Do you offer gift wrap or extras within your product listings? Do you offer your customer upgrades, or the option to buy your products in bundles?
Small e-commerce businesses often miss out on adding in these additional revenue opportunities within their online storefronts. Adding upgrades and add-ons to product listings increases sales without having to procure additional customers. This means more sales from the customers already shopping in your store.
Let's look at 3 simple sales strategies that increase sales per transaction: Up-Selling, Cross-Selling and Add-Ons.
Up-selling is when you offer the shopper upgrades to encourage them to spend more money. If you look at mainstream retail you can see this being done on almost any product online on sites like Best Buy, Walmart and even Amazon. But what about small businesses? What about Etsy boutiques or Artisan businesses? Do they have the same opportunity? The answer is absolutely YES.
Up-selling is used once a customer is already in a buying mindset. It is a way to offer added value by improving their available options while they move through the checkout process.
If an Etsy Shop Owner is an Artist how could they add in Up-Selling to their sales strategy? Perhaps they offer Digital Prints in their Etsy store, these would be printables, a file that is downloaded once a customer checks out and is able to be printed as needed. An up-sell in this scenario would be to sell the physical print and even further perhaps a physical print that is already framed. It would look something like this:
- Digital Print: $9.95
- Physical Print: $14.95
or maybe offer bundles:
- Single Print: $9.95
- 3 Prints: $24.95
- 5 Prints: $39.95
Let's look at some other examples, let's say you sew bags and purses, your up-sell offer might look something like this:
- Fabric Bag $29.95
- Vegan Leather Bag $49.99
- Genuine Leather Bag $89.99
- Wristlet $29.95
- Handbag $34.95
- Crossbody Bag $49.95
An Up-Sale is offering an upgrade, improvement or better option for your shopper. Once the customer has made a decision to purchase a product and add to their cart they are confronted with these added value options. More often than not, they choose the upgrade then continue through the checkout process.
2. Cross Selling:
Cross Selling is when an additional product is recommended that would compliment the current item they are adding to their cart. Usually this is an item from a separate category or even a different shop. For example when purchasing something on Amazon you might see at the bottom recommended items or people who bought this also bought these...etc. This is a great way for an online marketplace to increase sales overall, but it doesn't help the individual seller much unless it is another item from their specific shop.
An Etsy shop can cross sell by recommending complimentary items within a product listing copy. So for example let's say a business on Etsy makes and sells weighted blankets but also makes essential oil sprays to reduce anxiety. The focus of the shop is to enhance calm and reduce anxiety, it would make sense then in the listing for the weighted calming blanket to include the link for the lavender essential oil calming spray (which would be in another category in the sellers same shop). It isn't always relevant to cross sell, and some experts may say not to distract the buyer with another link when they are already in the buying process with a specific item, but if it adds value to the customer experience it is a good way to add more to the basket while adding value to the customers purchase.
Would you like fries with that? Sounds funny but it is something small businesses need to take seriously. In 2017 over 35% of revenue from retail sales came from add-ons. It's a pretty big deal and a significant revenue source to add into your e-commerce store.
Add-Ons for Artisan Commerce Sites might look something like this:
- Silver Earrings $24.95
- + Silver Polishing Cloth additional $4.95
- + Gift Wrap & Gift Message additional $6.95
In an Etsy Shop it would look like this:
- Silver Earrings $24.95
- Silver Earrings with Polishing Cloth $29.95
- Silver Earrings with Gift Wrap & Card $31.95
- Silver Earring with Cloth and Gift Wrap $36.95
Let's look at an example using multiple sales strategies within a listing: A maker sells graphic tees, baby bodysuits and hair accessories for kids. The listing maybe set up like this:
- Baby Bodysuit $14.95
- Baby Bodysuit with Hair Bow $19.95 (Add-On only)
- Baby Bodysuit with personalization $19.95 (Up-Sell Only)
- Personalized Baby Bodysuit w/ matching Hair Bow $24.95 (Up-Sell / Add-On)
- Within the listing a link to matching Mommy T-shirt (Cross Sell)
Using these simple sales strategies will add a good source of revenue to your online business. Take a look at your current offerings and think of different options you could offer in your shop to get the moolah rolling in. Remember this isn't just about making more money, it is a win-win both for you and your guest as it is a fantastic way to add more value to the customers shopping and hopefully buying experience.
Happy Selling <3