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Product bundling is a smart marketing strategy that combines multiple products into a single offering. It’s a powerful tool that creates value for buyers through discounts and convenience, while expanding the product portfolio and customer base for the ecommerce retailer. By packaging related items together, product bundling provides a win-win situation for both parties – customers receive more for less, while businesses increase sales volume and product diversity. 

The Advantages of Bundling for Ecommerce and Retail Businesses

The advantages of product bundling are numerous and can help businesses drive growth and increase revenue. By wrapping items together into a more attractive package, retailers can attract more customers and raise their average order size.

Boost Average Order Value

Product bundling is a proven way to increase the average order dollar amount. By offering lower product costs and higher market appeal, customers can purchase multiple items at a discounted price, allowing them to buy more than they would have if purchasing the same items individually.

Upsell Opportunities

Product bundling can also create opportunities for businesses to upsell their products. By offering complementary products together, businesses can encourage customers to purchase additional items that they may not have considered before. This not only increases revenue but also introduces customers to new products and expands the business’s product portfolio.

Revamp Bottom-Selling Inventory

Product bundling can help businesses move their bottom-selling items. By combining them with better-selling items, the cost can be reduced, delivery times can be faster, and the customer experience when purchasing can be improved. Additionally, businesses can leverage the strong brand recognition of high-volume items to bring attention to lower-volume units, generating more sales.

Streamlined marketing efforts

Product bundling can also streamline marketing efforts by allowing businesses to promote multiple products at once. Instead of marketing each product individually, businesses can package products together and market the bundle as a single offering. This can save time and resources, as well as increase the visibility and appeal of the bundled products.

Increased Customer Loyalty

Product bundling can increase customer loyalty by offering them a better value proposition and creating a sense of exclusivity. When customers receive a bundle of products that they want or need at a discounted price, they feel appreciated and valued. This can result in repeat business and positive word-of-mouth recommendations.


Different Types of Bundling Strategies

Product bundling can be a great way to increase sales and offer customers a variety of options. Different types of bundling strategies include mix and match bundles, cross-sell bundling, new product bundling, BOGO (Buy-One-Get-One) bundling, old inventory bundling, and mystery box bundling. Each strategy has its own advantages, and the right one will depend on the business’s target market and goals.

Customize Your Bundle Packaging

Personalizing the way you package your bundle provides customers with a distinct buying experience that keeps them coming back for more. By adding unique package inserts, customers receive not only the product they purchased but also an idea of how to use it and what other items go best with it. This small touch creates a sense of ownership and pride in the purchase, making customers feel valued and increasing customer loyalty.

Partner with a Third-Party Logistical Provider (3PL)

Partnering with a 3PL provider like Badger Fulfillment Group to bundle your products can bring many benefits. 3PLs have expertise in logistics and shipping, making them highly qualified to ensure that bundled products are delivered on time and in perfect condition. Working with a 3PL also saves time and money as they are often punctual and efficient. Additionally, 3PLs can help distribute inventory quickly during bulk orders, meeting the constantly changing needs of customers. Their knowledge of industry standards, regulations, and detailed practices makes them an excellent choice for businesses looking to optimize their product bundling strategy.

In conclusion, product bundling is a powerful marketing tool that can help businesses increase revenue and drive growth. From boosting average order value, to elevating sales volume, to revamping bottom-selling inventory, product bundling offers numerous advantages for ecommerce and retail businesses.

This is a guest post from our partner Badger Fulfillment. Badger Fulfillment is a dedicated B2B and B2C fulfillment center located in Harvard, IL. Their owners and operators have numerous years of experience with order fulfillment and other value-added fulfillment services. Using innovative technology and a skilled labor force to complete day-to-day tasks allows them to work smarter for their clients. They enjoy partnering with businesses of all sizes in an effort to reduce the headaches of warehousing and fulfillment procedures.

About the Author

Kyle Kobriger, President and Co-Founder of Badger Fulfillment Group

I am passionate about delivering exceptional customer service and building a positive work atmosphere. I am dedicated to leading my team with integrity and providing our clients with the best possible experience. My attention to detail allows me to execute every project at the highest standard. I am constantly looking for ways to improve our processes and services to better serve our customers and drive the growth of our company.




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