Cross Selling is a classic marketing principal that you can use to increase sales starting today. The concept is simple: every time your customer purchases something, there are other needs that you can fill. It’s easy to see in these examples from retail:
- if they customer buys cookies, they’ll probably want milk
- if the customer wants peanut butter, they’ll probably need bread and jelly
- if the customer wants coffee, they’ll probably need coffee filters, sugar and cream
See? It’s simple. That’s why smart grocery stores place related products close to each other, or give you other reminders (coupons, “buy both” offers, etc.) to maximize their revenue.
Cross Selling helps you maximize revenue…
…by not ignoring the natural connection between two different products and/or services. Probably the most successful and well documented sales campaign is also one of the simplest: it’s just four words: When you order a burger or Big Mac at McDonalds, your server will simply as “Want fries with that?” The strategy actually started in 1993, and resulted in 15 to 40% increase in annual revenue. It required no additional training: it was simply giving the customer the right stimulus at the right time. And you know it works: we’ve all fallen for it (and enjoyed it!).
It works for products and services
Also known as add-on sales, these opportunities work for both products and services. Here are some examples that will show you how versatile the approach is:
- In a Camera Store, when a customer is purchasing a new digital camera, it’s just “good service” to offer additional memory cards
- At a jeweler, when purchasing an expensive diamond ring, isn’t it safer to offer theft and loss insurance?
- When shopping for a new car, every dealer offers financing, when the customer could simply ask their bank for an auto loan.
What are your opportunities?
It’s simple to see that there are cross selling opportunities every time a consumer makes a purchase. The secret is to understand your typical customer and their needs enough to anticipate their “additional” needs, and use the opportunity to help fill those needs.
What else will your customer need?
When you help a customer with your product or service, what else will they need. As a professional in your industry, you may be aware of their “future” needs even before they are. The next step is
How do you (subtly) put your strategy into action?
Successful selling doesn’t have to be pushy. Timing is more important than pressure. Giving your customer a great idea at the right time can make your new selling strategy successful.
Informer Messages on hold
Informer Marketing Messages are the marketing tool that transform wasted telephone “hold” time into an informative opportunity…to give customers information that they want, and that you want them to have. It’s a chance to use your knowledge of your typical customers desires and needs to deliver a “cross selling” message that can be (almost) as successful as McDonalds. Click here to find out more about Informer Messages on hold, or email us from this link.
