Cross-selling means offering a related product to go with what the customer has already chosen: a case for a phone, a filter for a coffee machine. Upselling means offering a more expensive version of the same product: a model with more storage, a set instead of a single item. Both raise the average order value, but in different ways: cross-selling adds items to the order, upselling raises the price of an item.
Stores rarely get the definition wrong; they get the math wrong: they offer add-ons to everyone everywhere and then cannot see whether order value and profit changed. Below: a comparison table, the average order value formula with an illustrative example, five places where add-on offers work, and how to pick related products that do not come back as returns.
When stores look up cross-selling and upselling
Usually when ads get more expensive and the number of orders stops growing. The owner realises it is easier to earn more from each buyer than to win a new one, and searches for "cross selling vs upselling", "what is upselling", "upselling and cross selling examples" and "how to increase average order value".
The next question is "how much will it bring". The answer is not in someone else's percentages but in your numbers: the share of buyers who accept the offer and the value of the add-on. You can calculate it before launch — see the average order value calculation.
What is the difference between cross-selling and upselling
Cross-selling changes the number of items in the order; upselling changes the price of the item the customer has already chosen.
| Aspect | Cross-selling | Upselling |
|---|---|---|
| What you offer | Another product that complements the purchase | A more expensive version of the same product |
| Example | Phone + case + screen protector | A 256 GB phone instead of 128 GB |
| What grows | Number of items in the order | Price of the item |
| When to offer | After the product is chosen: product page, cart, confirmation | While choosing, as the customer compares models |
| Main risk | An incompatible or unneeded product | Too big a jump in price |
Next to them sits one more technique — the bundle: several products together for less than their separate prices. It is really a cross-sell assembled in advance; more on it in a separate section.
How to calculate average order value and the effect of add-on sales
Average order value (AOV) = revenue for a period ÷ number of orders in the same period.
Calculate the effect of each technique separately:
Extra revenue = number of orders × share who accept the offer × add-on value.
Extra profit = number of accepted offers × your markup on the add-on.
Illustrative example for the arithmetic, not market data. A store gets 500 orders a month with an average order value of €60 — revenue €30,000.
- Cross-selling: 15% of buyers (75 orders) add an accessory for €12 — plus €900 in revenue.
- Upselling: 5% of buyers (25 orders) choose a model that costs €30 more — plus €750.
- Total: 30,000 + 900 + 750 = €31,650. New average order value: 31,650 ÷ 500 = €63.30.
Now profit. If your markup on the accessory is €5 and the pricier model brings €8 more markup, add-on sales earn 75 × 5 + 25 × 8 = 375 + 200 = €575 a month. The accessory ships in the same parcel, so there is no extra shipping cost — the main reason a cheap cross-sell pays off.
Plug in your own numbers: the acceptance rate shows up in orders for the first month after launch, the markup comes from your purchase prices. How to calculate markup and margin per item — in how to calculate markup and price.
Where to offer add-ons in an online store
Add-on offers work at five points, and each has its own technique.
- Product page. Upsell — a comparison with the next model up, right next to the product; cross-sell — a "frequently bought together" block with 3–4 related items.
- Cart. One or two cheap add-ons that go in with one click: batteries, a cable, a care product. The customer must tick them; do not pre-select them (see the mistakes below).
- Call or chat. When an order is confirmed by phone or chat: "There is [add-on] for [product] at [price] — shall I add it to the same parcel so you do not pay shipping twice?" A template is in sales scripts for an online store.
- Parcel. An insert card with an offer on consumables for the product bought.
- Email after purchase. Timed for when the consumable runs out or the season starts: filters, cartridges, replacement heads.
How to pick related products
A related product must be needed for this particular purchase and guaranteed to be compatible with it. Check each pair with four questions:
- Does the main product work without it? The strongest add-ons are the ones without which the product will not work: batteries, a cable, a mount.
- Is it compatible? Size, connector, model — check by specifications, not by category. An incompatible accessory comes back together with the main product.
- Is it in stock together with the main product? An add-on that is not in your warehouse or at your supplier holds up the whole order.
- Is it clearly cheaper than the main product? A cheap add-on goes in without a second thought; an expensive one is a separate purchase decision.
| Category | Cross-selling | Upselling |
|---|---|---|
| Electronics | Case, screen protector, charger, cable | More storage, extended warranty |
| Home appliances | Filters, cleaning products, extension cord | A model with extra modes |
| Clothing and shoes | Socks, care products, belt | A model in a better material |
| Tools | Bits, drills, spare battery | A kit in a case instead of a single tool |
| Cosmetics | A product from the same line | A larger size |
The most reliable source of pairs is your own orders: export a few months and see which products are most often bought together. It is more accurate than guessing by category.
Bundles: an add-on sale assembled in advance
A bundle is a cross-sell the customer does not have to put together: the main product and add-ons for a little less than the sum of the separate items.
Illustrative example: a phone at €400, a case at €15, a screen protector at €10 — €425 separately. A bundle at €420 gives the buyer €5 off. If your markup is €8 on the case and €6 on the protector, each bundle brings 14 − 5 = €9 more profit than selling the phone alone.
The bundle price has to change with the prices of its components, and the bundle has to go out of stock as soon as any component runs out — otherwise you sell a set you cannot ship.
Mistakes that make add-on offers annoying
- An upsell with a big price jump. An offer twice as expensive as the chosen product reads as an attempt to sell something unneeded. Offer the next model up, not the most expensive one.
- A cross-sell "just in case". Ten products in a "frequently bought together" block do not help anyone choose. Three or four precise ones work better.
- Pre-ticked add-ons. In the EU, any extra payment beyond the main product needs the shopper's express consent; if you infer it from a pre-selected option, the customer is entitled to a refund of that payment (Consumer Rights Directive, Art. 22). Let the customer add it.
- An incompatible accessory. A return takes away both the profit on the add-on and trust in your next offer.
- Offering add-ons before the customer has chosen. While a person is deciding whether to buy the main product, a cross-sell distracts. Its place is after the choice.
- Pushing on the phone. One offer, one "no" — and on to checkout. How to answer "I don't need it" — in how to handle customer objections.
When related products and bundles belong in the catalog
When you have hundreds or thousands of products and prices and stock are updated from supplier price lists, keeping "product — add-on" pairs in your head or a spreadsheet stops working: the "frequently bought together" block shows items you no longer have, and bundle prices lag behind.
In Elbuz, the product card has "Related products" and "Recommended" sections, and for OpenCart stores related products are exported to the website together with the product. A bundle is built from catalog products or supplier price list rows, with a quantity and a discount for each component; the program recalculates the bundle's price and stock itself, and when a component runs out, the bundle goes out of stock. How the catalog works: PIM software for ecommerce.
Who does not need it: if your store has a few dozen products and prices rarely change, it is simpler to set related products by hand in your store's admin panel.
Product catalog in ElbuzRelated products, bundles with live prices and stock, 14 days free
Frequently asked questions
What is upselling and cross-selling with an example?
Upselling is offering a pricier version of the chosen product, such as a phone with 256 GB instead of 128 GB. Cross-selling is offering a product that complements it, such as a case and a screen protector for that phone.
Is cross-selling the same as upselling?
No. Cross-selling adds another product to the order; upselling replaces the chosen product with a more expensive one. The comparison table is in the difference section.
Is cross-selling good or bad?
It is good when the add-on is genuinely needed and compatible: the customer gets everything in one order and pays shipping once. It turns bad when offers are random, pushy or pre-ticked in the cart.
What is another word for cross-selling?
Add-on selling or suggestive selling; on store pages it usually appears as "frequently bought together" or "you may also need". A bundle is a cross-sell packaged in advance.
How do you calculate average order value?
Divide revenue for a period by the number of orders in the same period. €30,000 in a month from 500 orders gives an average order value of €60.
How can I increase sales without new customers?
Raise order value with cross-selling, upselling and bundles, reduce returns, and bring buyers back with repeat offers. All of this works on people who already buy from you.
Sources
- Directive 2011/83/EU on consumer rights, Art. 22 (additional payments: express consent, no default options) — eur-lex.europa.eu.
- European Commission, Consumer Rights Directive: no pre-ticked boxes for additional payments — commission.europa.eu.
Checked on October 31, 2026.
John
What methods can be used to increase the order amount?