Article

9min read

Test, Optimize, and Upsell

For e-commerce success, added revenue from existing customers can be more efficient than constantly pursuing new ones. Returning buyers are a vital piece of this strategy. We recently sat down with industry experts to discuss how optimizing customer experiences can drive upselling and cross-selling opportunities. They shared practical approaches for boosting average order value (AOV) while nurturing customer loyalty and retention.

Our speakers, each experts in testing, optimization, and conversion rate, provided insights into how brands can increase revenue through personalized, thoughtful customer engagement.

Meet the experts

In this article, we’ll explore actionable strategies from the webinar to help you personalize to existing customers and drive growth through upselling and cross-selling—not just new customer acquisition.

1. Optimizing the cart for upsells

Upselling at the cart and checkout stages can significantly increase AOV, but it requires a carefully planned approach. As Colette Carlson explains: “Before implementing anything, it’s crucial to understand how you’re going to measure success and ensure that your conversion rate is solid. When it comes to the cart and checkout process, if those aren’t optimized, adding upsell and cross-sell strategies will only introduce more noise.” Shoppers who have reached the cart are already primed to convert, so it’s important not to disrupt their momentum with irrelevant or poorly timed offers.

“Before implementing anything, it’s crucial to understand how you’re going to measure success and ensure that your conversion rate is solid. When it comes to the cart and checkout process, if those aren’t optimized, adding upsell and cross-sell strategies will only introduce more noise.”

Collette Carlson, Director of Optimization at Astound Digital

Coordination with internal teams is also important when designing upsell strategies. For instance, if an upsell is introduced at checkout, the process should be seamless – will the original product be automatically removed from the cart if the customer selects an upgrade, or will they need to make the changes manually? Likewise, if you’re offering a bundle or cross-sell, is your system prepared to handle it without disrupting the customer experience?

Effective upsell offers are relevant to the customer’s purchase. Suggesting complementary items or upgrades can boost AOV, as 80% of consumers are more likely to complete their purchase with brands offering personalized experiences. From upsell testing experience at Giftory, Jared advises against pushing unrelated or overly expensive items, which can confuse or deter customers altogether. 

Using product recommendation algorithms can streamline upselling. Automating this process ensures that customers receive relevant suggestions without the need for manual curation, creating a smoother experience for your team and the customer. AB Tasty’s product recommendation engine allows upsells based on several criteria, including most recent products, associated products, similar or more expensive items, complementary items, and top promotions.

2. Strategic product recommendations for cross-selling

To effectively cross-sell, brands must identify the right moment in the customer journey. If you offer relevant products at key points without disrupting the experience, similar to upselling. But first, establishing cross-selling metrics can lead to stronger effectiveness.

The primary metrics will vary depending on what you’re testing—whether it’s an algorithm change, a new carousel design, or a different recommendation format. There are some essential KPIs to consider: 

  • Engagement: Track how often customers interact with cross-sell offers, such as clicks or add-to-basket rates.
  • Conversion rate: Measure how many customers who engage with offers complete their purchases.
  • Average order value (AOV): Gauge how effectively cross-sell strategies are increasing the total order value.
  • Items per order: Monitor if cross-sell efforts lead to additional products being added to the cart.
  • Overall revenue: This ultimate metric reflects the total impact of your cross-sell strategy.

Once these metrics are in place, refine your strategy by determining where cross-sell offers should appear. For example, adding a cross-sell option in the mini cart or as a pop-up at checkout can add complexity, so testing can help avoid disrupting the customer experience.

Testing cross-sell algorithms in action

Nicole Story shared a valuable example of testing product recommendation carousels. Inspired by Amazon’s success, many brands rushed to implement carousels on their websites, but forgot the importance of context. Placing multiple carousels on the homepage often leads to irrelevant suggestions and a poor experience.

Nicole’s team tested various algorithms by tailoring product recommendations to the customer’s journey. On product detail pages (PDPs), carousels that showed “related product suggestions” outperformed those with generic recommendations. The tests revealed that adjusting algorithms based on context and customer behavior was far more effective than placing standard carousels throughout the site.

As Nicole explains: “Simply introducing product recommendations and checking that box off the roadmap isn’t going to deliver real value. The key is continuous optimization and discovering what works across the entire customer journey—that’s where the real value lies.”

“Simply introducing product recommendations and checking that box off the roadmap isn’t going to deliver real value. The key is continuous optimization and discovering what works across the entire customer journey—that’s where the real value lies.”

Nicole Storey, Co-Founder & Director at Hookflash Analytics

Relevance is everything

Cross-sell strategies must be highly relevant to what the customer is already doing. As Gerred Blyth from Giftory mentioned, “We have high expectations as customers and irrelevant offers can break that trust.” Customers expect brands to know their preferences and behaviors, so it’s important that recommendations feel personalized and timely. 

3. Experimentation and testing for long-term loyalty and CLV

Continuous experimentation is critical for building long-term customer loyalty and increasing customer lifetime value (CLV). Instead of relying on a single strategy, brands should constantly test and improve their approach. Colette points out that starting by analyzing existing order data can uncover natural cross-sell patterns. This provides valuable insights into which products are frequently purchased together.

For first-time visitors, bombarding them with upsell offers might backfire. Instead, let them become familiar with your brand and key products before introducing additional offers. In contrast, repeat customers may be more open to cross-sells that align with their previous purchases.

Upselling with product recommendations

According to our data a customized UX can boost revenue and increase basket size by up to 10%. Product recommendations can be seen as a form of personalization and, as our panel pointed out in the webinar, experimenting with different formats—such as carousels, quizzes, or other interactive tools—can help identify what resonates with your audience and drives engagement.

We use AI to analyze visitors’ site interactions and purchase behavior, delivering targeted recommendations, each with a specific goal. This means you can better understand which products to offer, to whom and when during the customer journey:

  • Product Page: Guide users to explore more products or categories.
  • Last Seen Products: Help users quickly resume their browsing.
  • Add to Cart: Encourage users to add complementary items to their basket.
  • Cart Page: Suggest additional items to increase order value.
  • Homepage: Showcase personalized content and help users navigate the site.

Our panel also discussed how different types of algorithms are necessary depending on your vertical. You can divide your algorithms into three distinct types and choose how you prioritize:

  • Convert: These recommendations would offer top sellers, top trending products, top converting products, top reviewed products etc.
  • Upsell: This could suggest most recent products viewed, associated products, similar products, compatible products etc.
  • Personalize: This could suggest last visited products, last bought products, user affinity or similar or associated to cart products

If you work for a beauty site, customers will replenish their favorite products, whereas home and decor might recommend accessories or similar products. While personalization drives relevance, maintaining control over the recommendation process means you can speak directly to your customer’s needs. 

Giftory: fostering loyalty with timely engagement

Giftory is beginning to focus on lifetime customer value. Their approach involves using cross-sell and upsell strategies similar to a CRM initiative, introducing customers to a broader range of products both during and after their purchase. They gather data on why customers buy gifts, such as birthdays or anniversaries, and use that information to send timely product recommendations in the future.

By reaching out to customers at the right moment, such as 11 months after an anniversary purchase, Giftory can re-engage them with relevant offers without overwhelming them with constant promotions. This creates a personalized experience that encourages long-term loyalty and repeat business.

4. Subscription models for upsell and retention 

Offering subscription products to upsell can improve both immediate revenue and CLV. The challenge is to find the right balance: How can you encourage customers to subscribe without overwhelming them, while also ensuring the offer feels relevant and valuable over time? 

Before launching a subscription model, look at your data to understand customer behavior. Consider the difference between a one-time purchaser and a subscriber. While offering a small discount for subscribing may lower the initial AOV, the long-term benefits of recurring revenue from a loyal subscriber can make up for it. 

Testing and data-driven strategy

Launching a subscription model requires more than just adding an upsell feature—it involves a data-informed approach. Starting small with a minimum viable product (MVP) allows you to test how customers respond and fine-tune the offering. Metrics like renewal rates, engagement, and overall CLV will help guide decisions about whether to scale the program.

As Gerred advises: “Walk before you run. Start with the first test—an MVP. It doesn’t have to be the final version you’ll roll out, but that initial test will help you understand the value and prove the benefits. From there, you can evolve and continuously improve. It’s easy to feel overwhelmed when you hear about advanced strategies and algorithms, but you don’t need to get there all at once.”

“Walk before you run. Start with the first test—an MVP. It doesn’t have to be the final version you’ll roll out, but that initial test will help you understand the value and prove the benefits. From there, you can evolve and continuously improve. It’s easy to feel overwhelmed when you hear about advanced strategies and algorithms, but you don’t need to get there all at once.”

Gerred Blyth, Chief Product Officer at Giftory

Offering personalized options, such as different subscription tiers or flexible renewal cadences (monthly, bi-monthly, quarterly), can make the experience more appealing to a wider range of customers. Testing, refining, and adapting based on customer feedback will ensure that the model evolves in a way that meets both business goals and customer expectations.

Wrapping up 

Just as you approach CRO with care and precision, cross-selling and upselling require a high level of attention. 

Upselling and cross-selling don’t have to be complex when you have the right tools and the right strategy. If you want the expert’s opinion – watch the webinar below: 

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Article

11min read

Understanding the Digital Customer Journey

In a highly competitive digital marketplace, optimizing your website for a unique and seamless digital customer journey is no longer just a competitive advantage — it’s a necessity.

It’s important to remember that the digital customer journey does not begin and end with a purchase – it’s a web of all customer interactions and touchpoints with your brand.

AB Tasty has mapped out seven customer phases that we consider crucial in the journey. To craft unique experiences, you’ll need to differentiate these seven phases customers pass through and understand how to animate their digital journey.

Once you have a better understanding of these phases, you will be better equipped to set your business goals and properly optimize your website for growth and impact.

Click to view the full-sized infographic in a new tab

How exactly can you optimize each phase of the digital customer journey? Let’s dive right in and take a look at some examples.

Phase 1: Awareness

When visitors land on your website for the first time, a great first impression is crucial. Your page needs to be both visually appealing and intuitive. A dynamic above the fold design is a great place to start.

In this first phase, it’s important to let your best ideas shine to capture and keep your visitors’ attention. You can accomplish this by creating personalized welcome messages for first-time visitors, displaying your value proposition and organizing high-impact elements for better visibility.

Let’s take a look at Just Over The Top’s experiment to modify the layout of their homepage. They used AB Tasty’s experience optimization platform to test if their users responded better seeing a layout with product categories rather than individual products.

Original:

Variation:

After creating a test variation to run against the original layout, they saw a 17.5% click increase on the three blocks below the hero image. This brought many more users into the second phase of their customer journey.

Phase 2: Discovery

When consumers reach the second phase, they’ve already discovered your brand and they’re getting curious.

To accommodate visitors during this phase, your website should be optimized for an excellent browsing experience. Whether this means making your search bar more visible, creating dynamic filters while searching, or using a virtual assistant to get to know your visitors’ interests with a series of questions, an easy browsing experience with intelligent search is key.

In this example, Claudie Pierlot focused on optimizing the customer browsing experience by testing the search bar visibility. In their variation, the small search icon was made more visible by adding the word “recherche” (or search in English) in the top right-hand corner.

Original:

Variation:

This clear above the fold design made it easier for visitors to identify the search bar to begin their browsing experience. With this simple A/B test, they saw a 47% increase in search bar clicks and a 7% increase in conversion rates coming directly from the search bar.

In another example, Villeroy & Boch, a ceramic manufacturing company, wanted to leverage intelligent search on their website. With the help of AB Tasty, they implemented an AI search algorithm to navigate online shoppers.

With our solution, they designed a new and intuitive navigation complete with filters and a comprehensive autosuggestion feature.

By changing their search functions, Villeroy & Boch saw a 33% increase in search results clicks and a 20% increase in sales through the search function.

Phase 3: Consideration

Now is the time when your visitors are considering your brand and which products they are interested in. Showcasing your product pages in their best light during the consideration phase might be exactly what your visitor needs to continue moving down the funnel.

Let’s look at how Hanna Anderson optimized their product pages during this phase.

The clothing retail company wanted to experiment with the images on their product listing pages. Previously, their toddler line had only images of clothing sizes for an older child. They were convinced there was room for improvement and decided to run a test by changing their images to include toddler sizes.

Original:

Variation:

After implementing age-appropriate clothing images, the results were clear. During this test, the clicks on PLPs increased by almost 8% and the purchase rate on those items skyrocketed by 22%.

Phase 4: Intent

During the intent phase, your visitors are on the verge of becoming customers but need to be convinced to make a purchase.

Social proof, urgency messaging, and bundling algorithms are a few ideas to lightly nudge visitors to add to cart or add more to cart.

Let’s take a look at the impact that urgency messaging can have: IZIPIZI, an eyewear retailer, decided to add a special message flag next to their product description to show viewers how many people have purchased this product. The idea of this message is to show viewers that this product is popular and to encourage them to take action.

With this simple sentence of social proof to validate a product’s desirability, they saw a 36% increase in add-to-basket rate.

In another scenario, you can see that adding a progress bar is a simple way to upsell. With a progress par, you are showing your customer how close they are to earning free shipping, which entices them to add more to their cart.

Vanessa Bruno experimented with this additive with the help of AB Tasty and saw a 3.15% increase in transactions and a €6 AOV uplift.

Phase 5: Purchase

Purchase frustration is real. If customers experience friction during checkout, you risk losing money.

Friction refers to any issues the visitors may encounter such as unclear messaging during the payment (did the payment actually go through?), confusing or expensive shipping options, discounts not working, double authentication check-in delays, difficult sign-in, and more.

Optimizing your checkout sequence for your audience with rollouts and KPI-triggered rollbacks can help you find a seamless fit for your website.

Let’s look at an example for this phase: Galeries Lafayette, the French luxury department store, saw an opportunity to optimize their checkout by displaying default payment methods that do not require double authentication.

During this test, they saw a €113,661 increase in profit, a €5 uplift in average order value, and a 38% increase in the conversion rate by adding the CB (bank card) option for a quicker checkout.

Phase 6: Experience

Optimizing the buyer experience doesn’t end after the purchase. Now is the time to grow your customer base and stop churn in its tracks. So, how do you keep your customers interested? By maintaining the same level of quality in your messages and personalization.

Let’s look at how Envie de Fraise, a French boutique, leveraged their user information to transform a normal post-purchase encounter into a personalized experience.

One of their customers had just purchased a maternity dress and had been browsing multiple maternity dresses prior to their purchase. By knowing this information, they experimented with using the “you will love these products” algorithm to gently nudge their customer to continue shopping.

With a customized recommendation like this, Envie de Fraise saw a €127K increase in their potential profit. As your customer spends more time with your brand, you will learn more about their habits and interests. The more time they spend with you, the more personalized you can make their experience.

Phase 7: Loyalty

In the final step of your customer’s journey, they move into the loyalty phase. To turn customers into champions of your brand, it’s important to remind them that you value their loyalty.

This can be done by sending emails with individual offers, social proof, product suggestions, or incentives for joining a loyalty program to earn rewards or complete product reviews.

Another example of this is sending a personalized email displaying items that are frequently bought together that align with their purchase. This will remind the customer about your brand and give them recommendations for future purchases.

Why Optimizing the Digital Customer Journey is Essential to Boost Conversions

The fierce competition in the e-commerce marketplace is undeniable. In order to attract and retain customers, you have to focus on crafting personalized user experiences to turn passive visitors into active buyers.

Understanding their needs in each phase and optimizing your digital space is your best solution to nudge visitors down the purchasing funnel.

By personalizing the experience of your customers during each phase of the digital customer journey, you can ensure an optimal shopping experience, boost purchases, increase customer satisfaction, and see more repeat customers.

AB Tasty is the best-in-class experience optimization platform that empowers you to create a richer digital experience – fast. From experimentation to personalization, this solution can help you activate and engage your audience to boost your conversions.

Using personalization to enhance your customer journey

With the vast array of products and brands to choose from, customer loyalty has become more important than ever. By focusing on personalizing the digital customer journey, you can reduce the chances of your customer abandoning their purchase or opting for another brand.

An individualized customer journey is beneficial for the following reasons:

  • Option overload: As online brands fight for the attention of consumers, it’s important to set your brand apart from the rest, with a customer journey that is tailored to their needs.
  • Analysis paralysis: With a plethora of information now readily available to customers who are researching and comparing potential purchases, your digital customer journey can help to deliver the information they need with ease and offer them the best shopping experience, thereby tipping the scale in your favor.
  • Lack of loyalty: The ease with which a customer can change service providers has increased the pressure and importance of meeting their needs during the entirety of the digital customer journey. Every interaction matters.

Offering a personalized experience elevates the customer journey and helps to ensure customer satisfaction. By leveraging the power of personalization, you can adapt the individual phases of the customer journey to each customer’s needs for an optimal e-commerce experience.

Personalization is the key to customer satisfaction

There is no way to deny the intense competition in the e-commerce space. Attracting and retaining customers is more difficult now than it has ever been. To advance ahead of the competition, you must understand customer needs and personalize each user journey with the help of a customer journey model.

By personalizing each experience your customers have with your brand, you can be sure to give your customers an optimal shopping experience, guarantee customer satisfaction, and encourage customer loyalty.