Cross-selling as a growth strategy
Unleash the potential
Many companies recognize that they have great potential in existing customers who only place part of the purchase with the company. It can be expressed in different ways.
With some customers, we have our products in one department, but not in others. For some customers, we are part of one product line, but not in the others. At some companies, we deliver one product group, but not the others that we could also deliver. With some customers, we have a share of 15% of the customer's total purchases, but perhaps have the products so that we could make up 60%.
The solution is often: "We need to start cross-selling!", and then you expect the sales organization to take care of it, backed up by some campaign activities from marketing.
It often goes well. For a few months. But not at all with the growth that the enormous potential justifies.
More is needed. A cross-selling strategy is a company-wide strategy. The solution consists of many elements that must work together:
- The CRM system and order history must be data mined and the potentials clarified and prioritized
- The cross-selling customer journey must be clearly defined
- Procurement and product management must deliver elements for the solutions
- Marketing must create both the foundation and elements that can support the cross-selling process
- Cross-selling efforts must be organised and a clear division of roles and labour must be systematised
- Pricing principles, customer bonuses and other things must be redefined and clarified
- IT systems, website and digital marketing must be optimized for cross-selling efforts
- The sales organization must be educated, trained and provided with tools that can support cross-selling
- Management resources across the company must be mobilised to initiate and especially maintain momentum in cross-selling work
These are just some of the elements of the solution that require a holistic and tailored approach if you are to truly unleash the great potential that many companies have in the existing customer base.
Contact Brandculture for a chat about the possibilities and elements of a solution for your company