6 Steps for a Successful B2B Cross-Sell and Upsell Strategy
Are you doing enough to hit and potentially exceed your revenue goals? If you’re not marketing additional products or services to existing customers, you’re missing out on low-hanging fruit.
To thrive and succeed in today’s competitive environment, you need to incorporate cross-sell and upsell into your marketing strategy to reap the full benefits of your hard-won customers. In fact, data from Forbes reveals that 90% of the customer value for B2B businesses is actually obtained after the initial sale. Don’t leave this on the table for others to grab—start implementing customer marketing today.
But how can you get started? Follow these six steps to building an effective customer demand generation strategy for cross-selling and upselling:
1. Start With Your Goals
By understanding your goals from the start, you can ensure that everything in your cross-sell and upsell strategy is aligned to help you achieve them. For revenue marketers who support sales, which is most B2B marketers, booking revenue is the ultimate metric. By mapping your goals for each stage of the revenue funnel, you can measure your impact along the way.
It’s a good idea to work backward from your sales team’s bookings revenue goal (usually a quota) to calculate how many wins (closed-won deals), opportunities, SQLs (Sales Qualified Leads), MQLs (Marketing Qualified Leads), and campaign successes you need to generate based on your
internal revenue funnel. Leverage historical data on conversion rates between revenue stages, sales velocity (the time it takes to convert a customer to buy more products, and campaign performance to understand the type and number of campaigns you’ll need to hit your goals. If you have a marketing automation platform, it’s important to map out your customer revenue model, taking into account your unique business cycle and its complexity, sales velocity, and the flow of customer lead. And if there’s not enough historical data for you to look back at, it’s never too late to start building your baseline so you can test and optimize your campaigns over time!
2. Understand Your Target Audience
The next step is to understand who your audience is and build detailed customer profiles, including their roles in the organization, goals, needs, and pain points—at every stage of the buyer journey. Because your audience consists of existing customers whose demographic and behavioral data are already in your database, it’s likely that you already have all this information at your fingertips. However, you’ll still need to create personas to identify the best products or services to cross-sell or upsell that are most relevant to each customer’s unique interests.
3. Develop a Customer Journey
Your customers will be going through different journeys depending on the size, type, and complexity of their organization, their sales cycle, and the complexity of your product or solution. Below are some common stages that you should consider. Through each of these stages, you should be working in collaboration with customer-facing organizations to accelerate the customer’s transition from one stage to the next.