The Bundle Pricing Strategy

Monday, August 17, 2015

The bundling of products has long been a pricing strategy for both tangible and digital goods. Nevertheless, many marketers lack a strong understanding of this methodology.

Why bundle goods in the first place? The only reason is to convince consumers to do something that they would not normally do. Full stop. I could end the article there, but I suppose a bit of elaboration might be welcomed by my readers.

If consumers are eager to buy two of your products at full retail price, there is little reason to combine them into a single offering. Should you bundle them together and offer a reduced price for the set, you'd literally be giving up money for no reason whatsoever.

Product bundling can help firms to achieve a number of goals including:

Is bundling right for your business? Maybe. If you'd like to know for sure, contact me for a consultation. While you're at it, make sure to read through the world's greatest software pricing book too.