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Upsell, Cross-Sell, or Clear Dead Stock: Which Product Bundling Strategy Do You Need?

Who could resist aÌýdeal where you receive more forÌýless? IfÌýyou’ve ever indulged inÌýaÌýcombo offer atÌýaÌýfast-food chain, you’ve seen theÌýart ofÌýproduct bundling. This strategic approach merges two orÌýmore items into aÌýsingle package, typically atÌýaÌýreduced price.

Product bundling can offer numerous benefits toÌýyour business, aiding inÌývarious objectives, such asÌýboosting your average order value (AOV) andÌýintroducing new products.

InÌýthis article, weÌýwill explore different product bundling strategies andÌýwhat you can achieve with each. Since each business has its own flair, think ofÌýitÌýasÌýaÌýspark ofÌýinspiration rather than aÌýstrict rulebook.

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Product Bundling Strategies: Examples andÌýBenefits

There are plenty ofÌýdifferent product bundling strategies that you can implement inÌýyour store. These strategies can cater toÌývarious customer preferences andÌýenhance your marketing efforts.

ByÌýtheÌýway, ºÚÁÏÃÅ sellers can simplify theÌýprocess ofÌýproduct bundling using theÌýProduct Bundles: Combine Items andÌýSell More app toÌýcreate bundles effortlessly. Simply select theÌýproducts forÌýaÌýbundle andÌýspecify theÌýdiscount amount.

Here are some ofÌýtheÌýmost common product bundle strategies:

Pure Bundles

Pure bundles are aÌýset ofÌýproducts that cannot beÌýsold separately. They are only available asÌýaÌýpackage.

This bundling strategy works best forÌýproducts designed toÌýbeÌýused together, such asÌýaÌýDIY box orÌýaÌýmeal kit delivery.

ItÌýmay not beÌýaÌýgood idea toÌýcreate aÌýpure bundle out ofÌýproducts that are not directly connected toÌýone another.

Benefits forÌýaÌýbusiness: Offering pure bundles isÌýaÌýquick method toÌýboost average order value, asÌýcustomers are compelled toÌýbuy theÌýcomplete package even ifÌýthey need only aÌýfew items.

Pure bundles (when created thoughtfully) also help you get theÌýmost out ofÌýseasonal events, such asÌýChristmas orÌýHalloween. AtÌýthese times, customers might beÌýlooking forÌýaÌýpackage ofÌýproducts tailored forÌýaÌýspecific occasion.

Examples ofÌýpure bundles: Blue Apron isÌýaÌýmeal-kit delivery service where customers select their preferred menu type andÌýreceive all theÌýingredients along with aÌýrecipe forÌýaÌýdelicious dish.

Another example isÌýtheÌýDyson Airwrap which comes with attachments:

Also, these kids’ sewing kits include fabrics, filling, andÌýthreads:

Same Product Bundles

Same-product bundles are packages that contain more than one item ofÌýtheÌýsame product atÌýaÌýdiscounted price. Such bundles help customers toÌýsave money andÌýreduce mental load.

This bundling strategy works best forÌýproducts that can beÌýused inÌýlarge quantities orÌýhave aÌýlong shelf-life, such asÌýpersonal care products.

Think ofÌýproducts that are used permanently orÌýrepetitively. Oral care products, which are used every day, can make aÌýgreat same-product bundle.

Pro tip: use order history toÌýidentify what products your customers buy more than once.

Benefits forÌýaÌýbusiness: Same-product bundles help reduce inventory costs byÌýmoving more products inÌýaÌýsingle transaction.

They also decrease marketing andÌýdistribution costs, asÌýitÌýisÌýmore cost-effective toÌýsell multiple items toÌýaÌýsingle customer than toÌýsell them separately. Bundles are also aÌýmore sustainable way toÌýsell andÌýbuy convenience goods.

Examples ofÌýsame product bundles: This 12ÌýPack ofÌýLemonade from Sprecher Brewery:

Or, 4-gallon shampoo sets forÌýfitness clubs:

Mixed Products Bundles

Mixed product bundles are packages that contain two orÌýmore different products sold together atÌýaÌýlower price. Unlike products inÌýpure bundles, mixed product bundles can beÌýpurchased separately.

This bundling strategy works best forÌýproducts that can beÌýused together, such asÌýaÌýfast-food combo orÌýaÌýgift set.

Benefits forÌýaÌýbusiness: This type ofÌýbundle isÌýaÌýgreat help when itÌýcomes toÌýslow-moving inventory orÌýtheÌýleast popular products. Combine one less popular product with one orÌýmore bestsellers toÌýmotivate customers toÌýbuy them all.

Mixed product bundles make itÌýeasier toÌýlaunch new products andÌýstand out from competitors. For instance, you can create aÌýbundle from your bestseller andÌýaÌýnew product.

Mixed product bundles also help increase AOV byÌýencouraging customers toÌýpurchase more items than initially planned.

Examples ofÌýmixed product bundles: AÌýclassic one isÌýBig Mac McDonald’s Combo Meal, aÌýburger served with fries andÌýaÌýdrink.

Colourpop value makeup sets are another great example:

Or, this car cleaning kit from ArmorAll, which includes cleaning wipes, aÌýcar wash, glass cleaner, andÌýother cleaning tools:

Mix-and-Match Bundles

Mix-and-match bundles allow customers toÌýcreate different bundles from aÌýselected list ofÌýproducts. ItÌýinvites customers toÌýbeÌýcreative andÌýprovides more freedom toÌýchoose what they want.

This bundling strategy works best forÌýproducts with multiple variations, such asÌýclothing orÌýaccessories.

ItÌýisÌýsafer toÌýgive aÌýcustomer theÌýchance toÌýchoose from different items atÌýtheÌýsame cost. For example, you let your customers choose from various flavors ofÌýtheÌýsame drinks.

Benefits forÌýaÌýbusiness: Mix-and-match bundles provide aÌýpersonalized customer experience, which can increase customer loyalty.

They also decrease marketing andÌýdistribution costs byÌýallowing customers toÌýselect items already inÌýinventory.

Another positive side effect isÌýthat you can see theÌýmost andÌýtheÌýleast popular product variations after some time andÌýconsider this information when restocking.

Examples ofÌýmix-and-match bundles: Personalized Bath Experience isÌýaÌý5-piece gift box from Nectarlife. Customers can modify each ofÌýtheÌýproducts andÌýchoose theÌýbox’s color.

Lane’s BBQ offers its customers theÌýoption toÌýchoose four out ofÌýeleven seasonings andÌýtheÌýsize ofÌýtheÌýbags.

Cross-Sell Bundles

Cross-sell bundles are packages that include aÌýcomplementary product offered asÌýanÌýaddition toÌýtheÌýinitial choice.

This bundling strategy can beÌýused forÌýitems with complementary products, such asÌýfragrances andÌýscented lotions.

When creating cross-sell bundles, keep inÌýmind products that are often bought together. InÌýºÚÁÏÃÅ, you can show inÌýtheÌýYou May Also Like section onÌýaÌýproduct page andÌýatÌýcheckout.

Benefits forÌýaÌýbusiness: Cross-sell bundles can handle slow-moving inventory. You can use products that may not sell asÌýwell onÌýtheir own asÌýcomplementary.

They also can beÌýhelpful during theÌýholiday season when people tend toÌýbuy more than they planned.

Examples ofÌýcross-sell bundles: This Fine Fragrance Victoria’s Secret set comes with perfume, body lotion, andÌýmist.

The “AÌýlittle something extra” section atÌýtheÌýcheckout onÌýAsos isÌýanÌýexcellent example ofÌýcross-selling strategy. These items can beÌýcombined toÌýcreate aÌýbundle.

Forever 21Ìýuses aÌýsimilar approach with its “Complete theÌýlook” suggestion.

Upsell Bundles

Upsell bundles offer aÌýproduct upgrade toÌýtheÌýinitial choice. The idea behind this strategy isÌýtoÌýoffer aÌýcustomer aÌýbetter version ofÌýaÌýproduct forÌýaÌýreasonable price.

This bundling strategy isÌýaÌýperfect choice forÌýproducts with premium options orÌýadd-ons, such asÌýgift wrapping orÌýpremium subscriptions.

Benefits forÌýaÌýbusiness: Upsell bundles increase AOV andÌýcustomer satisfaction byÌýoffering premium options that improve theÌýoverall customer experience.

Examples ofÌýupsell bundles: Bands andÌýloops forÌýApple Watch are offered when customers add watches toÌýtheir carts.

Crocs allows their customers toÌýadd surprise accessories toÌýtheir shoes.

Eyeglasses stores often offer additional lens protection, cases, andÌýother ways toÌýupgrade theÌýinitial purchase.

How toÌýChoose aÌýProduct Bundling Strategy?

While each bundling strategy has advantages, itÌýisÌýimportant toÌýchoose those that best suit your business goals andÌýyour customers’ needs.

Here are some steps you can take toÌýchoose which bundling strategy you should try first:

Ensure theÌýBundle Offers Better Value Than Buying Items Separately

Before deciding onÌýaÌýbundle strategy, make sure that theÌýbundled items offer aÌýbetter value toÌýcustomers than ifÌýthey purchased theÌýitems separately.

IfÌýtheÌýbundle doesn’t provide aÌýsignificant discount orÌýdoesn’t address aÌýcertain pain point, customers may not beÌýinclined toÌýpurchase it, andÌýitÌýcould negatively impact your sales.

Bundling aÌýT-shirt andÌýaÌýscarf isÌýprobably not effective since these products are usually purchased separately inÌýdifferent seasons. Combining aÌýmatching scarf andÌýhat, onÌýtheÌýother hand, maybe aÌýgood idea.

Define Your Goals andÌýHow theÌýBundle Strategy Can Help Achieve Them

ItÌýisÌýpossible toÌýhave many business goals, but when choosing aÌýproduct bundling strategy, focus onÌýone orÌýtwo.

Are you looking toÌýincrease AOV, reduce inventory costs, orÌýlaunch new products?

Pure bundles will beÌýperfect forÌýanÌýintense holiday season, but they won’t beÌýasÌýgreat atÌýrepresenting your customers’ preferences asÌýmix-and-match bundles.

IfÌýsome ofÌýyour products take too long toÌýsell, itÌýmight not beÌýaÌýgood idea toÌýsell them inÌýtheÌýsame product bundles. Consider including cross-sell orÌýmixed product bundle strategies instead.

Once you’ve identified your goals, you can review theÌýlist above andÌýdetermine which bundle strategy isÌýbest forÌýthem.

Address Customer Pain Points andÌýSolve Them with Your Bundles

Consider your customers’ pain points andÌýhow your bundles can address them. For example, ifÌýyour customers often buy theÌýsame product, itÌýcan beÌýconvenient forÌýthem toÌýbuy inÌýbulk.

OrÌýyou can put together aÌýset where each product solves aÌýdifferent part ofÌýaÌýcomplicated issue. Think ofÌýitems like baby boxes orÌýskincare beauty sets.

Test Different Combinations toÌýFind theÌýBest Fit forÌýYour Store

Try different bundling combinations toÌýsee which ones work best forÌýyour store. You can experiment with different products, pricing, andÌýdiscounts toÌýdetermine what resonates with your customers.

For instance, you may find pure bundles not working forÌýyour business but notice aÌýsignificant increase inÌýsales with mix-and-match bundles.

Get Inspired byÌýEffective Bundles ofÌýOther Businesses

Research big businesses that have implemented successful bundle strategies andÌýsee ifÌýyou can adapt their strategy toÌýyour store.

Look atÌýyour competitors’ bundle offerings andÌýsee how you can differentiate yourself. Examples provided inÌýthis article can beÌýaÌýsource ofÌýinspiration, too.

Implementing aÌýsuccessful bundle strategy can take your business toÌýtheÌýnext level andÌýopen new growth opportunities. Any ofÌýtheÌýsix bundling strategies mentioned inÌýthis article can boost sales orÌýintroduce aÌýnew product.

The Product Bundles: Combine Items andÌýSell More app isÌýaÌýgreat help toÌýanyÌýbusiness owner adding bundles toÌýtheir store. Feel free toÌýexperiment with different strategies, andÌýalways keep inÌýmind both your goals andÌýyour customers’ needs.

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About The Author
Arina Khokhlova is a content writer at Simcase. She focuses on online marketing and ecommerce strategies to help businesses thrive in the digital world. When she's not writing, you can find her doing yoga or getting lost in a good book.

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