The E-commerce industry and the Magento 2 platform popularity is growing with the increasing demand for online stores. People prefer online shopping as it brings several benefits to both buyers and sellers, but for sellers, it has become highly competitive to sell products online than ever. To survive and grow sales, E-commerce store owners have no choice but to apply the best marketing techniques. One such technique is cross-selling. Its importance can be seen from one of the world’s biggest online selling platform revenue rate that generates 35% of its revenues via cross-selling.
What is Cross-Selling?
Cross-selling is a popular sales technique whose primary objective is to make customers buy new products related to their already purchased products. Brands are investing in Magento 2 development to integrate Cross-sell techniques into their E-commerce store for improved sales. An example of cross-selling can be found everywhere. It could be a wearable store that showcases the complete range of outfits that have been placed attractively instead of a single piece to make customers purchase all. In simple terms, cross-selling is all about recommended products for already purchased products. It is a method that is widely and extensively implemented in daily life.
How to Configure Cross-Sell in Magneto 2 Store?
With the immense popularity of cross-selling and its benefits, it has become a crucial part of the Magento E-commerce development and store owners are taking a keen interest in its integration.
Steps to Configure Cross-Sell:
- From your Magento 2 backend admin dashboard, navigate to Catalog > Products
- Choose the product you want to add and open the product details in the edit screen by tapping on “edit”.
- On the edit section, scroll down to the Related Products, and Cross-Sells section and click to expand it.
- Select the Add Cross-Sell Products button to open the products you want to add. Several products will be listed on this screen to add.
- Click on the checkbox present with the products that you want to add. Make sure that the product status is set to Enabled before selecting or the product will not get appear on the front-end.
- When you are done selecting the products to click on Add Selected Products button.
- Once you add the selected products, you will see a complete set of products you added under the Cross-Sell Products section. You can easily remove them from this screen as well at any moment.
These are some basic steps to configure cross-sell techniques within an E-commerce store. It is one of the top trends of the E-commerce industry in 2020 that can’t be ignored to gain desired results.
Tips for Cross-Selling for your Magento 2 Store
1. Evaluate Cross-Selling Cost
Customers who do cross-buying are unprofitable, and this constitutes the “customer loss” of a company. In simple terms, the expense for products and marketing to boost sales exceed the revenue. This actually means that cross-buying brings loss to the company. Therefore, the important step for cross-selling is that before you decide to initiate a cross-selling campaign for your Magento 2 development, make sure you estimate carefully the profit and the loss for the campaign.
2. Limited Product Recommendations.
Using cross-selling is a perfect approach to sell products, but overusing it might cause a bad impact on your business rather than benefits. If the number of suggested products is just a few, and they’re all useful for them. But if you offer 15 or 25 recommended products, you risk overwhelming your customers with multiple options. Since there’re several choices, they won’t know which to go with and which can actually benefit them.
3. Recommend Economical Product
The next important tip for Magento 2 development services is about the price of the recommended products. It is important to follow a principle for this, principle 25. This suggests that when a product is recommended to your customer, it shouldn’t cost more than 25% of the purchased product. This is because the customers already have a budget to spend. Customers are willing to pay for extra products they find useful, but they’re not willing to purchase a product that has double the price of the main product.
4. Use Engaging Messages
This tip is very important for cross-selling and it directly impacts the results and the marketing effectiveness. By using appropriate and engaging messages, you can encourage customers to buy more. To seem to be more professional and value-oriented, try to customize your message in a more personalized, natural and caring manner with the expressions including “You might also like these” in place of “We recommend this” or “Only 2 products left” or make use of want, like, etc. You can also learn from E-commerce giant Amazon “Customer who bought this item also bought”.
5. Relevant Products as Add-On
The next tip for the Magento E-commerce development team for cross-selling is to offer relevant products. If you want to build brand value that will make the customer remember and appreciate your Magento 2 E-commerce store, you shouldn’t try to distract them by recommending useless and irrelevant products. For example, appropriate suggested accessories for a phone include a phone case or earphones.
Frequently Asked Questions
What is upsell and cross-sell in Magento?
In Upsell, the cost of the recommended product may be higher than the purchased product while in cross-sell, the cost of the recommended product is usually lower than the purchased product. Upselling means selling similar kinds of products having more cost while Cross-selling means selling additional items with the main product.
What is a cross-selling example?
An E-commerce store suggests that the customer buying a digital camera also buy a memory card or camera case. This is a simple example of a Cross-selling technique.
What is the importance of cross-selling?
Cross-selling boosts the sales by making customers purchase more than they actually thought they would. It also boosts the lifetime value of the customers by converting not profitable customers to profitable customers and profitable customers to highly profitable ones.
Cross-selling is a proven marketing strategy that provides store owners with a constant revenue stream. Thanks to the Magento developers for integrating this functionality in the Magento E-commerce store in a few easy steps. In this blog post, we’ve outlined the complete configuration process as well as important tips. Put this knowledge to use, and you’ll see your online sales growing at a very fast rate.