6 Proven Price Bundling Examples to Boost Your AOV in 2023
Jerrel Reigada
December 21, 2022
Price bundling is one of the oldest tricks in the book when it comes to commerce (whether online or offline), and that’s for one simple reason:It works.Packing multiple products under one price tag is one of the simplest, yet most effective, ways to increase your AOV - But consumers are getting more wary of the common industry practices.Brands all over the web utilize price bundling as a way to optimize sales, so how can you ensure your deals can rise above the crowd of competitors?In this post, you'll learn from 6 clever examples just how to bundle products for maximum conversions.
6 Proven Price Bundling Examples to Boost Your AOV in 2023
Jerrel Reigada
December 21, 2022
Price bundling is one of the oldest tricks in the book when it comes to commerce (whether online or offline), and that’s for one simple reason:It works.Packing multiple products under one price tag is one of the simplest, yet most effective, ways to increase your AOV - But consumers are getting more wary of the common industry practices.Brands all over the web utilize price bundling as a way to optimize sales, so how can you ensure your deals can rise above the crowd of competitors?In this post, you'll learn from 6 clever examples just how to bundle products for maximum conversions.
Why Price Bundling Works
Price bundling is, effectively, a form of cross-selling - which is another effective sales tactic.It’s so effective in fact, that 10 to 30% of e-commerce revenue is generated through it. With 74% of merchants who cross-sell saying that it generates a full 30% of their total revenue.When you bring price bundling into the mix, it only becomes a more versatile tactic.Price bundling allows merchants to blur the lines between upsells, cross-selling, and single purchases - Which makes it simpler to convince your audience to increase their order values across the board.Think of a full dining room set, for instance.While in reality, you’re being sold a dining table, 4 chairs, and a dish set, it feels like you’re purchasing one package.It doesn’t feel like you’re being upsold the chairs and dishes that come with the table, but that’s exactly what it is.And that’s part of why bundling is so effective, it adds versatility to cross-selling.
Why Price Bundling Works
Price bundling is, effectively, a form of cross-selling - which is another effective sales tactic.It’s so effective in fact, that 10 to 30% of e-commerce revenue is generated through it. With 74% of merchants who cross-sell saying that it generates a full 30% of their total revenue.When you bring price bundling into the mix, it only becomes a more versatile tactic.Price bundling allows merchants to blur the lines between upsells, cross-selling, and single purchases - Which makes it simpler to convince your audience to increase their order values across the board.Think of a full dining room set, for instance.While in reality, you’re being sold a dining table, 4 chairs, and a dish set, it feels like you’re purchasing one package.It doesn’t feel like you’re being upsold the chairs and dishes that come with the table, but that’s exactly what it is.And that’s part of why bundling is so effective, it adds versatility to cross-selling.
Types of eCommerce Bundle Pricing
Price bundling doesn’t just come in one flavor, there are a few versions of it:
- Pure Price Bundling
- Mixed Price Bundling
Types of eCommerce Bundle Pricing
Price bundling doesn’t just come in one flavor, there are a few versions of it:
- Pure Price Bundling
- Mixed Price Bundling
6 Examples of Price Bundling that Elevate Brand AOV
With all of that out of the way, let’s get to the main discussion: How big brands are optimizing sales through clever price bundling tactics.
6 Examples of Price Bundling that Elevate Brand AOV
With all of that out of the way, let’s get to the main discussion: How big brands are optimizing sales through clever price bundling tactics.
Product bundles aren’t just ways to increase AOV; they’re also great tools to start your new customers along the customer journey on the right foot. A well-designed intro bundle gives customers everything they’ll need to get started with your product, a great product bundle leaves a tiny bit to be desired to lead customers further along the journey.Bruvi, an ecommerce beverage company, is a great example of this.When you purchase a Bruvi Brewer, you’ll also need to purchase the pods and filters to make it work.Rather than having new customers find all of the separate products on their own, Bruvi packs it all up in a neat bundle that’s great for getting started.The $100 discount only makes it all the more enticing to make that first purchase.If you’re planning on selling intro bundles for your own business, ensure that there’s enough value to make it worth a customer’s while. Including free samples is another great way to pique interest for further down the road, which is exactly what Bruvi does with their variety pack to facilitate more interest down the road.
Product bundles aren’t just ways to increase AOV; they’re also great tools to start your new customers along the customer journey on the right foot. A well-designed intro bundle gives customers everything they’ll need to get started with your product, a great product bundle leaves a tiny bit to be desired to lead customers further along the journey.Bruvi, an ecommerce beverage company, is a great example of this.When you purchase a Bruvi Brewer, you’ll also need to purchase the pods and filters to make it work.Rather than having new customers find all of the separate products on their own, Bruvi packs it all up in a neat bundle that’s great for getting started.The $100 discount only makes it all the more enticing to make that first purchase.If you’re planning on selling intro bundles for your own business, ensure that there’s enough value to make it worth a customer’s while. Including free samples is another great way to pique interest for further down the road, which is exactly what Bruvi does with their variety pack to facilitate more interest down the road.
Every store has a group of products that sell better than the rest.Packing a group of those best selling products together and selling them at a discounted price can be one of the most effective ways to increase order value out there.With a best sellers bundle, customers that would have previously purchased one of the best sellers may be enticed to bring home the whole lot.Best selling bundles are a great tactic to net easy wins and increase AOV across the board.
Every store has a group of products that sell better than the rest.Packing a group of those best selling products together and selling them at a discounted price can be one of the most effective ways to increase order value out there.With a best sellers bundle, customers that would have previously purchased one of the best sellers may be enticed to bring home the whole lot.Best selling bundles are a great tactic to net easy wins and increase AOV across the board.
Bundles aren’t only meant for individual customers.Family and variety packs are a great example of that. Plenty of potential customers are looking to purchase in bulk, whether for a group or to stockpile products.Family packs allow customers to save money by purchasing more products at once, while variety packs help customers who may not want to just choose one.Providing more options in your store like these can help attract customers who tend to buy in bulk or for the whole family at once.
Bundles aren’t only meant for individual customers.Family and variety packs are a great example of that. Plenty of potential customers are looking to purchase in bulk, whether for a group or to stockpile products.Family packs allow customers to save money by purchasing more products at once, while variety packs help customers who may not want to just choose one.Providing more options in your store like these can help attract customers who tend to buy in bulk or for the whole family at once.
Comprehensive, or essentials sets help customers avoid the confusion in buying multiple products.Skincare is a great example. There isn’t just one type of skincare product, there’s a virtually endless amount.A customer who hasn’t done tons of research may not know which of the products they need.The wide array of choices in your store can lead to confused, indecisive customers and lost sales.As the saying goes, “A confused mind is the opposite of a buying mind.”To avoid that confusion, it’s a good idea to offer an essential set that provides everything someone may need. They’re similar to intro bundles, but with less of a focus on new customers.
Comprehensive, or essentials sets help customers avoid the confusion in buying multiple products.Skincare is a great example. There isn’t just one type of skincare product, there’s a virtually endless amount.A customer who hasn’t done tons of research may not know which of the products they need.The wide array of choices in your store can lead to confused, indecisive customers and lost sales.As the saying goes, “A confused mind is the opposite of a buying mind.”To avoid that confusion, it’s a good idea to offer an essential set that provides everything someone may need. They’re similar to intro bundles, but with less of a focus on new customers.
Lootbox is a brand that’s solely based around bundles.The premise is simple: You choose one of Lootbox’s subscription options, and they’ll send you a crate of random goodies each month.The bundles range from Harry Potter themed boxes all the way to sci-fi ones.Other companies have used similar models to great success as well, Dollar Shave Club and HelloFresh to name a few.Using bundles within a subscription model-based business is a stellar way to generate consistent monthly income and raise customer loyalty brandwide.Here are a few ways you could bring subscription bundles into your own business model:
- Members’ Club & Loyalty Programs
- “Sneak Peak” Bundles
Lootbox is a brand that’s solely based around bundles.The premise is simple: You choose one of Lootbox’s subscription options, and they’ll send you a crate of random goodies each month.The bundles range from Harry Potter themed boxes all the way to sci-fi ones.Other companies have used similar models to great success as well, Dollar Shave Club and HelloFresh to name a few.Using bundles within a subscription model-based business is a stellar way to generate consistent monthly income and raise customer loyalty brandwide.Here are a few ways you could bring subscription bundles into your own business model:
- Members’ Club & Loyalty Programs
- “Sneak Peak” Bundles
While they’re especially lucrative near the holiday season, gift bundles are great for generating sales all year round.The main draws of gift bundles, as the name implies, are that they make it easier for customers to choose when shopping for gifts, which helps to simplify decision paralysis.And not only that, but gift bundles are a great way to increase the number of new customers for your brand through referrals. Or in other words, each recipient who enjoys the gift set is a potential new loyal customer.
While they’re especially lucrative near the holiday season, gift bundles are great for generating sales all year round.The main draws of gift bundles, as the name implies, are that they make it easier for customers to choose when shopping for gifts, which helps to simplify decision paralysis.And not only that, but gift bundles are a great way to increase the number of new customers for your brand through referrals. Or in other words, each recipient who enjoys the gift set is a potential new loyal customer.
Price Bundling FAQ
Price Bundling FAQ
What are the Advantages and Disadvantages of Price Bundling?
One advantage of price bundling is that since you're selling multiple products at once, you (and the customer) make one sale for the shipping price of just one - effectively increasing your margins.On the other hand, price bundling often means that the total price will be higher. While the combined price might be seen as a deal to some customers, others may see it as too expensive to buy. This is why some merchants may notice reduced sales when they include popular products within bundles.
What are the Advantages and Disadvantages of Price Bundling?
One advantage of price bundling is that since you're selling multiple products at once, you (and the customer) make one sale for the shipping price of just one - effectively increasing your margins.On the other hand, price bundling often means that the total price will be higher. While the combined price might be seen as a deal to some customers, others may see it as too expensive to buy. This is why some merchants may notice reduced sales when they include popular products within bundles.
How Do I Calculate Prices for Product Bundles?
There is no "best" price when it comes to product bundling. With that being said, there are still best practices you can follow.For an effective product bundle, the bundle price should at least be lower than the combined individual prices of included products. (ie, a $3 product and a $4 product bundled together shouldn't be sold for $7 or more). Factors to consider when calculating your bundle prices include:
- Revenue saved by shipping both products at once
- Competitors' bundles and pricing
- Profit margin of each product included
- Popularity of each product included
How Do I Calculate Prices for Product Bundles?
There is no "best" price when it comes to product bundling. With that being said, there are still best practices you can follow.For an effective product bundle, the bundle price should at least be lower than the combined individual prices of included products. (ie, a $3 product and a $4 product bundled together shouldn't be sold for $7 or more). Factors to consider when calculating your bundle prices include:
- Revenue saved by shipping both products at once
- Competitors' bundles and pricing
- Profit margin of each product included
- Popularity of each product included
Wrapping Up: Use Price Bundling to Supercharge Your Bottom Line
Price bundling is a common ecommerce tool for a reason, but just like any tool, it’s up to you to use it to full effect.To help you use price bundling effectively, here are a few key takeaways from this post:
- Welcome bundles are great ways to introduce new customers into the fold.
- Use gift sets and sample bundles to help increase referral sales.
- Offer “essentials sets” to alleviate customer confusion and simplify the buying process.
- Create subscription services to increase customer loyalty and stabilize your bottom line.
Wrapping Up: Use Price Bundling to Supercharge Your Bottom Line
Price bundling is a common ecommerce tool for a reason, but just like any tool, it’s up to you to use it to full effect.To help you use price bundling effectively, here are a few key takeaways from this post:
- Welcome bundles are great ways to introduce new customers into the fold.
- Use gift sets and sample bundles to help increase referral sales.
- Offer “essentials sets” to alleviate customer confusion and simplify the buying process.
- Create subscription services to increase customer loyalty and stabilize your bottom line.
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Blazing-fast performance
100% no-code editor
Best-in-class ecommerce features with white-glove support