The four key drivers of cross-selling success.
Read this minute guide on how to upsell, from a professional sales consultant.
Valuable strategic considerations for upselling and cross-selling.
Why businesses cross-sell
Many businesses focus heavily on cross and up-selling activity. This is because they understand that getting customers to the point at which they will buy uses a high proportion of their marketing budget. If a customer is already at the point of purchase, it costs the business nothing to try to sell them something else. A cross-sell strategy could increase your annual sales by 10% and your profits by even more.
How relevance and timing play key roles
Cross-selling is about relevance. Take a look at what products and services your clients have bought from you before and offer them additional relevant items to provide added value. Do this well and they will see this as good client care and not an intrusive sales pitch.
Timing is everything. Where possible, focus your cross and up-selling at a time when you know your clients are happy with the advice you have given. This means they have seen or enjoyed the advantages of working with you and are most likely to consider other options.
Focus on the 20%, not the 80%
Remember that even if most clients say 'No' to the cross-sell it doesn't matter. If eight out of 10 say 'No' that still means 20% have said 'Yes' - this is still 20% more business for no additional marketing cost.
The more products and services your clients buy from you, the longer they will stay with you. This will result in an increase in client lifetime value - and your profits.
Your cross-sell strategy in action
To implement a cross-selling strategy, start by asking the following questions:
- Which products can you cross-sell?
- Which client segments should you target?
- What is the benefit to the client in each case?
- Are there advantages for the client?
- What are the advantages?
Ensure your sales team have bought in to the client offering. Once on board, they will be far more engaged in the process.
Plan your cross-selling activities
Once you've agreed your cross-sell offering, think about:
- When and how you should make the offer
- Whether to include a staff incentive scheme to promote the offer
- Carrying out role-play training if the offer is to be made face-to-face or over the telephone
You already know so much about your clients, so it won't be too difficult to deliver a particularly relevant and valuable message. Don’t forget, they already know and trust you, so expect a healthy response with a profitable outcome.