MoreCommerce's Buying & Merchandising Team has years of experience driving higher order value and sales from lower priced products. The answer is very simple: Bundle multiple products together to sell your products at a higher price point, thus increasing your profits on every order.
8 Reasons Why Bundling Works
- Bundles increase your cart size. A bundle is prepackaged way to upsell a shopper, whether they're buying multiples of the same item or a variety of related items. The more items in the bundle, the larger the cart size. That means more profit dollars for you.
- Merchandising with the Customer in mind. Since you're the expert on your products, show how your products could be used together. Bundle a pair of earrings with a necklace for a unique look or match two different supplements that can be used together. The possibilities are endless. When you do this, you're helping the shopper connect the dots through clever and tactful merchandising.
- Offer more meaningful discounts. With an increase in the revenue, you will have more profit dollars per order. This will enable you to offer deeper discounts or free shipping. It will also allow you to subsidize shipping so it's not as costly for the shopper.
- Gifting. Beautifully packaged baskets are an easy purchase for someone looking to send a gift. Don't leave it to the customer to create a gift basket on his or her own by purchasing products individually. Instead, create unique bundles and baskets that help narrow in on the products that are best for their gift recipient.
- Exclusivity. Exclusive product bundles get a lot of traffic on MoreCommerce. Since they're unique to the our marketplace, customers tend to gravitate to them because they're guaranteed to be something they haven't seen elsewhere. Important: Even if all products in a bundle are sold elsewhere individually, the bundle could still be exclusive. Bundles that are only offered on our site are defined as an exclusive product.
- No listing fees. Finally, and most importantly, we do not charge listing fees, so don't worry about creating additional products. Try bundling your products a few different ways and see what works. If you see some are working and others aren't, it's OK to remove the under-performing items.
Types of Bundles
It's important to look at your products through the eyes of the shopper and say, "If I was shopping, what would be the most practical way to buy these items, taking into account the price point?"
In many cases, a gift basket is a great option. Not only does it allow you to include a variety of products in custom packaging, but the inclusion of a basket allows you to add extra dollars to the retail price without adding too much cost. Take JAVA & Co, for example. The gift basket below tells a story and is an appealing way to showcase different products.
If you sell consumable products or lower-priced items, bundling multiples of a single item together may be your best bet to drive more profit dollars per order.
Buttermilk did this and turned a single $13 product into a two-pack, with a slight discount. By doing this, Buttermilk will be guaranteed a higher checkout price and the ability to offer the product with an additional 11% off, while charging a reduced shipping cost. In the end, this is a big win-win for the shopper, and helps Buttermilk dive more profit per order.
If it's a fit for you business, offering a starter kit can be a great way to drive new sales. Oliso created a starter kit to attract new shoppers who don't currently vacuum seal their food. This is a 10-piece kit that includes everything the shopper needs.
The starter kit is merchandising done right: thinking for the shopper and making it easy for them to buy with confidence, especially when there's lack of knowledge or uncertainty about the product.
Assembling products around a common theme is another way to bundle your products. Moody Sisters Organic Skincare did a great job with this, bundling beauty products with a common scent as a curated bundle.
If you have products with variations, put them together in a variety or sample pack so shoppers can try out a few options and order their favorite next time around.
Check out how The Crispery created a variety pack so that shoppers could try four of their most popular flavors. The variety pack is by far their most popular product compared to any individual flavor.
Now that you have a good understanding of bundles, how they work, and why they're effective, try creating a few of your own and discover creative ways to increase your profit dollars on even your lowest-priced items.