Would you like to order fries along with the burger? We have all heard this question multiple times at different restaurants. Surprisingly, most of the time our answer is yes even though we did not plan to have fries initially. This proves why this strategy works. Here the representative was successful in increasing the transaction amount which will eventually bring more profit to the restaurant. A WooCommerce store owner also needs to apply such techniques smartly to be more profitable. The ultimate aim of every e-commerce store is to increase revenue. For this, you continuously need to entice the customers to increase their cart value.
The 4 important sales techniques that will help you achieve the desired result are Upselling, Cross-selling, Add-ons, and Bundling. Let’s understand this concept with an example of a smartphone.
- Upselling – Selling a costlier version of the original product. If a customer searches for a smartphone with 64 Gb storage, suggest a phone with 128Gb storage and state why it is better.
- Cross-Sell – Selling a related product along with the original one. In our example, selling a phone cover or memory card along with the smartphone is cross-selling.
- Add-On – Selling additional services related to the original product. Extended warranty of the phone and insurance are perfect examples of additional services related to Smartphones
- Bundles – Selling two or more related products together as one, usually at a cheaper price than individual prices. For example, offer the Smartphone and its cover for $520 instead of the phone for $500 and the cover for $50. Here are some ways you can apply these techniques to increase your e-commerce store revenue
Letting customers know about the upgrades of a product you have in your WooCommerce store is an effective technique to upsell. One way to do this is by displaying the bestseller products or the ones that are most reviewed. The aim is to make the customer spend on a costlier product than what he was initially intending to buy. For instance, if a customer is interested in buying an ordinary body lotion for $20, suggest him to buy a Lotion with SPF for $35. However, keep in mind that too many choices can be overwhelming and can confuse the buyer. Further, make sure to offer reasonable suggestions only, i.e. the upsells must not be extremely costlier than the original product.
Cross-sell at the Checkout Page
A customer reaches the checkout page after finalizing the decision to buy a product. This is the right time to encourage the customer to buy another related product. Since there is already a commitment to make a purchase, the chances of a customer buying related products are high. Ensure to have a simplified checkout page where the customer can add the additional product and the cart gets updated quickly. You can also encourage your customers to join the monthly subscription services.
The Popup Upsell
Displaying a product through a Popup can instantly grab customer attention towards it. It is an effective way to entice customers to buy an upgraded or related product. Although Popups can interrupt the customer, it can also influence the buying behaviour to a great extent. The secret behind a successful Popup upsell is the display of the right products at the right time. It is ideal to use it when the customer has already added products to the cart. Make sure not to display Popups repeatedly as it could annoy the user, resulting in cart abandonment. Also, ensure that the products displayed are in sync with what the customer is already searching for.
Display Comparison of features & price
The best way to convince a customer to buy a costlier product is to state how it is better. The smartest way to do it is to display a side by side comparison of features of the differently priced products. It also makes it easier for customers to decide and choose the best. The comparison of different laptop models is a perfect example. Users are not required to browse individual pages and can view all the features of different versions on a single page. In such a case, customers would be naturally tempted to buy the one that has superior features even if it costs more.
Product recommendations have immense potential to boost E-commerce revenue and hence it’s a must for every online store. One way to do it is to display products complimentary to what the customer is viewing. For example, if a customer is looking for formal shirts, you can display formal trousers and shoes. The second way is to recommend costlier alternatives to what the customer has searched for. For example, if a customer has searched for a hairbrush, recommend them to buy electric hair straightening brush. Popular websites do it is by displaying what other customers are viewing. Check this example of Kohl’s where they smartly recommend expensive products.
Set Minimum Threshold for Free Shipping
Anything given for free along with a product can be considered as an effective marketing tactic. Offering free shipping is one such strategy that can encourage more users to purchase from your store. The best part is that you can make the customer spend more on the store by setting a minimum order threshold for free shipping. For example, you can set the limit to $100 to qualify for free shipping. In that case, a customer who was initially planning to purchase a product for $60 will add another product to his cart worth $40 or more. Customers find it is beneficial to spend on a product rather than on shipping charges. This is the reason why 64% of E-commerce owners agree that free shipping is the most effective promotion This store notifies the customer about free shipping in a very interesting manner.
Offer Add-on Services
In addition to complementary or higher quality products, you can also upsell services to increases the revenue. Offer additional services that add value to the product that the customer intends to buy. Services like faster delivery, insurance, installation are some examples of what you can offer. Customization service like printing or engraving for an additional price is also a great option to upsell. Here is an example where a website offers gift wrapping service for $5
The chance to upsell a product does not end even after a customer has made the purchase. Your efforts must be continued by Post Purchase Emails. Besides being able to stay connected to your customers, this is an incredible way to bring them back to your website. Recommend them products that they might be interested in based on the previous searches they have made. For example, Home Depot suggests products to the customer in the post-purchase thank you email.
Display Substitute Products
Do not let out-of-stock products take a toll on your conversions. You can show substitutes for sold-out products that the customers are looking for. Since the customer is already in need of a product, chances are high that the substitute product would be considered for buying. For example, the online store Metrodeal showcases similar products along with the sold-out notification. This will ensure that the customer stays glued to your website and even end up buying the substitute product.
Bundle relevant and related products
Bringing two or more related products together is an exemplary way to cross-sell. This process is known as bundling and it eases the decision-making process of the customer. Amazon has always smartly used bundling to offer relevant products together to increase revenue. They often display items that are frequently bought together. For example, if a user is viewing beach slippers, they display beach shorts and sunglasses along with it.