Quickly and Easily Increase AOV
Your site is getting the traffic. Conversion rate is healthy. Yes, you want to continue to focus on new customer acquisition.
But what about maximizing revenue from existing customers?
Cross-selling is not new or groundbreaking strategy, but is very simple to implement and should be essential for anyone managing an e-commerce site. It's a quick way to increase your AOV, improve customer experience by helping them find useful products, and improves profitability.
Here's an overview of what cross-selling tactics have had the largest impact for us here at Paddle North...
1. Pre-Checkout
On our product pages, we've added an "add to your order" widget above the "add to cart" button. With one click supplemental gear can be added to the cart. Some examples...
On a paddle board product, customers are presented with a 1-click option to add an ankle leash, paddle, SUP anchor, etc. to their cart.
On an inflatable Utility Dock, they're presented with an electric pump, transport bag, valve adapter, etc.
This is an easy option that presents no obstruction to conversion from a user experience perspective. As a result, this accounts for nearly 50% of our website's cross-selling revenue.
2. During Checkout
A customer has item(s) in their cart and has begun the checkout process. They've (presumably) finished browsing the site and are ready to purchase what they need. As they are on the checkout page (shipping address, payment info, etc.) we offer up some additional supplemental accessories. Similar to product page options, these are typically relevant to the item(s) being purchased.
3. Post-Checkout
A customer bought something. Great! But there is still an opportunity to increase their order value.
On the "Thank you" page:
After a purchase is made, customers will be brought to the order confirmation page. This is the final opportunity to increase AOV while a customer is still in a buying mindset. Just like each step prior to purchase, this is a great place to present supplemental products. Some brands will take it a step further and offer a post-purchase discount on select products.
Post-Purchase email:
The final opportunity to cross-sell in that initial sales funnel is post-purchase email. This is typically an automated post-purchase flow with dynamic product suggestions based on products initially purchased, or set up with conditions based on purchase history. Often times if a customer purchased a large inflatable item, such as a Utility Dock, we'll remind them about electric pumps and how much easier they make inflation. Or, if someone recently purchased an inflatable paddle board, we present SUP accessories.
There are endless opportunities to cross-sell. It doesn't have to be obtrusive, nor should it take away from your new customer acquisition strategy. But spending some time to implement on your site is absolutely worth it. YTD we've increased online sales over 6% strictly via automated cross-selling widgets and post-purchase emails. This may seem insignificant, but can have a radical impact.
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