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Product Bundles: Assembling Packages That Boost Order Values

You’ve got a great new product ready to launch. The packaging looks slick, the marketing materials are prepped, and you’re ready to get the word out. But have you thought about how bundling it with other items could increase customer order values?

Product bundling can be a powerful technique for boosting average order size. By offering your main product together with complementary add-ons, you make it easy for customers to purchase more in one go. This means more revenue for you per transaction.

In this article, we’ll explore some tips on how to assemble compelling product bundles that delight customers and prompt them to spend more per order. Let’s take a look at some strategies to start increasing customer order values today.

Understand Your Customer’s Mindset

The first step in creating effective product bundles is understanding your customer’s mindset when making a purchase. When browsing products, most customers are looking to solve a particular problem or fulfill a specific need.

For example, say a customer purchases a new DSLR camera from your electronics store. When they add that camera to their cart, they likely have in mind an upcoming vacation where they want to take better quality photos.

As the retailer, you have an opportunity at this point to think about complementary items the customer might need to fulfill their goal of taking great vacation pictures. A camera bag, extra batteries or memory cards could be handy add-ons that align with their purchase intent.

When you make it easy for the customer to purchase these extra items by bundling them with the camera, it saves them time and effort in needing to seek out those supplemental products separately. The additional items also become more tempting when offered right at the point of purchase.

Think Strategically About Product Pairings

Once you understand your customer’s mindset, think strategically about which additional products make natural pairings. Ideally, your bundled items should be complementary, so the combo feels like an enhanced overall offering.

For example, a music streaming service could bundle a free speaker along with a yearly subscription. The speaker complements the streaming service, allowing customers to listen to their music out loud.

When considering product pairings, look for items that:

  • Enhance the functionality of the main product

  • Contribute to a unified overall experience

  • Solve adjacent needs or problems

Avoid random product groupings that don’t offer any additional value. For example, bundling a camera with a pair of socks would probably seem odd and irrelevant. Keep the focus on products that work well together and appeal to what the customer hopes to achieve.

Get Creative with Your Offerings

Product bundles don’t always have to involve physical products. Get creative in thinking about value-added services or digital items you can include.

For example, an appliance retailer could bundle a refrigerator along with an in-home assembly service. Or a women’s clothing shop might bundle a free styling consultation with the purchase of an outfit over $100.

Digital items work great bundled in as well, like ebooks, online courses, downloadable templates or guides. These provide added value at low cost to you.

Consider bundles that offer:

  • Free shipping

  • Gift cards or store credit

  • Donations to charity

  • Contest entries or sweepstakes

  • Early access to sales or new arrivals

  • Memberships or VIP status

The options are endless for inventive product bundles that provide compelling extra value. Brainstorm creative offerings that appeal to your customers and incentivize larger orders.

Feature Your Bundles Prominently

Now that you’ve assembled some stellar product bundles, make sure they get promoted prominently in your marketing.

Call them out visually on your website homepage, category pages or product pages. Devote a section of your email newsletters to highlighting current bundles. Promote them heavily on social media and in online ads.

You want to ensure customers don’t miss the deals. Make them visible throughout the shopping journey.

Sweeten the Deal with Discounts

Product bundles become even more enticing when offered at a discounted price. Shoppers love getting a good deal, so lowering the total bundle cost increases temptation.

You can offer an overall discount on the entire bundle, like taking 10% off the total price when purchasing the items together. Or discount just the add-on items, so the main product stays at full price while the supplementary products get marked down in the bundle.

Depending on your profit margins, you can experiment to see which discounting approach maximizes revenue from your bundles. Just make sure to prominently call out the lowered prices you’re offering to get customers excited.

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Use Bundling to Spotlight New or Slower-Selling Items

Product bundling presents a prime opportunity to direct attention toward newer items or products that need an extra sales boost.

Pair a brand new product launch with an established bestseller. The hot item helps drive interest, while the newbie benefits from the exposure.

For slower sellers, bundling them with popular products gets them noticed. Consumers who may not have considered purchasing the languishing item on its own now get introduced to it as an appealing bonus.

Bundling lets you strategically market certain products together for optimal lift across your catalog. Keep this in mind as you hand-pick which items to spotlight in combo deals.

Evaluate Bundle Performance

Like any marketing initiative, you should analyze the performance of your product bundles to see what’s working.

Look at bundle-specific metrics like:

  • Bundle contribution - Total revenue driven specifically by bundle sales

  • Attachment rate - % of time the extra items in a bundle are purchased

  • Uptick in average order value

Study the data to identify your most effective product pairings that show positive results across these key metrics. Find out which bundles resonate best with your audience and contribute the most revenue.

You can then double down on promoting those winning bundles. Try testing discounts or even adding additional complementary items to build out more comprehensive kits.

Refresh Your Bundles Frequently

Don’t just set your product bundles and leave them indefinitely. Reevaluate frequently and test out new product pairings.

Cycle bundles out seasonally and replace them with updated offerings. Time limited-edition bundles around holidays or events.

Run A/B tests pitting different bundles against each other to see which garners the highest conversion rates. Track them for a few weeks or months, then switch up the mix again.

Keeping your bundles novel and fresh encourages repeat customers to order again when new deals arise. The excitement of “what’s in the bundle this month?” creates ongoing engagement.

Maximize Cross-Selling Opportunities

Product bundling opens the door for plenty of cross-selling opportunities. Once you’ve generated interest in a bundle, suggest additional items at checkout to drive the order value even higher.

For example, if a customer adds a camera lens kit to their cart, prompt them to complete their photography gear with a tripod, camera bag and cleaning kit.

Or if someone purchases a fitness tracker, cross-sell workout apparel, water bottles and healthy snacks to go along with their new active lifestyle.

Product bundles lay the groundwork for further cross-selling. Get the most of it by continually pitching complementary products throughout the buyer’s journey.

Over To You

The savvy marketer sees every customer interaction as a chance to increase order value. Product bundling provides a turnkey way to offer more to your customers in one fell swoop.

Now that you’ve got some ideas on constructing creative, value-packed bundles, it’s time to start testing them out with your audience. See which product combinations move the revenue needle for your business. Don’t be afraid to iterate until you unlock the ultimate mix.

A bit of strategic thinking on the front end pays off in the form of big dividends long term. Product bundles encourage customers to spend more with you each time they shop. That quickly compiles into major revenue gains.

What unique bundles can you dream up right now? Get creative in crafting offerings that cater exactly to your customers’ needs. With compelling bundles that boost order values, your next product launch and beyond will be much more lucrative.

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