Ever walked into a McDonald's just wanting a burger, and they hit you with, “Would you like fries with that?” That’s a cross-sell. Or maybe you were eyeing a phone online, and suddenly, the site suggests, “Upgrade to the Pro version for just $100 more!” That’s an upsell. These strategies work because they increase the average order value (AOV) without increasing customer acquisition costs.
But it’s not just about offering extras. The key is having a clear strategy and making the customer feel they’re getting real value. Let’s dive into how brands successfully use upsells and cross-sells to boost revenue.
Grouping complementary products increases revenue while improving the customer experience. When customers are about to complete a purchase, they are in a buying mindset, making it the right time to introduce related items that enhance their main purchase. The goal is to provide convenience while increasing order value.
Amazon does this with its "Frequently Bought Together" feature. A customer buying a DSLR camera will likely need an SD card, tripod, and carrying case. Instead of relying on the customer to search for those items separately, Amazon automatically suggests them at checkout. This increases AOV and ensures customers receive everything they need in one transaction.
Cross-selling is effective when the additional product enhances the primary purchase without feeling like an unnecessary expense. Customers who make a significant purchase are more likely to justify an additional lower-cost item that maximizes their investment. This is known as anchor pricing. When customers commit to a primary product, adding a related but smaller purchase feels like a reasonable decision.
For example, a DSLR camera priced at $500 may not seem directly connected to a $30 book on photography. However, once the customer has mentally committed to the camera purchase, adding a book to improve their skills feels logical.
This works well for any product with an educational or accessory component. Apple applies this strategy with their MacBooks by offering AppleCare at checkout. By positioning a smaller add-on in relation to the main purchase, the offer appears more attractive.
Upselling works when the upgraded version of a product provides clear, tangible benefits that align with customer needs. Listing a pricier model without context is ineffective. Instead, highlighting performance differences and the added value justifies the increased cost.
For example, if a customer is viewing a budget laptop, the upsell should not focus on price alone. Instead, it should highlight how the upgraded version has a better processor, longer battery life, or increased storage capacity, making it a more reliable and long-term investment. If product attributes like “RAM size” or “battery life” aren’t clearly communicated, the upsell opportunity is lost.
To make upselling effective, structure your product catalog so attributes and benefits are easily comparable. When the right attributes are in place, upsells can be integrated into checkout messaging, emails, and product pages.
Subscription models increase customer lifetime value while offering a financial incentive to users. Customers perceive value in saving money over time, while businesses benefit from repeat purchases and predictable revenue.
Recurring purchases? Offer a discount for subscriptions. While discounts impact margins, the higher LTV of a customer compensates for the reduction. Amazon Prime applies this strategy with "Subscribe & Save" on household essentials like coffee and detergent. Once a customer subscribes, they continue making repeat purchases with minimal effort.
If your product is replenishable, offer a subscription at checkout. Customers receive a discount, and the business secures long-term revenue.
The sales process does not end at checkout. Post-purchase strategies help businesses increase revenue while improving customer satisfaction. Once customers receive their product, they may be open to additional purchases that enhance its value. For example, Peloton encourages customers to subscribe to their workout plans after buying a bike.
Email follow-ups are an effective tool here. A week after purchase, send an email with a relevant cross-sell. If someone buys a kitchen mixer, suggest premium attachments. Timing and relevance are key to making these offers successful.
Offering a free sample lowers the barrier for customers to try a product and increases the likelihood of a future purchase. This strategy works well for consumables and beauty products, where firsthand experience builds trust and purchase intent.
L’Occitane provides free samples of premium lotions or serums with purchases. If a customer enjoys the sample, they are more likely to return and purchase the full-size version.
If you sell beauty products, snacks, or beverages, include a trial-size version of a complementary item with a relevant purchase. This increases repeat sales and raises the overall order value.
Want to boost sales today? Take 15 minutes and fix this:
Identify your top five best-selling products.
Check if they have upsell options or relevant cross-sells linked in your product database.
If not, tag them properly with “Better Alternative,” “Frequently Bought Together,” or “Compatible With.”
Monitor how these changes affect your average order value.
A weak upsell and cross-sell strategy is not a marketing issue—it is a data problem. Implement these strategies effectively, and your revenue will reflect the results.