In this article:
- What is Cross-sell offer and how does it work?
- Tips & tricks to create the best Cross-sell offers
1. What is Cross-sell offer and how does it work?
Cross-sell offer encourages customers to purchase additional similar items or bundle up different products that perfectly go together.
Cross-sell offer is often shown below the add to cart button on the target product page and indicated as “Frequently bought together”. It has an option wherein you can set a bundle discount for the cross-sell offer. When customers see how much they will be saving with the bundle offer, there will be a higher probability of them purchasing your products.
2. Tips & tricks to create best Cross-sell offers
2.1. Only bundle up complementary products
Your suggestion has to fit the customer's exact needs and wants. Always recommend products that will add value or optimize the functionality of the target product.
If a customer wants to buy a mobile phone, they will probably look for a screen protector or phone case. Instead of them searching for these items on your store or worst buy these items in a different store, it would be best if you can set a cross-sell offer that comes with a discounted price that will be displayed on the actual product page.
2.2. Don’t bundle up over 3-5 products
Don’t throw everything or anything at the customers. Only present the most relevant and essential items to them – items that will help them get the most of the target product.
Aside from that, when you offer 3-5 products, the total price increases too much. The more items to consider, the more likely that customers will be hesitant to make the purchase.
Initially, customer just intends to buy a mobile phone. Buying a screen protector with it is fine, but if you also offer a phone case, a charger, and a power bank, he will have to reconsider. This might hurt your conversion rate.
2.3. Create multiple cross-sell offers to persuade your customers
To get your customers on board with your cross-sell offers, try to create multiple offers that will help them achieve more success, feel more happy and satisfied. Creating multiple offers will help you introduce:
- Products that they might not know about
- Products that other customer have bought together
- Essential products that best go with the initial product
2.4. Pricing rule of 25
Always pay attention to the price when bundling your cross-sell offers. You should not offer a bundle where price is way more expensive than the target product which customer intends to buy in the first place. It is recommended to offer additional products that cost not more than 25% of the initial purchase.
If you want your cross-sell offers to convert incredibly, lower your margin a little bit in exchange for many bigger cart sizes, and customers will keep coming back to your store as they know they can find the best deals in your store.