Magento store owners have enormous opportunities to promote their products and increase their income as a result. There are two main methods: either encouraging a customer to buy a more expensive product (upsell) or persuading them to add additional or related positions into a check (cross-sell).
Of course, the upsell is not always available and has its limitations. For example, a client may have already bought the most expensive product. Therefore, the most effective way to increase the average check and raise revenue is a cross-sell.
What is a cross-sell?
The essence of the cross-sell method is to sell an additional product or service. You create such conditions under which consumers will spend more money. If a person has already agreed to buy something, he morally decided to spend some money, which is just a matter of the amount.
So, let's take a closer look at the cross-selling technique. The cross-sell technique is not to sell off another product after the already purchased one. Instead, it is well-planned advice or a complete solution for improved usage of the purchased product.
Key principles of cross-selling
By following these five principles, you can effectively organize the process of cross-sales:
- Know complementary products.
- Do not impose the goods.
- Display relevant products.
- Focus on the price of the main product.
- Offer discounts.
At the same time, as a buyer chooses the product, the seller should already know what to offer as an add-on, based on the client's preferences, relevance, etc.
The store's task is to offer options for the client that may be useful and interesting for him but, by no means, be too intrusive. People say that compulsive selling is a sign of too poor service. Therefore, allow the customer to make their own purchasing decisions.
Help the client by offering him complimentary products for purchase. Visualizing possible options can be more useful than ever because it is better to see once than to hear many times.
Offer additional purchases at the best price, but no more than the main product. It is logical to offer a cover when buying a mobile phone, and not vice versa.
Do you like to get gifts? We do) People love bonuses and other additional discounts. Sometimes a discount offer can be decisive for the purchase of different items. Just imagine that a customer buys a laptop or a smartphone and gets a reasonable offer to purchase a premium cover with a 20% discount. Who would refuse such an offer?
A good offer should be interesting, specific, and well-timed. You can specify goods for cross-selling by any possible connection.
Cross-selling product ideas:
- related products
- goods based on previous purchases
- popular goods / seasonal goods
- special offer
Goods that you can buy in addition: with the purchase of a school backpack you offer stationery.
These can be products that we usually use in pairs: batteries for toys, brushes for paint, glue for wallpaper, etc.
This category may include Christmas accessories, car tires, gardening tools, seeds, etc.
For example, we need to sell out a stock of faucets, and we will add them as a recommendation to a best-selling product - sinks with a 10% discount.
For promotion, stores use various products, even those that belong to different categories and are in no way related to each other.
The benefits of cross-selling are:
- it is a profitable method of promoting goods that do not require additional expenditures of money;
- customer loyalty increases because customers buy the right products and also saves on delivery;
- website visitors learn more about your product range, so there is a good chance that they will come back.
Cross-sell: automatic setup for e-commerce
According to Marketing Metrics: the definitive guide to measure marketing performance, the probability of selling to an existing customer is 60-70%, while the possibility of selling to a new customer is only 5-20%.
Owners of online stores based on the Magento platform won't have to rack their brains over installing an additional sales system. A plugin can do everything you need. The Post-Purchase Upsell module by Mageside offers many opportunities for cross-selling and upselling sales for the Magento store. Quite often, buyers lookout for additional items to the chosen product to avoid paying several times for delivery.
You can save time and money for your customers by making an offer. To do this, you need to implement the PPU extension. Let's discuss it step by step.
For example, a client decided to purchase leggings.
Step 1. The customer selected the workout leggings, went to the checkout page, and paid for the item.
Step 2. In the next step, she will see a page with additional suggested products. For example, it is a backpack, a foam cushion, and endurance watch, or other accessories to complete a sporty look and help play sports.
The admin of website sets the rules for interaction with additional products via module. And there are many options to implement. And, of course, the admin can extend the purchase chain even more. From the admin panel, you can set up more offers for the client, for example, to purchase some extra accessories like sports bags, water bottles, etc.
But the most important thing is that the client does not need to enter his payment info every time separately to purchase. This way, the buyer could add items to the order because she can save on delivery.
And the store thus advertises its products and even increases the average check. As you can see, this extension offers a golden opportunity for the client and the Magento store itself.
You know that it is better to try once than to read about it many times. Don't waste the chance. Try all the charms and advantages of such great functionality for the Magento online store.
Additional sales are a very effective way to increase store revenue, but certainly not the only one. Therefore, stay tuned to read about the methods for increasing profits in our next articles. We wish you to have a high conversion rate!