In this article, you will find out what Cross-sell and Upsell offers are and in which cases it is good to use them to increase your revenue.

What is Upsell?

The upsell aims to increase the value of the order by offering a replacement /upgrade/ of the product with another similar one at a slightly higher price. That is, if your customer is ready to buy a product from your online store, you can apply Upsell offer to offer him a higher class of the same type of product at a slightly higher price. Customers are usually willing to buy a better product if the difference in price is "bearable". 

And what is a "bearable price"? One that justifies the value of the product. Ie the better you present the product, the more inclined the customer will be to buy it. However, keep in mind that the price of the new product should not exceed the price of the old by more than 25%.

Types of Upsell

1. Upsell with a similar product

It is suitable for products that have a long-term investment as a technique, for example. Take a laptop for example. If your customer liked a particular laptop model, you can offer him a higher class with more functionality, and respectively, a higher price. What is important here?

  • Describe in detail the characteristics and advantages of the laptop you will offer
  • The price should be tempting, however, it must not exceed the price of the selected laptop by more than 25%
  • Think about the marketing text that will make your customer look at the laptop you offer him. It needs to be catchy!

2. Upsell with a discount

Suitable for products that are used daily - such as clothes, shoes, cosmetics, nutritional supplements, etc. Let's take cosmetics for example. If your client liked a hair shampoo or face mask, you can offer him another product of the same type at a higher price with a specific discount. Initially, the customer does not intend to buy a more expensive product, but this offer seems "irresistible" to the customer, which in turn will bring you extra profit.  The chance of the client to accept the offer is great, especially if he is a regular customer. What is important here?

  • Differentiate your clients to "new" and "regular" so that you can offer a discount that will appeal to the particular client and at the same time will be a good option for you;
  • The discount can also be in the form of "free shipping"
  • Think about the marketing text that will make your client literally snatch the discount product!

3.  Upsell with an additional service

Suitable for products that need support. If we go back to the example with the laptop - instead of a better laptop, you can offer support for the laptop at a discounted price. Additionally, you can offer both a better laptop and support at the same time. The second option is "double Upsell". Surely you can think of other combinations to get the customer to spend more money and at the same time get extra value from the final purchase. What's important here?

  • Knowing the products in-depth and what additional services can be offered
  • Having the option to actually offer a different service for each individual product
  • To think about a catchy marketing text, which will seduce the customer to explore the new option you are offering.

What is Cross-Sell

Simply put, Cross-Sell is a sale of similar products, that have a logical connection to the product selected by the customer. If the Upsell is aiming to offer a product that is an upgraded version of the one chosen by the customer, the Cross-Sell offers a product that is an addition to the chosen ones.

Always offer your client the possibility of side-by-side products because in many cases they have not realized they would need them. With this marketing tool, you can increase your sales, while the customer is pleased that you have pinpointed it as an important and needed product. The Cross-Sell gives information to the customer that you also offer these products, and this is a guarantee that he will remember your store when he needs them. Take advantage of the fact that cross-sales are not perceived as annoying by the customer!

Types of Cross-Sell

1.  Additional cross-selling

This is the most common version of Cross-Sell and is related to the offer of an additional product that complements the value of the product selected by the customer (for example, if the customer wants to buy a phone, you can offer him a phone headset, case, screen protector etc.)

2.  Seasonal cross-selling

With this type of Cross-Sell, take into account the time of the year the customer purchases the product. For example, if he wants to buy a toy in December, you can also offer wrapping paper, as it is very likely that the toy is planned as a Christmas present.

3.  Promotional cross-selling

This Cross-Selling option directs customers' attention to products that are currently in promotion at your online store but still related to the product the customer has chosen to buy.

Steps to install and use Upsell and Cross-Sell on the CloudCart platform

1. First go to the Apps section in your admin panel and install the application - Cross-sell & Upsell. After that in the Marketing section, you will find a new submenu for these types of offers. 

2.  You can then create a new offer of the chosen type.

4.  Afterward, you can list all offers, as shown:

You are then ready to manage your UpSell and Cross-Sell promotions!

See also the additional articles related to the creation of Cross-sell and Upsell offers:
How to create an effective Cross-selling offer?

How to create a successful Upsell offer?