An online presence is considered a necessity for business today and the Internet is perceived as a significant revenue generator. However, most e-commerce websites, with the exception of Amazon and Proflowers, have not reported great sales. The disparity between the number of clicks received and the actual number of customers is stark, proving incredibly low conversion rates. Therefore, along with determining the revenue targets and projecting growth plans, you have to master strategies to increase order size.
Developing online trust and enhancing a visitor’s shopping experience might gear visitors toward a particular website. However, attracting traffic and converting them into customers is not sufficient. You have to focus on increasing the order size to drastically improve sales. The most effective way to achieve results is suggestive selling.
Although suggestive selling or up sell/cross sell is greatly dependent on the products being sold, the following are some tips that can improve e-commerce sales:
Positioning of up sells and cross sells: Place up sell and cross sell offers in as many product pages as possible. While big merchants will be at an advantage in this regard (since they have a larger inventory), smaller merchants have to exploit every single opportunity to increase order size. However, placing suggestions at strategic points is crucial. Remember that you want to:
• Firstly, educate the visitor about every related item available
• Secondly, inform them about the depth of your collection
Trust impulse sales at the last minute: The E-Tailing Group survey states that 38% of all e-commerce websites place up sells in the check-out page, which the customer visits after putting all items in the shopping cart. Placing seductive offers in this page works wonders. However, there are a few rules to be remembered:
• Offer a variety of price points
• Low-dollar products make for more probable impulse purchases
• Ensure that the most relevant items are offered, for example, a shirt or belt with pants
Include up sell and cross sell offers in post-order e-mails: Inclusion of additional products in all customer e-mails can boost sales significantly. Many e-commerce websites do not follow this strategy, believing that goading customers into purchasing products reduces purchase scope. However, this tactic cannot be termed as ‘goading’ since the recipient is a customer who has previously purchased from your website. Therefore, including cross sells in support or product enquiry e-mail replies and post-order e-mails is a practical solution.
Not more than three products supplementing each purchase item: The old saying ‘less is more’ proves true in this regard. Overwhelming customers with too many offers is not a good idea. To catch a shopper’s attention, there should be an average of three cross sell suggestions.
Category-bundle techniques: Package deals are one of the newest trends in e-commerce. Follow the brick-and-mortar store technique and position complementary products in such a way that consumers feel that buying the entire ensemble will serve their needs. This can be done with all items – plumbing products, electrical products, auto parts, office products, furniture, sports gears and so on.
In addition to this, you can consider hosting automated expert recommendations based on customer buying patterns and trends. This has great potential when it comes to raising sales. Automated suggestive selling ensures that the suggestions are always up to date! This is key as retailers today offer hundreds of thousands of items that are constantly changing. Manual methods for updating complementary products are just not feasible.