We are independent & ad-supported. We may earn a commission for purchases made through our links.
Advertiser Disclosure
Our website is an independent, advertising-supported platform. We provide our content free of charge to our readers, and to keep it that way, we rely on revenue generated through advertisements and affiliate partnerships. This means that when you click on certain links on our site and make a purchase, we may earn a commission. Learn more.
How We Make Money
We sustain our operations through affiliate commissions and advertising. If you click on an affiliate link and make a purchase, we may receive a commission from the merchant at no additional cost to you. We also display advertisements on our website, which help generate revenue to support our work and keep our content free for readers. Our editorial team operates independently of our advertising and affiliate partnerships to ensure that our content remains unbiased and focused on providing you with the best information and recommendations based on thorough research and honest evaluations. To remain transparent, we’ve provided a list of our current affiliate partners here.
Business

Our Promise to you

Founded in 2002, our company has been a trusted resource for readers seeking informative and engaging content. Our dedication to quality remains unwavering—and will never change. We follow a strict editorial policy, ensuring that our content is authored by highly qualified professionals and edited by subject matter experts. This guarantees that everything we publish is objective, accurate, and trustworthy.

Over the years, we've refined our approach to cover a wide range of topics, providing readers with reliable and practical advice to enhance their knowledge and skills. That's why millions of readers turn to us each year. Join us in celebrating the joy of learning, guided by standards you can trust.

What Are the Differences between Cross-Selling and up-Selling?

Malcolm Tatum
By
Updated: May 17, 2024
Views: 5,358
Share

Cross-selling and up-selling are two types of selling techniques or strategies that just about all businesses who market to consumers will use at one time or another. While there are some similarities between the two selling tactics, each approach has some unique purposes that make them ideal for specific situations. The easiest way to think of the differences between cross-selling and up-selling is that the former has more to do with enticing the customer to buy something that will go with an item already purchased, while up-selling is more about encouraging the customer to purchase something that is considered an improvement or upgrade over a good or service the consumer has purchased in the past.

One way to understand the difference between cross-selling and up-selling is to consider the various service offerings provided by a communications company. A local telephone company will offer local telephone service to its subscribers, but also often provide the opportunity to purchase add-ons that help to make that local service all the more helpful and convenient. To that end, the salesperson for the local company may present customers with the chance to enhance their telephone service with the addition of voice mail, long distance services offered by the local telephone provider, or other touch tone features that will make that basic service more valuable to the customer. This type of activity would be considered cross-selling.

A major difference between cross-selling and up-selling is that the goal with up-selling is not to sell additional products that work with the good or service originally purchased, but to entice the customer to move on from that earlier purchased service to something that is superior, and usually costs a little more money. For example, a company that makes simple two slice toasters may release a new model that will accommodate four slices of bread at a time, even including larger slots for the bread slices, what will accommodate other types of bread such as bagel slices. Available at a price that is higher than the simple two-slice toaster, the salesperson will note how much more versatile the four-slice toaster is in comparison, with the ability to toast more slices at a time and not being limited to slices that are the standard size. When successful, the salesperson convinces the customer to abandon that older toaster and buy the new and improved model.

Many companies will engage in cross-selling and up-selling whenever possible. When managed to best effect, both methods can help to enhance relations with consumers, who tend to see the salespeople as being aware of and receptive to their needs for additional or improved products. Should the approach used by the salesperson seem to be more about making a sale and less about providing added value to the customer, both cross-selling and up-selling attempts may backfire, actually damaging the customer relationship rather than making the relationship stronger.

Share
WiseGeek is dedicated to providing accurate and trustworthy information. We carefully select reputable sources and employ a rigorous fact-checking process to maintain the highest standards. To learn more about our commitment to accuracy, read our editorial process.
Malcolm Tatum
By Malcolm Tatum
Malcolm Tatum, a former teleconferencing industry professional, followed his passion for trivia, research, and writing to become a full-time freelance writer. He has contributed articles to a variety of print and online publications, including WiseGeek, and his work has also been featured in poetry collections, devotional anthologies, and newspapers. When not writing, Malcolm enjoys collecting vinyl records, following minor league baseball, and cycling.

Editors' Picks

Discussion Comments
Malcolm Tatum
Malcolm Tatum
Malcolm Tatum, a former teleconferencing industry professional, followed his passion for trivia, research, and writing...
Learn more
Share
https://www.wisegeek.net/what-are-the-differences-between-cross-selling-and-up-selling.htm
Copy this link
WiseGeek, in your inbox

Our latest articles, guides, and more, delivered daily.

WiseGeek, in your inbox

Our latest articles, guides, and more, delivered daily.