Marketing strategies for e-commerce can be compared to fashion trends that change over time. However, creativity is key when it comes to presenting products. One reliable strategy for increasing sales is using bundled products. Product bundling has been used by both digital and physical store owners for a long time. The concept leverages the human tendency to opt for a bunch of products at a discounted price rather than purchasing each of these products separately. Given the total savings they make, as perceived by the customer, it can be used to manoeuvre them into making a larger purchase than the original.
However, these days, customers do not always see bundled products as an incentive. This is because they perceive the purchase as an expense and back out altogether. Additionally, the e-commerce market is nearing saturation, and customers are likely to navigate to another website if they see you being too pushy about the purchase.
Despite this, bundled products are not a dead-end strategy. There are some great applications where product bundles can be used as the principal marketing method, provided you go about it smartly. Here are some classic strategies for selling more using bundled products:
1. Create Value for Customers with Chained Bundles
Chaining bundles refers to the method used when related products are offered to the customer, either free or at a highly discounted rate, as a thank-you for purchasing the principal bundled product on the e-store. Chained bundles are found to work better than simple product bundles due to their dual advantage; they upsell the principal product bundle as it has these free products associated with it and they act as promotional triggers for similar or relevant products that customers can be induced to buy at a later stage.
2. Offer Customizable Product Kits
Offering your customers the choice of creating their own product bundles is one of the most popular iterations of the bundled product strategy. This ensures that people have complete freedom in selecting the products they are looking for and packaging them as required. In case you are worried about the compilation problems this might cause across sellers, you can always offer a pre-specified pool of products for customers to choose from.
3. The Composite Alternative
Composite product bundles are used whenever some major customization comes into the picture. This is a combination of the value creation and customized bundling methods. Here, your base product, or product bundle, shall remain constant but the peripherals can be customized as required.
4. Mix it Up
Customers can purchase products in bulk at discounted prices, with optional variations in the same bundle. Here, you set a fixed number of items that can be added to the bundle and people can add single/multiple items as per their choice.
5. Groups are Good
Selling grouped products is a key strategy for stores which sell essentials that people tend not to spend time browsing for. The entire bundle can have a fixed price which is lesser than the total cost of each of the individual items and yet within your profit margin.
In conclusion, bundled products are a great way of encouraging bulk purchases and can be used for a variety of applications. It might be one of the oldest strategies in the book, but it works flawlessly nonetheless.