To improve your online retail stores conversion rates, top e-commerce software offers cross-sell and up-sell opportunities for shoppers. This is a merchandising technique that works well for both retail and B2B e-commerce sites.
is simply offering a similar product to what a shopper is looking at. You might offer an alternative model or accessories that go with the product. For example you might offer a pair of shoes or a belt to go with some jeans being looked at. The benefits of cross selling include:
1. Increased order completion
and conversion rates because customers find exactly what they are looking for, and
2. Increase average sale
spend due to customers adding accessories to their original selection.
As well as displaying related products, many merchants use cross-selling capabilities to promote popular items and target high margin products throughout the store. By displaying alternatives you alert your customers to a wider range of range of potentially desired options and trigger additional impulse purchases along with the original selection.
Up-selling is defined as offering a better and more expensive product. For instance if you are selling IPODS, you might show the more expensive IPOD models when the client is looking at a lower price model. Or even better, show them the better models after they have added one to their shopping cart. You are actually providing a better customer experience by letting the customer know that for a few more dollars they can get a better product and let them make the decision.
is an up sell strategy used by Amazon and commonly involves offering two related books together for a slight discount. This is a common strategy used by liquor stores whereby purchasing 6 or more bottles or a carton results in a 20% discount.
This single merchandising technique brings tens of thousands of dollars in increased sales each year to businesses across Australia
At GTP we recommend to display cross-sell options both on your product pages and in your shopping cart. Even after an item is placed into a shopping cart, customers may still not be 100% convinced that they want the product. By displaying similar alternatives you increase the chance the customer finds what they really want or convinces themselves that they have found it leading to a more confident purchase.
Your GTP shopping cart program can be configured to cross-sell specific products on the shopping cart page that you have identified as directly related to the product placed in the cart.
The position of the cross-sell product options on a product information page is commonly in a right column on the product page or underneath the product description. On the shopping cart page cross-sell placement is best placed below the list of items in the cart.
Use thumbnail images where possible to display your cross sell options and position them in a visible location on the page.
Many simple shopping cart programs don't offer cross-selling capabilities in an easy to use format or in an automated fashion.
Automating the cross selling
feature is helpful for large product databases where the business owner is restricted in time to edit and directly specify which items to cross sell. GTP commonly sets this up by default.
However we recognise that items automatically selected to cross sell will not always match that which works best in real life at the retail store front.
To set up your GTP shopping cart for cross selling you'll typically edit your product database one by one, adding into the "Related Products Field" or other custom field set up by GTP, the product code numbers of all related products. Best practice suggests you should start with the most popular and highest margin products first when adding this in.
Setting up cross selling and up selling represents a time consuming investment in data entry where you have a large product database. However, increased sales of 10% or 20% or more for no additional marketing spend can represent a profitable return for your investment.
If you are considering building an online store with many products, then make sure your solution can be set up to take advantage of cross sell and up sell opportunities that you directly control or that can be automatically configured for you.
Please consider calling GTP iCommerce on 1300 856 533 to speak with one of our staff. or fill in our e-commerce enquiry form.