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Cross Selling 7#
In this model, services or products from a formerly excluded industry are added to the offerings, thus leveraging existing key skills and resources. In retail especially, companies can easily provide additional products and offerings that are not linked to the main industry on which they were previously focused. Thus, additional revenue can be generated with relatively few changes to the existing infrastructure and assets, since more potential customer needs are met.
Examples: Iconic Cases
How they do it: American Airlines core revenue comes from selling plane tickets but it uses cross-selling tactics to increase their revenue per seat. Examples for these are e.g. in-flight shopping, offer of ancilliary travel service such as rental cars or hotels.
Learn more about American Airlines →
How they do it: Flyeralarm starting with flyers, added various other products to its portfolio, all having in common to be able to be individualized with a company’s brand / name.
Learn more about Flyeralarm →
How they do it: Royal Dutch Shell gas stations began selling items unrelated to petrol already in the 1930s. For instance, food and beverages, magazines, household goods etc. This leveraged the network of existing infrastructure to cross-sell a wide array of various products to the same customer base.
Learn more about Shell →
How they do it: After starting with offering a marketplace for accomodations, Airbnb added the experience and restaurants category to their website, allowing customers to book experiences such as sightseeing tours, cooking classes, and various cultural activities right through the Airbnb website and get recommendations for activities close to their booked accomodation.
Learn more about Airbnb →
How they do it: In a Starbucks, customers may find a selection of conventional food and beverage options (e.g. coffee, pastries). Starbucks cross-sells a host of other products via its stores: For instance, coffee mugs or other merchandise.
Learn more about Starbucks →
Below, the top industries for the pattern "Cross Selling" are displayed, in order to get insights into how this pattern is applied across different industries. We've collected data from 11 firms using this pattern.
Top Industries
E-Commerce
27% of firms using pattern
27% of firms using pattern
Retail
19% of firms using pattern
19% of firms using pattern
Information Technology
6% of firms using pattern
6% of firms using pattern
All Industries
Below, the pattern "Cross Selling" is analyzed based on co-occurrence, in order to get insights into how this business model pattern is applied in combination with other patterns within the firms we studied.
Top Co-Occurrences
Affiliation
2 pattern co-occurrences
2 pattern co-occurrences
Self-service
2 pattern co-occurrences
2 pattern co-occurrences
Digitization
2 pattern co-occurrences
2 pattern co-occurrences