For many hair care retailers, cross-selling is a neglected area where they are unaware of its potential for record profits. With proper attention, the right products and strategies that have proven to be effective, they will become a priority. The first step is to consider these 6 factors that will guide you in this change of approach.
Why should you encourage cross-selling of your hair care products?
Cross-selling is accompanied by an increase in revenue that can range from 10% to 30%. By offering additional products that complement the main purchase, the average ticket will increase, but this is only the beginning, as cross-selling can improve customer satisfaction.
By providing relevant and useful recommendations, you show that you listen to them and understand their needs and preferences. creating a personalized shopping experience. In addition, you are saving him valuable time by finding everything you need in one place. Let’s not forget that today’s consumers value convenience. No one wants to go from store to store or website to website to find all the products they are looking for.
On the other hand, customers sometimes tend to prolong their purchasing decisions over long periods of time. During this time, they debate whether or not they need an item, spend time looking for the best price, or wait for it to go on sale. Cross-selling can give them that final push they need to move forward in the buying process.
Add all these factors together, and the result is to strengthen your relationship with them, giving them a compelling reason to return to your store in the future and turning them into long-term customers. Therefore, a key KPI, such as Customer Lifetime Value (CLV), will be increased. A concept that refers to the revenue that a customer is estimated to generate over the course of his or her relationship with your company. The importance of CLV goes beyond profitability, as this metric can also relate to the strength of your customer relationships and identify brand ambassadors or top revenue generators.
The 6 key drivers you need to know to drive cross-selling in your Hair Care retail business
1.- Evaluate the client’s needs
The first step to implementing an effective cross-selling strategy for effective hair care products is to know your customers. This implies understanding their needs, preferences and purchasing behavior, taking into account the particularities of each market. Factors such as the predominant hair type and its problems, as well as cultural, socio-economic and psychographic issues come into play here.
To do this, you need to use data analysis and customer behavior tracking tools, the CRM system, like a CRM, to collect relevant information and segment your customers into specific groups. In this sense, it would also be necessary to analyze reliable market studies in order to have a perfect understanding of the competitive reality of the environment.
2.- To have brands with a broad product portfolio
It is a priority to analyze the products or services that are most frequently purchased and look for related products that you can offer them. Use segmentation techniques to personalize your cross-sell offers and make sure they are relevant to each customer group. This will help increase the likelihood that customers will accept your offers and make an additional purchase.
To achieve this, you must include in your shelves brands that have a variety of products that allow you to carry out this strategy. For instance, product families with a star ingredient that alone can define a hair care routine or those developed for a specific need, such as frizz control.
3.- Connect with your target audience on an emotional level
Use effective marketing techniques to promote your cross-selling products or services. This can include the use of promotional banners on your website, personalized emails, online paid advertising campaigns, social media ads, etc.
First and foremost, make sure your marketing messages are clear, persuasive and easy to understand. Here it is of great value to employ techniques that demonstrate empathy, such as storytelling. Storytelling is a marketing tool used to connect with the public through storytelling and make them feel identified with the brand or product.
By telling stories that involve several of the brand’s products or services, you can create an interest in customers to learn more about them and, therefore, increase cross-selling.
4.- Create an ecosystem around a brand
One of the ways to boost revenue through cross-selling is by making the customer feel part of a community that shares their hair care concerns as well as their personal principles.
Social networks are a great help in this regard. These act as a forum to find users with the same problems and interests. Members of this community can recommend product groups and routines to each other.
5.- Offer loyalty programs
Point programs, discounts, gifts or exclusive benefits are very effective resources to generate cross-selling. These loyalty actions are a way to reward customers for their loyalty and make them feel valued.
By offering points or discounts for the purchase of complementary products, customers are incentivized to buy more products of the brand. In addition, this creates a sense of exclusivity and makes customers feel special.
6.- Facilitating the choice and the purchasing process
Make the buying process as simple and convenient as possible for your customers. If you have an ecommerce business, make sure they are able to easily add additional products or services to your shopping basket. Bet on a distribution of products, either on the web or on the shelves, in which complementary products are close to each other. Let them see at a glance the possibility of acquiring them together easily.
If the customer asks for advice, make it clear to him the advantages of acquiring complementary products. So you must have your staff properly trained and informed about them.
How to boost your cross-selling with Starbrands products
For retailers around the world, Starbrands brands guarantee increased profitability through cross-selling. One of the main reasons for this is the variety and quality of its products. And, as a sample, we can highlight the Kativa catalog. In this catalog, you can find argan oil, keratin, coconut, vitamin E, collagen and biotin-based products, among others, including shampoos, conditioners, masks and styling creams.
In addition, customers can opt for specific products for their needs, such as our Brazilian smoothing and post-smoothing treatments, or those designed to moisturize, reconstruct, etc. All of them with premium results while protecting the environment, helping our customers to grow personally and being strong advocates of concepts such as cruelty free.
All that remains is to add another great attraction, the benefits of being our partner, such as exclusive distribution, higher margins, specialized attention and many more. Are you discovering them with us? Contact us!