How Zara nailed upselling with perfumes? 🧴
Welcome to the 95th edition of the GrowthX Newsletter. Every Tuesday & Thursday I write a piece on startups & business growth. Today’s piece is going to 94,400+ operators & leaders from startups like Google, Stripe, Swiggy, Razorpay, CRED & more
Fact : Zara's India revenue hit ₹1,815 Cr 💰
Myth : It sells only clothes & nothing more 🙅🏻
Here's how Zara's perfume upselling works ⬇️
Have you ever bought from Zara? 🙇🏻♂️
Do you remember the last time you went to the Zara store? What did you do observe during the checkout experience? Yeah, apart from the long queue.
Enter - the Zara perfume collection. As soon as you get into the checkout line, you see this full stocked perfume rack. So what's so intriguing about this perfume cross sell touchpoint that makes it a instant buy.
First, the captive shelf space 🗄
It hits the nail on capturing user attention when they aren't distracted of buying something else.
Second, the price point 💰
The average price point of a perfume bottle starts at ₹300 to ₹ 1,500 which is 50% of average Zara outwear. User won't think much about the price point. Check!
Third, low variety on purpose 🤓
You won't find more than 6 to 7 different shades of perfumes. Ask why? Zara doesn't want you to get confused into the whole stack of varieties. They want you to pick & checkout faster. System design for the world.
And lastly, captivating packaging 🎁
It feels nice to hold the Zara perfume packaging making it the ideal gift option.
Wondering what an interest business can learn? 🧠
Zara is using perfumes to cross sell and increase the average basket size of the order. This could inform which products you could suggest to your checking out customers & also allow them to add them to cart with single click.
That was the Zara perfume story ✨
If you are someone who is solving for cross selling in your monetisation strategy, the GrowthX Monetisation deep dive might be the science to your revenue growth problems. Go to the GrowthX rabbit hole to know more.
