How To Use Product Bundling For Your Competitive Advantage

A guide to selling product bundles online


People love to buy products bundles at the right prices. And there is a good reason for that. Who of us wouldn’t love to take advantage of a perfectly matched product set you can easily afford? Many researchers have already done their homework in designing good looking product mixes which are bound to catch customers’ attention without emptying their wallets. This result comes from psychological studies and well-made marketing research which we will discuss in the upcoming sections of this article.

The main idea of this article is to give you an overview of the 3 strategies for designing and successfully selling your product bundles online.

Seems interesting? Then let’s get started!

What is product bundling and why is it so successful?

In the marketing world, product bundling is defined as a practice of selling a mix of products or services for a single price.

What are the qualities a successful product bundle should have? It is an ability to convince customers that complementary goods can bring customers certain:

1. Functional value. This is the product’s ability to perform more functions in comparison to a single product or service;

2. Monetary value. The customer will be better off by buying multiple products at once rather than acquiring them separately;

3. Social value. How much does a possession of the particular product set would allow a client to connect with other members of society?

4. Physiological value. How much does a possession of the particular product set would increase the customer’s psychological well-being?

It is also important to note that the values described above should be considered based on the customers’ real needs. As illustrated in one of the articles by Timothy Derdenger & Vineet Kumar in 2012, product mixes can help increase your sales when you bundle different products which complement each other. You may encounter different results if you bind very similar products which customers prefer to use separately.

How to design successful product bundle

Designing an effective product bundle will increase your sales volume and an average order value. But, when it comes to the design of the actual mix, it’s not enough to simply mix your items up and hope for the best. The successful strategy requires a good step-by-step plan which begins with analyzing the sales of your current products.

Step Number 1. Bundle your most popular products

Using Google Analytics, take a look at the statistics of your product pages to find out the ones which receive the most traffic. To do that:

(i) Log into your account;

(ii) Head to the section called “Behavior”;

(iii) Choose the subsection called “Site Content” and finally open the “Landing Pages” report;

(iv) Sort out the results by the Number of Sessions.

After doing this, you should be able to get a good idea of the most popular product your store has. What’s left is the final decision about the items you are going to mix up.

When you are a retail store, one possible combination you might use is to sell a bottle of shampoo and a package of soap. If you selling gifts, a mix of flowers and a box of candies will no doubt make your customers happy and increase their purchasing orders.

But what if your most popular products do not fit together? In that case, consider our second idea.

Step Number 2. Mix your main products with related accessories

What do we mean by accessories? These will be compliments of your main products. One good example is a mouse pad you might complement your notebooks with. Another is an iPhone with brand new headphones from Dr. Dre.

In both cases, you can sell your main products with the respective accessories to make the new product look even more appealing. In addition to that, these pairs of items are often used together, and so by bundling, you will have a higher chance of making your customers happier and earn more income with every sale.

Step Number 3. Create product bundles and sell them at a discount

Another possibility of how you may sell more products in bundles is by creating advanced special offers for your potential consumers at reduced prices and placing the respective product promotion blocks on your website. What’s more, you may also inform your provide detailed price calculations for every bundle in order to give clients an additional incentive to buy more goods at the reduced price.

How to apply this functionality to your store? To make the whole process of applying various price calculation methods, both faster and easier, take a look at some of the Grouped Promotions extensions currently available for Magento-based stores.


After discussing the 3 strategies of selling product bundles your business might take a note on and revealing some of the psychological insights behind product bundling, let us give you a short summary on what was covered above.

When you are thinking about starting to sell your products in bundles:

(a) Take advantage of the data from Google Analytics to find your best selling products. If the latter cannot be mixed up together, try to sell your main products with the corresponding accessories.

(b) When deciding on the products you should bundle together, keep the needs of your customers in mind. After all, the very first reason why clients may wish to buy our products or services is the willingness to satisfy their own needs.

(c) When you are done with the selection process, consider using discount product bundles as one of the methods of selling product bundles on your website.


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