What are the latest trends and opportunities in cross-selling for e-commerce businesses?

1 Personalization and segmentation

One of the key factors for successful cross-selling is personalization. Customers expect to receive offers that are tailored to their interests, needs, and behavior, not generic or random suggestions. Therefore, e-commerce businesses need to use data and analytics to segment their customers into different groups based on various criteria, such as demographics, purchase history, browsing behavior, feedback, and preferences. Then, they can use these segments to create personalized cross-selling campaigns that target the right customers with the right products or services at the right time and through the right channel.

2 Artificial intelligence and machine learning

Another trend that is shaping the cross-selling landscape is the use of artificial intelligence (AI) and machine learning (ML) to enhance the personalization and segmentation process. AI and ML can help e-commerce businesses analyze large amounts of data, identify patterns and insights, and generate recommendations that are more accurate, relevant, and timely. For example, AI and ML can help e-commerce businesses predict customer lifetime value, churn rate, purchase intent, and cross-selling potential. They can also help e-commerce businesses optimize their cross-selling strategies by testing and learning from different scenarios, offers, and outcomes.

3 Social proof and trust

A third trend that is influencing the cross-selling behavior of customers is the role of social proof and trust. Customers are more likely to buy products or services that are endorsed by other customers, influencers, or experts, rather than by the seller alone. Therefore, e-commerce businesses need to leverage social proof and trust signals to increase the credibility and attractiveness of their cross-selling offers. For example, e-commerce businesses can use ratings, reviews, testimonials, case studies, badges, certifications, or user-generated content to showcase the benefits and value of their products or services. They can also use social media, email marketing, or chatbots to engage with customers and build rapport and loyalty.

4 Bundling and upselling

A fourth opportunity that e-commerce businesses can exploit to improve their cross-selling results is bundling and upselling. Bundling is a technique that involves offering a set of complementary products or services as a package deal at a discounted price. Upselling is a technique that involves offering a higher-end or upgraded version of a product or service that the customer is already interested in or has purchased. Both techniques can help e-commerce businesses increase their average order value, customer satisfaction, and retention. However, e-commerce businesses need to be careful not to overdo it or offer bundles or upsells that are irrelevant, incompatible, or too expensive for the customer.

5 Gamification and incentives

A fifth trend that is emerging in the cross-selling domain is gamification and incentives. Gamification is a technique that involves applying game elements and mechanics to non-game contexts, such as cross-selling, to increase engagement, motivation, and fun. Incentives are rewards or benefits that are offered to customers to encourage them to take a desired action, such as cross-selling. For example, e-commerce businesses can use gamification and incentives to create cross-selling challenges, quizzes, contests, leaderboards, badges, points, or coupons that entice customers to explore more products or services, make more purchases, or refer more friends.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?