Marketing other products or services to an existing customer. Cross marketing enhances the ability of generating further sales. Also known as Cross Selling.
Encouraging customers to buy products from other departments or categories is called Cross-Selling. There is not only one definition of cross selling. The definition actually depends on many different elements. These elements might be the size of the business, financial motivations, the industry sector etc. there are also many different reasons for cross-selling. It can occur in order to increase the income that is gotten from the client or clients or to keep the clients and the existing relationship with them. The approach to this kind of business can be different as well. Since this is not collecting new business, it can be quite risky. Offering something new and different to the client can lead to the loss of the client. Therefore one needs to be sure that what they are offering is indeed something that increases the value that the clients get form the company.
Here are some examples for better understanding the term. When a mobile provider offers a client to choose a network after buying a phone, or when a laptop seller offers a mouse for free if you buy the laptop. And when a television brand suggests its clients to go for a home theater of its brand. All of these examples show cross-selling.