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Customer Retention 101: Grow Your Business by Cross Selling

Customer Retention 101: Grow Your Business by Cross Selling

It’s a well-known fact that it is six times harder to sell to new customers as compared to your existing ones which is why it’s important to understand how to create a raving customer fan base. In order to understand this, let’s get in the business mindset and talk about Customer Retention. If you’re not familiar with customer retention, it is an ability of a company/business to retain its customers for a certain amount of time. With customer retention, customers tend to talk about your products for free on social media and they’re so satisfied with what you do that they buy more products from you. This does not happen through mere “Luck”, there are strategies and techniques that businesses use to get the customers to stay loyal to your brand.  

 

Growing your business through cross-selling:

One of the most effective ways of customer retention is cross-selling. In cross-selling, a company/business offers an additional product or service to the already existing customers. For instance, if you buy something on Amazon, you get a list of things “Customers also bought” and if it’s relevant to the product you bought, most of the time, you end up buying it. Cross-selling works remarkably on e-commerce platforms especially during COVID when everyone is buying online. The e-commerce development has vastly increased in the past few years and the reason is that people have found it more convenient to buy online and significant customer retention stats have increased since then. 

 

Improve your Customer Experience: 

The key to the growth of any business is a good customer experience. You can find many new, different ways to keep your customers engaged and wanting to buy more. You can cross-sell through suggesting more products on product pages or offering an additional product or service on check out or in some cases, even pop-ups of your most sold items. Basically, make your customer’s an offer they can’t refuse.  Make sure your e-commerce development is up to the mark and the customers are staying as informed as possible. Learn new things about your customers. When they buy something, you get a clearer idea of what kind of customer you’re dealing with, and based on that, you will be able to suggest things your customer may be interested in. 

 

Don’t overdo it: 

Increasing customer experience does not mean you end up annoying the customer. If you’re suggesting an additional product to your customer, don’t give too many options. It’s proven that an average person stares at their screen for 30 seconds if they don’t find anything interesting. Utilize those 30 seconds and make sure your e-commerce development team is aware of choosing the right thing to suggest to the right customer in order to generate more sales. For instance, if your buyer adds a shirt to the cart, you can suggest some pants/skirts or cute accessories such as a bag that would go with the shirt. This way, you are not just selling a shirt, you might sell a complete outfit to the customer. 

 

Suggest the best selling first: 

People are most likely to buy something based on another buyer’s experience than to buy something only a few customers have bought. When you suggest an additional product to your customer, show the top-selling items first. This way, the customers’ trust in your product would be stronger and you would be able to sell more products. If your item is already high priced instead of suggesting your best selling items, you may also suggest an additional service such as a warranty or protection plan. 

 

Bunding: 

Bunding is a great sales technique that allows you to sell an additional product to the customer that goes with the main item the customer purchased. For instance, if your buyer adds a camera to the cart, you can suggest relevant and affordable things such as a memory card or a camera bag. These are the things that your buyer can actually use with his initial purchase. In bunding, you can also add discounts or coupons to make the sale more beneficial for the customer. This way, the customer can get two things at a much lower price. Bundling benefits both the customer and the company so make your ecommerce development up to the mark for bundling. 

 

Use Visuals: 

This goes without saying but if you’re going to sell something online, be as visual as possible. The online market is vast but it’s very quick to buy. Words do hold a certain significance,but at the first glance, people look at the pictures. If you have good, eye-catching pictures with your products, you have a higher chance of selling. This is something your e-commerce development team should know. High-quality pictures mean more sales! 

 

Conclusion:

When it comes to e-commerce platforms, cross-selling to customers is much easier. The reason is that when you’re buying online, you’re just one click away from spending money. Understanding who your loyal customers are and how to cross-sell those customers is the first step towards a successful business. So, this year, why not make cross-selling a top priority for your organization?