Product Manager

Optimum Strategies to Developing a Cross-Sector Business

Fernando Ors
Chief Development Officer

1

Agenda
Cross Selling 
1.1

Definition

1.2

Examples

1.3

Profitability

2

What’s going on in Gaming?

3

Brick & Click Strategies

4

Successful Strategy Alliance

Optimum Strategies to Developing a Cross-sector Business

1

2

Cross Selling
DefinitionCross Selling is the consumer products and complimentary
services sale to which a client has access. It covers a larger
scope of needs, increasing global sale and the consumer´s
loyalty. This should not affect the Core Business sales but
increase the Clients Value.

Do you want chips with your hamburger?

Optimum Strategies to Developing a Cross-sector Business

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1

CrossSelling
Definition: Main Keys

● To sell products or services to a customer who is already part of the client list
is up to 4 times cheaper than acquiring a new one.
● A good Cross Selling Strategy must be based on a good Segmentation
Strategy.
● Cross Selling increases:
○ Retention and loyalty
○ Client value
○ Supplier profitability
○ Customer knowledge
○ Customer equity

Choosingthe right moment and partner is critical in a Cross Selling Strategy

Optimum Strategies to Developing a Cross-sector Business

● Cross Selling strategies optimize costs and income in a highly competitive
and mature market context.

4

Agenda
Cross Selling 
1.1

Definition

1.2

Examples

1.3

Profitability

2

What’s going on in Gaming?

3

Brick & Click Strategies4

Successful Strategy Alliance

Optimum Strategies to Developing a Cross-sector Business

1

5

Cross Selling
Examples: “Cross Financial Services”
A Diversified Financial Services Company
Home Mortgage &
Home Equity
17%

Specialized
Lending
17%

Consumer
Finance
6%
Wholesale
Banking/Commer
cial Real State
9%

Investments &
Insurances
17%

Community
BankingWells Fargo, a “multifinancial entity” has increased from 4 to 8 the average product
portfolio per client. 80% of this increase came directly from Cross-Selling.

Optimum Strategies to Developing a Cross-sector Business

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Cross Selling
Examples: “Cross eSelling”

Amazon today sells much more than books…
The Kindle is the last creative example of their Cross Selling

OptimumStrategies to Developing a Cross-sector Business

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Cross Selling
Examples: “Cross Family”
Wii Blue Ocean Strategy

Nintendo is revolutionizing the Video Gaming Industry
with a new interactive and “Family Cross Selling” approach

Optimum Strategies to Developing a Cross-sector Business

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Cross Selling
Examples: “Cross Multiplayer Online Role-playing”

1

World ofWarcraft
Black Swan Effect
10.000.000
9.500.000
Ultima Online

9.000.000
8.500.000

Lineage

8.000.000

EverQuest

Total C
urrent Subscriptions

7.500.000

11.870

Dark Age of Camelot

7.000.000
6.500.000

RuneScape

6.000.000

Final Fantasy XI

5.500.000
5.000.000

EVE Online

4.500.000

Star Wars Galaxies

4.000.000

Lineage II

3.500.000
3.000.000Dof us

2.500.000

EverQuest II

2.000.000
World of Warcraf t

1.500.000

Gaming Market Cap (16/06/2009)

6000

The Lord of the Rings Online

1.000.000
500.000
0
1997

5000

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

€Millions

Source: MMOGCHART.COM, Last updated on April 9th, 2008
4000
3000
3000
2000

1642
1316

13081239

1010

1000

791
420

0
Activision Ladbrokes William Hill
Blizzard

Playtech

Party
Gam ing

Bw in

Paddy
Pow er

888

World of Warcraft from Blizzard Entertainment has reached 10 million of registered users
who pay a monthly subscription of 12 € just to increase their ePower portfolio.

Optimum Strategies to Developing a Cross-sector Business

10.500.000...