Cross Selling: The Art of the Up-Sell

Cross selling is offering items to your customers that complement or enhance their originally intended purchases. Some people call it up-selling. “Oyster” “Erster,” whichever you call it cross selling adds both volume and margin to your sales.

We experience cross selling every day online and off. Remember the last time you went out to dinner and the waiter let you know about a new Cabernet that would go wonderfully with your meal? Perhaps you ordered the wine, even though you were originally planning to just have water. Or, what about the damage waiver on your rental car that covered absolutely everything, protecting your own insurance deductible and rates? Maybe you didn’t know they offered this protection until the sales rep told you about it, and you were happy to have it. These are just two examples of cross selling in action.

There is an art behind effective cross selling, and it’s important to strategically plan your cross selling efforts to avoid counterproductive results.

Cross Selling Tips to Increase Sales

Here are a six cross selling tips to optimize your website for cross selling.

1. Know your customers and why they are coming to you and what their needs are, then match your products or services to their needs. Cross sell to create solutions.
2. Create linkages between your products in your copy and images so there is a logical and consistent relationship between all that your company offers online.
3. Start your cross sell ideas with one or two relevant items to avoid overdoing it and causing confusion.
4. Plan your cross sell copy and placements carefully. Carefully placed embedded links can be very effective but do not draw attention away from your main products. You want to compliment, not compete.
5. Bundle and package logical items or services together and consider offering a discount to make it appealing to the customer.
6. Use web content that will help you cross sell. Strategically selected customer reviews and professional referrals will entice the reader to make additional purchases.

Take a gander at Jack Aaronson’s article on “Effective Cross Selling Online.”

Traditional (non-Internet) Cross Selling Ideas and Techniques

Keep in mind that even if your business is predominantly online, there are many customer interactions that come out of web-based inquiries…

It doesn’t matter if your business is conducted online or offline, you’ll need to provide training to your representatives to ensure consistency and effectiveness, and to guide them into becoming ideal cross selling employees. It is important to have your staff cross sell tactfully, at every logical opportunity, and in a way that is not offensive to the customer. Cross selling should be viewed as a customer service interaction. It should add value.

When training your staff on effective cross promotional methods, focus on these important behaviors:

• Identifying and answering the customer’s need before any cross promotion is attempted.
• Focusing on matching customers needs to products and services that can help them, versus a forced sales pitch.
• Picking the right time. When the customer is trying out a product, and has finished asking questions, it is a good time to introduce other, more premium products or services. For example, if they are looking at the bottom-of-the-line auto insurance policy, once they understand what the policy includes you can point out that a more premium policy will cover more, and give a few specifics. This is called “up selling.” Another tactic would be to offer a bundled discount for adding their homeowner’s policy. If you are in a business that sells warranties, wait until after the purchasing decision has been made by the customer.
• Promoting only relevant products and services.

Avoid the Pitfalls of Cross Selling

You run the risk of losing your customers in the sales process if you don’t implement cross selling techniques properly. Online customers are easily distracted, and they will quickly get frustrated and lose patience with a cumbersome check-out process. If people get confused online - or get sidetracked - they might not close the sale and may abandon their order altogether. Obviously not the result you want.

Follow these tips to avoid the common pitfalls of cross selling:

• Don’t promote irrelevant products and services. Doing this shows your customer that you don’t understand their problem or need, and creates a less personal relationship.
• Avoid using scripted dialogue. People turn off instantly when they realize someone is reading what they are saying or it is contrived. Build trust and relationships by keeping it real.
• Stop when they say “no”. Don’t keep pushing. Annoyed customers are not satisfied customers.

Excellent article on this topic by Jamie Roche: “Cross Selling Hazards”

There’s Always a Way To Cross Sell

Take advantage of cross selling opportunities because it’s a powerful, effective, and inexpensive tool you can use to improve your bottom line. No matter what your business, there are always creative ways to cross sell products in which you can create a win-win situation for your customers and your business. Customers will be pleased with your service and attention, and you will reap the rewards of a fully optimized (and profitable) promotional strategy.

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