Cross-selling generally occurs when the sales representative has more than one type of product to offer customers that he or she considers might be of interest to them.
It is particularly prevalent in the banking and financial services industries; a customer may go into a bank to sign up for a current account and later be sold an investment account or insurance.
The salesperson has identified a need and recommended an additional product to the customer.
Different businesses will define cross-selling in different ways.
Some elements that will influence the definition might include the size of the business, the industry sector and the financial motivations of that particular business.
The overall objective will be to increase the income from clients or to protect the relationship between your business and client. It can even be used as a strategy when you're at risk of losing a deal.
If the current product on offer is not hitting the mark, it might be time to present an alternative option.
Selling add-on services is another form of cross-selling. This happens when a supplier shows a customer that it can enhance the value of its service by buying additions from a different part of the supplier's company.
When a customer buys an electrical appliance, for example, the salesperson will offer to sell insurance beyond the terms of the warranty. Though common, this kind of cross-selling has (sometimes justifiably) received a bad press.
Another kind of cross selling could be offering your client a solution to a problem.
If you are selling air conditioners for example, why not offer an installation service as well. You have identified a need and are selling your customer a whole supply and install package.
BlackCurve Solutions Limited. Registration No. 10089233.
Registered in England and Wales. VAT Registration No. 253537795.
The “BlackCurve” name and logo are trademarks and properties of BLACKCURVE SOLUTIONS LIMITED.
