How to Upsell and Cross-Sell on Shopify?

Ever wished customers added just one more item to their cart? Upselling and cross-selling are marketing tactics to encourage customers to spend more, increasing your average order value and boosting sales. But how do you do it effectively on Shopify?

Upselling

  • Upselling entices customers to purchase a higher-quality or more expensive version of the product they’re already considering.
  • This could mean a pricier version of the item or adding extra features to it. The goal is to give customers more value while also increasing sales.Upselling isn’t just about getting customers to spend more money. It also shows them better versions of a product they didn’t know existed.
  • With strategic upselling, merchants can increase average order value (AOV). This is arguably the biggest benefit to introducing upsell. Adding upsells at strategic points in a customer journey can help grow order sizes.

Example:-

You’re a Shopify store owner that sells mobile phones and accessories. If a customer decides to opt for an iPhone 12 and you suggest that they buy an more advanced iPhone 13, you’re upselling, which can help you make bigger sales.It could offer improved performance and features compared to your initial choice.

Cross-Selling

Cross-selling encourages customers to add complementary products along with the main one.

For example, a clothing store might cross-sell a customer who is purchasing a pair of jeans by suggesting they also buy a belt, a shirt, and a pair of shoes to complete their outfit. Doing this can convince your customers to buy an additional item to the one they’ve already purchased.

Frequently Bought Together

A Powerful Cross-Selling Tool

Imagine a customer browsing your phone cases. Wouldn’t it be helpful to suggest a screen protector or tempered glass right there on the product page?  This is the magic of FBT.

How FBT Works

  • Shopify apps and analytics tools can identify product combinations frequently purchased together.
  • This data helps you understand customer buying habits and anticipate their needs.
  • You can then strategically display FBT suggestions on product pages, in the shopping cart, or even at checkout.

Benefits of FBT

  • Increased Average Order Value (AOV): Customers are more likely to add complementary items, boosting your revenue per sale.
  • Enhanced Customer Experience: FBT suggestions offer convenience and make it easier for customers to find everything they need.
  • Improved Conversion Rates: By showcasing relevant products, you can nudge customers towards a purchase decision.

Examples of FBT in Action

  • Phone case + screen protector
  • Coffee maker + coffee beans + filters

11 Best Practices to Upsell and Cross-Sell on Shopify

  1. Analyze Customer Data: Understand your audience! Look at purchase history, browsing behavior, and demographics to personalize upsell and cross-sell offers.
  2. Segment Your Customers: Group customers based on similar characteristics. Offer premium upsells to high-spending customers, for example.
  3. Frequently Bought Together: Identify products frequently purchased together and showcase them on product pages or at checkout. This is a no-brainer for cross-selling!
  4. Place Offers Strategically: Consider the customer journey. Post-purchase upsells on the thank you page are ideal for relevant accessories, while product page cross-sells can highlight complementary items.
  5. Use Visual Cues: High-quality images and videos showcasing products in use can entice customers to add more to their cart.
  6. Leverage Popups or Banners: Well-timed popups can highlight upsell or cross-sell offers, but avoid being intrusive.
  7. Offer Relevant Products: Don’t just suggest anything! Make sure upsells and cross-sells complement the product the customer is considering.
  8. Make the Offer Valuable: Discounts, free shipping on additional items, or bundles can incentivize customers to add more.
  9. Time the Offer Right: Don’t bombard customers at checkout. Upsell strategically throughout the buying journey.
  10. Keep it Simple: Confusing upsell options can overwhelm customers. Present clear, concise offers.
  11. Test and Analyze: Track the performance of your upsell and cross-sell strategies. A/B test different approaches to see what resonates with your audience.

By combining upselling, cross-selling strategies, and leveraging FBT, you can create a winning sales funnel that entices customers to spend more and leave your Shopify store happy.

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