Customer Up and Cross Selling

Name

Customer Up and Cross Selling

Description

Cross selling is the process of offering new products and services to existing customers. One form of cross selling, sometimes called up selling, takes place, when the new offer is related to existing purchases by the customers. Using DM for cross selling helps to predict the probability or value of a current customer buying these additional products. Doing a DM analysis for cross selling is more than doing the analysis required for single product customer acquisition several times, i.e. for each additional product. Here, the key is to optimize in addition the offerings across all customers and products. This achieves the goal to create a win-win situation, in which both the customer and the company benefit. Analyzing previous offer sequences with DM methods can help to determine what and when to make the next offer. This allows to carefully manage offers to avoid over-soliciting and possibly alienating customers.