Cross-selling is a sales technique that helps increase sales that is widely used today. According to Forbes research, up to 59% of customers are willing to spend more money to use Cross-selling services. In the following article, Viindoo will review with readers information related to the concept, benefits as well as principles when implementing Cross-selling. Follow along with us!
Cross-selling technique
What is cross-selling? Example of applying Cross-selling in practice
Cross selling is a sales tactic that encourages customers to purchase additional products or services related to what they have already purchased or are planning to purchase. These products often complement or enhance the customer's usage experience.
Cross-selling drives sales
For example, at fast food restaurants such as McDonald's, KFC, Lotteria, the question "Do you want more French fries?" is a typical illustration. This is not just a general inquiry but a sales technique that helps increase sales by inviting customers to buy more related products.
In the restaurant and hotel service industry, cross selling is applied to increase profits. When customers choose the main dish at the restaurant, staff can suggest additional dishes such as wine to enhance the experience. At hotels, after booking, customers are often offered additional services such as spa, breakfast or tours.
Distinguish between up selling and cross-selling
Many people often confuse Cross-selling and Up-selling because both are sales tricks with the main goal of increasing revenue for the business. However, different from Cross-selling, Up-selling is a technique of introducing customers to products or services that are more advanced than their original needs. The goal of this approach is to convince customers to choose higher-value versions or service plans.
Cross-selling và Up selling
Up-selling and Cross-selling comparison table:
| Up-selling | Cross-selling |
| Selling horizontally | Selling vertically |
| Consulting on products related to the item you intend to buy | Introducing items with higher value than customers' needs |
Benefits of Cross-selling
Cross-selling brings many important benefits to businesses. First, this technique helps increase sales and revenue, especially for less popular products. This technique also helps businesses' products and services reach more customers, thereby increasing brand loyalty.
In addition, Cross-selling also prevents customers from going to competitors by meeting all their needs in one place. This will create a more convenient and flexible shopping experience for customers.
Cross-selling brings many benefits
However, if not done properly, cross-selling can bring businesses many risks. For example, if an employee recommends an inappropriate product, it can make customers upset and leave. Some customers may also take advantage of promotions, putting pressure on employees and causing cross-selling strategies to fail.
Important principles to understand when performing cross-selling
Put customers and their needs at the center
When businesses want to sell more products to users, always remember that customers are the most important people. Businesses should not sell for profit, focus on the business's profits, but make sure each suggestion is truly useful to customers.
If suggesting more products or services helps the customer more and brings better results, then it's not just 'selling' but 'solving a problem.' It is important to focus on the benefits the customer receives, not just the sale.
Respect customers' decisions
Nothing annoys customers more than trying to sell them something they don't need. When applying cross-selling, businesses need to pay attention to respecting customers' choices when they refuse suggestions.
Respect customers
When performing cross-selling, sellers need to pay attention to signs from both customers' words and gestures to know whether they are interested or not. If they realize they don't want to, sellers need to stop and focus on providing the best service and building solid relationships with customers. This approach helps businesses create cross-selling opportunities in the future.
Honesty and clarity
Another Cross-selling principle that businesses need to follow is honesty and clarity. The seller must be someone who clearly understands the true value of the product he or she provides. Businesses need to advise on the true value of the product without having to say more than what is actually there.
Being transparent about the value and cost of supplements "builds trust and helps establish a long-term relationship with customers," says Yaz Hanley, director of business development. much more than a one-time transaction.”
Prioritize maintaining long-term relationships with customers
And the final cross-selling principle that businesses need to follow is to always prioritize maintaining long-term relationships with customers. This relationship needs to be continuously developed and maintained even when there is no Cross-selling opportunity.
Maintain sustainable customer relationships
Sienna Quirk, Marketing Director at Invisory, believes that if you only contact customers during renewal season, when there is a sales opportunity, they will think the business only cares about their pocketbook. Meanwhile, if you continuously share useful information with customers, you will become more sincere in the minds of users. This helps maintain strong relationships and promote future sales.
How to apply Cross-selling successfully
Analyze the customer journey to determine the right needs
The customer journey is their entire shopping experience in a store. In this way, businesses can grasp the needs, preferences and desires of customers. From there, businesses can suggest suitable products to increase the chance of a successful purchase.
To do this effectively, businesses can use reliable sales management software, which helps collect and store detailed information about purchasing behavior, shopping history and feedback from customers. row. This helps businesses easily classify customers and provide the best service to them.
Choose appropriate cross-selling products
To choose effective cross-selling products, businesses need to ask important questions such as: What do customers often want to buy with the main product? Which product groups often come together? By analyzing previous successful cases and understanding customer needs, businesses can identify effective cross-selling products.
Choose appropriate cross-selling products
From there, through reasonable product introduction, businesses can advise customers accurately on products. This helps create customer satisfaction so they are willing to pay more for those product combos.
Show customers the benefits they will receive
To highlight benefits for customers, instead of just focusing on the product's advantages, businesses should emphasize why customers should own this item. This may include benefits such as cost savings, comfortable experience, guaranteed product quality, good warranty,...
From there, customers can realize their true needs and better understand the value that the product brings. This will help customers get excited and willing to spend more on the product.
Be skillful in the cross-selling process, without annoying customers
To advise skillfully and avoid making buyers feel annoyed, stores need to invest in systematic employee training, especially in sales and communication skills. Well-trained employees will be able to navigate customers to accompanying products naturally and effectively, without making the buyer feel pressured or annoyed.
Cross-selling applications on e-commerce websites
And to apply technique cross-selling more effectively, businesses can use technology applications, such as Viindoo Sales software. Features in this software will help businesses' e-commerce websites increase features related to relevant product recommendations. This helps businesses identify relevant products and create relevant offers to drive sales.
Cross-selling application on Viindoo
With the support of Viindoo sales software , businesses can confidently deploy Cross-selling strategies flexibly and effectively, creating a positive shopping experience for customers and increasing sales.
Through the above article, Viindoo has compiled for readers the most basic information about cross-selling. Hopefully the above information will be useful and help businesses apply cross-selling techniques effectively, increasing sales and business efficiency.
