Uncover some of the secrets to cross-selling success
Cross-selling offers an opportunity to increase customer value and satisfaction.
Yet, cross-selling initiatives are not without risk. Push it too far, and tactics can appear pushy, alienating customers from a brand.
As such, it is critical to cautiously approach cross-selling and consider the suggestions that come after this bit-sized definition.
Cross-selling refers to the selling of complimentary items or services to a consumer based on their interest in, or purchase of, a product.
The initiative often proves to be an excellent method for boosting client loyalty and enhancing engagement, which may increase customer lifetime value.
However, several factors can influence the success of cross-selling initiatives.
First off, the choice of products that the support team chooses to cross-sell is critical. Understanding those that high-satisfaction customers often buy in tandem is helpful here.
Then, agents may inform consumers about what others are purchasing, stimulating the customer’s inherent interest in exploring new products.
Product bundles offer another option for cross-selling. Frequently, products come in logical pairings, such as a phone with a charger or two items of clothing.
Offerings that require maintenance, such as automobiles, computers, exercise equipment, etc., are ideal for cross-selling (with servicing working as an add-on).
Finally, consider relevant additional services. Discounted product combinations, free shipping, etc., might entice customers to purchase more.
Cross-selling requires a strategy to maximize its potential. When developing the best approach, businesses may consider the following six best practices.
Understanding the distinct customer segments allows cross-sells that correspond to the preferences of each group.
By analyzing existing data, conducting customer interviews, and monitoring user journeys, businesses can gain a deeper understanding of how various groups utilize their products.
Moreover, they can get to grips with each segment’s most significant challenges and the additional offerings they may value most.
As such, businesses often map their goods and services to each one of these buyer segments, or sometimes personas. Doing so allows them to tailor interactions with existing customers and advocate the most appropriate cross-sells.
The distribution of a reward or incentive may boost the cross-sell conversion rate.
For example, many eCommerce companies provide free delivery if the customer spends more than a particular amount, enticing consumers to purchase more.
In other arenas, offering additional services such as warranties opens up another potentially fruitful avenue for cross-selling.
Before attempting to sell a customer an extra service, it is sometimes preferable to delay by a few days after starting a new business relationship.
Instead of manually following up through email, some businesses opt to automate the process by creating a drip campaign.
Take, for instance, a client who orders a web design package from an agency. The organization might enroll them in a drip campaign that alerts them to the significance of copywriting in one email, the potential outcomes of copywriting solutions in another, and an offer relating to copywriting services in the last email.
By sending a chain of emails, businesses may explain the advantages without appearing pushy.
Businesses may offer personalized cross-sell recommendations by analyzing a customer’s purchase and interaction history.
There are also other sources of data, such as website browsing, social media, and third-party data. By harnessing this in the CRM, agents may uncover that a client has been browsing the company website, reading blog posts on its services, and downloading relevant eBooks.
With this information, agents may make an informed, direct cross-sell pitch.
Many CRM solutions, such as HubSpot and NetSuite, can link online activity to customer databases and make it readily available to contact centers.
User-generated content is one of the most credible categories of product marketing and promotion. For this reason, businesses often collect instances of actual consumers using their goods and post them on the internet and social media as customer testimonials.
In sharing these customer stories, companies can bring items that pair well together into a broader focus.
Such a strategy is easily accomplished by collecting customer reviews, product rankings, and testimonials from customers who have previously bought premium items.
By showcasing these testimonials, buyers may be more inclined to learn more about the suggested items.
If an agent attempts to sell to a customer at the incorrect moment, it might damage the relationship or perhaps nullify the transaction altogether.
Unfortunately, no one method or guideline defines the optimal moment to cross-sell.
Yet, by understanding the core objective of cross-selling, which is to convince a consumer to acquire a service that complements and further enriches their first purchase, it becomes much easier to time the transaction appropriately.
Simply said, cross-selling is most effective when the deal makes sense. Some sales may go well quickly after a customer’s sign-up or first purchase, while others are better left till late into the relationship.
Cross-selling techniques may evolve. As such, it is essential to monitor the outcomes of cross-selling initiatives to determine what is working and what is not and to adjust it appropriately.
Yet, first things first, start by defining the cross-selling strategy’s objectives: what would success look like for? Is the goal to enhance the client experience, boost lifetime value, or raise product awareness?
Plan the message and agent narratives, creating materials to promote cross-sell alternatives and maximize every opportunity.
Interested in learning about upselling too? If so, check out our article: Improving Upselling in the Contact Center