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Product Bundling for Increasing eCommerce Sales

October 21, 2021

5 min read

Whenever you go to any retail shop today, you see many combo offers with products that are either complementary to each other or have a discount, etc. For example, when you go to buy shampoo, you get a conditioner for free. If you go to buy a smartphone, you get a complimentary charger, etc.

Product Bundling

Some things just go well together. Therefore, sellers tend to sell them together. This technique is known as product bundling. Let’s look at what product bundling is and how you can use it to enhance e-commerce sales

What is Product Bundling?

Product bundling is the process of grouping more than two products together in 1 SKU. This way, when the customer places an order on your website, all the products bundled together are added to the cart together. 

Product bundling is a viral marketing and cross-selling strategy around festivals. During festivals like Diwali, Raksha Bandhan, Christmas, New Year, companies sell many bundled products for gifting. It is an overall strategy that is used by businesses to generate more revenue per order.

It is proven to drive a more excellent average order value for your business. These product bundles can be specially curated or just decided based on consumer behavior and psychology. 

However, customers prefer bundle products as it gives them the feeling of purchasing more at a lower price.

Types of Product Bundling

There are different types of product bundling strategies that you can adopt for your business. It entirely depends on your customer expectations and how you want to position your product before the customer. If you sell entirely altogether different products together, there is very little chance that any customer will purchase that. Therefore, you need to be intelligent about the products you bundle and market them accordingly. 

Mixed Bundling

Mix bundling is one of the most common types of product bundling. Under this strategy, items are clubbed together based on the previous sales and order data. 

For example, when you buy a toilet cleaner online, there is a chance that you will be sold a brush and wiper along with it at a bundled price. 

SR Fullfilment

Same Products

The same product strategy is a tried and tested way to offer a discount when your customer wants to order multiple items of the same product. 

Most D2C brands follow this strategy and encourage their buyers to buy products in bulk rather than spending each time on shipping. 

Pure Bundling

Your bundling means grouping products that you only get when sold together. For example, when you purchase a smartphone, you always get a charger or cable. You can get the charger separately, but you do not get a smartphone without a charger. The only problem with your bundling is that it limits the options for your customer, and it might lead to a dip in sales. 

Excess Inventory

Product bundling can also be used as an effective strategy to get rid of excess inventory. If you store a lot of stock in your warehouses and have a lot of slow-moving inventory, it can lead to an increase in the stock carrying costs 

You can use bundling to similar group items and move them faster.

This way, you can also make room for fast-moving inventory. 

Best Practices of Product Bundling

Product Bundling

You can always make modifications to the product bundle. It also offers you a lot of room for innovation and testing to see which ones sell best. However, if you follow a few best practices, you can ensure that the bundles sell well and get the most relevant results. 

When you start, you always do not have enough historical data to make the best decisions. Utilize this opportunity to try a different group of items and see how it works.

The primary role of product bundling is to reduce friction during checkout and make sure the customer adds more products to the cart at once.

A few best practices for product bundling are as follows- 

Offer a slight discount so the customers can see the value

  • Always show bundles side-by-side with individual products so that the customer can see the advantage of purchasing a bundle
  • Highlight bundles in emails during the festive season
  • Analyze the customer journey thoroughly and then place the bundles where they are most effective
  • Always do thorough competitive research to see what they include in their bundles and the main options. 

Selling Product Bundles With Shiprocket Fulfillment 

Most times, there is a logistical challenge in delivering product bundles. You either have to create the bundle after the order is received or create it before. However, when you outsource to 3PL fulfillment providers like Shiprocket fulfillment, they take care of product bundles and ship them seamlessly. 

Shiprocket fulfillment has fulfillment centers located across prime locations in India. Also, they have a robust strategy for handling product bundles and shipping them without any hassles. Therefore, if you want to sell product bundles, you can ship them to our fulfillment centers, and we will take care of the packaging and shipping of these items whenever you receive an order. 

Not just that, we will optimize the packaging operations for you so that you do not pay any additional cost for shipping based on the extra weight. Along with that, we also have the latest warehouse tech to ensure that your orders are processed fast so that you can deliver to more customers in a shorter period. 

Final Thoughts

Product bundling works as a great marketing strategy for your business if you want to enhance sales or sell more in a short period. Other than that, it is also helpful for getting rid of excess inventory you might have for a particular SKU. We hope this article was beneficial to make you understand the importance of product bundling and how it works.

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