but which have taken all efforts to bring an increase in your sales and conversion.

Author: blogmart2web

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