6 Must Have Capabilities of an Ecommerce Software to Increase Average Basket Size
Average basket size or transaction value is the average number of products sold in one singe bill. It has a significant impact over revenue goals and maximize business value. The ecommerce platform or ecommerce marketplace you have or you are planning to purchase should be capable of executing the following best practices which have enormously helped ecommerce merchants to increase ATV (Average Transaction Value).
1. Product Bundling
This method increases the perceived value of the products and hence makes the customer feel that the products worth more than they are bought individually. The products should be carefully chosen and priced skilfully to induce your customers into buying the bundle.
2. Upselling and Cross selling
As per Wikipedia:
Upselling is a sales technique whereby a seller induces the customer to purchase more expensive items, upgrades, or other add-ons in an attempt to make a more profitable sale.
Cross-selling is the action or practice of selling an additional product or service to an existing customer.
Both up-selling and cross-selling were considered as an art of a skilled sales man. When it comes to ecommerce platforms it is the availability of data which helps an online merchant to understand which products are bought by customers along with a particular product and which all products can be effectively up-sold or cross-sold. The merchants should recommend the most relevant products to his/her customer which will lure them into purchasing and ultimately increase the basket value.
3. Customers also bought
This is usually an automated feature of the ecommerce software you buy. The platform display the products which are frequently bought along with the primary product customers have chosen in the past. This method works based on the human tendency to avoid risk by buying products that more number of people have tried and tested.
4. Recommended for you
This also is an automated feature of an ecommerce software or ecommerce marketplace software. It displays the closest recommendation based on attributes and price of the product the customer have chosen. This feature not only help customer find a better alternate product, but also helps merchants in upselling products and establish a close relationship with the customer which eventually turns them to a loyal customer.
5. Catalogue promotion
Catalogue promotions are creatively used by ecommerce merchants to lure customers into purchasing more products using attractive offers. The promotions are created for season sale, events, excess inventory clearing etc. Usually merchants create a dedicated page for listing such products and link it to a banner. The rules set for the discounts will be automatically applicable once the customer ads the products to the cart.
6. Cart promotion
These promotion are used by merchants to increase ATV independent of the product being purchased by the customer. The cart promotion feature help merchants to give offers based on the value of the cart, abandoned cart, free shipping etc.