Cross-Sell Analysis difficulties

October 25, 2007

We’ve made changes to our cross-selling and the time has come to determine the effectiveness of those changes.  The changes were made through common sense; we looked at the organic cross-sales that occurred, compared those to the cross-sell recommendations in our store, and added replaced ineffective cross-sell recommendations with strong organically occurring cross-sales. Simple really.

The difficulty I’m finding is in determining the attributable growth in store sales overall to cross-sell. Does anyone have any tips/tricks to get the numbers to show me something, anything useful at all?

We are very fast growing, in reach, in traffic, in brand awareness, and all those result in sales. Additional to the difficulty, is that when the changes were made we only looked at a handful of products, rather than the entire catalog.

So far my process looks like this: I’ve pulled comparison cross-sell reports and highlighted the products changed. The data has been normalized and I’ve looked specifically at the 2 things

  1. The ratio of cross sell for the changed items against the sales of the originating item
  2. The ratio of sales from cross sell to total sales for the changed item

So I have increases in individual item cross sales, but how can I know how much of an items total growth is due to cross sale growth, especially if total growth outpaced cross sell growth? And how do I take that one step further and extrapolate the growth of the store sales to cross sale growth?

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