Bundling Your Way to Higher Online Sales

product bundling in eCommerce

Product bundling is a terrific strategy for businesses to boost their online sales. It’s a great way to upsell complementary products and clear slow-moving inventory. It’s also a big win for customers since they feel they’re getting more bang for their buck. In the end, product bundling makes everyone happy and is an incredibly successful selling tool. But it’s important to do it right.

If you have considered product bundling as a marketing strategy then keep reading to find out how to bundle your way to higher online sales.

Understand the strategic value of bundling

Also known as combos, sets or kits, the basic principle behind bundling is to increase sales by offering a discount to customers buying multiple items. To successfully implement bundling, you’ll want to first understand the strategic value of this approach. Benefits you’ll derive include:

  • Increased sales and profitability. Product bundling enables businesses to move more products through a single sale.
  • Simplified buying process. Many customers become overwhelmed on e-commerce sites. By offering customized bundles of items that go well together, the buying process becomes more straightforward. Data strongly suggests they appreciate this!
  • Heightened consumer confidence. Statistics show customers prefer (and often expect!) personalized services. By giving it to them, you’ll boost their confidence in your company, not to mention increase the loyalty factor. (Remember, it costs more to acquire new customers than to keep existing ones happy.)
  • Eliminating dead stock. Bundling helps move otherwise sluggish merchandise while simultaneously boosting sales of popular items. This significantly reduces the need for finding other ways to conduct inventory clearance.
  • Cutting down on spending. Bundling is a cost-effective way to generate more e-commerce sales without spending higher sums on customer acquisition.

As you can see, the benefits of bundling are numerous and there are few, if any, downsides in investing efforts into this approach.

Personalize your customers’ experiences

Once the business benefits associated with a bundling strategy are understood, it’s easier to get started. One of the primary things to focus on is customer personalization.

  • Identify target audience. It’s not enough to drive people to your website through SEO and advertising because these won’t necessarily equate to conversions. Consider your company’s niche and determine what types of customers you want to target. These are the customers to focus on when designing bundle options.
  • Learn individual consumer habits. Once your target audience is identified, it’s important to turn attention to the individual. The more you understand your customers as individuals, the easier (and more accurate) personalizing bundles will be. Determine products customers tend to buy together. To increase the personalization factor, look at customer buying histories as a group and see if any products stand out that you can bundle.
  • Focus on convenience. Convenience and price comparison are two primary drivers for online shoppers. Bundling significantly increases the convenience factor and provides an appealing way to present value.
  • Develop a personalized homepage. The one-size-fits-all version of homepages is rapidly becoming outdated. Remember that this is the place where a potential customer begins their journey with your brand. In the modern e-commerce landscape, personalized homepages have increasingly become a priority. The more customization shoppers see when they come to your landing page, the better the chances they’ll stick around and do some browsing.

When it comes down to it, statistics show personalization works. Those retailers who invest efforts in personalization are rewarded with 6 to 10 percent gains in sales. Consumers are far more likely to become loyal customers of businesses who have a good understanding of their needs.

Side note: Some data shows not only do modern online shoppers prefer a personalized experience, but many are also even willing to pay more for it. Factor in the perceived value that is associated with bundling and you’ll find yourself with a winning combination.

Tips for successful bundling

To increase sales, there are several bundling techniques you can use to help you to identify the best way to go. A good place to start is A/B testing because it provides tangible data to effectively learning customer preferences. Armed with that information, you can identify the most appealing combinations.

Additionally, businesses should examine their analytics, focusing on buyer behavior. See if any patterns emerge that might help identify complementary products, high-selling products, low-selling products and where customers typically go after leaving a page. Once the data is aggregated, it’s easier to build from there.

  • Combine complementary items. People love suggestions and are often happy to purchase items that will go along with their primary purchase (i.e. offering a camera case, SD card or extra battery to accompany a camera purchase).
  • Link low sellers with high sellers at an appealing price. Bundling slow-moving inventory with popular items can help you get rid of dead stock. Just be careful about pairing cheap items with expensive ones— it diminishes perceived value for some customers.
  • Allow custom bundling. Everyone wants to have the sense they are in control of exactly what they are buying. Custom bundling is a winning strategy because it allows businesses to increase product sales while customers choose exactly which items they want. Additionally, custom bundling decreases the chances of product returns if customers end up not happy with the whole package. Make them happy the first time!
  • Group useful products together. Customers often leap at these bundles because it’s a major time saver. They also may discover products they wouldn’t have thought of otherwise.
  • Offer freebies. Customers love freebies! For instance, promote a “buy two, get the third free” — it’s a good way to catch a customer’s eye.
  • Highlight product attributes. Write up good descriptive text with enticing imagery—put less focus on price. Promote true discounts. Today’s savvy customers quickly spot fake deals and won’t hesitate to abandon their cart if they feel they are being bamboozled. However, offer them a deal and you’ll grab their attention.

Remember a significant part of this strategy is customer perception. If customers don’t view the bundle as a value, they’ll lose confidence in you and surf away off your site, leaving behind an abandoned cart. Plus, chances are they’ll be bouncing to a competitor. Bottom line, to succeed in bundling it’s important to effectively understand human needs and value perception going into the gate. Once this is mastered, you can effectively build your way to higher online sales through bundling.

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Laura Gayle

Laura Gayle


Laura Gayle is a full-time blogger who has ghostwritten more than 350 articles for major software companies, tech startups, and online retailers. Founder of www.BusinessWomanGuide.org, she created her site to be a trusted resource for women trying to start or grow businesses on their own terms. She has written about everything from crowdfunding and inventory management to product launches, cybersecurity trends, web analytics, and innovations in digital marketing.