How can cross-selling boost your retail sales?
In convenience retail, the competition for market share is fierce, so using a range of cross-selling techniques could help your store gain a competitive advantage. With the aim being to boost footfall and maximise sales, how can cross-selling help?
What is the definition of cross-selling?
Cross-selling is a sales technique used by retailers to encourage a customer to spend more than they intended to in store by purchasing an additional product. It also involves suggesting complementary products or services to a customer that has already decided on a purchase.
Ultimately, you offer a customer additional value by helping them get more out of their first purchase, thus increasing customer satisfaction. Plus there is also the benefit of business revenue and in many cases, the items that can be cross-sold have a high profit margin.
Examples of cross-selling
- Bundle offers for complementary items, such as washing powder and fabric softener or flowers and wine.
- A retailer displays a meal deal, so the shopper sees the whole package and buys all the items instead of just one.
Cross-selling tips for retailers
Complementary items should be prominently displayed where a customer has a clear view on how the pair work together. The display should be eye-catching to gain a customer’s attention. To ensure the best display placement in your store, walk around and experience the full customer journey.
Make it relevant
Ensure your cross-selling suggestions are relevant to a customer’s original purchase and you can explain the logic in your recommendation. Building a rapport with your customer/s will give you information on how they intend to use the item and make sure it meets their interest.
For convenience retailers, employees are the best weapon for cross-selling as they engage directly with the customer. Your store’s customer service should be grounded in providing a friendly and knowledgeable service where staff take an interest in everyone that walks through the door.
Simply asking “can I help you find anything?” and taking a customer directly to where an item is located, creates an opportunity to make a suggested sale.
Have your staff trained on a selection of complementary items to offer from a range of product categories, for example a customer buying tea bags may need sugar or milk. This may not be something they were planning to purchase, but the suggestion could influence this.
Implementing these simple techniques can hugely boost your sales and bottom line.
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